Analysis
HTS 8502.39.00 covers other generating sets: other under heading 8502 (electric generating sets and rotary converters). US Customs collects import statistics for it under 2 ten-digit suffixes, reported in number of items.
The general duty rate is 2.5% of the customs value, which is in the middle of the rates in chapter 85 (67th percentile of 624 lines with an ad valorem rate). On a shipment valued at $10,000 that is $250 in duty before any Chapter 99 additions or preference claims.
Rates on the nearby lines range from 2% to 3%. The costliest confusion would be with 8502.40.00 (electric rotary converters) at 3%, a difference of 0.5 points on the customs value.
For statistics it divides in two: 8502.39.00.40 for powered by steam turbine and 8502.39.00.80 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 35%, 14.0 times the general rate.
Goods that qualify under GSP, the Australia FTA, the Automotive Products Trade Act, the Bahrain FTA, the civil aircraft agreement, and 15 others can enter duty-free instead of paying 2.5%. 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.
Statistical suffixes
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 8502.11.00 | Of an output not exceeding 75 kVA | 2.5% |
| 8502.12.00 | Of an output exceeding 75 kVA but not exceeding 375 kVA | 2.5% |
| 8502.13.00 | Of an output exceeding 375 kVA | 2% |
| 8502.20.00 | Generating sets with spark-ignition internal combustion piston engines | 2% |
| 8502.31.00 | Other generating sets: wind-powered | 2.5% |
| 8502.40.00 | Electric rotary converters | 3% |