HTS Code is short for Harmonized Tariff Schedule of the United States. The World Customs Organization (WCO) developed the Harmonized System (HS) Code to mark the goods crossing international borders. The Code helps match the domestic standard to an international one when traded globally.
The HTS code is ten digits long with the first six digits as the HS code. The extra digits following the HS code are specific to each country.
- The first two digits are the chapter indicating the product category.
- The next two mark the heading with the information of a detailed category.
- The final two digits of the HS code are the sub-heading.
- The following four digits are the duty and further definition
An item has different characteristics and may be classified in more than a single code. Selecting a code with less tariff rate would help reduce the levied duty.