Herbicides China Monthly Report(Herbicides China Monthly Report 202505)

In May, the herbicide market saw divergent trends. Demand for some herbicide products has essentially reached its end for the first half of the year, leading to weakened demand, with the average ex-works price of TC products slightly decreasing by 0.58% MoM. In May, the herbicide market showed a divided trend, with the prices of raw materials mostly falling and tending to stabilize in the long term; the prices of chlor-alkali industry products fluctuated, and the prices of organic chemical raw materials varied.

Company dynamics:

• On 25 April–29 April, 2025, four listed agrochemical companies released their performance reports. Weifang Rainbow, Zhejiang Wynca, and CAC Nantong achieved growth in revenue for the year 2024, with Taihe achieving double growth in both the full year of 2024 and Q1 2025, while Fengshan Group saw a YoY decrease of 12.76% in revenue for 2024.
• On 19 May, 2025, CAC Nantong announced that the company plans to invest up to USD0.15 billion (RMB1.08 billion) in the construction of a pesticide and functional chemical project in Egypt using its own and internally-funded investment.
• On 21 May, 2025, EI report of Jiangsu Flag's 1,500 t/a fluroxypyr-meptyl TC technical renovation project was accepted.

Policy: On 20 May, 2025, the Department of Agriculture and Rural Affairs of Shandong Province issued an announcement on the comprehensive application of electronic Pesticide Advertisement Review Form for pesticide advertisement review, declaring that from now on, the pesticide advertisement review business in the whole province will mainly use electronic license certification materials, supplemented by less use of paper license certification materials, aiming to improve the efficiency of government services and the convenience of enterprise handling affairs.

Registration: On 24 April, 107 herbicides was announced to be approved for pesticide product registration. Glufosinate-P leads in the number of product registrations, with 10 single formulations and 1 mixed formulation.

Trade analysis: From Jan. to April 2025, China's cumulative export volume of herbicide formulations increased by 9% YoY, and the total export value increased by 4% YoY. In April alone, the export volume and value decreased by 9% YoY and 4% YoY, respectively.

In this monthly report, the USD/CNY exchange rate is USD1.00=CNY7.2008 (Source: The People's Bank of China, 6 May, 2025). Unless otherwise stated, all prices involved in this report include VAT. Export goods are valued at FOB prices.