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📦 Containing 70 percent or more by weight of silk or silk waste (739)

Containing 70 percent or more by weight of silk or silk waste (739)

HS Code:

📦

Overview

The category 'Containing 70 percent or more by weight of silk or silk waste' (HS Code: 5007) pertains to woven fabrics made predominantly of silk or silk waste. This includes various types of silk textiles such as crepe, satin, and taffeta, which are used in high-end fashion, home decor, and other luxury goods. Silk, known for its luster, strength, and softness, is primarily produced in countries with a long history of sericulture. This category is significant in global trade due to the premium value of silk products and their cultural importance in regions like Asia. Trade in this category is influenced by factors such as raw silk availability, labor costs, and international demand for luxury textiles.

Total Trade Volume

USD 1.2 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

8.5%

Highest Rate

15% (applied by certain developing countries to protect domestic industries)

Lowest Rate

0% (under free trade agreements such as EU-Japan EPA)

Common Restrictions

  • Import quotas in some countries to protect local textile industries
  • Non-tariff barriers such as stringent quality and labeling standards
  • Anti-dumping duties imposed on specific exporters
  • Seasonal restrictions in certain markets

Market Trends

Rising demand for sustainable and ethical silk production

Increased interest in cruelty-free silk (e.g., Ahimsa silk) is pushing producers to adopt sustainable practices, influencing trade patterns and pricing.

2021-2022

Growth in luxury fashion markets in Asia-Pacific

Higher demand from emerging economies like India and Southeast Asia is boosting exports from traditional silk-producing countries.

2020-2022

Technological advancements in silk weaving

Innovations in weaving and blending techniques are reducing costs and expanding the use of silk in non-traditional applications, driving trade volume.

2019-2022

Recent Developments

China's Silk Industry Modernization Plan

China announced a five-year plan to modernize its silk production facilities, focusing on automation and sustainability to maintain its dominance in the global market.

March 2023

Expected to increase export volumes by 10-15% over the next few years, potentially lowering prices due to economies of scale.

EU-India Trade Negotiations

Ongoing negotiations for a free trade agreement between the EU and India include discussions on reducing tariffs for silk textiles, which could boost Indian exports to Europe.

June 2023

If successful, this could lead to a 20% increase in Indian silk exports to the EU by 2025.

US Imposes New Quality Standards on Silk Imports

The US introduced stricter labeling and quality control requirements for imported silk products to combat mislabeling and ensure consumer safety.

January 2023

Smaller exporters may face challenges in meeting these standards, potentially reducing trade volume from certain countries.