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๐Ÿ“ฆ Electric instantaneous or storage water heaters and immersion heaters

Electric instantaneous or storage water heaters and immersion heaters

HS Code:

๐Ÿ“ฆ

Overview

Electric instantaneous or storage water heaters and immersion heaters (HS Code: 851610) encompass a range of appliances used for heating water for domestic, commercial, and industrial purposes. Instantaneous water heaters heat water on demand without the need for a storage tank, while storage water heaters maintain a reservoir of hot water. Immersion heaters are portable or fixed devices used to heat liquids directly. These products are critical in households, hospitality, healthcare, and various industries, with demand influenced by energy efficiency standards, urbanization, and climate conditions.

Total Trade Volume

USD 5.2 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

5.2%

Highest Rate

35% (imposed by certain developing countries for protecting domestic industries)

Lowest Rate

0% (under free trade agreements like EU Single Market or USMCA)

Common Restrictions

  • Import quotas in some regions to protect local manufacturers
  • Energy efficiency certification requirements
  • Safety standard compliance (e.g., CE marking in Europe)
  • Anti-dumping duties on specific exporters

Market Trends

Rising demand for energy-efficient models

Increased adoption of tankless and solar-integrated water heaters due to environmental regulations and consumer preference for lower energy costs.

2021-2023

Growth in smart water heaters

Integration of IoT and smart home technologies has boosted demand for connected devices, particularly in developed markets.

2020-2023

Urbanization in developing economies

Rapid urban growth in Asia and Africa has driven demand for water heating solutions in residential and commercial sectors.

2019-2023

Recent Developments

EU Energy Efficiency Directive Update

The European Union updated its Energy Efficiency Directive, mandating stricter energy labeling and performance standards for electric water heaters starting in 2023.

January 2023

Manufacturers must innovate to meet new standards, potentially increasing production costs but also opening markets for premium, efficient products.

US-China Trade Agreement Phase One

As part of the Phase One trade deal, tariffs on certain Chinese-made water heaters were reduced, facilitating smoother trade flows between the two nations.

February 2020 (reaffirmed in 2022)

Reduced costs for US importers and consumers, with a slight increase in Chinese export volumes to the US.

Indiaโ€™s Make in India Initiative

India introduced incentives for local manufacturing of electric water heaters to reduce import dependency, coupled with higher tariffs on imported units.

October 2022

Increased domestic production but potential supply chain challenges for international exporters targeting the Indian market.