On April 2, 2025, Dafeng Yuntao Biotechnology Co., Ltd. announced plan to upgrade to its D(-) Alpha ParahydroxyPhenylglycine production line. The project, with an investment budget of approximately RMB 74.75 million, issituated in the Dafeng Port Petrochemical New Materials Industrial Park in Yancheng, Jiangsu Province.
Evolving pharmaceutical demand
The upgrade focuses on refining the production process of D(-) Alpha Parahydroxy Phenylglycine, a crucial intermediate in the synthesis of amoxicillin. The current production method yields D(-) Alpha ParahydroxyPhenylglycine powder (absorbance <0.2, amorphous).The revamped process targets product (absorbance < 0.1, crystalline solid) to meet stricter market qualityrequirements. Post-upgrade, the facility will maintain an annual production capacity of 3,750 tons.
Strategic Positioning in the Pharmaceutical Supply Chain
Established in May 2003, Dafeng Yuntao Biotechnology Co., Ltd. specializes in producing D(-) Alpha ParahydroxyPhenylglycine. The company operates as a subsidiary of Zhejiang Yuntao Biotechnology Co., Ltd., a prominent entity in the pharmaceutical intermediates sector.
Zhejiang Yuntao boasts an annual production capacity of 4,000 t/a D(-) Alpha Parahydroxy Phenylglycine, and 4000 t/a D(-)-alpha-Phenylglycine. It holds a substantial 50% share of the global D(-)-alpha-Phenylglycine market.
