The market for bromine and its derivatives may be defined as relatively oligopolistic with just a few countries controlling the bulk of the market. There are three major bromine-producing areas: North America (the United States), Middle East (Israel and Jordan) and Asia/East Asia (China and Japan). These regions account for about 98% of the world’s total bromine production.
Bromine: structure of the global production be country, 2014
On the corporate level, geographic monopoly is represented by the following market-dominating companies: Israel Chemicals Ltd. or ICL (Israel), Jordan Bromine Co. (Jordan, USA), Albemarle Corp. (USA), Chemtura Corp. (USA), and Toyo Soda Manufacturing Co. Ltd (Japan). These five manufacturers of bromine and its products account for over 70% of global bromine production capacity. The market monopolization level increases when contenders merge their efforts. For instance, in 2014, Albemarle (USA) and ICL (Israel) announced a JV to produce proprietary polymeric flame retardants. High monopolization leads to enhanced susceptibility of the bromine sector to the influence of macroeconomic conditions, force majeure circumstances and other factors. In 2015, the bromine market encountered with feedstock shortages caused by extended labour strike at one of the largest bromine manufacturers, ICL Dead Sea. This vulnerability is instrumental in causing supply problems, as well as price and margin fluctuations. The bromine market will demonstrate slow but steady growth rate. Potential sources of new demand growth for bromine will be innovation in existing and novel applications, development of new bromine extraction technologies and stricter environmental regulations, which may act against chemicals that bromine and its derivatives are ready to substitute.
More information on the worldwide bromine market performance is provided in the topical market research study “Bromine: 2016 World Market Review and Forecast”.