Update 4:42pm: Adds background on Corteva's reported plan to stop making chlorpyrifos.
Corteva (NYSE:CTVA) dropped 2.5% after a report that the Environmental Protection Agency will announce a ban on chlorpyrifos, a pesticide that has been allegedly linked to neurological damage in children.
The E.P.A. has said it will publish a regulation to ban the use of chlorpyrifos in food, according to an NYT report. The rule is expected to take effect in 6 months.
In February 2020 Reuters reported that Corteva said it will stop producing chlorpyrifos, citing declining sales. Corteva said in its most recent 10-Q filing that it ended its production of Lorsban in 2020. Lorsban is an insecticide used by commercial farms for field fruit, nut and vegetable crop that contains chlorpyrifos.