Overview
- FOB urea climbed to about US$590 per tonne in early March, roughly US$105 above late February, including an 11% daily spike reported on March 3.
- Market activity has stalled as origin sellers pull offers, with insurers pausing or canceling coverage and vessels reported diverted or anchored.
- Shipping responses include MSC’s Emergency Fuel Surcharge on bookings from March 3 and Ocean Network Express suspending services to the Persian Gulf.
- Argentina’s urea buying is seasonally quiet, January imports were roughly 16,000 tonnes, and analysts now estimate a theoretical import parity near US$752 per tonne.
- Argentina imported about 1.5 million tonnes of urea in 2025 with approximately 525,000 tonnes transiting Hormuz, and local production covers roughly half of consumption, suggesting availability but at higher cost.