HS Code:
Rotary or fixed cutter drill bits with cutting parts made of precious or semiprecious stones (natural, synthetic, or reconstructed) mounted on a substrate of base metal or metal carbide, which are in turn mounted to a base metal body, are specialized tools designed for use with rock drilling and earth boring equipment classified under heading 8430 of the Harmonized System (HS). These drill bits are critical in industries such as mining, oil and gas exploration, and construction, where high durability and precision are required to penetrate hard rock formations. The use of precious or semiprecious stones enhances the cutting efficiency and lifespan of these tools under extreme conditions.
Total Trade Volume
Approximately $1.2 billion USD
Data from 2022
Source
United Nations Comtrade Database, International Trade Centre (ITC)
$450 million USD
37.5% of total trade of total trade
Increasing
$300 million USD
25.0% of total trade of total trade
Increasing
$150 million USD
12.5% of total trade of total trade
Stable
$100 million USD
8.3% of total trade of total trade
Increasing
$80 million USD
6.7% of total trade of total trade
Stable
Average Rate
5.2% ad valorem
Highest Rate
12% (applied by certain developing countries)
Lowest Rate
0% (under free trade agreements like USMCA and EU trade pacts)
Increased demand for synthetic diamond drill bits
Synthetic stones reduce costs and improve supply chain stability, driving market growth in mining and oil exploration sectors
2021-2023
Technological advancements in drill bit design
Innovations in mounting techniques and substrate materials enhance durability, increasing adoption in harsh drilling environments
2020-2022
Rising focus on sustainable mining practices
Pressure for eco-friendly production methods is pushing manufacturers to adopt greener technologies and materials
2022-2023
The United States Trade Representative announced temporary tariff waivers on certain base metal substrates used in drill bit manufacturing to support domestic oil and gas industries.
June 2023
Expected to lower production costs for US manufacturers and increase competitiveness in global markets.
China reported a 15% increase in exports of synthetic stone-based drill bits, driven by advancements in production technology and competitive pricing.
March 2023
Strengthens China's position as a leading supplier, potentially impacting market shares of other exporters.
The European Union introduced stricter regulations on the ethical sourcing of precious and semiprecious stones used in industrial tools, aiming to combat conflict mineral trade.
January 2023
May increase compliance costs for manufacturers but improve transparency and consumer confidence in EU markets.