HS Code:
The G.V.W. (Gross Vehicle Weight) exceeding 20 metric tons category typically includes heavy-duty vehicles such as large trucks, construction machinery transporters, and other specialized vehicles used for industrial and commercial purposes. This category falls under HS Code 8704.23 for motor vehicles for the transport of goods with a G.V.W. exceeding 20 metric tons. These vehicles are critical in industries like logistics, mining, and construction, facilitating the movement of heavy goods and materials across long distances. Trade in this category is influenced by global infrastructure projects, industrial growth, and environmental regulations.
Total Trade Volume
USD 15.3 billion
Data from 2022
Source
United Nations Comtrade Database
USD 3.8 billion
24.8% of total trade of total trade
Increasing
USD 2.5 billion
16.3% of total trade of total trade
Stable
USD 2.1 billion
13.7% of total trade of total trade
Increasing
USD 1.9 billion
12.4% of total trade of total trade
Stable
USD 1.5 billion
9.8% of total trade of total trade
Increasing
Average Rate
6.5% ad valorem
Highest Rate
25% (imposed by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU-Japan EPA)
Shift towards electric and hybrid heavy-duty vehicles
Increased demand for eco-friendly vehicles due to stricter emission regulations globally, particularly in Europe and North America
2021-2023
Rising demand in developing economies
Infrastructure projects in Asia and Africa are driving demand for heavy-duty vehicles, boosting exports from major producers like China and Japan
2020-2022
Supply chain disruptions
Global semiconductor shortages and logistical challenges have slowed production and delivery of heavy vehicles, affecting trade volumes
2021-2022
The European Union introduced stricter CO2 emission targets for heavy-duty vehicles, mandating a 30% reduction by 2030 compared to 2019 levels.
June 2023
Manufacturers are investing heavily in R&D for electric and hydrogen-powered trucks, potentially increasing costs but also opening new market segments.
Increased infrastructure projects under the Belt and Road Initiative have led to a surge in demand for heavy-duty vehicles in participating countries.
March 2023
Chinese manufacturers have seen a significant rise in exports, strengthening their position in the global market.
The United States reduced tariffs on heavy-duty vehicle imports from certain allied countries as part of trade negotiations.
January 2023
This has led to an increase in imports from Europe and Japan, benefiting manufacturers in those regions.