$CHINA XLX FERT(01866.HK)1. This industry depends on the weather. When grain prices and farmers' enthusiasm for farming change, the demand and price of fertilizers can fluctuate easily, leading to volatile performance.

2. When raw material costs (e.g., coal, natural gas) and transportation costs rise, the company faces huge cost pressures. If it can't pass the price increases downstream, profits get squeezed directly.

3. Changes in agricultural policies, such as efficiency improvements or stricter environmental requirements, are not good news for traditional fertilizers. In the long run, market space may shrink.