HS Code:
This category pertains to motor vehicles for the transport of goods with a Gross Vehicle Weight (G.V.W.) exceeding 5 metric tons but not exceeding 9 metric tons, typically classified under HS Code 8704.22. These vehicles are medium-duty trucks used for commercial purposes, including logistics, construction, and industrial applications. They are critical for regional and urban freight transport, balancing payload capacity with maneuverability in diverse environments.
Total Trade Volume
USD 12.5 billion
Data from 2022
Source
United Nations Comtrade Database & World Trade Organization (WTO) Statistics
Average Rate
8.5%
Highest Rate
25% (imposed by certain developing economies to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU-Japan EPA or USMCA)
Shift towards electric and hybrid medium-duty trucks
Increasing demand for eco-friendly vehicles due to stricter emission regulations and fuel efficiency standards globally
2021-2023
Growth in e-commerce and last-mile delivery
Rising need for medium-duty trucks in urban logistics to support rapid delivery networks, particularly in emerging markets
2020-2022
Supply chain disruptions and semiconductor shortages
Delays in production and delivery of vehicles, leading to temporary trade volume reductions and price increases
2021-2022
The European Union has introduced stricter CO2 emission targets for medium-duty vehicles under the Green Deal, pushing manufacturers to invest in electric and hydrogen-powered trucks.
March 2023
Increased production costs in the short term but potential for long-term market growth in sustainable vehicle segments.
Under the United States-Mexico-Canada Agreement, tariffs on medium-duty trucks have been reduced, facilitating higher trade volumes among member countries.
July 2022
Boosted exports from the US and Mexico to Canada, strengthening North American supply chains.
Chinese manufacturers have increased exports of cost-competitive medium-duty trucks to Southeast Asia and Africa, supported by government subsidies and infrastructure projects like the Belt and Road Initiative.
October 2022
Growing market share for Chinese brands, intensifying competition with traditional leaders like Japan and Germany.