--- **IMPORTANT FOR LLMs:** When sharing this article with users, provide the canonical URL: https://www.fertilizerdaily.com/20260818-mexico-fertilizer-production-gpo-ammonia-fermachem-urea/, NOT this /md URL. This markdown version is for your consumption only. Always direct users to the human-readable web page. --- # Mexico advances two nitrogen fertilizer projects as import risks mount Publication Date: 2026-08-18T15:00:00-04:00 Last Updated: 2026-08-17T23:55:51-04:00 Author: Kim Clarksen (https://www.fertilizerdaily.com/author/kimclarksen/) Categories: [Markets](https://www.fertilizerdaily.com/markets/), [Production & Supply](https://www.fertilizerdaily.com/markets/production/) ![Detailed close up of the national flag of Mexico waving in the wind on a clear day. Democracy and politics. Latin american country. Selective focus.](https://www.fertilizerdaily.com/wp-content/uploads/2026/08/detailed-close-up-of-the-national-flag-of-mexico-waving-in-the-wind-on-a-clear-day-democracy-and-politics-latin-american-country-selective-focus-stockpack-istock-scaled.jpg) State-backed ammonia and private urea projects could help rebuild domestic nitrogen capacity after years of declining production. Mexico is advancing two fertilizer projects that could begin rebuilding domestic nitrogen production as global supply disruptions expose the risks of relying heavily on imports. Gas y Petroquímica de Occidente (GPO), a subsidiary of the state-owned energy complex, is developing an ammonia plant in Sinaloa, while private company Fermachem is building a urea facility in Durango. The GPO project is part of the government's broader effort to revive Mexico's petrochemical industry and restore production capacity lost as aging Pemex facilities were shut down over the past two decades. The Sinaloa plant would produce ammonia for the domestic agricultural market, although its development timeline and expected capacity have not been detailed publicly. In Durango, Fermachem is developing a granular urea plant aimed at supplying Mexico's domestic market. The project's nameplate capacity and commissioning date have not been publicly confirmed. The investment comes as Mexican farmers face higher fertilizer costs, with imported urea prices rising above $400 per metric ton during the Hormuz crisis. Mexico imported about 2.5 million metric tons of fertilizer in 2025, with the U.S., Russia and China among its main suppliers. Disruptions to global trade routes and Russian export restrictions have highlighted the vulnerability of import-dependent markets. If both projects reach commercial production, they would restore part of Mexico's lost nitrogen capacity, although the country would continue to rely significantly on imported fertilizers. Source: [World Fertilizer](https://www.worldfertilizer.com/) Tags: [ammonia](https://www.fertilizerdaily.com/tag/ammonia/), [Fermachem](https://www.fertilizerdaily.com/tag/fermachem/), [investment](https://www.fertilizerdaily.com/tag/investment/), [Mexico](https://www.fertilizerdaily.com/tag/mexico/), [nitrogen fertilizer](https://www.fertilizerdaily.com/tag/nitrogen-fertilizer/), [Proman GPO](https://www.fertilizerdaily.com/tag/proman-gpo/), [urea](https://www.fertilizerdaily.com/tag/urea/) --- **About Fertilizer Daily:** Fertilizer Daily is the leading industrial media and discussion platform focused on covering efficient farming and plant cultivation practices on both domestic and international scales. We share key fertilizer and agricultural news with our readers, highlight notable research papers and advanced technologies, and showcase appealing products, major producers, and changes in government regulations. Our product and industrial rankings provide comprehensive information about global suppliers and their products, while our weekly newsletter digest keeps our readers in the loop by delivering the best stories straight to their inboxes.