Drone-Grade Monopotassium Phosphate (MKP) Market Weekly Report | Week 33, 2026 | August 10–16, 2026
1. Market Overview
This week, Drone-Grade Monopotassium Phosphate (MKP) prices remained at relatively low levels, with limited downside potential. Following a period of consecutive price declines, the market has largely reached the bottom range. Meanwhile, upstream yellow phosphorus and phosphoric acid prices remain relatively firm, leaving limited room for further price reductions from manufacturers.
On the supply side, producers are operating at reduced production rates. On the demand side, downstream wait-and-see sentiment has eased somewhat, with rigid purchasing demand gradually being released. Overall market trading activity has improved slightly compared with the previous period.
2. Key Raw Material Analysis
2.1 Yellow Phosphorus
Market price: RMB 26,800–27,300/ton
Yellow phosphorus prices edged upward during the week. Although electricity costs remain relatively favorable during the high-water season, supply has tightened due to production suspensions at some plants and ongoing safety inspections. Producers maintain a relatively firm pricing stance, and prices are expected to remain at high levels in the short term.
Figure 1. Average Yellow Phosphorus Market Price
2.2 Phosphoric Acid
(1) Thermal-Process Phosphoric Acid
Market price: RMB 8,500–8,600/ton
Supported by high yellow phosphorus prices, cost pressure remains elevated. However, downstream demand has been insufficient to provide strong support, resulting in a slight decline in thermal-process phosphoric acid prices. Producer margins are already extremely tight, leaving limited room for further price reductions.
Figure 2. Average Thermal-Process Phosphoric Acid Market Price
(2) Wet-Process Phosphoric Acid
Market price: RMB 9,200–9,500/ton
Driven by increasing procurement from new energy companies, the wet-process phosphoric acid market has shown signs of recovery, with prices edging upward. Wet-process phosphoric acid prices have now surpassed those of thermal-process phosphoric acid. Some downstream demand may shift toward thermal-process phosphoric acid, providing additional support to the overall phosphoric acid market.
2.3 Potassium Salts
According to Baiinfo, the average market price of potassium chloride (KCl) was RMB 3,221/ton. High port inventories and active selling by traders continued to put downward pressure on prices.
Figure 3. Average Potassium Chloride Market Price
The average market price of 48% liquid potassium hydroxide (KOH) remained stable at RMB 3,242/ton. Although supply remains sufficient, strong cost support is limiting the potential for further price reductions.
Figure 4. Average Market Price of 48% Liquid Potassium Hydroxide
3. LuoBu Market Outlook
In the short term, upstream raw material prices are expected to remain relatively firm, while Drone-Grade MKP prices are already close to the cost line. Current prices are at relatively low levels and have largely reached the bottom range, leaving limited room for further declines.
In the medium to long term, as demand for autumn fertilizer preparation gradually increases, a firm raw material market could provide further cost support, making MKP prices more likely to stabilize or move upward than decline.