HS Code:
This category, classified under HS Code 3824.78.90 (or similar, depending on regional harmonization), pertains to mixtures of hydrofluorocarbons (HFCs) that contain 20% or more by mass of difluoromethane (HFC-32) and 20% or more by mass of pentafluoroethane (HFC-125), not included in other specific subheadings. These mixtures are commonly used as refrigerants in air conditioning and refrigeration systems due to their thermodynamic properties. They are often marketed under trade names like R-410A, a widely used blend in HVAC systems. This category is significant in global trade due to the high demand for cooling solutions, but it is also subject to strict environmental regulations under agreements like the Montreal Protocol and its Kigali Amendment, which aim to phase down HFCs due to their high global warming potential (GWP).
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
UN Comtrade Database, ITC Trade Map
$480 million USD
40% of global trade of total trade
Increasing
$240 million USD
20% of global trade of total trade
Stable
$144 million USD
12% of global trade of total trade
Decreasing
$108 million USD
9% of global trade of total trade
Increasing
$72 million USD
6% of global trade of total trade
Stable
Average Rate
5.2% ad valorem
Highest Rate
10% (applied by certain developing countries under WTO schedules)
Lowest Rate
0% (under free trade agreements like EU-Japan EPA or USMCA)
Shift towards low-GWP alternatives
Demand for HFC-32 and HFC-125 blends like R-410A is declining in developed markets as regulations push for hydrofluoroolefins (HFOs) and natural refrigerants.
2021-2023
Increased production in Asia-Pacific
Countries like China and South Korea are ramping up production to meet demand in emerging markets where HFC-based systems are still prevalent.
2020-2022
Rising recycling and reclamation programs
Trade in virgin HFC mixtures is being partially offset by initiatives to recover and reuse refrigerants, especially in the EU and US.
2022
The European Union revised its F-Gas Regulation, accelerating the phasedown of high-GWP HFCs like R-410A, imposing stricter quotas on imports starting 2024.
October 2023
Reduced market access for exporters to the EU, pushing innovation in alternative refrigerants.
The American Innovation and Manufacturing (AIM) Act began enforcing an 85% reduction in HFC production and consumption by 2036, with significant cuts starting in 2022.
January 2022
Decline in US imports of HFC-32 and HFC-125 blends, affecting global exporters like China.
China introduced new export controls and subsidies for HFC production to align with Kigali Amendment commitments while supporting domestic manufacturers.
March 2023
Increased export volumes in the short term, but potential long-term reduction as global demand shifts.