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📦 Agglomerated cork (with or without a binding substance) and articles of agglomerated cork

Agglomerated cork (with or without a binding substance) and articles of agglomerated cork

HS Code:

📦

Overview

Agglomerated cork, classified under HS Code 4504, includes cork that has been ground into particles and then bound together, with or without a binding substance, to form blocks, sheets, or other articles. This category also encompasses various finished products made from agglomerated cork, such as gaskets, stoppers, and insulation materials. Agglomerated cork is widely used in industries like construction (for insulation and flooring), automotive (for seals and gaskets), and beverage (for bottle stoppers). Its eco-friendly and sustainable properties make it a preferred material in applications requiring thermal and acoustic insulation.

Total Trade Volume

USD 1.2 billion

Data from 2022

Source

UN Comtrade Database

Tariff Analysis

Average Rate

4.5% ad valorem

Highest Rate

12% (applied by certain developing countries)

Lowest Rate

0% (under free trade agreements like EU internal trade)

Common Restrictions

  • Import quotas in some Asian markets
  • Sustainability certification requirements
  • Phytosanitary regulations for raw cork materials

Market Trends

Growing demand for sustainable materials

Increased use of agglomerated cork in green building projects and eco-friendly packaging solutions, driving export growth from major producers like Portugal.

2021-2022

Technological advancements in cork processing

Improved manufacturing techniques have reduced production costs and enhanced product quality, making agglomerated cork more competitive against synthetic alternatives.

2020-2022

Shift in wine industry preferences

While natural cork stoppers remain dominant, the use of agglomerated cork stoppers is rising for lower-cost wines, boosting demand in specific segments.

2019-2022

Recent Developments

EU Sustainability Regulations

The European Union introduced stricter sustainability and sourcing regulations for cork products to ensure environmental compliance and forest conservation.

March 2023

This may increase production costs for exporters but also enhances the marketability of certified agglomerated cork products in eco-conscious markets.

Portugal's Investment in Cork Innovation

The Portuguese government and private sector announced a joint initiative to fund research into new applications of agglomerated cork, targeting automotive and aerospace industries.

July 2022

Expected to diversify export markets and reduce dependency on traditional sectors like wine stoppers.

Trade Agreement Between EU and Mercosur

Negotiations for a trade agreement between the EU and Mercosur countries have progressed, potentially lowering tariffs on cork products exported to South America.

October 2022

Could open new markets for European cork exporters, particularly in Brazil and Argentina, over the next few years.