HS Code:
The category of Electrical Machinery and Equipment and Parts Thereof; Sound Recorders and Reproducers, Television Image and Sound Recorders and Reproducers, and Parts and Accessories of Such Articles (HS Code 85) encompasses a wide range of products including electric motors, generators, transformers, batteries, telecommunications equipment, audio-visual equipment, and their components. This category is critical to modern economies, supporting industries such as telecommunications, energy, consumer electronics, and industrial automation. It is one of the largest traded categories globally due to the ubiquitous demand for electrical and electronic products.
Total Trade Volume
2.7 trillion USD
Data from 2022
Source
United Nations Comtrade Database
950 billion USD
35.2% of total trade of total trade
Increasing
350 billion USD
13.0% of total trade of total trade
Stable
200 billion USD
7.4% of total trade of total trade
Increasing
180 billion USD
6.7% of total trade of total trade
Stable
150 billion USD
5.6% of total trade of total trade
Increasing
Average Rate
4.5% ad valorem
Highest Rate
35% (in some developing countries for luxury electronics)
Lowest Rate
0% (under free trade agreements or WTO commitments)
Rise in demand for renewable energy equipment
Increased trade in solar inverters, wind turbine components, and energy storage systems due to global push for sustainability.
2021-2023
Growth of 5G technology
Significant boost in trade for telecommunications equipment and related infrastructure components.
2020-2023
Supply chain diversification
Countries are shifting away from over-reliance on single suppliers (e.g., China) due to geopolitical tensions and pandemic disruptions, leading to increased trade with Southeast Asian nations.
2021-2023
The United States imposed additional tariffs on Chinese electrical machinery and electronics as part of ongoing trade disputes, prompting retaliatory tariffs from China.
Mid-2022
Increased costs for consumers and businesses, with some companies relocating manufacturing to Vietnam and Taiwan.
The European Union introduced stricter regulations on energy efficiency and recycling for electrical equipment under the Green Deal framework.
Early 2023
Manufacturers face higher compliance costs, but this also drives innovation and trade in eco-friendly technologies.
A persistent shortage of semiconductors has disrupted the production and trade of electrical machinery and consumer electronics worldwide.
2021-2023
Delayed deliveries and higher prices for end products, prompting investments in domestic chip manufacturing in the US, EU, and India.