Chlorfenapyr market tendency analysis - Trifluoroacetic acid's downstream products series of reports

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Chlorfenapyr is a high-efficient insecticidal and miticidal pesticide variety with distinctive features. China is the largest chlorfenapyr market, followed by Brazil, Pakistan and Vietnam. China’s demand stays relatively stable at 3,300 tons. Faced with the new challenges at home and abroad, uncertainties do exist on the Chinese market in respect of production and supply of chlorfenapyr as well as its key raw materials such as the trifluoroacetic acid. 

Data show that China’s export of chlorfenapyr technical to Brazilian market increased from 24 tons in 2019 to 850 tons in 2021. In the meantime, BASF US supplied 700 tons of chlorfenapyr technical to Brazil, meaning that the total volume supplied to Brazil amounted to nearly 1,600 tons. In addition, 20 chlorfenapyr product registrations are currently being processed in Brazil. Does this mean that a no small market space still exists? In the promising but changeable market circumstance, this paper aims to provide useful reference on supply of chlorfenapyr upstream materials.

Chlorfenapyr, CAS No. 122453-73–0; structural formula as follows:

Uncertainties exist on supply of chlorfenapyr upstream materials 

1.Bromine - Hydrobromic acid - Tralopyril 

Tralopyril is an important intermediate of chlorfenapyr. Normally, a manufacturer will produce wet powder on its own for production of chlorfenapyr. Bromine is a key material to make tralopyril. Shandong Weifang is a major chemical and pharmaceutical city, where bromine production output accounts for 70% of the total of China. Bromine manufacturers represented by Shandong Haihua Group gave a quote some days ago at Yuan55,000 per ton, which is a 60% increase over same period of last year. At present, the price stays high. Also logistics becomes uncertain as highways are being locked down as a result of the reemergence of COVID-19 in Weifang city. 

2.Methylbenzene – Parachlorotoluene - Parachlorobenzoic-acid – Chlorophenylglycine

Chlorophenylglycine is a major raw material for synthesis of chlorfenapyr, which is currently sold at Yuan60,000-65,000 per ton. At present, Jiangxi province possesses a capacity of 1,000 tons of chlorophenylglycine; Inner Mongolia has a capacity of 2,000 tons; three other factories have 1,800 tons. Next, Hailir and Sino Agri Union are prepared to begin production of the material on their own.

According to industry experts, Indian manufacturers are producing chlorfenapyr on behalf of BASF; India is importing large part of chlorophenylglycine from China.

3.F113a-trifluoroacetic acid  

Trifluoroacetic acid is also the raw material used by Chinese manufacturers in synthesis of chlorfenapyr, which is mostly made from F113a. SINOCHEM Lantian is a prime manufacturer of trifluoroacetic acid. At present, market price of trifluoroacetic acid ranges between RMB120,000-130,000, whch is an increase of 100% year on year.

The trifluoroacetic acid market is currently tight, due to restrained logistics because of the reemergence of COVID-19. At present, this product has a major impact on the supply of chlorfenapyr. Moreover, trifluoroacetic acid market in India is also tight, its market trending going forward is not foreseeable. 

4.Other raw materials 

DMF and acetonitrile are also raw materials required by synthesis of chlorfenapyr. DMF price has risen sharply since 2021. In 2021, DMF price remained at RMB13,111 per ton in average, which is an increase of 111.09% over 2020. On February 5th, 2022, DMF price hit RMB 17,450 per ton, which was a historic high. DMF price has been moving upward with significant increases. 

In the past year, acetonitrile price remained relatively stable at RMB24,000-25,000.

Chlorfenapyr market price is being stabilized with signs of rising 

The sharp price rise of various raw materials has resulted in cost rise of chlorfenapyr. Our talks with several manufacturers reveal that cost of production has reached RMB240,000-250,000 per ton; the market price of chlorfenapyr technical 98% is relatively stabilized at RMB27,000-280,000 at the moment. 

There are 13 manufacturers in China having been granted chlorfenapyr technical registration, but only a few manufacturers such as Kaifeng Bokai and Weifang Shuangxing are actually running at the moment. List of Chinese manufacturers and capacity status as follows: 

The product supply does not take shape yet. Its price has previously declined from Yuan300,000 to Yuan265,000-270,000 due to low production load at factories and the lack of demand; current capacity has decreased to certain extent for reasons of raw material cost rise and the reemergence of COVID-19.

Chlorfenapyr export status 

We conducted an analysis on China’s export of chlorfenapyr from 2015 – 2020, it is noted that the top four destination of China’s export are respectively Pakistan, Vietnam, Indonesia and Brazil. The high season of export has been around April each year.

Chlorfenapyr registration status 

Up until March 15th, 2022, a total of 233 chlorfenapyr product registrations were granted, covering 13 technicals and 210 formulations being mostly SC formulations which amount to 192. In China, chlorfenapyr is very often mixed with insecticides such as emamectin benzoate, lufenuron, indoxacarb, bifenthrin and clothianidinfor control of laphygma exigua, plutella xylostella and thrips. List of registrants of technical as follows: 

In terms of crops for application, 162 chlorfenapyr registrations are granted for use in cabbage accounting for nearly 70% of the total; the rest of registrations are granted for use in tea tree, eggplant, chive, green onion and asparagus. The applications show that chlorfenapyr is applied mainly to high-value vegetable and fruit crops. 

Chlorfenapyr's action mode 

Chlorfenapyr is a precursor, which can translate into the insecticidal and miticidal tralopyril under the mixed-functional oxidase inside insects or mites, thus inhibiting conversion of ADP to ATP, which enables achievement of an insecticidal or miticidal effect. Chlorfenapyr has the following features of action:

• Stomach and contact toxicity; strong permeability into plant leaves; systemic to certain extent; not ovicidal.

• Broad insecticidal spectrum, being effective on control of boring, piercing and chewing insect pests as well as mites, particularly effective against the resistant plutella xylostella, asparagus caterpillar and prodenia litura.

• An action mode which is different from other insecticides, being free of cross resistance and highly effective on control of resistant insect pests.

• Bionic pesticide which is low toxic and fast acting, being capable of killing insect pests within 1 hour after application.

• Sensitive to brassicaceous vegetable and melon crops, its use at high temperature or high dosage may cause phytotoxicity.

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Chlorfenapy’s future market space

China is the world’s largest market of chlorfenapyr. After Chlorantraniliprole comes off patent, the chlorfenapyr market in China may change with more mixtures being produced by manufacturers.

The growth of overseas market of chlorfenapyr will depend on the demand from Brazilian market. There are currently 18 chlorfenapyr technical and 2 formulations on the waiting list for registration. Seven formulation registrations have been granted to six companies including BASF, CCAB, Nortox and Tecnomyl; nine technical registrations have been granted to eight companies including BASF, Rotam, Helm and CCAB.

Recently, there has been a reemergence of COVID-19 in China, some major chlorfenapyr manufacturers, vendors of key materials such as bromine chlorophenylglycine, have expressed worries about the impact on logistics resulting from the current reemergence of COVID-19. 

For instance, due to COVID-19 control requirement, highway intersections in many provinces and cities in China have been closed. As of the press date, 31 highway intersections are closed down in Shandong; 26 highway are closed down in Jiangsu with 163 check points being set up in the province; 12 highway toll gates are temporarily closed in Dalian of Liaoning; 12 highway toll gates are closed down in Jilin; eight highways are closed down in Heilongjiang due to snowfall; and five toll gates are closed down in Jiaxing of Zhejiang.

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Erwin Xue
erwin@agropages.com 
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