HS Code:
The Compression type category, often associated with HS Code 8414.80 (Air or vacuum pumps, air or other gas compressors and fans), encompasses a wide range of machinery used for compressing gases or air. These products are critical in various industries including manufacturing, automotive, construction, and energy. Compression equipment is essential for applications such as refrigeration, air conditioning, industrial processes, and power generation. The global trade of compression-type products reflects the industrial and technological capabilities of countries, with demand driven by infrastructure development and industrial automation.
Total Trade Volume
USD 45.3 billion
Data from 2022
Source
United Nations Comtrade Database
USD 8.2 billion
18.1% of total trade of total trade
Increasing
USD 6.9 billion
15.2% of total trade of total trade
Stable
USD 6.5 billion
14.3% of total trade of total trade
Increasing
USD 4.1 billion
9.1% of total trade of total trade
Stable
USD 3.8 billion
8.4% of total trade of total trade
Increasing
Average Rate
5.2% ad valorem
Highest Rate
12.5% (imposed by certain developing countries)
Lowest Rate
0% (under free trade agreements like EU-USMCA)
Rising demand for energy-efficient compressors
Manufacturers are investing in R&D to develop sustainable and low-energy consumption products, driving market growth in green technology sectors.
2021-2023
Increased adoption in renewable energy applications
Compressors are increasingly used in wind and solar energy systems, boosting trade volumes in countries with strong renewable energy policies.
2020-2022
Supply chain disruptions due to geopolitical tensions
Trade flows have been affected by sanctions and export controls, particularly impacting supply from key exporters like China.
2022-2023
The European Union introduced new regulations under the Ecodesign Directive mandating higher energy efficiency for compression equipment, impacting exporters to the region.
March 2023
Non-compliant manufacturers face restricted market access, pushing innovation in energy-efficient designs.
A new phase of the US-China trade agreement reduced tariffs on certain compressor categories, facilitating smoother trade between the two largest markets.
January 2023
Increased trade volume between the US and China, benefiting manufacturers and lowering costs for consumers.
After disruptions during the COVID-19 pandemic, the global supply chain for compression equipment has shown signs of recovery with improved shipping logistics and inventory restocking.
Mid-2022
Stabilized prices and improved availability of compression products in key markets.