Clean Ammonia Market Growth Drivers and Challenges:
Growth Drivers
- Rising Demand for Ammonia– According to the IEA, ammonia demand will increase by 25% by 2050, resulting in a major increase in the clean ammonia (blue and green) market. Ammonia finds its application in several industries, such as chemicals, energy, transportation, and others. With the expansion of these industries, the need for ammonia is also surging.
- Increasing Initiative to Boost the Production of Ammonia– Yara Clean Ammonia and ENGIE collaborated on Project Yuri to create the plant, which will be built alongside the organization's huge anhydrous ammonia manufacturing unit in September 2022.
- Growing Application of Ammonia in Agriculture Fertilizers– All mineral nitrogen fertilizers begin with ammonia as the basic constituent, establishing an interaction between nitrogen in the atmosphere and the food people eat. The usage of ammonia as a chemical fertilizers has had an enormous effect on the world's agricultural systems. Ammonia is used in fertilizers to a greater than 55% extent.
Challenges
- Shortage of Clean Ammonia- Most of the ammonia produced in the world is used in the production of fertilizers or has been traded. There is not enough ammonia left in the world to serve the decarbonization purposes. Therefore, the use of pure ammonia in a huge sector is hampered and thus slows down the market growth.
- High capital investment for infrastructural development
- Insufficient capacity of renewable energy plants to produce both types of clean ammonia
Clean Ammonia Market Size and Forecast:
|
Base Year |
2025 |
|
Forecast Period |
2026-2035 |
|
CAGR |
9.2% |
|
Base Year Market Size (2025) |
USD 6.44 billion |
|
Forecast Year Market Size (2035) |
USD 15.53 billion |
|
Regional Scope |
|
Browse key industry insights with market data tables & charts from the report:
Frequently Asked Questions (FAQ)
In the year 2026, the industry size of clean ammonia is assessed at USD 6.97 billion.
The global clean ammonia market size surpassed USD 6.44 billion in 2025 and is projected to witness a CAGR of around 9.2%, crossing USD 15.53 billion revenue by 2035.
The Europe clean ammonia (blue and green) market is projected to achieve a 35% share by 2035, driven by ammonia production capabilities in large-scale facilities.
Key players in the market include CF Industries Holdings, Inc., Nutrien Ltd., Yara International ASA, Air Liquide Engineering & Construction, Aramco, Abu Dhabi National Oil Company (ADNOC), ITOCHU Corporation, Siemens Energy, BASF SE, Casale SA, Hydrofuel Inc.
