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What are the functions of the Harmonized System Committee?
The purpose and scope of the HS Committee is to : interpret the HS legal texts in the most appropriate manner to secure uniform classification of goods, including settlement of classification disputes between CPs, thus facilitating trade (uniform interpretation and application);
Is the HS code the same for all countries?
HS Code is a universal code name that is used in more than 200 countries around the world, and more than 98% of trade merchandise is being classified with these codes. In other words, the six-digit HS Code is the same in almost every country in the world.
Why is the Harmonized System important?
The HS contributes to the harmonization of Customs and trade procedures, and the non-documentary trade data interchange in connection with such procedures, thus reducing the costs related to international trade.
What is HS code example?
The first two digits designate the HS Chapter. The second two digits designate the HS heading. The third two digits designate the HS subheading. HS code 1006.30, for example indicates Chapter 10 (Cereals), Heading 06 (Rice), and Subheading 30 (Semi-milled or wholly milled rice, whether or not polished or glazed).
How do you classify HS Code?
HS codes are composed of 6 digits and broken down into: Chapters (first 2 digits), Headings (first 4 digits) and Subheadings (full 6 digits). The HS codes are further subdivided into 7- to 12- digit items depending on the country (also referred to as commodity codes and national tariff lines).
HS codes are six digits that can be broken down into three parts: the first two digits identify the chapter in the HS Nomenclature the goods are classified in, the next two digits identify the heading within that chapter, and the last two digits identify the subheading within that chapter.
Who decides what HS code to use?
The Importer of Record is responsible for the correct classification of the goods. However, to facilitate the release process, importers may provide the exporter with the HS code for their products and ask them to include it on their invoices.
What happens when a product is classified incorrectly?
What Happens When a Product is Classified Incorrectly? Incorrectly classifying a product can lead to non-compliance penalties, border delays, seizure of the products, or even a denial of import privileges. As the exporter of the products, you are responsible for correctly classifying them, and therefore you are liable.
How do you read a 10 digit HS code?
HTS code. A 10-digit code that categorizes each imported good. The first six digits are an HS code. The subsequent two digits identify the US subheading of the HS code to determine the duty rate, while the final two digits are a statistical suffix.
What is the role of a tariff?
Tariffs have three primary functions: to serve as a source of revenue, to protect domestic industries, and to remedy trade distortions (punitive function). The revenue function comes from the fact that the income from tariffs provides governments with a source of funding.
Related links
Library of Congress Classification:Class H -- Social sciences
Class H: Social Sciences is a classification used by the Library of Congress Classification system. This article outlines the subclasses of Class H.
Concording U.S. Harmonized System Categories Over Time
by JR Pierce · Cited by 243 — In this article we present an algorithm for constructing a concordance among revisions of the Harmonized System (HS) product codes used to track ...
Jun 15, 2022 — HS - Harmonized System Nomenclature - is the (six-digit) classification system that replaces the SITC for international trade statistics.
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