HS Code:
The product category containing trifluoromethane (HFC-23) or perfluorocarbons (PFCs), but not containing chlorofluorocarbons (CFCs) or hydrochlorofluorocarbons (HCFCs), falls under specific HS codes related to hydrofluorocarbons and other fluorinated gases (typically within HS Chapter 29 or 38). These substances are primarily used in industrial applications such as refrigerants, fire suppression systems, and semiconductor manufacturing. Due to their high global warming potential (GWP), they are subject to stringent international regulations under agreements like the Kyoto Protocol and the Kigali Amendment to the Montreal Protocol, which aim to phase down hydrofluorocarbons (HFCs) to mitigate climate change.
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
United Nations Comtrade Database and World Trade Organization (WTO) Reports
$450 million USD
37.5% of total trade of total trade
Increasing
$300 million USD
25.0% of total trade of total trade
Stable
$150 million USD
12.5% of total trade of total trade
Decreasing
$100 million USD
8.3% of total trade of total trade
Stable
$80 million USD
6.7% of total trade of total trade
Increasing
Average Rate
5.2% ad valorem
Highest Rate
12% (imposed by certain developing economies to discourage imports due to environmental concerns)
Lowest Rate
0% (under free trade agreements or for countries with exemptions under environmental protocols)
Shift to low-GWP alternatives
Decreasing demand for HFC-23 and PFCs as industries adopt hydrofluoroolefins (HFOs) and natural refrigerants to comply with global climate agreements.
2020-2023
Increased regulatory scrutiny
Stricter controls and phase-down schedules under international agreements are reducing production and trade volumes, particularly in developed nations.
2019-2022
Growth in recycling and reclamation
Rising focus on recycling HFCs and PFCs to meet regulatory requirements and reduce environmental impact, leading to a niche market for reclaimed gases.
2021-2023
As of 2023, over 150 countries have ratified the Kigali Amendment to the Montreal Protocol, committing to a phasedown of HFCs, including HFC-23, by up to 85% by 2045.
January 2023
Significant reduction in global trade volumes expected over the next two decades, with a shift toward alternative substances.
The European Union updated its F-Gas Regulation in 2023 to accelerate the phase-down of HFCs and impose stricter quotas on imports and production of high-GWP gases like HFC-23.
April 2023
Reduced market access for exporters to the EU, prompting manufacturers to pivot to low-GWP alternatives.
China, the largest producer of HFCs, announced a reduction in HFC-23 production as part of its 14th Five-Year Plan to align with global climate goals.
September 2022
Potential supply shortages in the short term, driving up prices and accelerating the transition to alternatives.