March 25th — According to a report by the Press Trust of India on the 23rd, the strict control over the Strait of Hormuz has severely disrupted India's liquefied natural gas (LNG) supply, resulting in a halving of the country's domestic urea production capacity.

Chempricehub Analysis:
LNG, Bull-Bear Score: 1.5
The strict control over the Strait of Hormuz has severely disrupted India's LNG import supply. The supply shortage is driving up spot prices. As a critical energy feedstock, the tight supply of LNG will increase procurement costs in the spot market, supporting price increases.

Urea, Bull-Bear Score: 2
India's domestic urea production capacity has been halved due to the LNG supply disruption. Against a backdrop of stable demand, the significant reduction in supply is putting upward pressure on spot prices. Futures data show that major contracts, such as 2605 (closing price: 1,864 yuan/ton) and 2609 (closing price: 1,923 yuan/ton), have recently performed weakly. However, this supply shock event is expected to drive up future futures prices, as the sharp decline in production capacity strengthens market expectations for a bullish trend.