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๐Ÿ“ฆ Resorcinol and its salts

Resorcinol and its salts

HS Code:

๐Ÿ“ฆ

Overview

Resorcinol and its salts (HS Code: 290721) are organic chemical compounds primarily used in the production of resins, adhesives, dyes, and pharmaceuticals. Resorcinol, a dihydroxybenzene, is a critical raw material in the manufacture of tires, rubber products, and wood bonding agents. It also finds applications in cosmetics and dermatological treatments due to its antiseptic properties. The global trade of resorcinol and its salts is influenced by industrial demand, particularly from the automotive and construction sectors, as well as regulatory policies concerning chemical safety and environmental impact.

Total Trade Volume

Approximately $250 million USD

Data from 2022

Source

United Nations Comtrade Database, International Trade Centre (ITC)

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

12% (imposed by certain developing countries to protect domestic industries)

Lowest Rate

0% (under free trade agreements like EU-Japan EPA or USMCA)

Common Restrictions

  • Import quotas in some countries to control chemical exposure
  • Strict environmental regulations on production and disposal
  • Mandatory safety certifications for industrial and cosmetic use
  • Anti-dumping duties in specific regions to counter low-cost imports

Market Trends

Rising demand in automotive and tire industries

Increased production and trade volumes, particularly in Asia-Pacific, driven by growth in vehicle manufacturing and demand for high-performance tires.

2021-2023

Shift toward sustainable production methods

Manufacturers are adopting greener technologies to comply with environmental regulations, increasing production costs but enhancing market access in eco-conscious regions like the EU.

2020-2022

Growing use in pharmaceuticals and cosmetics

Expanding applications in dermatological products are boosting demand, particularly in North America and Europe, though regulatory scrutiny on safety is tightening.

2019-2023

Recent Developments

EU Tightens Regulations on Resorcinol Use in Cosmetics

The European Union introduced stricter limits on resorcinol concentrations in cosmetic products due to potential health risks, requiring reformulation by manufacturers.

March 2023

This may reduce EU imports temporarily as suppliers adapt to new standards, potentially benefiting domestic producers.

Japan Expands Resorcinol Production Capacity

Major Japanese chemical companies announced investments in expanding resorcinol production facilities to meet growing demand from the tire industry.

July 2022

This is expected to solidify Japanโ€™s position as the leading exporter, potentially increasing global supply and stabilizing prices.

US-China Trade Tensions Affect Chemical Imports

Ongoing trade disputes have led to fluctuating tariffs on Chinese resorcinol exports to the US, prompting US buyers to diversify supply chains.

October 2022

This has created opportunities for other exporters like Japan and Germany to gain market share in the US.