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What is a Harmonized System Code (HS Code)?
Harmonized System Code (HS Code) is a categorization system developed and maintained by the World Customs Organization (WCO). It assigns a unique code to each commodity, which is used by customs agencies worldwide to identify products during customs clearance, determine applicable duties and taxes, and compile trade statistics. The HS code is universally recognized and applied in all countries.
The HS code system was established by the World Trade Organization (WTO) to standardize the classification of products. It consists of a six-digit code that provides a basic level of classification. However, countries have the flexibility to create national distinctions for tariffs and other purposes beyond the six-digit level. In some cases, additional digits can be added to the HS code to achieve a more detailed and precise classification of goods.