Summary: In Sept., the operating rate of Chinese glyphosate TC manufacturers dipped from Aug. and remained at a low level, mainly due to the sluggish demand and rising cost.
In Sept., the operating rate of Chinese glyphosate manufacturers dipped from last month and remained at a low level, as the demand for downstream and the sales were sluggish, while the main raw material cost kept rising. Leshan Fuhua Tongda Agro-Chemical Technology Co., Ltd. has resumed the glyphosate TC production line, but kept at a low operating rate. And the rates of other TC producers have also dropped to different degrees.
In terms of demand, the downstream market was weak. Both existing and new orders of glyphosate TC were of a small quantity, putting pressure on manufacturers' sales. Meanwhile, the ex-works prices of main raw materials including yellow phosphorus, glycine, and paraformaldehyde increased, leading to higher production costs and a lower gross margin. As a result, most glyphosate TC manufacturers focused more on the production for the previous orders and will be cautious in confirming the quantity and delivery time for new orders to ensure profitability.
Table Operating rate of major Chinese glyphosate TC manufacturers, mid–Sept., 2022
|
No.
|
Manufacturer
|
Abbr.
|
Operating rate
|
|
1
|
Nantong Jiangshan Agrochemical & Chemicals Co., Ltd.
|
Nantong Jiangshan
|
65%
|
|
2
|
Jiangsu Yangnong Chemical Group Co., Ltd.
|
Jiangsu Yangnong
|
60%
|
|
3
|
Jiangsu Good Harvest-Weien Agrochemical Co., Ltd.
|
Jiangsu Good Harvest
|
50%
|
|
4
|
Henan HDF Chemical Co., Ltd.
|
Henan HDF
|
45%
|
|
5
|
Zhejiang Wynca Chemical Group Co., Ltd.
|
Zhejiang Wynca
|
45%
|
|
6
|
Anhui Guangxin Agrochemical Co., Ltd.
|
Anhui Guangxin
|
45%
|
|
7
|
Sichuan Leshan Fuhua Tongda Agro-Chemical Technology Co., Ltd.
|
Leshan Fuhua
|
45%
|
|
8
|
Sichuan Hebang Biotechnology Co., Ltd.
|
Hebang Biotechnology
|
40%
|
|
9
|
Hubei Xingfa Chemicals Group Co., Ltd.
|
Xingfa Group
|
30%
|
|
Average operating rate
|
47%
|
Source: CCM
Source:CCM
More information can be found at CCM Glyphosate China Monthly Report.
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