China's Glufosinate-Ammonium Prices Surge Over 12% in a Month Amid Policy and Supply Tightening

China's domestic price of glufosinate-ammonium has risen sharply in recent weeks. According to Baiichuan Yingfu data, as of September 17, prices climbed 3.77% day-on-day, 6.8% week-on-week, and 12.24% month-on-month — with a single-day jump of RMB 2,500/tonne recorded on September 9. Over the year, average prices have risen from RMB 44,700/tonne in 2025 to RMB 50,500/tonne by the end of July 2026, while L-glufosinate is quoted between RMB 57,500–60,000/tonne.

Three factors are driving the rally:

Export tax rebate removal — Effective April 1, 2026, China's Ministry of Finance and State Taxation Administration eliminated VAT export rebates for glufosinate and related technical products, directly raising export costs. Tightening supply — A key intermediate, diethyl methylphosphite, faces constrained supply after a major producer shut its line for upgrades; industry-wide inventories fell to a historic low of 1,130 tonnes as of September 18. Rising global substitution demand — As weed resistance to glyphosate grows and Brazil tightens glyphosate regulation (its Ministry of Labor sued over cancer risk concerns in late May 2026), glufosinate — a low-toxicity, high-efficacy alternative — is seeing stronger international orders.

China's glufosinate output grew from 18,300 tonnes in 2020 to 120,400 tonnes in 2025, a 45.78% compound annual growth rate. China now accounts for over 80% of global glufosinate capacity (roughly 142,000 tonnes total), led by producers such as Lier Chemical and Limin Chemical.