CJ CheilJedang and ADM Form Americas Amino Acid Venture

CJ CheilJedang and ADM have agreed to establish a joint venture to manufacture and market feed-grade amino acids for the livestock industry in North and South America. The South Korean company will hold majority ownership and license its intellectual property to the new entity, which will hold exclusive rights to produce and sell these amino acids within the Americas.

The venture integrates production facilities in Fort Dodge, Iowa, and Piracicaba, Brazil, with ADM's plant in Decatur, Illinois. It also incorporates CJ's sales offices in the United States, Mexico, and Brazil. The partnership specifically targets the production of lysine to stabilize domestic supply in North America following U.S. government actions to eliminate unfair trade practices regarding Chinese imports.

Lance Haeryong Choi, Senior Vice President of CJ CheilJedang, stated that combining the company's fermentation technology and technical marketing with ADM's manufacturing footprint and feedstock supply will enhance cost competitiveness. The launch of the joint venture remains subject to customary closing activities and regulatory approvals.