Advancing Green Ammonia Economics: Towards Decarbonization of China’s Chemicals Industry

The document identifies China as the world's largest producer and consumer of ammonia, noting that coal-based production is highly carbon-intensive, with hydrogen generation accounting for over 85 percent of emissions. It highlights that while China's green ammonia industry is growing, it faces challenges regarding the intermittent nature of renewable power and higher costs compared to traditional methods. The report proposes integrating policy, downstream premiums, and carbon markets to reach cost parity and suggests actions for policy makers and enterprises to accelerate the transition.

• China is the global leader in ammonia production and consumption, relying primarily on coal, which results in a carbon intensity of 4.4 to 4.8 t CO2/t NH3 and energy consumption exceeding the global average.
• Hydrogen generation is the primary driver of emissions in ammonia production, contributing more than 85 percent of the total carbon emissions.
• The development of green ammonia in China is hindered by the intermittent nature of renewable electricity and higher costs relative to traditional production routes.

APA

RMI (2025). Advancing Green Ammonia Economics: Towards Decarbonization of China’s Chemicals Industry. https://rmi.org/resources/advancing-green-ammonia-economics-towards-decarbonization-of-chinas-chemicals-industry/

Chicago

RMI. Advancing Green Ammonia Economics: Towards Decarbonization of China’s Chemicals Industry. 2025. https://rmi.org/resources/advancing-green-ammonia-economics-towards-decarbonization-of-chinas-chemicals-industry/.

Wikipedia

{{cite report |author=RMI |title=Advancing Green Ammonia Economics: Towards Decarbonization of China’s Chemicals Industry |date=4 March 2025 |url=https://rmi.org/resources/advancing-green-ammonia-economics-towards-decarbonization-of-chinas-chemicals-industry/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2025advancing, author = {{RMI}}, title = {{Advancing Green Ammonia Economics: Towards Decarbonization of China’s Chemicals Industry}}, institution = {RMI}, year = {2025}, month = mar, url = {https://rmi.org/resources/advancing-green-ammonia-economics-towards-decarbonization-of-chinas-chemicals-industry/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }