AGF Nitrogen Cuts Ammonia Production Amid Gas Price Surge

AGF Nitrogen is considering reducing ammonia production at its European facilities due to rising natural gas costs and high emissions allowance prices. This development comes as the fertiliser conglomerate struggles with squeezed margins in a challenging market environment. The company's decision to cut production, if implemented, would likely impact the supply of ammonia, a key component in various industrial processes.

The increased costs of natural gas have already led to reduced ammonia production rates at Agrofert's facilities, as reported by Quantum Commodity Intelligence in March 2026. However, the current situation appears more severe due to the higher emissions allowance prices, which further erode profitability for manufacturers like AGF Nitrogen.