Understanding HTS/HSN Codes in the United States : A Comprehensive Guide

Introduction

The Harmonized System (HS) is an internationally standardized system of names and numbers for classifying traded products, developed by the World Customs Organization (WCO). In the United States, this system is used as the basis for the Harmonized Tariff Schedule (HTS), which determines tariff rates and provides statistical data for all imports.

The HTS is crucial for U.S. customs operations, enabling trade compliance, and facilitating international trade negotiations.

The United States employs the HS Codes to classify goods imported into the country, ensuring uniformity in trade documentation and simplifying the process of duty determination.

The use of HS Codes is vital for American businesses to accurately calculate tariffs and for the U.S. government to enforce trade laws and agreements.

The United States, as a member of the WCO, uses the HS as the foundation for its HTS, aligning with international standards while also incorporating specific needs for its national trade and economic policies.

The U.S. extends the standard HS Codes with additional digits to create the HTS, allowing for more specific classification of goods and the application of various trade measures.

The HTS Code system in the U.S. is designed to ensure detailed classification of goods for both tariff and statistical purposes.

For example, if we consider the classification of smartphones, an HTS code might be 8517.12.00.

Chapter (85): Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles.

Heading (17): Telephone sets, including telephones for cellular networks or for other wireless networks.

Sub-heading (12): Telephones for cellular networks or for other wireless networks.

U.S. Specific Extension (00): This level of detail specifies the type of good further, which in this case might refer to smartphones.

HTS Codes are essential to the United States’ trade system, influencing tariff rates, enforcing trade agreements, and compiling trade statistics. They are critical for businesses importing goods into the U.S. and for government agencies in monitoring and controlling the country’s international trade.

U.S. companies and trade analysts use HTS Code-based data for market research, competitive intelligence, and strategic decision-making. This data helps in identifying market trends, trade patterns, and opportunities for business growth.

Volza offers an extensive list of U.S. HTS codes along with detailed trade data analytics. This resource is invaluable for businesses involved in U.S. trade, providing insights into tariff rates, trade trends, and facilitating compliance and strategic planning.