An HS code or HTS code stands for Harmonized System or Harmonized Tarif

Schedule. Developed by the World Customs Organization (WCO), the codes are used
to classify and define internationally traded goods. In most cases, in order to import
or export a product internationally, the traded good must be assigned an HTS code
that corresponds with the Harmonized Tarif Schedule of the country of import.

The difference between an HS code and HTS code is the number of digits
within the code. A code with six digits is a universal standard (HS Code) and a code
with 7-10 digits (HTS Code) is often unique after the 6th digit and determined by
individual countries of import.

These codes are important because they not only determine the tarif/duty rate of
the traded product, but they also keep a record of international trade statistics that
are used in nearly 200 countries. For example, the United States Census uses these
codes to determine the value, quantities, weights, countries traded with, and more,
of every product that the United States imports and exports.

This link lists the entire Harmonized Tarif Schedule for the United
States: http://www.datamyne.com/hts/. You can drill into any schedule to see import
and export values for any of the 42,847+ HS and HTS codes.

These codes go from 2-digit chapters and narrow down to a specific 10-digit code.
Currently there are 99 chapters (132 including subchapters), 1,260 4-digit codes,
5,382 6-digit codes, 14,225 8-digit codes, and 21,848 10-digit codes.

Each section of the 10-digit HTS code represents a predefined nomenclature. See a
definition of each HTS section in the graphic below. Try clicking into a 10-digit HTS
code (Click Here). Notice how the HTS code becomes more defined and segmented
as the number of digits increase.
 Harmonized Tariff System Code on wiseGEEK:
The actual documentation of the harmonized tarif system is called
the Harmonized Commodity Description and Coding System (HS). When goods are
delivered from one nation to another, they go through a process of customs in order
to keep track of the products and determine the correct volume of imports and
exports.
A harmonized tarif code is part of the Harmonized Commodity Description
and Coding System that was created by the World Customs Organization (WCO).

Customs Tariff Code on wiseGEEK:

The Harmonized System features 21 sections and 96 chapters of
product codes that must be used by WCO members to stay compliant with trade
policies. Tarif codes are used for taxation, customs and statistical purposes by WCO
member countries.
Countries assign customs duties based on the harmonized tarif code of the product.
Import tarifs and export tarifs generate revenue for nations.

Difference between tariff code and commodity code

Harmonized Tarif Schedule of the United States (HTS-US) Code: The

HarmonizedTarif Schedule code is a 10-digit import classification system that is
specific to the United States. HTS codes, also called HTS numbers, are administered
by the U.S. International Trade Commission
Commodity Codes
What are commodity codes?
Commodity codes are standard classification codes for products and services
used to detail where money is spent within a company.

How does the UW use commodity codes and why are

they important?
The UW uses UNSPSC Commodity Codes. Until recently, commodity codes
have only been used behind the scenes in eProcurement. These codes are built
in to the products purchased by campus and allowed Procurement Services to
see where the campus as a whole spent the bulk of their money for products.
This information tells Procurement Services what kinds of items are purchased
most, so we can build better contracts to serve your needs.
Commodity codes also allow us to look at supplier spend between departments
and with peer institutions. Are you paying the same price as the department next
door? Is our peer institution getting a better rate? If so, why?

How do these codes help you?

Better contracts mean better pricing from our suppliers, and hopefully, better
service. Commodity codes let us review rates for each supplier, as well as
suppliers offering the same exact product, and make contractual changes to give
the UW the best possible price. Youll see more contracts to purchase from, a
dedicated contract specialist for purchases at the supplier, and the best pricing
we can obtain.

Finding Commodity Codes

Commodity Codes are devised of several different levels with varying degrees of
detail in a set hierarchy. The top most category (called Segment) defines the
overall type of code. An example is a commodity code that begins with 44 which
is Office Equipment and Supplies. Underneath the Segment is the Family
category that defines the code further. So a code beginning with 4412 is for
Office Supplies. Commodity Codes can drill down all the way to a specific code
within the initial category, such as a code just for pencils. The more numbers
behind the original code (not including zeros), the more detailed the code.
Example: 44-12-19-03
44120000 - Office Equipment and supplies
44121903 - Pen refills

For Commodity Codes at the UW, we recommend that departments select a

Commodity Code that represents the item you are purchasing using the first 4-
digits of a commodity code followed by four zeros. In the example above, if you
were paying for pen refills you should select commodity code 44120000. It is not
necessary to use code 44121903 that specifies pen refills.
*Tip: Each commodity code has a suggested account code associated with it. If
the recommended account code doesn't fit for your payment, simply change the
account code to what you want to use.

Commodity Code Lists

For your convenience, weve compiled a list of commodity code main
categories and family categories. We have also included a list for the most
commonly purchased items. You can search this list either alphabetically or
by category.
You may also consult the full list of commodity codes in this Excel spreadsheet.
Note the hierarchy tabs at the bottom. We recommend using the first four digits
followed by four zeros when searching the commodity code in Ariba. Example: If
you find Promotional printing on the Commodity tab is 82121505, we recommend
using commodity code 82120000 Reproduction Services in Ariba. SeeHow to
Use the UNSPSC spreadsheet for helpful tips.
If the code you are looking for isnt found here, try searching by a single keyword
that best describes the purchase. (Examples: solvents, supplies, associations,
etc.)
Do you know the difference between HS codes, HTS codes, and Schedule B
codes? In casual conversation, exporters tend to use these terms
interchangeably; they, for the most part, understand that these are codes
representing classifications of products. While its not wrong to use them
interchangeably in casual conversation, it is important to understand the
differencesif not, you could get into trouble, and your shipment could, too!

