HS codes, also known as Harmonised System codes or tariff codes, are a standardised classification system used worldwide to classify traded products. These codes consist of a series of numbers, between 6 and 12 digits, and are globally recognised. Each HS code corresponds to a specific product, indicating its nature, composition, and intended use.
The purpose of HS codes is to facilitate international trade by providing a common language for customs officials, statisticians, and businesses to identify and categorise products. These codes help determine the applicable customs duties, taxes, and regulations for importing and exporting goods.
In summary, HS codes provide a standardised classification system for products traded globally, aiding in the smooth flow of goods across borders and ensuring accurate documentation and compliance with customs regulations.
Attempting to do cross-border sales without HS codes in place is just simply asking for trouble. Regardless of scheme, IOSS or DDP.
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