What is HS 401110?
HS 401110 covers new pneumatic tyres of rubber designed for use on passenger cars, including station wagons and racing cars. The classification sits within Chapter 40 (Rubber and Articles Thereof) of the Harmonized System and is distinct from tyres for buses, trucks (401120), motorcycles (401140), or agricultural vehicles. Correct classification matters: misclassifying commercial vehicle tyres as passenger tyres can result in underpayment of duties and post-clearance audits.
End-use applications fall into three broad categories: automotive OEM supply (fitment on new vehicles at the factory), the replacement tyre market (the dominant volume segment), and automotive aftermarket retail. Because replacement demand is tied to vehicle age and road usage rather than new car sales alone, HS 401110 trade volumes are relatively resilient to economic downturns compared to other automotive components.
Top Sourcing Countries for Passenger Car Tyres
Production and export of HS 401110 is concentrated in five primary origins, each offering a distinct commercial and regulatory profile:
- China (CN): The world's largest exporter of passenger car tyres, offering the broadest range of specifications and price points. Chinese-origin tyres face anti-dumping and countervailing duties in both the US and EU markets, making origin management a critical compliance task for importers targeting those destinations.
- Thailand (TH): A structurally advantaged sourcing origin due to proximity to natural rubber plantations and strong manufacturing infrastructure. Thai-origin tyres benefit from preferential duty treatment under several FTAs and avoid the anti-dumping exposure associated with Chinese origin.
- Indonesia (ID): Similar feedstock advantages to Thailand, with cost-competitive labour and growing export capacity. Indonesia is an increasingly important alternative origin for buyers seeking to diversify away from China.
- Japan (JP): Home to premium-tier manufacturers supplying OEM and high-performance replacement segments. Japanese-origin product commands a price premium but carries strong brand recognition and consistent quality certification.
- South Korea (KR): A significant exporter in the mid-to-premium segment, with established supply relationships across North America, Europe, and Southeast Asia.
Supply concentration in this category is assessed as medium, meaning no single origin holds a monopoly, but disruptions in China or Thailand would materially tighten global availability and exert upward price pressure.
Import Duty Rates and Trade Agreements
MFN duty rates for HS 401110 vary significantly by import market. Importers should verify current rates directly with their national customs authority, as rates are subject to change and FTA eligibility depends on rules of origin compliance. Key considerations include:
- The EU and US both maintain additional anti-dumping or safeguard measures on tyres of Chinese origin, in some cases adding substantial percentage points above MFN rates. Buyers sourcing from China for these markets must factor total landed duty cost carefully.
- ASEAN-origin tyres (Thailand, Indonesia) may qualify for reduced or zero duty rates under agreements such as ASEAN-Australia-NZ FTA, EU-Vietnam FTA (for Vietnamese origin), and various bilateral agreements. Rules of origin verification is essential.
- Under the US-Korea FTA (KORUS) and EU-Korea FTA, South Korean-origin tyres may attract preferential rates in major import markets.
Always confirm current duty schedules and any active trade remedy orders with your customs broker or the relevant customs authority before committing to a sourcing origin.
Cost Drivers and Price Outlook
Tyre manufacturing is input-intensive, and HS 401110 procurement prices are exposed to several volatile cost variables heading into 2025:
- Natural Rubber: The primary feedstock, sourced predominantly from Thailand, Indonesia, and Malaysia. Natural rubber prices are sensitive to weather events, disease outbreaks, and Southeast Asian supply conditions.
- Crude Oil: Brent crude has moved higher in recent months, with February 2026 data showing a month-on-month increase of approximately 7.4%. This directly impacts synthetic rubber and carbon black input costs, both critical tyre components. Sustained oil price elevation will compress manufacturer margins or flow through to contract pricing.
- Steel and Textile Cord: Used in tyre reinforcement structures. Aluminium prices have risen around 10% month-on-month as of early 2026, and broader metals market tightness adds upward pressure to manufacturing costs.
- Energy Costs: Tyre manufacturing is energy-intensive. Producers in regions with higher industrial energy costs face structural cost disadvantages relative to Southeast Asian manufacturers.
- Currency Fluctuations: Depreciation of the Thai Baht, Indonesian Rupiah, or Chinese Renminbi relative to the US Dollar or Euro makes exports from those origins more price-competitive for international buyers.
The combined signal from current commodity data suggests input cost pressure is building. Procurement teams should review contract price adjustment clauses and consider locking in volume agreements where possible.
Compliance and Sourcing Considerations
Transshipment risk for HS 401110 is assessed as medium. Chinese-origin tyres have historically been transshipped through third countries to obscure origin and avoid anti-dumping duties in the US and EU. Customs authorities in both markets have increased scrutiny, and importers found to have benefited from transshipment circumvention face retroactive duty assessments, penalties, and potential debarment from trade programmes.
- Request and retain full documentation of manufacturing origin, including mill certificates and production facility details.
- Conduct supplier due diligence to verify that the declared country of origin reflects actual substantial transformation, not just re-labelling or minor processing.
- Check whether your supplier's facility appears on any customs authority watch lists or has been subject to prior anti-circumvention investigations.
- Ensure CE marking, ECE R30 (EU), or DOT (US) compliance documentation is in order before importation, as tyres are subject to safety certification requirements in most major markets.
How to Source Passenger Car Tyres Efficiently
Efficient procurement of HS 401110 requires integrating trade intelligence into supplier selection, not just price negotiation. Practical steps include:
- Use historical import data to benchmark supplier volumes and identify which manufacturers are actively exporting to your target market — consistent export history is a proxy for logistics capability and regulatory compliance.
- Map your duty exposure by origin before requesting quotes. A materially lower ex-works price from a Chinese supplier may be offset by anti-dumping duties at the port of entry.
- Assess lead times against your inventory model. Southeast Asian origins typically involve longer ocean transit to Europe or North America than Northeast Asian origins, affecting safety stock requirements.
- Request third-party lab test reports confirming rolling resistance, wet grip, and noise ratings — particularly if selling into EU markets where tyre labelling regulations apply.
- Build origin diversification into your supplier panel. Relying on a single country of origin exposes you to trade policy shocks, port disruptions, and feedstock-driven supply squeezes.
Get a free sourcing intelligence report for HS 401110 at Logitality.com