In this article, we’ll cover the basics of the HTSUS, including what it is, when it should be used and why Schedule B codes are a better option for companies that export only.
The Harmonized Tariff Schedule of the United States (HTSUS or HTS) is a U.S. nomenclature system used to classify traded goods based on their material composition, product name and/or intended function. The HTS is a 10-digit code designed so that each article falls into only one category. It is divided into chapters, each of which has a 2-digit number. Each product category within the various chapters is designated by 4, 6, 8 or 10 digits. The 4-digit categories are called headings. The 6-, 8- and 10-digit classifications are called subheadings.
U.S. Customs and Border Protection (CBP) uses this system and its rules to classify imported goods. HTS codes are also used to determine duty rates applied to imported goods. Nearly every good that is imported into the United States is classified in an 8-digit category.
Let’s look at an HTS code example for umbrellas: 6603.20.3000, which includes the description: "For hand-held umbrellas chiefly used for protection against rain" (vs. 6603.20.9000, which is for all other hand-held umbrellas not chiefly used for protection from rain).
Global and U.S. HTS Codes have four components, which are identified by the green numerals beneath the digits:
If you are a U.S. importer of this particular product, this is the code you must use. The comprehensive classification list is available for free on the ITC website. You can do a search for HTSUS codes here:
The HTS uses the nomenclature structure of the Harmonized System (HS), administered by the World Customs Organization (WCO). It is used across the globe, making it a universal classification tool. There are 6 digits in an HS code, and many governments add additional digits to the HS number to further distinguish products in certain categories. These additional digits are typically different in every country—that’s where HTS codes (and Schedule B codes!) come in.
Schedule B and HTS codes are separate entities that are used for exporting and importing respectively. 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 6 digits of a Schedule B code should be the same as an HS number; however, the last 4 digits may be different even than the HTS code.
If you’re doing both importing and exporting, you are required to use HTS codes for your imports, so you might as well continue to use those codes for your exports as well. Note: There are some exceptions to this rule; the Census Bureau publishes a list of HTS codes you can’t use for exports.
However, if you’re exporting only, we recommend using the Schedule B code because it isn’t nearly as detailed or complex as HTS codes. Schedule B codes are the easiest way to go for exports.
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Articles specific to HTS codes:
General articles on HTS, HS and Schedule B codes:
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