HS Code:
The Spark-ignition reciprocating or rotary internal combustion piston engines category (HS Code: 8407) includes engines typically used in automobiles, motorcycles, and small aircraft. These engines operate on the principle of spark ignition, where a spark plug ignites the fuel-air mixture to produce power. This category encompasses a wide range of engine sizes and applications, from small engines for lawnmowers to high-performance engines for sports cars. The trade of these engines is a significant component of the global automotive and machinery industries, driven by demand for transportation, industrial equipment, and consumer goods.
Total Trade Volume
USD 45.3 billion
Data from 2022
Source
United Nations Comtrade Database
Average Rate
5.2%
Highest Rate
25% (applied by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements like EU-Japan EPA)
Shift towards hybrid and electric vehicle engines
Declining demand for traditional spark-ignition engines in developed markets, with growth shifting to hybrid-compatible engines
2020-2022
Increased demand in emerging markets
Rising automobile ownership in Asia and Africa boosts demand for affordable spark-ignition engines
2018-2022
Technological advancements in fuel efficiency
Manufacturers investing in R&D for lightweight and efficient engines to meet stringent emission regulations
2019-2022
The European Union introduced stricter Euro 7 emission standards, impacting the design and trade of spark-ignition engines.
November 2022
Increased production costs for manufacturers exporting to the EU, potential shift towards electric alternatives
Phase One trade agreement between the US and China reduced tariffs on automotive components, including spark-ignition engines.
January 2020 (Reviewed 2022)
Boosted trade volumes between the two countries, stabilizing prices for US consumers
Japan announced incentives for hybrid vehicle production, increasing exports of hybrid-compatible spark-ignition engines.
March 2023
Strengthened Japan's position as a leading exporter, shifting focus from traditional engines