Ammonia, a versatile chemical product crucial for agriculture and industry, plays a significant role in global food security. Its emerging potential as an energy source for decarbonization in various sectors like shipping and power is gaining attention. China, as the world's largest producer and consumer of ammonia, heavily relies on coal for production, leading to high carbon emissions. This highlights the importance of transitioning to cleaner feedstocks like green hydrogen to reduce carbon intensity and energy consumption. Despite being at the forefront of ammonia production, China's green ammonia industry faces challenges related to technology, cost, and power supply stability. The shift towards green ammonia, produced using renewable electricity, is crucial for reducing carbon emissions. However, the intermittent nature of renewable power sources poses a challenge, requiring a shift towards a more stable power supply for continuous production. From a cost perspective, green ammonia production is currently more expensive than traditional methods. To address this, the report suggests integrating various market mechanisms such as policies, downstream premium incentives, and carbon markets. These strategies aim to achieve cost parity and drive the development of China's green ammonia industry towards a sustainable future. In conclusion, the report emphasizes the need for collaborative efforts from policymakers, industries, and enterprises to accelerate the transition towards green low-carbon practices in the ammonia sector. By leveraging innovative technologies and implementing supportive policies, China can overcome the challenges and seize the opportunities presented by the growing demand for green ammonia in the global market.