Analysis
HTS 8505.20.00 covers electromagnetic couplings, clutches and brakes under heading 8505 (electromagnets; permanent magnets and articles intended to become permanent magnets after…).
Rates on the nearby lines range from duty-free to 4.9%. The costliest confusion would be with 8505.90.70 (electromagnets of a kind used solely or principally for magnetic…) at duty-free, a difference of 3.1 points on the customs value.
The general duty rate is 3.1% of the customs value, which is above most the rates in chapter 85 (79th percentile of 624 lines with an ad valorem rate). On a shipment valued at $10,000 that is $310 in duty before any Chapter 99 additions or preference claims.
Goods that qualify under GSP, the Australia FTA, the Automotive Products Trade Act, the Bahrain FTA, the Chile FTA, and 13 others can enter duty-free instead of paying 3.1%. 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.
The column 2 rate, for countries without normal trade relations, is 35%, 11.3 times the general rate.
Neighbouring lines
| Line | Description | General rate |
|---|---|---|
| 8505.11.00 | Permanent magnets and articles intended to become permanent magnets after magnetization: of metal | 2.1% |
| 8505.19.10 | Other: flexible magnets | 4.9% |
| 8505.19.20 | Composite good containing flexible magnets | 4.9% |
| 8505.19.30 | Other: other | 4.9% |
| 8505.90.30 | Electromagnetic lifting heads | Free |
| 8505.90.40 | Work holders and parts thereof | Free |
| 8505.90.70 | Electromagnets of a kind used solely or principally for magnetic resonance imaging apparatus, other than apparatus of heading 9018 | Free |
| 8505.90.75 | Other, including parts: other | 1.3% |