Sourcing tugs and pusher craft from China
Tugs and pusher craft from China pay 0% UK duty on all three lines of heading 8904, with no anti-dumping duty. A vessel of at least 15 gross tons that is not designed for recreation is a qualifying ship, whose supply, including import, may be zero-rated for VAT. The work is in the specification, class survey, sea trials and delivery voyage or heavy-lift shipment.
0% duty
Read from the UK Trade Tariff on 29 October 2026, heading 8904 covers tugs and pusher craft. All three lines carried 0% on goods from China, with no anti-dumping measure.
Workboats built for other purposes, such as crew transfer, pilot or survey vessels, may fall under other headings of chapter 89; confirm the commodity code from the vessel's design.
| Goods | Commodity code | Duty | Anti-dumping duty on China |
|---|---|---|---|
| Tugs | 8904 00 10 00 | 0% | None |
| Pusher craft, seagoing | 8904 00 91 00 | 0% | None |
| Pusher craft, other | 8904 00 99 00 | 0% | None |
VAT on a qualifying ship
VAT Notice 744C defines a qualifying ship as any ship of not less than 15 gross tons that is not designed or adapted for recreation or pleasure. The supply of a qualifying ship may be zero-rated, and for the notice supply includes import, so a commercial tug of that size can usually be imported without import VAT. Smaller or recreational craft are standard-rated. Check the vessel against the notice before relying on it.
Specifying and building a tug
Specify bollard pull, propulsion (twin screw, azimuth or Voith), engine make and power, length, draught and tonnage, the classification society and class notation, the flag state requirements, winches and towing gear, fendering, accommodation and the spares package. Name the main engine, gearbox and winch makers in the contract.
Agree stage payments against build milestones witnessed by your surveyor, and write the class certificate, sea trial results and bollard pull test into the conditions for final payment.
Worked duty example
An invented example rather than a quote: one harbour tug under 8904 00 10 00, with a customs value of £2,400,000 after the delivery cost to the UK. Duty is 0%, and if the tug is a qualifying ship under VAT Notice 744C its import can be zero-rated, so no import VAT is due. The delivery itself, by delivery voyage or heavy-lift ship, and the surveyor's time are the costs to plan. See calculating UK import duty and VAT for the method.
Inspection checklist
Build: the surveyor attends key stages such as hull blocks, engine installation and pressure tests, and checks welding and coating records.
Trials: witness sea trials, the bollard pull test, manoeuvring and winch tests, and check noise and vibration.
Documents: class certificates, tonnage certificate, equipment certificates and manuals in English before delivery. See our quality inspection guide.
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What goes wrong
Vessel orders fail on specification drift, class and delivery. Engines or winches are swapped for other makes, the bollard pull falls short on test, class documents are incomplete at delivery, and the delivery voyage or heavy-lift booking slips.
Cambridge China Bridge helps UK marine buyers verify Chinese yards and follow the build. See machinery and equipment.
Frequently asked questions
What is the UK import duty on a tug from China?
Read from the UK Trade Tariff on 29 October 2026, tugs and pusher craft under heading 8904 carried 0% from China.
Is there import VAT on a tug?
A qualifying ship of at least 15 gross tons not designed for recreation may be zero-rated under VAT Notice 744C, and supply includes import.
What should be tested before delivery?
Sea trials, the bollard pull test, manoeuvring and winch tests, witnessed by your surveyor, with class certificates complete.
How does a tug get from China to the UK?
By a delivery voyage under its own power or as cargo on a heavy-lift ship, arranged and insured before the final payment.