FTC Approves Final Order with China National Chemical Corporation and Syngenta AG, Preserving Competition in U.S. Markets for Three PesticidesFollowing a public comment period, the Federal Trade Commission has approved a final order settling charges that the proposed merger of China National Chemical Corporation (ChemChina) and Swiss global agricultural company Syngenta AG would harm competition in the U.S. markets for the herbicide paraquat, the insecticide abamectin, and the fungicide chlorothalonil.
First announced in April 2017, the complaint alleged that without the proposed divestiture, the merger would eliminate the direct competition that exists between ChemChina generics subsidiary ADAMA and Syngenta’s branded products. The merger would also increase the likelihood that U.S. customers buying paraquat, abamectin and chlorothalonil would be forced to pay higher prices or accept reduced service for these products, the complaint states.
The Commission vote approving the final order was 2-0. (FTC File No. 1610093; the staff contact is David Morris, Bureau of Competition, 202-326- 3156.)