A customs code is a numerical classification system for goods in international trade. It helps simplify customs clearance, determine duty rates, and comply with import and export regulations.
In this article, we will explore how customs codes work, their types, and their significance.
Purpose of a customs code
The coding system allows for the proper classification of goods, making international trade operations more efficient.
Key functions of customs codes:
- simplifying import and export processes,
- determining duty rates and taxes,
- complying with licensing and restriction requirements,
- collecting external trade statistics.
Each code consists of at least six digits::
- the first two digits indicate the product category,
- the next two specify the subcategory,
- the last two define the specific product type.
Some countries extend international codes with additional digits for more precise product identification.
How to check a customs code?
Customs codes are linked to tariff systems, which may vary by country. To determine the code for a specific product, specialized online resources allow you to search by product name or category and view applicable codes and duty rates.
Example: To calculate duties on goods imported from China to the EU, refer to the TARIC (Erga Omnes) system.
Customs codes in different countries
Although the base classification system is universal, individual countries may add extra digits:
| Classification system | Description |
|---|---|
| HS (Harmonized System) | An international standard approved by the World Customs Organization (WCO). The first six digits are the same across 200+ countries. |
| HTS (Harmonized Tariff Schedule – США) | Used for imports into the U.S., consisting of 10 digits, with the last four regulating duties, taxes, and import requirements. |
| CN (combined nomenclature – EU) | The European classification system (8-digit codes). Additional digits are used in the TARIC system to regulate imports and exports within the EU. |
| AHTN (ASEAN Harmonized Tariff Nomenclature) | Used in Southeast Asian countries. Extra digits refine product classification. |
Examples of customs codes
Example 1: customs codes for batteries
| Customs code | Description |
|---|---|
| 8506 | Primary cells and batteries |
| 8506.10 | Manganese dioxide |
| 8506.30 | Mercury oxide |
| 8506.40 | Silver oxide |
Example 2: customs codes for shirts
| Customs code | Description |
|---|---|
| 61051000 | Knitted or woven cotton shirts for men and boys |
| 61052010 | Knitted or woven synthetic fiber shirts |
| 61059000 | Shirts made from other textile materials |
Errors in assigning customs codes
Before shipping, it is crucial to verify that the code meets the destination country’s requirements. Different tariff systems (TARIC, HTS, AHTN) classify products differently, so relying solely on the supplier’s code can be risky.
Possible consequences of incorrect classification:
- miscalculated customs duties,
- fines for import regulation violations,
- reassessment of import duty amounts.
If a customs code is incorrectly assigned and the importer overpays duties, they have the right to request a refund. However, the responsibility for correctly determining the customs code always lies with the sender, even if a logistics company is handling the shipment.
Need help? Contact Grand Logistics Company
If you need assistance in selecting the correct customs code, calculating duties, or handling freight clearance, Grand Logistics Company has got you covered.
- guaranteed accuracy and compliance with international regulations,
- logistics optimization tailored to your business,
- reduced risks and avoidance of fines.
Get in touch with us today – we’ll simplify your import and export process!
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