Analysis
Heading 8406 of the Harmonized Tariff Schedule covers steam turbines and other vapor turbines, and parts thereof. It divides into 4 six-digit subheadings and 14 eight-digit tariff lines, with 19 ten-digit statistical suffixes below them.
The spread of 6.7 percentage points between the cheapest and dearest lines makes misclassification expensive here. The highest rate, 6.7%, applies to 8406.10.10 (turbines for marine propulsion: steam turbines) and 8406.81.10 (of an output exceeding 40 MW: steam turbines).
7 of its 14 lines with a percentage rate are duty-free at the general rate (50%) and 7 are dutiable, from duty-free up to 6.7%. The median line pays 2.5%.
The largest subheadings are 8406.90 (parts, 8 lines), 8406.10 (turbines for marine propulsion, 2 lines), 8406.81 (of an output exceeding 40 MW, 2 lines) and 8406.82 (of an output not exceeding 40 MW, 2 lines).
Its median rate of 2.5% sits at the 68th percentile of the headings in chapter 84.
Tariff lines
| Line | Description | General rate |
|---|---|---|
| 8406.10.10 | Turbines for marine propulsion: steam turbines | 6.7% |
| 8406.10.90 | Turbines for marine propulsion: other | Free |
| 8406.81.10 | Of an output exceeding 40 MW: steam turbines | 6.7% |
| 8406.81.90 | Of an output exceeding 40 MW: other | Free |
| 8406.82.10 | Of an output not exceeding 40 MW: steam turbines | 6.7% |
| 8406.82.90 | Of an output not exceeding 40 MW: other | Free |
| 8406.90.20 | Rotors, finished for final assembly | 5% |
| 8406.90.30 | Rotors, not further advanced than cleaned or machined for removal of fins, gates, sprues, and risers, or to permit location in finishing machinery | 5% |
| 8406.90.40 | Blades, rotating or stationary | 5% |
| 8406.90.45 | Of steam turbines: other | 5% |
| 8406.90.50 | Rotors, finished for final assembly | Free |
| 8406.90.60 | Rotors, not further advanced than cleaned or machined for removal of fins, gates, sprues, and risers, or to permit location in finishing machinery | Free |
| 8406.90.70 | Blades, rotating or stationary | Free |
| 8406.90.75 | Other: other | Free |