HS Code:
The Ethylene, Propylene, Butylene, and Butadiene category (HS Code: 2901.2) includes acyclic hydrocarbons that are fundamental building blocks in the petrochemical industry. These chemicals are primarily used in the production of plastics, synthetic rubber, and other industrial materials. Ethylene is the most widely produced organic compound globally, while propylene, butylene, and butadiene serve critical roles in manufacturing polymers and elastomers.
Total Trade Volume
USD 60 billion
Data from 2022
Source
United Nations Comtrade Database
Average Rate
5.2%
Highest Rate
12% (imposed by certain developing economies to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as USMCA and EU-Japan EPA)
Shift towards sustainable production methods
Increased investment in bio-based ethylene and propylene production to reduce carbon footprint
2021-2023
Rising demand in Asia-Pacific
Growing industrialization and polymer manufacturing in China and India driving import volumes
2020-2022
Volatility in raw material prices
Fluctuations in crude oil and natural gas prices affecting production costs and trade margins
2022
A new phase of tariff reductions on petrochemicals, including ethylene and propylene, was agreed upon to stabilize trade relations.
January 2023
Expected to boost US exports to China by 10% over the next two years
The European Union introduced stricter emission standards for petrochemical production, impacting butadiene imports.
July 2022
Increased compliance costs for exporters to the EU market, potentially shifting trade to other regions
Saudi Arabia announced a major expansion of ethylene production facilities to meet global demand.
March 2023
Likely to increase export volumes by 15%, strengthening its position in the global market