USDA invests $12 million in AdvanSix for fertilizer production growth

AdvanSix, a prominent player in the chemical industry, has been awarded a $12 million grant from the U.S. Department of Agriculture (USDA) under the Fertilizer Production Expansion Program (FPEP). This funding is set to significantly enhance the company’s capacity to produce granular ammonium sulfate, contributing to a stronger domestic fertilizer supply chain and supporting American agriculture.

The grant will enable AdvanSix to advance its Sustainable U.S. Sulfate to Accelerate Increased Nutrition (SUSTAIN) initiative at its Hopewell, Virginia facility. This initiative, which involves a series of projects aimed at increasing production while adhering to environmental stewardship, builds on the facility’s nearly 100-year history of providing reliable domestic fertilizer. The SUSTAIN program targets no net increase in energy consumption or emissions.

AdvanSix’s ammonium sulfate production, which supports over 800 high-paying jobs in central Virginia, will see an increase of approximately 200,000 tons annually. This expansion will be achieved through enhanced granular conversion and improved shipping logistics for rail and truck. The company, playing a crucial role in global supply chains, delivering products across sectors such as construction, fertilizers, agrochemicals, and plastics, is committed to leveraging the FPEP grant to meet the growing demand for sustainable, high-quality sulfur nutrition.

The FPEP, initiated by the USDA in September 2022, is part of a broader effort to address the challenges faced by American farmers due to rising fertilizer prices, which more than doubled between 2021 and 2022. The grant reflects the USDA’s dedication to enhancing production capabilities and addressing global food security challenges.