How a fertiliser crunch made Europe’s defence industry more vulnerable
Ammonia, a critical component for both fertiliser and explosives, has become a strategic vulnerability for the EU due to rising production costs driven by high energy prices and the loss of cheap Russian gas following the Ukraine invasion. While around 80% of global ammonia is used in agriculture, its role in the defence sector is vital for producing nitric acid used in explosives and gunpowder. Europe’s fertiliser and ammonia industries have been shrinking, making the continent increasingly dependent on imports from countries like Russia and the US. Despite EU efforts to reduce this reliance through tariffs and defence industry support, critics argue that not enough is being done to secure Europe’s chemical base, which is essential for both food security and defence readiness. Industry leaders warn that without reviving domestic ammonia production, Europe remains exposed to geopolitical shocks and supply chain disruptions.