Clethodim: China’s major export variety, production capacity continues to increase

Clethodim is a cyclohexenone herbicide developed by Chevron Chemical Company in 1987. A stem leaf herbicide, it is a highly effective, safe and highly selective ACCase inhibitor, and is effective against most annual and perennial grassy weeds while being safe for broadleaf crops.

Because of its widespread application to field crops, such as soybean and rapeseed, clethodim has become a major herbicide, as well as a leading export product. According to a related report, from 2015 to 2019, the export value of clethodim ranked among the top 10 export pesticides. In general, the export value and export volume of clethodim have shown an upward growth trend. Since 2016, its export value and export volume have continued to increase steadily. From the perspective of export destination countries, the top three largest importers of clethodim are Argentina, Brazil and the US, to which China’s export value accounts for 69% of total. These three countries are known as ″big soybean growers.″

Figure 1: Export Value and Volume of Clethodim (2015 to 2019)

Registrations

As per China Pesticide Registration Watch, up to Aug 2023, there are 157 Clethodim registrations in ICAMA, of which 22 are TC registrations. The most dominating formulation types are EC. Clethodim mostly registered as single agent, other main mixtures of Clethodim include Fomesafen and Clomazone.

In 2017, the number of clethodim registrations reached its second peak period, probably attributable to the Guideline for Soybean Production Promotion issued in April 2016 by the Chinese Ministry of Agriculture, which encouraged pesticide manufacturers to file for registrations of clethodim.

Table 1: Clethodim Technical Registrations in China

Price of technical material

According to the Sino Agri Technical Material Price Index, the lowest price of clethodim in 2021 was RMB110,000 yuan per ton, but by autumn, due to various factors such as environmental compliance regulations, energy control, limited power supplies and price rises of basic chemical raw materials, the price of clethodim technical began to rise continuously and rapidly, reaching a historical high of RMB220,000 yuan per ton in December 2021, but this high price level did not last for long. After March 2022, the overall technical material market declined continuously and the price of clethodim also fell. In 2023, its price fell sharply. By March 2023, the price of technical material dropped to RMB100,000 yuan per ton. By the end of July, the price dropped to RMB76,000 yuan per ton. In general, the price of clethodim hit a new low in the past three years, which actually further intensified the price-performance ratio of the product.

Manufacturers

According to the report, the global demand for clethodim is more than 10,000 tons. Chinese clethodim technical manufacturers include Cynda, Co., Ltd., Yifan Biotechnology and Hebei Lansheng Biotechnology.

1) Rainbow

On July 17, 2023, Rainbow’s Ningxia Hanrun Biotechnology Co., Ltd., held a ceremony for the completion of its R&D building and the launch of its 8,000-ton clethodim project located in Pingluo Industrial Park. The project covers an annual 8,000-ton clethodim plant, with a total investment of RMB790 million yuan, which, upon completion, will generate an annual operating income of about RMB850 million yuan and an annual profit of some RMB140 million yuan, as well as create more than 200 jobs.

2) Lansheng Biotechnology

In July 2023, Hebei Lansheng Biotechnology Co., Ltd., released its environmental impact assessment for public comment, pertaining to the capacity expansion of 25,005 tons of high-efficient and low-toxic pesticides. Based on market demand analysis, Lansheng Biotechnology is planning an investment of RMB25 million yuan in the capacity expansion of annual 25,005 tons of high-efficient and low-toxic pesticides in the existing plant of Hebei Lansheng Biotechnology Co., Ltd., located in Mayu Industrial Park, Jinzhou Economic Development Zone, Hebei Province. The project includes fine-tuning the clethodim process to upgrade production capacity from 4,000 tons per year to 12,000 tons per year, fine-tuning the boscalid process to upgrade production capacity from 500 tons per year to 2,000 tons per year, fine-tuning the brassinolide process to upgrade capacity from 1 ton per year to 5 tons per year, the newbuild of a production line for 1,000 tons of sethoxydim per year and an annual 10,000-ton brassinolide soluble solvent production line.

3) Jiangsu Heyutai

In May 2023, the Huai’an Environmental Protection Bureau approved the 3,000-ton hexazinone optimization, upgrading and environmental improvement project (Phase I) and the 1,000-ton diflufenican production and upgrading project launched by Jiangsu Heyutai Chemical Co., Ltd. The two projects have passed their environmental protection completion acceptance. The Phase II 1,000 ton-clethodim is not yet built.

