Commodity Code (HS Codes)
What is a Commodity Code (HS Code) and what is its purpose?
While often used interchangeably, "commodity code" and "HS code" refer to the same concept: a classification system used by customs authorities to identify goods for international trade, with the first six digits of a commodity code representing the internationally standardized HS code
What is a HS/ Commodity Code?
A commodity code, also known as a tariff code or HS code, is a numerical code used to classify goods for import and export.
Commodity codes are typically 8 or 10 digits long, depending on whether they are for export or import, respectively.
​The first six digits of a commodity code are based on the internationally standardized Harmonized System (HS).
What is the purpose of a HS Code?
It helps customs authorities determine the correct duties, taxes, and regulations applicable to a specific product.
Ensuring your goods are correctly classified allows for precise customs declaration data, which is essential for avoiding delays and penalties.
​Some goods may be eligible for reduced or zero-duty rates. Using the correct code ensures you can take advantage of any available duty reliefs
Where can I find my HS Code?
As an importer, it is your responsibility to ensure the accuracy of your customs declarations, including commodity codes. Do not rely solely on the commodity code provided by your supplier, customs broker or freight agent.
Whether you handle imports yourself or use customs brokers, you are responsible for the accuracy of your customs declarations.
You can visit the gov website to determine which HS code you should use: https://www.gov.uk/trade-tariff
Need help?
Establishing which HS code best suits your product can be rather daunting, especially if you are new to importing.
Don't get caught short! Before solidifying any overseas purchases, familiarise yourself with the import regulations associated with your product, ensuring you account for any applicable import tax/ duty.
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Ferguson Forwarding can assist you with this, please reach out us for a free, no obligation consultation.