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Global Tariffs, Categorized

🇺🇸 United States
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📦 For vehicles of subheading 8701.21, 8701.22, 8701.23, 8701.24 or 8701.29 or heading 8702, 8704 or 8705

For vehicles of subheading 8701.21, 8701.22, 8701.23, 8701.24 or 8701.29 or heading 8702, 8704 or 8705

HS Code:

📦

Overview

This category includes parts and accessories for vehicles classified under HS subheadings 8701.21 to 8701.29 (road tractors for semi-trailers), as well as headings 8702 (motor vehicles for the transport of ten or more persons), 8704 (motor vehicles for the transport of goods), and 8705 (special purpose motor vehicles). These components are essential for the manufacturing, maintenance, and repair of heavy-duty and commercial vehicles used in logistics, public transportation, and specialized applications. The category encompasses a wide range of products such as engines, chassis, body parts, and other mechanical or electrical components specific to these vehicle types.

Total Trade Volume

USD 120 billion

Data from 2022

Source

United Nations Comtrade Database & World Trade Organization (WTO)

Tariff Analysis

Average Rate

5.2%

Highest Rate

25% (applied by certain developing countries to protect domestic industries)

Lowest Rate

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

Common Restrictions

  • Import quotas in specific markets
  • Local content requirements for manufacturing
  • Technical standards and certification barriers
  • Anti-dumping duties in response to price undercutting

Market Trends

Shift towards electric and hybrid components

Increased demand for batteries, electric drivetrains, and related parts for commercial vehicles, driven by global sustainability goals.

2021-2023

Supply chain regionalization

Manufacturers are relocating production closer to key markets to reduce costs and mitigate risks from global disruptions like pandemics or geopolitical tensions.

2020-2022

Rising automation in logistics vehicles

Growing trade in advanced driver-assistance systems (ADAS) and autonomous driving components for trucks and transport vehicles.

2022-2023

Recent Developments

EU Green Deal Impact on Commercial Vehicles

The European Union has introduced stricter emission standards under the Green Deal, pushing manufacturers to invest in eco-friendly vehicle components.

March 2023

Increased trade in electric vehicle parts, but higher compliance costs for exporters to the EU.

USMCA Trade Agreement Updates

Revised rules of origin under the USMCA have tightened requirements for vehicle parts, affecting supply chains in North America.

January 2023

Boosted trade within the region but created challenges for non-USMCA suppliers.

China’s Export Surge in Vehicle Parts

China has ramped up exports of cost-competitive vehicle components, particularly for heavy-duty trucks and buses, amidst global supply chain recovery.

July 2023

Increased market share for Chinese exporters, but also heightened scrutiny and potential tariffs in key markets.