Lier Chemical’s 2020 net profit expected to increase 80-100%

Chinese agrochemical company Lier Chemical expects its 2020 net profit to reach between Yuan560 million and Yuan622 million attributable to shareholders, a rise of 80% - 100% year-on-year, according to the performance projection released by the company on December 1.

The company believes that the main reasons for the improved performance despite the impact of the coronavirus pandemic is that it made every effort to secure the supply of raw materials, control the cost and effectively maintain production and sales. The increased sales and the rise in the prices of some of the products contributed to the year-on-year increase, for the company. 

In a recent interview, Lier Chemical expressed its optimism on the growth of the glufosinate market and its efforts to maintain its competitive edge. Meanwhile, the company is continuing to develop and improve the new product series, such as L-glufosinate, pinoxaden and chlorantraniliprole to create a new source to increase its profits for the long-term development of the company.

According to the analysis of securities companies, the demand for glufosinate has turned out to be promising. While supply will be short or may stay stable in the short term, the price is expected to continue to rebound. The duration and extent of the rebound will depend on the discharge of production capacity. 

Lier Chemical Guang'an’s glufosinate and MDP have been synchronized, as the company wishes to maintain its leading position in the technical process and cost control. In addition to being the global glufosinate leader, Lier Chemical’s existing glufosinate capacity ranks second in the world. The company is planning to launch a production line of 20,000 tons of L-glufosinate. In the years ahead, Lier Chemical expects to become the No.1 producer in the world of glufosinate.