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Global Tariffs, Categorized

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📦 Rails

Rails

HS Code:

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Overview

The Rails category, classified under HS Code 7302, encompasses railway or tramway track construction materials of iron or steel, including rails, check-rails, rack rails, and other related components. This category is critical for infrastructure development, supporting rail transport systems globally. The products are primarily used in the construction and maintenance of railway networks, including high-speed rail, freight lines, and urban transit systems. Trade in this category is influenced by large-scale infrastructure projects, urbanization, and government investments in transportation.

Total Trade Volume

USD 5.2 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

5.2%

Highest Rate

15% (applied by certain developing countries to protect domestic industries)

Lowest Rate

0% (under free trade agreements like EU internal trade or USMCA)

Common Restrictions

  • Import quotas in some countries to support local steel industries
  • Anti-dumping duties, particularly against Chinese exports
  • Quality and safety certification requirements
  • Environmental compliance regulations for production processes

Market Trends

Increased demand for high-speed rail components

Driven by global investments in sustainable transport, particularly in Asia and Europe, leading to higher trade volumes for specialized rails.

2021-2023

Shift towards eco-friendly production

Manufacturers adopting greener steel production methods due to environmental regulations, increasing production costs but appealing to sustainability-focused markets.

2020-2022

Growth in urban transit systems

Rising urbanization in developing countries boosts demand for metro and light rail systems, positively impacting rail imports in regions like Africa and Southeast Asia.

2019-2023

Recent Developments

EU Imposes Anti-Dumping Duties on Chinese Rails

The European Union imposed provisional anti-dumping duties on Chinese rail imports to protect domestic manufacturers, citing unfair pricing practices.

March 2023

Likely to reduce Chinese rail exports to the EU, potentially increasing market share for European producers like Austria and Germany.

China’s Belt and Road Initiative Boosts Rail Exports

China’s infrastructure projects under the Belt and Road Initiative have led to a surge in rail exports to Central Asia and Africa as part of railway network expansions.

January 2023

Strengthens China’s position as the leading exporter while creating new trade corridors for rail products.

US Infrastructure Bill Increases Domestic Demand

The US Infrastructure Investment and Jobs Act allocates significant funding for rail modernization, increasing demand for both domestic production and imports.

November 2021

Expected to drive trade volume growth for rail products in the US market, benefiting exporters like Japan and Germany.