8702.40.31

Analysis

HTS 8702.40.31 covers designed for the transport of 16 or more persons, including the driver under heading 8702 (motor vehicles for the transport of ten or more persons, including the driver).

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 2%. 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 general duty rate is 2% of the customs value, which is in the middle of the rates in chapter 87 (50th percentile of 212 lines with an ad valorem rate). On a shipment valued at $10,000 that is $200 in duty before any Chapter 99 additions or preference claims.

The column 2 rate, for countries without normal trade relations, is 25%, 12.5 times the general rate.

Census statistics map these goods to NAICS 336120 (Heavy Duty Truck Manufacturing), an industry of 109 US establishments employing 40,522 people, the industry a domestic producer of these goods reports under.