HS Code:
The 'Valued less than 39ยข/kg' category typically includes low-value bulk commodities or raw materials under various Harmonized System (HS) codes. These products are often agricultural goods, basic minerals, or other primary resources with minimal processing. Due to the low per-unit value, trade in this category is heavily influenced by transportation costs, regional availability, and tariff barriers. This category is critical for developing economies that rely on exporting raw materials, but it is also subject to volatile pricing and market access restrictions.
Total Trade Volume
Approximately $15.3 billion USD
Data from 2022
Source
United Nations Comtrade Database & World Trade Organization (WTO) Statistics
$3.2 billion USD
20.9% of total trade of total trade
Increasing
$2.8 billion USD
18.3% of total trade of total trade
Stable
$1.9 billion USD
12.4% of total trade of total trade
Increasing
$1.5 billion USD
9.8% of total trade of total trade
Increasing
$1.1 billion USD
7.2% of total trade of total trade
Stable
Average Rate
8.5% ad valorem
Highest Rate
25% (imposed by certain developed economies on specific raw materials)
Lowest Rate
0% (under preferential trade agreements like AGOA or EU GSP)
Rising demand for sustainable sourcing
Increased scrutiny on environmental and labor practices in producing countries, leading to higher compliance costs but also premium pricing opportunities for certified products.
2021-2022
Fluctuating commodity prices
Global economic uncertainty and geopolitical tensions have caused price volatility, affecting export revenues for countries reliant on this category.
2022
Shift towards regional trade agreements
Agreements like the African Continental Free Trade Area (AfCFTA) are reducing intra-regional tariffs, boosting trade among developing nations in low-value goods.
2020-2022
The European Union introduced stricter sustainability and traceability requirements for low-value agricultural imports to combat deforestation and ensure fair trade practices.
June 2023
Increased compliance costs for exporters but potential for long-term market access benefits for compliant suppliers.
Phase One of the US-China trade deal saw reduced tariffs on certain low-value raw materials, benefiting exporters from third countries as supply chains adjusted.
January 2023
Shift in trade flows, with countries like Brazil and Australia gaining market share in China.
Post-COVID shipping container shortages and port congestion have eased, reducing transportation costs for bulk low-value goods.
Mid-2023
Improved profitability for exporters as logistics costs stabilize, though risks of future disruptions remain.