{"id":4935,"date":"2021-01-25T14:33:13","date_gmt":"2021-01-25T19:33:13","guid":{"rendered":"https:\/\/clearit.ca\/canadian-customs-broker-blog\/?p=4935"},"modified":"2021-01-25T14:33:13","modified_gmt":"2021-01-25T19:33:13","slug":"refresher-hs-codes","status":"publish","type":"post","link":"https:\/\/clearit.ca\/canadian-customs-broker-blog\/refresher-hs-codes\/","title":{"rendered":"A Refresher On HS Codes"},"content":{"rendered":"

As an importer, it is ideal that you accustom yourself to the Harmonized System (HS), so you can classify your commercial goods with ease. The Harmonized System is a system of codes that pertain to names and numbers that are commonly referred to in international trade. Canada has abided by this coding system, virtually since its inception – in the same ranks as 199 other countries and 98% of world trade.\u00a0<\/span><\/p>\n

HS codes are defined <\/span>by CBSA<\/b><\/a><\/span> as follows:\u00a0<\/span><\/p>\n

\u201cThe Customs Tariff is based on the World Customs Organization’s (WCO) Harmonized Commodity Description and Coding System (HS).\u201d<\/p><\/blockquote>\n

As such, you may see why it is a good idea to familiarize yourself with the HS code system, so you can engage in global trade with ease. In essence, the term \u201cHS compliance\u201d is in reference to leveraging the Harmonized System correctly, i.e. classifying and declaring your goods accurately upon import or export. It is your responsibility, as an importer, to classify and declare your goods properly.<\/p>\n

What are the codes for?\u00a0<\/b><\/p>\n

An HS code can be interchangeably referenced to as the Customs Tariff. Essentially, the codes will correspond to what tariff you will owe upon the goods entering into Canada. You can consult <\/span>CBSA\u2019s Customs Tariff 2021 document here<\/b><\/a><\/span>. <\/b>In addition to helping you identify what tariff would correspond to your goods, the Harmonized System also streamlines global trade at large, as they are used nearly worldwide!<\/span><\/p>\n

\"harmonized<\/p>\n

In the past, we released an article on how to actually read HS codes:\u00a0<\/b><\/p>\n

Let\u2019s take for example: a leather sofa<\/p>\n

HS code: 9401.61.10.90<\/span><\/p><\/blockquote>\n

We highly recommend that you<\/span> consult that piece here<\/b><\/a><\/span> if you wish to learn how to decipher the code!<\/span><\/p>\n

How do you classify HS codes?\u00a0<\/b><\/p>\n

CBSA released a helpful accompanying document called <\/span>\u201cGeneral Rules for the Interpretation of the Harmonized System\u201d<\/a><\/strong><\/span>. In it, they actually give the readers tips on how to read the Customs Tariff document properly. For example:\u00a0<\/span><\/p>\n

\u201cClassification shall be determined according to the terms of the headings and any relative Section or Chapter Notes and, provided such headings or Notes do not otherwise require, according to the following provisions.\u201d\u00a0<\/span><\/p>\n

Beyond that, you can also use resources created for importers, such as Canada Post\u2019s <\/span>HS Code Finder<\/strong> <\/span><\/a><\/span>as well as the Industry Canada website: <\/span>Canadian Importer Database<\/a><\/strong><\/span> to look up goods by keyword or HS code. The Industry Canada page is also interesting for importers for other reasons. As described by them:\u00a0<\/span><\/p>\n

“The Canadian Importers Database provides lists of companies importing goods into Canada, by product, by city, and by country of origin.<\/p>\n