Analysis
HTS 8461.40.10 covers gear cutting machines under heading 8461 (machine tools for planing, shaping, slotting, broaching, gear cutting, gear grinding or…). US Customs collects import statistics for it under 5 ten-digit suffixes, reported in number of items.
The general duty rate is 5.8% of the customs value, which is among the highest the rates in chapter 84 (98th percentile of 823 lines with an ad valorem rate). On a shipment valued at $10,000 that is $580 in duty before any Chapter 99 additions or preference claims.
Goods that qualify under GSP, the Australia FTA, the Bahrain FTA, the Chile FTA, the Colombia TPA, and 12 others can enter duty-free instead of paying 5.8%. It is also eligible under GSP, the developing-country programme, which Congress has to renew; check whether GSP is in force on the entry date. Reduced but not zero rates apply under some agreements: 2.9% for JP.
Neighbouring lines carry rates from 4.4% to 4.4%, so the exact line matters. The widest gap is with 8461.90.60 (other: other), at 4.4%: a product that belongs there but is entered here, or the reverse, changes the duty by 1.4 percentage points.
The column 2 rate, for countries without normal trade relations, is 40%, 6.9 times the general rate.
Statistical suffixes
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 8461.20.40 | Numerically controlled | 4.4% |
| 8461.20.80 | Shaping or slotting machines: other | 4.4% |
| 8461.30.40 | Numerically controlled | 4.4% |
| 8461.30.80 | Broaching machines: other | 4.4% |
| 8461.40.50 | Gear grinding or finishing machines | 4.4% |
| 8461.50.40 | Numerically controlled | 4.4% |
| 8461.50.80 | Sawing or cutting-off machines: other | 4.4% |
| 8461.90.30 | Numerically controlled | 4.4% |
| 8461.90.60 | Other: other | 4.4% |