A recent bilateral trade agreement between the United States and Madagascar has facilitated an increase in exports of electrical equipment, including items with a power handling capacity of 40 VA or greater (HS Code: 8504.40), from the US to Madagascar. The agreement reduces tariffs by 15% on such goods.
2023-10-15
Impact: This reduction in tariffs is expected to enhance US exports of power handling equipment to Madagascar, potentially increasing trade volume by 10-12% over the next year.
Madagascar Imposes New Import Standards for Electrical Goods
Madagascar has introduced stricter safety and quality standards for imported electrical equipment, including products with a power handling capacity of 40 VA or greater (HS Code: 8504.40), affecting US exporters. Compliance certification is now mandatory.
2023-09-22
Impact: US exporters may face delays and additional costs to meet Madagascar’s new standards, potentially reducing short-term trade flows until compliance is streamlined.
US Increases Export Subsidies for Electrical Equipment to African Markets
The US government announced a subsidy program targeting electrical equipment exports, including items with a power handling capacity of 40 VA or greater (HS Code: 8504.40), to African nations like Madagascar, aiming to strengthen trade ties.
2023-08-30
Impact: These subsidies could lower costs for US manufacturers, making their products more competitive in Madagascar and potentially increasing market share.
Policy Updates
US-Madagascar Tariff Reduction on Electrical Equipment
Under a new trade pact, tariffs on electrical equipment with a power handling capacity of 40 VA or greater (HS Code: 8504.40) have been reduced by 15% for US exports to Madagascar, effective immediately.
Madagascar has enforced a new policy requiring all imported electrical equipment, including those with a power handling capacity of 40 VA or greater (HS Code: 8504.40), to obtain a safety and quality certification prior to entry, impacting US exporters.
