HS Code:
Reactive dyes, including Reactive Black 1, Reactive Blue 1, 2, 4, Reactive Orange 1, Reactive Red 1, 2, 3, 5, 6, and Reactive Yellow 1, fall under the HS Code 320416. These are synthetic organic coloring matters primarily used in the textile industry for dyeing cotton, wool, and other cellulosic fibers. Reactive dyes are known for their bright colors, excellent colorfastness, and ability to form covalent bonds with the substrate, making them highly resistant to washing and fading. The global trade of reactive dyes is driven by the demand from textile manufacturing hubs, particularly in Asia, where large-scale production of garments and fabrics occurs.
Total Trade Volume
USD 1.2 billion
Data from 2022
Source
UN Comtrade Database, International Trade Centre (ITC)
Average Rate
6.5%
Highest Rate
12% (applied by certain developing countries to protect local industries)
Lowest Rate
0% (under free trade agreements such as EU-India FTA for specific partners)
Shift towards sustainable and eco-friendly dyes
Increased demand for low-impact reactive dyes with minimal environmental footprint, pushing manufacturers to innovate in biodegradable and less toxic formulations.
2021-2023
Growth in textile production in Southeast Asia
Rising exports of reactive dyes to countries like Vietnam and Bangladesh due to their expanding textile industries and favorable trade policies.
2020-2022
Digital printing technology adoption
Growing use of reactive dyes in digital textile printing, creating new market opportunities but requiring dyes with specific viscosity and stability properties.
2022-2023
The European Union introduced stricter REACH compliance requirements for reactive dyes, focusing on reducing harmful chemical residues in textiles.
March 2023
Exporters to the EU, particularly from Asia, face higher compliance costs, potentially reducing profit margins but improving product safety standards.
Major Indian dye manufacturers announced investments in expanding production facilities to meet growing global demand, supported by government incentives under the 'Make in India' initiative.
July 2022
Increased export volumes from India, potentially lowering global prices due to higher supply and intensifying competition with China.
The United States imposed anti-dumping duties on certain reactive dye imports from China, citing unfair pricing practices.
November 2022
Shift in market share towards Indian and South Korean exporters in the US market, while Chinese exporters seek alternative markets.