Analysis
HTS 8461.50.40 covers numerically controlled under heading 8461 (machine tools for planing, shaping, slotting, broaching, gear cutting, gear grinding or…). US Customs collects import statistics for it under 2 ten-digit suffixes, reported in number of items.
The general duty rate is 4.4% of the customs value, which is among the highest the rates in chapter 84 (91st percentile of 823 lines with an ad valorem rate). On a shipment valued at $10,000 that is $440 in duty before any Chapter 99 additions or preference claims.
Rates on the nearby lines range from 4.4% to 5.8%. The costliest confusion would be with 8461.40.10 (gear cutting machines) at 5.8%, a difference of 1.4 points on the customs value.
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 4.4%. 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.
For statistics it divides in two: 8461.50.40.10 for used or rebuilt and 8461.50.40.50 for other. Both pay the same duty; the suffix records which kind was imported.
The column 2 rate, for countries without normal trade relations, is 30%, 6.8 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% |
| 8461.40.10 | Gear cutting machines | 5.8% |
| 8461.40.50 | Gear grinding or finishing machines | 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% |