What is the current supply-demand balance for DAP in China?

What is the current supply-demand balance for DAP in China?
China's DAP market shows a tight balance with strong domestic demand, which accounts for over 90% of consumption. Domestic sales reached about 11 million tonnes in 2025, growing steadily. The industry has undergone years of capacity reduction, with DAP capacity falling from 26 million tonnes in 2016 to around 25.2 million tonnes in 2021, while output dropped from 17.5 million to 12.5 million tonnes. Leading producers like Yuntianhua and Guizhou Phosphate each have over 4 million tonnes capacity and control high-quality phosphate rock resources. Smaller, less integrated producers face pressure from environmental rules and rising costs, pushing consolidation toward resource-backed leaders.