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๐Ÿ“ฆ Derived in whole or in part from any aromatic compound

Derived in whole or in part from any aromatic compound

HS Code:

๐Ÿ“ฆ

Overview

The 'Derived in whole or in part from any aromatic compound' category under the Harmonized System (HS) Code generally pertains to chemical products and preparations that are synthesized or derived from aromatic hydrocarbons or compounds. These include a wide range of products such as dyes, pigments, pharmaceuticals, pesticides, and other industrial chemicals. This category is critical in industries like textiles, agriculture, and pharmaceuticals due to the foundational role of aromatic compounds in creating complex chemical structures.

Total Trade Volume

Approximately $150 billion USD

Data from 2022

Source

United Nations Comtrade Database, International Trade Centre (ITC)

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

15% (imposed by certain developing countries on imports to protect domestic industries)

Lowest Rate

0% (under free trade agreements like EU-Japan EPA or USMCA)

Common Restrictions

  • Import quotas in some countries to protect local chemical industries
  • Strict regulatory requirements for environmental and safety standards
  • Anti-dumping duties on specific exporters suspected of unfair pricing
  • Licensing requirements for hazardous chemical imports

Market Trends

Increased demand for sustainable and bio-based aromatic compounds

Shift towards greener production methods, influencing trade towards countries with advanced eco-friendly technologies

2021-2023

Rising pharmaceutical production in developing countries

Boost in trade volume for aromatic intermediates used in drug manufacturing, especially in India and China

2020-2022

Supply chain disruptions due to geopolitical tensions

Increased costs and delays in trade, prompting diversification of supply chains away from single-country dependency

2022-2023

Recent Developments

EU Implements Stricter Chemical Regulations

The European Union introduced new REACH regulations targeting aromatic compound derivatives, requiring detailed safety data for imports.

June 2023

Increased compliance costs for exporters to the EU, potentially reducing trade volumes from non-compliant countries.

US-China Trade Agreement on Chemical Exports

A bilateral agreement reduced tariffs on certain aromatic compound derivatives to stabilize supply chains for pharmaceuticals.

March 2023

Boosted trade between the two countries, with an expected increase of 10% in related exports.

Indiaโ€™s Push for Domestic Production

India launched a subsidy program under the 'Make in India' initiative to encourage local production of aromatic chemicals.

January 2023

Reduced dependency on imports, potentially affecting export markets like China and Germany.