The Harmonized System Code (HS code) is an international standard for the classification of products used worldwide in the trade in goods. It was developed by the World Customs Organization (WCO). It consists of codes and descriptions that are used to identify and classify the different types of goods that are imported or exported.
The main characteristics of the heading include:
- Global Usage: The tariff number is accepted by most countries around the world, making it easier to trade internationally.
- Detailed classification: Each product can be identified by a six-digit heading, which can be extended to eight, ten or twelve digits depending on specific needs.
- Tax Rates: Tariff headings are used to determine the customs and tax rates applied to imported or export products.
- Standardization: This classification allows for consistency and clarity in the documentation used in international trade and customs clearance.
Depending on the specificity of the product, six, eight, ten or twelve digits of the heading can be used. By adding additional digits, the system allows for more accurate identification and classification of products for customs clearance, statistics, and other administrative purposes.
- First digit: This digit indicates the main product category
- 0: Live animals
- 1: Plant products
- 2: Animal products
- 3: Fats and oils of vegetable or animal origin
- etc.
- Second digit: This digit further divides the category from the first digit into subcategories
- 01: Cereals
- 02: Vegetables and edible fruits
- 03: Fish products
- 04: Milk and Dairy Products
- etc.
- Third and fourth digits: These digits are used for a more detailed specification of the product within the subcategory. For example, for fruits and nuts:
- 0801: Coconuts
- 0802: Almonds
- 0803: Bananas
- etc.
- Fifth and Sixth Digits: These digits provide an even more detailed specification of the product. For example, for the category of bananas:
- 080300: Bananas
Additional digits in the heading (HS code) allow for additional details in the classification of products beyond the standard six digits. These additional digits are optional and can be used to extend the accuracy of product identification according to specific requirements.
- Eight digits: Adding two additional digits (eight digits in total) allows for a more detailed classification of the product. These numbers can determine characteristics such as weight, size, or other specific attributes of the product.
- Ten digits: If four additional digits are used (ten digits in total), this allows for even more precise product identification. At this level, details such as the composition of the material, technical specifications or the purpose of the product can be included.
- Twelve digits: Using six additional digits (twelve digits in total), the most detailed classification is provided. These codes are commonly used for highly specialized products or products that require very precise identification for statistical, customs, or other administrative purposes.
Additional digits allow the heading to be adapted to the specific needs and requirements of each country or industry. They allow for better control, monitoring and enforcement of customs regulations, as well as improved analysis of trade flows and statistics.
Examples (Harmonized System - HS):
Live animals:
- 0101.21: Poultry (chickens, turkeys, geese, etc.)
- 0106.31: Cows and calves
- 0104.10: Sheep
Plants and plant products:
- 0602.30: Rose seedlings
- 0703.10: Potatoes
- 1201.00: Soybeans
Food products:
- 0402.21: Milk and sour cream
- 1605.10: Fish (dried, salted or smoked)
- 1905.90: Biscuits and biscuit products
Chemical products:
- 2801.10: Chlorine
- 2903.14: Ethanol (ethyl alcohol)
- 3808.10: Insecticides
Electronic devices:
- 8517.12: Mobile phones
- 8542.31: Semiconductors
- 8525.20: Television
