In early Dec., Jiangsu Luye Agrochemicals Co., Ltd. (Jiangsu Luye) stated that it has completed the dismantlement of production equipment and the clearance of the site in its plant in the High-tech Industrial Development Zone, Funing County, Yancheng City, Jiangsu Province, and passed the closure acceptance check. The local administration of Funing Country, Yancheng City, Jiangsu Province announced the list of chemical manufacturers that have completed the closure and left the county in 2021, with Jiangsu Luye being one of them. The government announcement, which was put out for public review from 18 Nov., 2021 to 24 Nov., 2021, has verified Jiangsu Luye's statement about the closure. Since then, Jiangsu Luye has officially withdrawn from chemical industry. It is worth mentioning that while closing down the production plant, the company has transferred many resources such as pesticide registration certificates.
Prior to the shutdown, Jiangsu Luye had put into production large-scale pesticide and intermediate capacity in the High-tech Industrial Development Zone, including 500 t/a 5-bromo-3-sec-butyl-6-methyluracil, 500 t/a propyzamide TC, 300 t/a azoxystrobin TC, 100 t/a 5-methyluracil, 300 t/a 2-H-( 4-chlorophenyl)-4,4-dimethyl-2-en-3-pentanone, 200 t/a 1,2-Benzisothiazol-3(2H)-one, 200 t/a 2-Chloro-5-chloromethylthiazole, 300 t/a 2-Chloropyridine, 100 t/a lenacil TC, 100 t/a terbacil TC, 300 t/a flumetsulam TC, 300 t/a flufenacet TC, 300 t/a bromoxynil octanoate TC, 300 t/a oryzalin TC, 300 t/a ethofumesate TC, 500 t/a acetamiprid TC, 300 t/a Jingangmycin A TC, and other formulation capacity.
In recent year, the regulations on work safety and environmental protection in the Chinese agrochemical industry have become tougher. In particular, Jiangsu Province's agrochemical industry has been faced with grave challenges after several major safety accidents and pollution accidents broke out in the province. Against such a backdrop, Jiangsu Luye was ordered to shut down, and completed the closure as required in the end.
At the same time, in case some companies pretend they've closed down when they haven't done so or even plan to resume production some time later, the governments in Jiangsu Province have put in place strict oversight and acceptance procedures. For example, the manufacturers that are required to shut down must pass the on-site closure acceptance check, during which a task force will be brought together to evaluate whether the company has fully closed down as required by examining the dismantling of the equipment, the clearing of the raw materials and auxiliary materials, etc. The closure of Jiangsu Luye is an important step the province has taken to improve the safety standards and environmental protection in the industry.
Notably, as Jiangsu Luye pulls itself out of chemical industry, it has transferred many resources such as pesticide registration certificates to other company. For instance,Jiangsu Luye has transferred all its pesticide registration certificates that are still valid to Shandong Ruyi Biotech Co., Ltd. (Shandong Ruyi), including 16 for agrochemical TC products and 33 for formulations to avoid waste of resources.
The 16 TC registration certificates involve the following products: 95% triadimefon TC, 92% bromoxynil octanoate TC, 95% thiodicarb TC, 95% prochloraz TC, 99% acetamiprid TC, 97% chlorpyrifos TC, 96% tebuconazole TC, 95% imidacloprid TC, 97% propyzamide TC, 95% glufosinate-ammonium TC, 96% dinotefuran TC, 98% thiamethoxam TC, 95% azoxystrobin TC, 97% bentazone TC, 95% bromacil TC and 96% pretilachlor TC.
In truth, Jiangsu Luye isn't the only agrochemical manufacturer that has shut down operation and left Jiangsu Province in recent years. Other manufacturers with the same experience include Jiangsu Lulilai Co., Ltd., Jiangsu Huanghai Agrochemical Co., Ltd., Jiangsu Tianrong Group Co., Ltd., Jiangsu Subin Bio-agrochemical Co., Ltd., Yancheng South Chemical Co., Ltd., Jiangsu Jurong Chemical Co. ., Ltd., Zhejiang Biok Biotech Co., Ltd., Lianyungang Tebiete Biochemical Co., Ltd., Jiangsu Sevencontinent Green Chemical Co., Ltd., Jiangsu Weier Chemical Co., Ltd., Jiangsu Jinfenghuang Agrochemical Co., Ltd., Jiangsu Qiaoji Biochemical Co., Ltd., and Lianyungang Hetian Chemical Co., Ltd.
That being said, a number of other agrochemical producers have held up well and stood the test against the tougher regulations on work safety and environmental protection in Jiangsu Province. As a major agrochemical producer, Jiangsu Province is a heavyweight in the industry. Its tough line on work safety and environmental protection will contribute to healthier development of the agrochemical industry in the long run.