International Shipping Intermediate

Tariff Code

Also known as: Tariff Number, HS Code, HTS Code, Customs Code

Definition

A tariff code is a standardized numeric classification that identifies products for customs and international trade purposes. It determines the duty rate applied to imports and ensures consistent classification across countries.

Tariff Code Structure

The Harmonized System (HS) provides the foundation:

8471.30.0100
│    │  │
│    │  └─ Country-specific (varies by nation)
│    └──── HS Subheading (6 digits, international standard)
└───────── HS Chapter and Heading

HS Code Levels

Level Digits Standardization
Chapter 2 International (97 chapters)
Heading 4 International
Subheading 6 International
National tariff 8-10 Country-specific

Example Classifications

Product HS Code Description
Laptop 8471.30 Portable digital computers
T-shirt (cotton) 6109.10 Cotton T-shirts and tanks
Coffee (roasted) 0901.21 Roasted coffee, not decaf
Bicycle 8712.00 Bicycles and cycles

Why Correct Classification Matters

  • Duty rates - Wrong code = wrong duty paid
  • Trade agreements - Eligibility for preferential rates
  • Import restrictions - Some codes require licenses
  • Anti-dumping duties - Specific duties on certain products
  • Penalties - Fines for misclassification

Finding the Right Code

  1. USITC database - Search US HTS schedule
  2. Customs ruling requests - Get official determination
  3. Classification specialists - Customs brokers, consultants
  4. Product specifications - Material, function, construction

Classification Challenges

  • Products with multiple functions
  • New technology not clearly classified
  • Component vs. complete articles
  • Sets and kits
  • Samples and prototypes

Getting Help

  • Binding rulings - Request official CBP classification
  • Customs brokers - Expert classification assistance
  • WCO resources - HS explanatory notes
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