In August 2001, the Brazilian subsidiary of Monsanto of the United States filed an anti-dumping investigation against Chinese glyphosate in Brazil. On February 7, 2003, the Brazilian Foreign Trade Commission decided to impose a 35.8% anti-dumping tariff on Chinese glyphosate starting from February 12, 2003, and it will be valid for five years. In February 2008, the Brazilian Foreign Trade Commission decided to conduct a final review of the dumping case of glyphosate in China, and lowered the anti-dumping duty from 35.8% to 11.7%. This is the second time it has been reduced to 2.9% for the second time. It is valid until February 2009. On the 12th. From the perspective of the development of things, Monsanto made certain concessions in the original drug of glyphosate, which laid the foundation for domestic manufacturers to explore new international markets.
According to Weber Barral, deputy head of Brazil’s Ministry of Industry and Foreign Trade, the reduction was due to the correction of the calculation standards by the Pakistani side. When determining the dumping margin of glyphosate in China, Pakistan referred to Argentina’s market parameters and did not consider imports since The price of Argentina’s products already includes transportation and insurance costs.
Brazil, as a big country in agriculture, took the initiative to cut anti-dumping duties, to a certain extent, that the Brazilian market's recognition of China's current price of glyphosate, also shows that the market demand for glyphosate is still strong. This is in line with our long-standing demand for glyphosate, which is forecast to maintain a 17% increase in global demand for glyphosate for the next three years. Although domestic manufacturers did not enter the Brazilian market before this time, after the anti-dumping duties were lowered, manufacturers such as Xinan, which have higher production capacity in the country, stated that the company will actively explore the Brazilian market. We believe this will be beneficial to the development of the future international market for glyphosate leaders such as Xin'an and Jiangshan.
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