HS Code:
Halogenated derivatives of cyclanic, cyclenic, or cycloterpenic hydrocarbons (HS Code: 2903.59) are a category of organic chemical compounds where halogen atoms (such as chlorine, bromine, or fluorine) are bonded to cyclic hydrocarbon structures. These compounds are primarily used in the production of pharmaceuticals, agrochemicals, and specialty chemicals. They serve as intermediates in chemical synthesis due to their reactivity and are critical in various industrial applications. The global trade of these derivatives is influenced by the demand for downstream products, regulatory frameworks, and regional production capacities.
Total Trade Volume
USD 1.2 billion
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
USD 450 million
37.5% of total trade
Increasing
USD 200 million
16.7% of total trade
Stable
USD 180 million
15.0% of total trade
Increasing
USD 120 million
10.0% of total trade
Stable
USD 100 million
8.3% of total trade
Increasing
Average Rate
5.5% ad valorem
Highest Rate
12% (imposed by certain developing countries)
Lowest Rate
0% (under free trade agreements such as EU-Japan EPA)
Rising demand for pharmaceutical intermediates
Increased production and export from countries like China and India due to growing generic drug manufacturing.
2021-2022
Shift towards sustainable chemical processes
Pressure on manufacturers to adopt greener synthesis methods, impacting production costs and trade competitiveness.
2020-2022
Regional supply chain disruptions
Pandemic-related logistics challenges and raw material shortages have led to temporary trade volume declines in 2020, with recovery in 2021-2022.
2020-2022
The European Union introduced stricter environmental regulations under REACH, targeting the use and import of certain halogenated derivatives due to potential ecological risks.
June 2023
Increased compliance costs for exporters to the EU, potentially shifting trade flows to less regulated markets.
China announced investments in new chemical plants to boost the production of halogenated derivatives, aiming to meet rising global demand for pharmaceutical intermediates.
March 2023
Likely to solidify Chinaโs position as the leading exporter, potentially lowering global prices due to economies of scale.
Negotiations between the US and India include discussions on reducing tariffs for specialty chemicals, including halogenated derivatives.
September 2023
If successful, this could increase bilateral trade volumes and provide Indian exporters better access to the US market.