Summary: Zhejiang Fanghua, jointly established by Zhejiang Avilive & Zhejiang Weihua, planned a 4,900 t/a new fluorine-containing pesticide TC project, which covers insecticide products (800 t/a fipronil TC & 300 t/a lufenuron TC) and herbicide products (trifluralin TC & triclopyr-butotyl TC).

In late April 2022, the environmental impact assessment (EIA) report of Zhejiang Fanghua Chemical Co., Ltd.'s (Zhejiang Fanghua) 4,900 t/a new fluorine-containing pesticide TC project was accepted and publicised, which covers insecticide products (800 t/a fipronil TC & 300 t/a lufenuron TC) and herbicide products (trifluralin TC & triclopyr-butotyl TC). Besides, EIA report of the company's 31,000 t/a fluorine-containing new materials and new functional chemicals and research centre project was also accepted and publicised. The two projects were approved by local authorities on 7 May.

Fipronil, lufenuron, trifluralin and triclopyr-butotyl all play an important role in pest prevention & control or weed management. Among them, fipronil is a leading insecticide for both agricultural and non-agricultural markets, though many countries or regions, including China, have banned or restricted its agricultural use as it is toxic to bees and aquatic lives. Currently in China, sales and application of fipronil-containing pesticide formulations have been prohibited, except for non-agricultural application, or as seed coating agents for corn and other dry crops. Nevertheless, fipronil still has a promising future globally as it has been promoted in recent years in countries or regions that have not yet issued restriction policies and its non-agricultural application has been expanded. Zhejiang Fanghua's 800 t/a fipronil TC capacity, once thrown into operation, will help Zhejiang Avilive snatch a more competitive position in fipronil TC market.

Zhejiang Fanghua was jointly set up by Zhejiang Avilive Chemical Co., Ltd. (Zhejiang Avilive, with 41% shares) and Zhejiang Weihua New Materials Co., Ltd. (Zhejiang Weihua, with 59% shares) in Nov. 2021. The subsidiary is located in Hangzhou Bay Shangyu Economic and Technological Development Zone, Shaoxing City, Zhejiang Province. It engages in industries of pesticides, fluorine-containing new materials and new functional chemicals, supported with resources from its two shareholders.

Zhejiang Weihua is a high-tech enterprise with complete industrial chains for chlorotoluenes and benzotrifluoride product series. It is one of the world's largest manufacturers of benzotrifluoride series. However, its product portfolio is quite narrow and the company faces growing risks.

Zhejiang Avilive focuses on pesticide business and has become a leading producer of pesticides containing chloropyridines. It has two production bases: Shandong Avilive Chemical Co., Ltd. (Shandong Avilive) in Linyi City, Shandong Province and Lianyungang Avilive Chemical Co., Ltd. (Lianyungang Avilive) in Lianyungang City, Jiangsu Province. It is worth mentioning that Lianyungang Avilive has been in production suspension since late April 2018 for environmental protection and production safety concerns.