HS Code:
Oxirane, commonly known as Ethylene Oxide (EO), falls under HS Code 291010. It is a colorless, flammable gas with a faintly sweet odor, widely used as an intermediate in the production of ethylene glycol, surfactants, and other industrial chemicals. It is also utilized as a sterilizing agent for medical equipment and supplies due to its effectiveness against microorganisms. Ethylene oxide is a critical component in the chemical industry, with significant demand driven by the production of antifreeze, textiles, and plastics. However, its trade is regulated due to its toxicity and potential environmental hazards.
Total Trade Volume
Approximately $3.5 billion USD
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
$850 million USD
24.3% of total trade of total trade
Increasing
$600 million USD
17.1% of total trade of total trade
Stable
$450 million USD
12.9% of total trade of total trade
Increasing
$400 million USD
11.4% of total trade of total trade
Increasing
$300 million USD
8.6% of total trade of total trade
Stable
Average Rate
5.5% ad valorem
Highest Rate
10% (imposed by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as USMCA and EU trade deals)
Growing demand for ethylene oxide derivatives in Asia-Pacific
Increased production and export activities in China and India to meet regional demand for textiles and automotive antifreeze products
2021-2023
Shift towards sustainable production methods
Investments in bio-based ethylene oxide production to reduce carbon footprint, influencing trade patterns with higher costs initially
2022-2023
Regulatory tightening in Europe and North America
Stricter environmental regulations are increasing compliance costs, potentially reducing export competitiveness for some producers
2020-2023
The US Environmental Protection Agency (EPA) introduced stricter emission standards for ethylene oxide facilities to reduce health risks in surrounding communities.
April 2023
Increased production costs for US manufacturers, potentially affecting export volumes in the short term, while encouraging innovation in emission control technologies.
Saudi Arabia announced a major expansion of ethylene oxide production facilities as part of its Vision 2030 diversification strategy.
June 2022
Expected to increase Saudi Arabia's export share in the global market, particularly to Asia and Europe, intensifying competition.
The European Union updated its REACH regulations, requiring more detailed documentation for ethylene oxide imports to ensure safety and environmental compliance.
January 2023
Non-EU exporters face higher compliance costs and potential delays, which may shift trade flows towards intra-EU production.