CF Industries' Dominance in Nitrogen Fertilizer Market Fuels Concerns

CF Industries is dominating the North American nitrogen fertilizer market, controlling nearly 40% of it according to Farm Action. This market power allows them to dictate prices and make significant profits, especially during times of crisis like the current Iran War.

The recent war has caused an increase in nitrogen fertilizer prices, with anhydrous ammonia shooting up over 30% since August 2025, and UAN32 rising over 25%. While corn prices have risen to their highest point in over two years, they only grew by over 22% compared to last year.

CF Industries' influence is so great that customers are waiting for them to set the price before making a decision. According to a representative from IRM, a large fertilizer importer, 'We have been sitting on our hands for the last four weeks waiting for CF to come out because none of our customers will make a decision until they have a signal from CF on what they’re going to do.'

The company's quarterly report shows that their gross margin percentage for ammonia was 39.1% in the second quarter of 2026, versus 27.7% in 2025. For the UAN segment, which includes UAN32, the gross margin was 57.1% in 2026 compared to 44.3% in 2025.

With net earnings over 76% higher than last year, it's clear that CF Industries is taking advantage of the market. The writer argues that this is a result of consolidated power and monopoly control, which can lead to negative consequences for farmers and rural communities.