Crop Protection

Glufosinate-Ammonium Prices Surge in China as Licensing Reform Squeezes Smaller Herbicide Makers

22 September 2026, Beijing: China’s glufosinate-ammonium prices have climbed sharply through September while glyphosate, the country’s other flagship herbicide, has barely moved, a divergence that domestic financial media are linking to a regulatory shakeout that is pushing smaller and non-compliant producers out of the herbicide supply chain.

The mainstream market price for glufosinate-ammonium technical reached 55,000 yuan per ton as of September 17, up 12.24 percent from August, according to pricing data published September 22, 2026. Some factories were already quoting 60,000 yuan per ton, and refined L-glufosinate-ammonium, the higher-purity form used in more advanced formulations, was being quoted as high as 70,000 yuan per ton.

Glyphosate, the world’s most widely used herbicide by volume, told a different story. The 95 percent technical grade was trading around 28,500 yuan per ton, with demand described as sluggish and prices essentially flat.

The Chinese Agricultural Lixia raw material price index, an industry benchmark tracking a basket of pesticide input costs, stood at 73.40 points on September 20, up 2.55 percent since August 23. That the glufosinate rally is running well ahead of this broader index suggests the price move is specific to glufosinate supply conditions rather than a general cost inflation story.

ProductPrice (yuan/ton)Move
Glufosinate-ammonium, mainstream55,000 (as of Sept 17)up 12.24% vs. August
Glufosinate-ammonium, factory quotesup to 60,000rising
Refined L-glufosinate-ammoniumup to 70,000rising
Glyphosate, 95% technicalapproximately 28,500 flat, sluggish trading

Three factors are driving the split. First, glufosinate-ammonium factory inventory has been declining steadily since April 2025 and hit a historic low of 1,130 tons by September 18, leaving little buffer against demand. Second, producers are absorbing the removal of value-added tax export rebates on certain pesticide exports, which took effect in April 2026 and raised the effective cost of shipping product overseas. Third, a supply bottleneck in diethyl methylphosphonite, a key intermediate used in glufosinate-ammonium synthesis, has constrained how quickly manufacturers can restock.

Part of the divergence is also tied to a compliance requirement, described in Chinese industry coverage as a “one license, one product” standardization rule, that took effect at the start of 2026 and requires each registered pesticide product to be tied to a single, verified manufacturing license and unified quality standard. This has made it harder for smaller toll manufacturers and unlicensed blenders, who previously undercut branded suppliers on price, to keep operating, concentrating market share among established producers such as Shandong Xianda Agricultural Chemistry. Glyphosate’s larger, more consolidated producer base has left it comparatively insulated from the same squeeze, which helps explain why its price has not moved in tandem.

For global agribusiness buyers, the split matters beyond China’s borders. Glufosinate-ammonium has become an increasingly important rotation partner and glyphosate-resistance management tool in row crops worldwide, and China supplies the large majority of the world’s technical-grade volume for both actives. A sustained 12 percent-plus cost increase on one of the two major non-selective herbicides, arriving just as many export-facing Chinese producers are also absorbing tax changes, is likely to feed through to import costs for formulators and distributors in North America, Latin America and Southeast Asia within one to two quarters, even though glyphosate costs, the more heavily traded of the pair by volume, remain stable for now.

Different Chinese pricing platforms do not always agree exactly on spot levels, since benchmarks vary by grade, region and reporting methodology; the figures above reflect one specific dated source, and buyers sourcing from China should confirm current quotes directly with suppliers rather than treating any single index as definitive.

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