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๐Ÿ“ฆ Valued over 69ยข per proof liter

Valued over 69ยข per proof liter

HS Code:

๐Ÿ“ฆ

Overview

The 'Valued over 69ยข per proof liter' category typically pertains to distilled spirits and alcoholic beverages under specific Harmonized System (HS) codes, such as those within the 2208 chapter (e.g., 2208.30 for whiskies or 2208.60 for vodka). This category includes high-value alcoholic products often subject to strict regulations, excise duties, and tariffs due to their alcohol content and market positioning. These products are traded globally, with significant production and consumption concentrated in specific regions known for their distillation heritage or large consumer markets.

Total Trade Volume

USD 25.3 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

25% ad valorem + specific duties based on alcohol content

Highest Rate

Up to 100% + excise duties in markets like India and certain Middle Eastern countries with restrictive alcohol policies

Lowest Rate

0-5% in free trade zones or under agreements like the EU Single Market or USMCA

Common Restrictions

  • Import quotas in certain countries
  • High excise taxes based on proof liter
  • Labeling and health warning requirements
  • Prohibitions or severe restrictions in countries with alcohol bans (e.g., Saudi Arabia, Iran)
  • Age restrictions and distribution licensing

Market Trends

Rising demand for premium and craft spirits

Increased exports of high-value whiskies, vodkas, and tequilas, particularly from the UK, US, and Mexico, driven by consumer preference for quality over quantity

2020-2022

Growth in emerging markets

Countries like India, China, and Brazil are seeing increased imports of premium spirits as disposable incomes rise and cultural acceptance grows

2019-2022

Impact of trade agreements

Reduction in tariffs under agreements like the EU-UK Trade and Cooperation Agreement post-Brexit has facilitated smoother trade of spirits between major markets

2021-2022

Recent Developments

US-EU Tariff Suspension on Spirits

The United States and European Union agreed to suspend tariffs on distilled spirits as part of a broader trade truce, resolving disputes related to Boeing-Airbus subsidies.

June 2021

Boosted exports of European spirits like Scotch whisky and cognac to the US market, increasing trade volume by approximately 10% in 2022.

India's Tariff Reduction Talks

Ongoing negotiations between India and the EU/UK for free trade agreements include discussions on reducing high tariffs and excise duties on imported spirits.

October 2023

Potential market expansion for premium spirits in India, one of the largest consumer markets for alcohol, if agreements are finalized.

China's Anti-Dumping Investigation on EU Brandy

China initiated an anti-dumping investigation into brandy imports from the EU, potentially affecting French producers like cognac manufacturers.

January 2023

Could lead to retaliatory tariffs or restrictions, impacting EU exports valued at over USD 1 billion annually to China.