Exploration of expanded value chain cooperation globally and in the UAE
On the occasion of the recent visit of German Chancellor Friedrich Merz to the UAE, Covestro, one of the world’s leading manufacturers of high-quality polymer materials, Fertiglobe, the world’s largest seaborne exporter of urea and ammonia and TA’ZIZ, a world-scale chemicals ecosystem being developed in Abu Dhabi, have signed a Memorandum of Understanding (MoU) to explore collaboration across the ammonia and nitric acid value chains.
The MoU reflects the shared interest of all parties concerned in assessing both near-term supply solutions and longer-term opportunities supporting the transition toward lower-carbon production pathways.
This collaboration follows the closing of XRG’s acquisition of Covestro in December 2025 and reflects the additional opportunities enabled by Covestro and Fertiglobe operating within XRG’s Global Chemicals platform, with expanded international reach.
Operational flexibility
“Reliable low-carbon ammonia supply enhances operational flexibility across our sites and helps manage long-term cost and availability risks. At the same time, the agreement is a first concrete step in translating our partnership with XRG into tangible business impact,” commented Dr. Markus Steilemann, CEO, Covestro.
“The Memorandum of Understanding creates a structured basis to assess concrete projects and opportunities – from supply and infrastructure to downstream applications,” stated Ahmed El-Hoshy, CEO, Fertiglobe.
“Together with Covestro and Fertiglobe, we see significant growth opportunities across the ammonia value chain, underpinned by TA’ZIZ’s role in building an ecosystem that enables sustainable growth, attracts global partners, and positions the UAE at the forefront of future chemical production,” added Mashal Saoud Al Kindi, CEO, TA’ZIZ.
