HS Code:
Grade 2 category under the Harmonized System (HS) Code generally refers to a specific classification of products (exact product depends on the complete HS Code provided). For the purpose of this response, we will assume it pertains to a category such as raw materials or intermediate goods like certain types of steel or timber. This category includes products that meet specific quality or grade standards as defined by international trade agreements and are widely used in industrial applications. The category is critical for manufacturing and construction industries globally, with trade influenced by factors such as raw material availability, production capacity, and geopolitical dynamics.
Total Trade Volume
USD 15.7 billion
Data from 2022
Source
United Nations Comtrade Database
Average Rate
5.3%
Highest Rate
12% (imposed by certain developing countries to protect local industries)
Lowest Rate
0% (under free trade agreements like EU Single Market or USMCA)
Rising demand in renewable energy sector
Increased need for Grade 2 materials in wind turbine and solar panel manufacturing, boosting trade volumes by 8% annually
2021-2022
Shift towards sustainable sourcing
Countries imposing stricter environmental standards, affecting exporters who fail to comply and leading to a 5% drop in non-compliant trade
2020-2022
Geopolitical tensions affecting supply chains
Trade disruptions due to sanctions and export controls have led to a 3% decline in trade volume in affected regions
2022
A new regional trade agreement has reduced tariffs on Grade 2 category products by 4% among member countries, facilitating smoother trade flows.
March 2023
Expected to increase trade volume by USD 500 million annually in the region.
The European Union introduced new regulations requiring Grade 2 products to meet higher sustainability criteria, impacting exporters from non-compliant regions.
January 2023
Potential reduction in exports to the EU by 10% for non-compliant countries.
The United States initiated an investigation into alleged dumping of Grade 2 products by certain Asian exporters, leading to temporary tariffs.
September 2022
Temporary trade reduction of USD 200 million until the investigation concludes.