Here are the definitions of the terms and examples of use cases when it is
appropriate to use each term:

Harmonized System (HS) Code:

The Harmonized System classification is a six-digit standard, called a

subheading, for classifying globally traded products. HS codes, also called HS
numbers, are used by customs authorities around the world to identify the
duty and tax rates for specific types of products.

HS codes are administered by the World Customs Organization. HS

codes are recognized in 98% of world trade. (A Basic Guide To
Exporting)

There are six digits in an HS code. You use an HS code because it is

a universal classification toolmany governments add additional
digits to the HS number to further distinguish products in certain
categories. These additional digits are typically different in every
country.

HS codes are used in most international export documentation and

commercial invoices (unless your product falls into one of these
categories).

Use Case: Youll use an HS number when you are referencing the
classification with your customers, vendors and anyone outside of the U.S.

When youre completing export documentation, any documents that are used
internationally, like the commercial invoice, should display the six-digit HS
code instead of a longer code (Click here to see a sample of a completed
commercial invoice). If you use a 10-digit code, the numbers may not be
accurate for the country of import.

Harmonized Tarif Schedule of the United States (HTS-US) Code:

The Harmonized Tariff Schedule code is a 10-digit import classification system

that is specific to the United States. HTS codes, also called HTS numbers, are
administered by the U.S. International Trade Commission. Its very important
that all U.S. importers know and use the correct HTS-US codes, because
commodity duties are assessed based on this classification. An HTS code
takes the same form as an HS code for the first six digits, and then has four
differing last digits.

Download the free white paper :Filing Your Export Shipments through the
Automated ExportSystem

Use Case: If you are a U.S. importer, this is the code you must use. The
comprehensive classification list available for free on the U.S. ITC website.

You can learn more about HTS codes in our two-part series, The Harmonized
Tariff SchedulePart I: General Rules of Interpretation Never Written (But
Used Daily) and Part II: Beyond the General Rules of Interpretation.

Schedule B Code:

The Schedule B code is a 10-digit subset of HTS codes for U.S. exporters.
Schedule B codes are used for statistical purposes by the U.S. government to
monitor U.S. exports.

Schedule B codes are maintained by the U.S. Census Bureau instead

of the ITC.
 As with HTS codes, the first six digits of a Schedule B code should be
the same as an HS number; however, the last four digits may be
different even than the HTS code.

Use Case: Companies that export will typically use the appropriate Schedule
B codes for their products rather than HTS codes on their export paperwork
and when filing through theAutomated Export System (AES). Since the
Schedule B codes are a subset of the HTS codes, it's usually quicker and
easier to classify products under Schedule B than HTS.

Companies that are already classifying their products using the HTS codes for
their imports may want to use HTS classification for all their products to
eliminate the need to classify their products twiceonce under HTS and once
under Schedule B. That is perfectly acceptable, but do keep in mind that there
are certain HTS codes that can't be used for exporting.

Also, the reverse is not true. You cannot use Schedule B codes in place of
HTS codes for import classifications.

When Not to Use a Code

Some exporters prefer not to include any HS code on their commercial

invoices. It's generated a lot of discussion in the Customs Specialist group on
LinkedIn. As a general rule I think it's a good idea to include the proper code
on the invoice, but I address some reasons why you might not in our
article, Why You Shouldnt Include HS Numbers on a Commercial Invoice.
What Are Schedule B Codes?

The Schedule B is a code built upon the first six digits that make up the HS
code. Additionally, the Schedule B code is a U.S.-specific coding system used
by the U.S. government to monitor U.S. exports. According to the export.gov
website, There is a Schedule B number for every physical product, from
paperclips to airplanes. Heres a little more about Schedule B codes:

There are 10 digits in each Schedule B code;

Schedule B codes are used exclusively in the United States;

They are administered by the Census Bureaus Foreign Trade Division

for export statistics.

Schedule B numbers are required to be reported in the Automated

Export System (AES) for shipments valued at more than $2,500 or
when your export requires a license.

Commdity Codes : Schedule B Codes ( Export Secenarios)

Tariff Codes : HTS Code (Harmonized Tariff Codes ) for Import Duty Calculations.
In the Global Trade HTS is mostly Used for duty calculations and ECCN (Export Control
Classification Number) is used in Exports for determine the required license.

General Trade practice is ECCN for Export and HTS for Import.

Tariff Code: A tariff code is a product-specific code as documented in the Harmonized System
(HS) maintained by the World Customs Organization (WCO.)Tariff codes exist for almost every
product involved in global commerce. ... The more digits in a tariff code string, the more
specific the product it identifies.

What is the HS Code?

The Harmonized Commodity Description and Coding System generally referred to as
"Harmonized System" or simply "HS" is a multipurpose international product
nomenclature developed by the World Customs Organization (WCO).

What is the meaning of harmonized code?

The Harmonized Commodity Description and Coding Systems generally referred to as
"Harmonized System" or simply "HS Code" is a 6-digit standardized numerical method
of classifying traded products developed and maintained by the World Customs
Organization.

What is the HTS?

The Harmonized Tariff Schedule of the United States (HTSUS), also referred to as
the Harmonized Tariff Schedule of the United States Annotated (HTSA), is the primary
resource for determining tariff (customs duties) classifications for goods imported into
the United States.

What is the HS Code for export?

The data refers to details on Import Export Classification, ITC (HS) Code and Import
Policy. ITC (HS) codes are better known as Indian Trade Clarification (ITC) and are
based on Harmonized System (HS) of Coding.