Anhui Red Sun 10kt per year diquat lines pass environmental protection acceptance check 07-06-2023

Summary: In late May, it was announced that Anhui Red Sun's 10,000 t/a diquat lines had passed environmental protection acceptance check. These lines are the content of phase I program of its 5,000 t/a 2,2'-dipyridyl and 10,000 t/a diquat project.

In late May, it was announced that Anhui Red Sun Biochemistry Co., Ltd. (Anhui Red Sun)'s 10,000 t/a diquat lines had passed completion-based environmental protection check and acceptance of construction project, which means that the production lines and supporting facilities for transport, storage, environmental protection, etc. have all been constructed.


The company's 5,000 t/a 2,2'-dipyridyl and 10,000 t/a diquat project has been divided into two phases, and the 10,000 t/a diquat lines are the content of the phase I program. Previously in March 2020, the company filed notification of the project at the Bureau of Economy and Information Technology of Chizhou City. Construction of the project kicked off in May 2022 and related lines and equipment went into trial run on 8 Oct., 2022.


Anhui Red Sun is a holding sub-subsidiary of Nanjing Red Sun Co., Ltd. (Nanjing Red Sun). Therefore, Anhui Red Sun's new diquat lines successfully passing acceptance check will help strengthen Nanjing Red Sun's position in the diquat market. At the same time, it will drive competition in this market more intense. Currently, China's diquat capacity mainly concentrates in Nanjing Red Sun, Yongnong BioSciences Co., Ltd. and Shandong Luba Chemical Co., Ltd.


Diquat is regarded as a valid alternative to paraquat. It is worth noting that diquat capacity has been growing quickly and the application of diquat has been promoted at a fast pace, along with expanding ban on paraquat in some countries. The price of diquat TK has kept going down, and the price gap between diquat TK and paraquat TK has been narrowed continuously; in June 2023, the difference between FOB prices of the two products reduced to some USD600/t in China.


More information can be found at CCM Herbicide China Monthly Report.

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