HS Code:
The Electromechanical category, primarily falling under HS Code 85, encompasses a wide range of electrical machinery and equipment, including motors, generators, transformers, and various electromechanical devices used in industrial, commercial, and consumer applications. This category is pivotal to modern infrastructure, powering industries such as manufacturing, energy, and telecommunications. Products include electric motors, power generation equipment, and electrical control apparatus, reflecting the integration of mechanical and electrical engineering.
Total Trade Volume
USD 2.5 trillion
Data from 2022
Source
United Nations Comtrade Database
USD 650 billion
26% of total trade of total trade
Increasing
USD 400 billion
16% of total trade of total trade
Stable
USD 300 billion
12% of total trade of total trade
Increasing
USD 200 billion
8% of total trade of total trade
Stable
USD 150 billion
6% of total trade of total trade
Increasing
Average Rate
5.2%
Highest Rate
15% (applied by certain developing countries on specific high-value equipment)
Lowest Rate
0% (under free trade agreements such as USMCA and EU-Japan EPA)
Shift towards renewable energy equipment
Increased demand for electromechanical components in wind turbines and solar power systems, driving innovation and trade in green technologies.
2021-2022
Automation and Industry 4.0 adoption
Rising trade in robotics and automated machinery as industries modernize, particularly in developed economies.
2020-2022
Supply chain diversification
Countries are seeking alternative suppliers outside traditional hubs like China to mitigate risks from geopolitical tensions and pandemics.
2021-2023
As part of the ongoing trade negotiations, tariffs on certain electromechanical products were reduced, facilitating smoother trade flows between the two largest economies.
January 2020 (ongoing impact in 2022-2023)
Increased exports of US-made electromechanical components to China, though tensions persist over technology transfers.
The European Union introduced subsidies and favorable trade policies to boost imports of electromechanical equipment for renewable energy projects.
December 2021
Significant growth in trade with countries manufacturing green tech components, benefiting exporters like Germany and China.
A worldwide shortage of semiconductors has disrupted the production and trade of electromechanical devices reliant on electronic components.
2021-2023
Delayed shipments and increased costs for manufacturers, prompting countries to invest in domestic chip production.