HS Code:
The 'Valued less than 90ยข/kg' category typically includes low-value bulk commodities or raw materials under various HS Codes, often encompassing agricultural products, basic minerals, or low-cost industrial goods. These products are characterized by their low unit price and are generally traded in large volumes to achieve economies of scale. They are critical in global supply chains, especially for developing economies, but are often subject to fluctuating demand and price volatility due to market conditions, geopolitical factors, and environmental impacts.
Total Trade Volume
Approximately $50 billion USD
Data from 2022
Source
United Nations Comtrade Database and World Trade Organization (WTO) Statistics
$10 billion USD
20% of total trade of total trade
Increasing
$8 billion USD
16% of total trade of total trade
Stable
$6 billion USD
12% of total trade of total trade
Increasing
$5 billion USD
10% of total trade of total trade
Decreasing
$4 billion USD
8% of total trade of total trade
Stable
Average Rate
5.2% ad valorem
Highest Rate
15% (imposed by certain protectionist markets)
Lowest Rate
0% (under free trade agreements or for Least Developed Countries)
Rising demand for low-cost raw materials in manufacturing hubs
Increased exports from resource-rich developing countries to industrial economies like China and India
2021-2022
Price volatility due to geopolitical tensions
Disruptions in supply chains have led to erratic pricing and stockpiling by major importers
2022
Shift toward sustainable sourcing
Growing pressure on exporters to comply with environmental standards, affecting cost structures
2020-2022
The Regional Comprehensive Economic Partnership (RCEP) has reduced tariffs on low-value commodities, boosting trade among member countries.
January 2022
Increased market access for exporters like Indonesia and Australia, potentially raising trade volumes by 10-15%.
Certain countries imposed temporary export restrictions on low-value agricultural products to ensure domestic food security amid global supply chain disruptions.
March 2022
Caused a 5% spike in global prices for affected commodities and shifted trade flows to alternative suppliers.
Major importing blocs like the EU introduced stricter sustainability and traceability requirements for low-value raw materials.
July 2022
Increased compliance costs for exporters, potentially reducing competitiveness of non-compliant suppliers.