HS Code:
The Halogenated, sulfonated, nitrated or nitrosated derivatives category (HS Code: 2904) includes chemical compounds derived from hydrocarbons where one or more hydrogen atoms are replaced by halogen, sulfonic, nitro, or nitrosyl groups. These derivatives are widely used in industrial applications, including the production of pharmaceuticals, agrochemicals, dyes, and other specialty chemicals. This category is critical in the global chemical industry due to its role as intermediates in various synthesis processes.
Total Trade Volume
USD 2.8 billion
Data from 2022
Source
United Nations Comtrade Database
USD 850 million
30.4% of total trade of total trade
Increasing
USD 520 million
18.6% of total trade of total trade
Stable
USD 380 million
13.6% of total trade of total trade
Increasing
USD 290 million
10.4% of total trade of total trade
Increasing
USD 210 million
7.5% of total trade of total trade
Stable
Average Rate
5.2% ad valorem
Highest Rate
12% (imposed by certain developing countries)
Lowest Rate
0% (under free trade agreements like EU-Japan EPA)
Rising demand for specialty chemicals
Increased trade volume as these derivatives are key intermediates in pharmaceutical and agrochemical production, especially in emerging markets.
2021-2022
Shift toward sustainable production
Growing regulations on hazardous chemicals are pushing manufacturers to adopt greener synthesis methods, impacting cost structures and trade flows.
2020-2022
Supply chain diversification
Post-COVID-19, companies are diversifying suppliers, leading to increased trade from secondary markets like India and Southeast Asia.
2021-2023
The European Union introduced new REACH regulations targeting halogenated derivatives to ensure environmental safety, requiring additional compliance documentation for exporters.
March 2023
Increased compliance costs for exporters to the EU, potentially reducing trade volumes from non-compliant countries.
China announced investments in new manufacturing facilities for nitrated derivatives to meet growing domestic and export demand.
July 2022
Likely to solidify China's position as the leading exporter, potentially leading to oversupply and price competition in global markets.
A bilateral agreement reduced tariffs on chemical intermediates, including halogenated derivatives, between the US and India to boost trade.
September 2022
Expected to increase trade volume between the two nations, benefiting Indian exporters and US manufacturers.