The US hydrobromic acid market is experiencing a significant price surge driven by a combination of factors like increased import costs from China, increasing demand and upstream supply constraints. The upstream bromine prices have been soaring in China amidst diminishing production and delivery from Israel. Additionally, the U.S. has imposed stricter tariffs on Chinese chemical imports, which are impacting the trade dynamics significantly.
China being a major producer of hydrobromic acid, is facing production slowdowns due to declining brine grades and limited recovery after the Lunar New year holidays. Simultaneously, reliance on overseas bromine has further exacerbated the supply crunch. Key producers such as Asia Potassium International and Shandong Haihua are running far below capacity. Asia Potassium has managed to produce only xx,xxx tons a year鈥攛xx of its xx,xxx-ton capacity.
Additionally, geopolitical tensions in the Red Sea have caused...
