Jinan Zhuocheng Bio-Tech Co., Ltd.

By late March 2026, abamectin active pharmaceutical ingredient quotations broke through 620 yuan per kilogram, rising 50 yuan from early March's 570 yuan level—a nearly 9% surge that ended two and a half months of sideways trading and sent rippling price increase signals across the entire industrial chain.

This price spike stemmed from the convergence of multiple factors: the energy crisis triggered by Middle East geopolitical conflict, leading enterprises initiating price adjustments, and exploding upstream raw material costs. The agricultural chemicals, veterinary drugs, breeding, and crop cultivation sectors have all been affected as the industry officially enters a new pricing cycle.

The Middle East conflict has caused shipping volumes through the Strait of Hormuz to plummet to just 10% of pre-crisis levels, reducing global oil supply by 8 million barrels per day and sending international crude prices soaring over 50%. The energy price explosion rapidly transmitted through the chemical industry chain, with prices for fundamental chemicals including methanol, sulfur, and bromine—as well as core intermediates for abamectin production—climbing sharply. Meanwhile, fermentation raw materials such as corn and starch, driven by elevated grain prices and energy cost transmission, have remained at sustained highs with year-on-year increases exceeding 12%. Production enterprises face unprecedented cost pressure, making price increases an inevitable choice for industry self-preservation.

Under extreme cost compression, leading enterprises moved first to adjust prices. On March 12, 2026, Ningxia Taiyixin Biotechnology issued a price adjustment letter, comprehensively raising prices across its full product line including core offerings "Danjian Abamectin" and "Gujian Emamectin Benzoate." On March 17, Limin Corporation followed suit, increasing abamectin series technical materials and related formulation product prices by 5-10%—its third adjustment within 90 days. This concentrated wave of price adjustments by leading enterprises directly pushed abamectin prices past 620 yuan per kilogram on March 18, formally sweeping the entire industry into a price surge tide.

Reviewing the price trajectory from 2025 through 2026, abamectin API overall followed a three-step pattern of "steady rise—sideways trading—sudden spike." From January through July 2025, prices steadily climbed from 450 yuan to 580 yuan per kilogram, gaining nearly 30% over six months under the influence of moderately rising upstream materials and tightening environmental policies. From August 2025 through early March 2026, prices moved sideways within the 560-580 yuan range as enterprises digested cost pressures and market supply-demand temporarily balanced. The sudden jump in mid-to-late March 2026 broke the prolonged sideways pattern, opening a new upward cycle.

The supporting logic for current price increases remains robust: manufacturer quotations continue rising, low-priced inventory in distribution channels is rapidly clearing, and market circulation supply is tightening. Downstream demand in the veterinary drug sector is gradually releasing, providing solid support for price advances. With the Middle East conflict showing no signs of resolution and Strait of Hormuz shipping recovery nowhere in sight, international energy and chemical raw material prices remain elevated. Abamectin production cost pressures will be difficult to alleviate in the short term, giving these price increases strong sustainability.

All parties across the industrial chain need to align with market trends and plan business strategies rationally. Production enterprises should appropriately lock in raw materials, schedule production orderly, and capitalize on the upward price cycle. Distributors need to monitor manufacturer pricing rhythms, stock according to demand, and avoid missing-out risks. End users should plan procurement early to avoid continuously rising costs in later stages.