HS Code:
The category of 'Fibers of cotton, processed but not spun' under HS Code 5203.00.30 includes cotton fibers that have undergone processes such as carding, combing, or other preparatory treatments, but have not yet been spun into yarn. This intermediate product is a critical input in the textile industry, used primarily for the production of cotton yarn and subsequent fabric manufacturing. The processing enhances the quality and usability of raw cotton by aligning fibers and removing impurities.
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
United Nations Comtrade Database and International Trade Centre (ITC)
$350 million USD
29.2% of total trade of total trade
Increasing
$280 million USD
23.3% of total trade of total trade
Stable
$150 million USD
12.5% of total trade of total trade
Increasing
$100 million USD
8.3% of total trade of total trade
Stable
$80 million USD
6.7% of total trade of total trade
Decreasing
Average Rate
5.2% ad valorem
Highest Rate
12% (applied by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements like USMCA or EU trade pacts)
Rising demand for sustainable and organic cotton fibers
Increased trade volume for certified processed cotton fibers as manufacturers aim to meet consumer preferences for eco-friendly textiles.
2021-2022
Shift towards automation in cotton processing
Improved quality and consistency of processed fibers, leading to higher export competitiveness for technologically advanced countries.
2020-2022
Fluctuations in raw cotton prices due to climate impacts
Unpredictable supply chains and price volatility affecting trade volumes and market stability for processed cotton fibers.
2019-2022
A new phase of the US-China trade agreement has reduced tariffs on processed cotton fibers, boosting exports from the US to China.
March 2023
Expected to increase US trade volume by 10-15% in the coming year, benefiting American exporters.
India introduced a policy to subsidize processed cotton exports to strengthen its position in the global market.
January 2023
Likely to maintain or increase Indiaโs share in global trade, potentially impacting competitors like Pakistan.
Severe drought conditions in Brazil have reduced raw cotton output, affecting the supply of processed fibers for export.
October 2022
Temporary reduction in Brazilโs export capacity, creating opportunities for other exporters like Australia.