HS and HTS codes

The Harmonized System (HS) is a six-digit product nomenclature used by customs administrations in most of the world. The United States extends it to the ten-digit Harmonized Tariff Schedule of the United States (HTSUS), maintained by the U.S. International Trade Commission and applied by CBP.

How a code is built

Take a polished granite slab. Chapter 68 covers articles of stone; heading 6802 covers worked monumental or building stone; subheading 6802.93 narrows it to granite; the U.S. statistical suffix completes the ten digits and separates, for example, slabs from other shapes. Each level answers a more specific question, and the General Rules of Interpretation say how to choose when two headings seem to fit.

Why the number matters

• It sets the general duty rate and any free-trade-agreement rate.
• It determines whether additional measures apply: Section 232, Section 301, antidumping or countervailing duties.
• It flags partner-agency requirements: FDA, USDA, CPSC, EPA, DOT and others key their rules to tariff numbers.
• It is one of the ten ISF data elements, so it is needed before the container is loaded.
• It drives the duty estimate in your quote and the amount paid at entry.

Who is responsible

The importer of record, under CBP's “reasonable care” standard. A licensed broker advises and files, and can request a binding ruling from CBP when the classification is genuinely uncertain, but the legal responsibility stays with the importer. Keeping a written record of how each product was classified is part of meeting the standard.

Common mistakes

• Classifying by material when the heading is defined by function, or the other way round.
• Copying the supplier's export code: the first six digits usually match, the last four rarely do, and some countries' six-digit codes differ in practice.
• Ignoring sets, kits and “parts of”: packaged combinations have their own rules.
• Using last year's code: the HTSUS is revised at least annually and the statistical suffixes change.