Report Summary 1. Report Industry Investment Rating No relevant information provided. 2. Core Viewpoint Urea maintenance devices have restart plans, daily output increases, and supply rises month - on - month. Agricultural fertilizer preparation in various regions follows up, mainly for reserve procurement. The replenishment of compound fertilizer raw materials increases the support for urea demand. Urea enterprise inventory levels are low compared to the same period last year. Recently, production and sales are stable, and prices fluctuate within the range of 1730 - 1830 yuan/ton [3]. 3. Summary of Relevant Catalogs 3.1 Market Changes - Urea futures prices were weak first and then strong. On January 23, the closing price of the urea 2605 contract was 1,788 yuan/ton, a decrease of 3 yuan/ton from the previous week, a decline of 0.17%. The highest was 1,797 yuan/ton, and the lowest was 1,756 yuan/ton. The daily average price of urea in the Henan spot market was 1,727 yuan/ton, a decrease of 17 yuan/ton from the previous week, a decline of 0.97% [3][4] - The main - contract basis of urea weakened. On January 23, the main - contract basis in the Henan market was - 61 yuan/ton, with a weekly basis operating range of (- 61) - (- 41) yuan/ton [3][8] - The 5 - 9 spread of urea fluctuated narrowly. On January 23, the 5 - 9 spread was 25 yuan/ton, with a weekly operating range of 25 - 29 yuan/ton [3][8] 3.2 Fundamental Changes 3.2.1 Supply - China's urea operating rate was 85.99%, an increase of 2.4 percentage points from the previous week. Among them, the operating rate of gas - based enterprises was 58%, an increase of 3.82 percentage points from the previous week. The average daily output of urea was 203,400 tons. Some maintenance devices in Yunnan, Sichuan, and Henan resumed production, and the daily output increased to over 200,000 tons. The supply of goods was sufficient. Next week, the maintenance devices in Sichuan are planned to resume production, and there is still an expectation of an increase in supply [3][11] 3.2.2 Cost - The market price of anthracite was stable with a slight upward trend. As of January 22, the tax - inclusive price of washed anthracite small pieces with S0.4 - 0.5 in Jincheng, Shanxi, was 880 - 930 yuan/ton, with the closing price up 30 yuan/ton from the previous week [3][15] 3.2.3 Demand - The average advance receipt of major urea producers was 5.9 days, and the weekly production - sales rate of urea enterprises was 98.7%. Currently, most agricultural demand is for reserve procurement. In terms of industrial demand, the operating rate of compound fertilizers increased slightly, and the operating rate of melamine increased. Overall, production and sales were stable [17] - The capacity utilization rate of compound fertilizer enterprises was 42.96%, an increase of 2.88 percentage points from the previous week. The compound fertilizer inventory was 733,900 tons, an increase of 2.21 percentage points from the previous week. Some fertilizer enterprises were stocking up for concentrated post - holiday shipments. The production of sulfur - based fertilizers in Hubei gradually resumed, and the start - up of high - tower fertilizers in Henan increased significantly [21] - The operating rate of melamine enterprises was 59.27%, an increase of 4.98 percentage points from the previous week, with a weekly output of 31,780 tons. Some devices in Shanxi Fengxi Pinglu P3, Henan Juhua, Anhui Huatai, and Shandong Shuntian had short - term shutdowns for maintenance, while some devices in Shanxi Fengxi Pinglu P3, Shandong Hailitai, Xinji Jiuyuan, and Xinjiang Kuitun Jinjiang resumed production after maintenance [25] - The national building materials and home furnishing prosperity index and the sales of large - scale building materials and home furnishing stores decreased, and the demand support in the panel market weakened [25] 3.2.4 Inventory - Urea enterprise inventory was 822,000 tons, a decrease of 18,000 tons from the previous week and a decrease of 677,000 tons compared to the same period last year. Urea port inventory was 213,000 tons, a decrease of 59,000 tons from the previous week. The number of registered urea warehouse receipts was 13,274, totaling 265,480 tons, an increase of 3,570 receipts or 71,400 tons compared to the same period last year [3][27] 3.3 Key Focus The report suggests focusing on the start - up situation of compound fertilizers, the reduction and maintenance of urea devices, export policies, and coal price fluctuations [3]