Iodine

Iodine Market Dynamics and Analysis Report (Recent Commodity Market Intelligence)

I. Market Price Dynamics
- Benchmark Price: As of April 27, 2026, the Business Network’s iodine benchmark price stands at RMB 640.00 per kilogram—unchanged from the beginning of the month. The price fluctuation range during the period was RMB 638.33–641.25/kg, with a median value of RMB 639.79/kg, placing it at the annual mid-point level.
- Recent Quotations: From April 18 to April 22, 2026, elemental iodine manufacturers maintained stable quotations within the RMB 600–640/kg range: reagent-grade iodine at RMB 600/kg and industrial-grade iodine at RMB 640/kg—indicating pronounced price rigidity in the market.

II. Supply-Demand Analysis
- Supply Side:
- Resource Concentration: Approximately 70% of global iodine resources originate from the Atacama Salt Flat in Chile. Domestically produced iodine accounts for only 18% of China’s total consumption, primarily sourced from brine-extraction facilities operated by Shandong Haihua and Zhejiang Juhua. In 2025, their combined production capacity reached 320 metric tons/year, operating at a utilization rate of 91%. Capacity expansion remains constrained by brine resource quotas and lengthy environmental approval cycles.
- Import Dependence: High-purity pharmaceutical-grade iodine (≥99.99%) is predominantly imported from Japan and Chile. In 2025, imports accounted for 78.3% of domestic supply—Japan contributed 41.6% and Chile 32.9% of total imports.
- Demand Side:
- Pharmaceutical Sector: China’s pharmaceutical iodine market approached RMB 1.2 billion in 2025 and is projected to exceed RMB 1.4 billion in 2026, representing an 8% compound annual growth rate (CAGR). Demand for iodine-based CT/MRI contrast agents continues to rise steadily, driven by population aging and expanded access to medical imaging diagnostics; such applications are expected to account for over 55% of total iodine demand in 2026.
- Industrial Sector: With the domestic LCD panel localization rate surpassing 72%, incremental procurement of high-purity potassium iodide and potassium iodate has become a key growth driver. In 2025, BOE, TCL CSOT, and Visionox signed binding procurement contracts covering 320 metric tons of iodine-based liquid crystal monomers for 2026—a 19.3% increase year-on-year.
- Agricultural Sector: The Ministry of Agriculture and Rural Affairs’ “Safety Use Specifications for Feed Additives (2025 Edition)” raised the recommended upper limit of potassium iodide addition in layer poultry feed from 0.35 mg/kg to 0.5 mg/kg. Coupled with a stable national layer poultry inventory of 1.18 billion birds, this revision is projected to boost annual feed-grade iodine demand by approximately 850 metric tons.

III. Competitive Landscape
1. High Industry Concentration:
- The top three domestic enterprises—North China Pharmaceutical, Hengrui Medicine, and Hisun Pharmaceuticals—collectively hold 68.3% of the market share, with North China Pharmaceutical commanding 31.7%.
- Export Market Concentration: In 2025, export revenue from domestically produced iodine tablets totaled RMB 410 million, primarily targeting Southeast Asia and the Middle East. Following the implementation of the Saudi FDA mutual recognition agreement, China’s annual export quota for iodine tablets has increased to 120 million tablets.
2. Divergent Corporate Strategies:
- North China Pharmaceutical: Leverages its integrated active pharmaceutical ingredient (API)-to-formulation capabilities to consolidate its position in the low-end market.
- Hengrui Medicine: Focuses on premium iodine tablets (e.g., sustained-release and pediatric formulations), supplying all Tier-3 hospitals nationwide.
- Hisun Pharmaceuticals: Collaborates with China National Nuclear Corporation (CNNC) to specialize in government-procured iodine tablets for nuclear emergency preparedness.

IV. Price Trend Forecast
- Short Term (1–3 months):
Prices are expected to remain stable, with the benchmark price holding around RMB 640/kg. Supply-side constraints—including domestic capacity bottlenecks and import dependency—are counterbalanced by robust, inelastic demand across pharmaceutical, industrial, and agricultural sectors—sustaining a balanced supply-demand equilibrium in the near term.
- Medium Term (6–12 months):
Upward pricing pressure is anticipated, with projected increases of 5%–8%. Policy-driven initiatives to enhance China’s iodine self-sufficiency will accelerate industrialization of salt-lake iodine extraction technologies; however, new capacity is unlikely to come online before 2027. Consequently, short-term supply deficits will continue to rely on imports. Moreover, given the high global concentration of iodine resources, major exporting countries—including Chile and Japan—may deliberately manage export volumes to sustain elevated price levels.
- Long Term (1–3 years):
The price center is expected to shift upward, albeit at a decelerating pace. As breakthroughs in domestic salt-lake iodine extraction technologies mature and electronic-grade iodides enter mass production, import dependence will gradually decline. Nevertheless, high-end pharmaceutical-grade iodine will remain partially reliant on imports, diminishing—but not eliminating—exposure to international price volatility. Concurrently, emerging downstream applications—including nuclear medicine and specialty electronic gases—will generate new sources of demand, helping sustain elevated price levels.