4) Yangnong Chemical

In February 2023, Liaoning Youchuang Plant Protection, a subsidiary of Yangnong Chemical, released its second EIA public notification for its annual 15,650-ton pesticide technical project and 7,000-ton pesticide intermediate project. The company plans to spend RMB4.21361 billion yuan in a newbuild plant covering an annual 15,650 tons of pesticide technical and 7,000 tons of pesticide intermediates. The 15,650 tons of pesticide technical include 1,500 tons of imazethapyr, 200 tons of imazamox, 100 tons of methyl imazethapyr, 5,000 tons of clethodim, 250 tons of anilofos, 500 tons of sethoxydim, 100 tons of pyrisoxazole, 500 tons of diflufenican, 500 tons of paclobutrazol, 3,000 tons of cyhalothrin (lambda-cyhalothrin), 2,500 tons of pydiflumetofen and 1,500 tons of bisamide insecticides. The 7,000 tons of intermediates include 2,000 tons of mono chloropyridine, 2,000 tons of cyclohexanedione and 3,000 tons of triazole.

5) Cynda

On April 25, 2023, Cynda released its 2022 annual report. In December 2021, its Liaoning Subsidiary’s 5,000-ton clethodim technical project (Phase II) was brought to trial production and successfully entered stable operation in 2022. In December 2022, the company’s annual 1,500-ton technical material and 3,500-ton intermediate projects (Phase III) have entered trial production while its 1,000-ton imazapyr acid and 3,000-ton intermediate projects (Phase V) are under construction, which, upon completion, are expected to greatly improve the company’s production capacity of imidazolinone.

6) Nutrichem

In December 2022, the People’s Government of Pengze County announced the environmental impact assessment for the relocation and upgrading of the annual 15,200-ton pesticide technical and intermediate plant of Jiangxi Heyi Chemical Co., Ltd., a wholly-owned subsidiary of Nutrichem, at a cost of RMB650 million yuan. The current Phase I project covers an annual 13,700 tons of pesticide technical and intermediates. The main products include annual 100 tons of bupirimate, 1,000 tons of iprodione, a chloropropionic acid series (333 tons of 2-Chloropropionic acid, 2,000 tons of Methyl 2-chloropropionate and 667 tons of Ethyl 2-chloropropionate), 2,000 tons of 3,5-dichloroaniline, 1,800 tons of Dithianon, 800 tons of procymidone, 1,000 tons of sulfentrazone, 500 tons of dimethachlon, 500 tons of cyromazine, 500 tons of copper oxychloride, 2,000 tons of clethodim and 500 tons of ethirimol.

7) Wuqiao Pesticide

On March 22, 2022, the groundbreaking ceremony of its pesticide and pharmaceutical intermediates, technical material and formulations production plant was held by Wuqiao Pesticide’s subsidiary, Zhongnong Ruihua (Gansu) Pharmaceutical Co., Ltd., located in Yumen Eastern Building Materials Chemical Industrial Park. The total investment in the project is RMB268 million yuan, covering an area of 228 mu (1mu = 1/15 HA). The project include an annual 3,000 tons of 2-chloropyridyl-5-methylene chloride, 3,000 tons of 3-trans-Chloroallyl) oxyamine and 10,000 tons of pesticide formulations, including azoxystrobin, ethoxysulfuron and clethodim. After the project is completed and enters operation, it is expected to generate annual sales of RMB180 million yuan and a profit of RMB40 million yuan.

8) Yifan Biotechnology

On October 20, 2020, the first production line of Ningxia Yifan Biotechnology Co., Ltd., with an annual output of 3,000 tons of clethodim, entered its trial run, marking the start of the trial operation of Phase I of the agricultural material and intermediate project of Ningxia Yifan Biotechnology Co., Ltd. Yifan Biotechnology Group began synthesizing clethodim in 2006 and is one of the earliest manufacturers of clethodim in China. Currently, the group owns two clethodim factories, namely Jiangsu Yunfan Chemical and Yifan Biotechnology Group’s synthesis branch, with a total production capacity of 3,000 tons. After the new project becomes operational, Yifan will possess a total production capacity of 6,000 tons of clethodim per year, ensuring a stable supply of clethodim at competitive prices for customers both at home and abroad.