HS Codes • Commodity Codes • CN • TARIC • Customs
HS codes and commodity codes: the key to every customs declaration
Every international shipment starts with one question: which commodity code does this product fall under? The HS code determines which import duties and VAT you pay, which documents are needed and whether restrictions apply. TOP helps companies find and verify the right code, so the customs declaration is correct and the shipment moves on without surprises.
In short: what is an HS code?
An HS code is the six-digit international commodity code of the Harmonized System, maintained by the World Customs Organization. The system forms the basis for customs tariffs in 98% of world trade. In the European Union, the code is extended to eight digits (the CN code, for export and statistics) and to ten digits (the TARIC code, for import). The code determines the import duties, VAT, documents and any restrictions for your product.
Commodity codes appear throughout the logistics chain: in customs matters at import and export, on the commercial invoice that accompanies every shipment, and in new regulations such as CBAM and the EUDR, which run entirely on commodity codes. Whether your goods travel by sea freight or air freight: without the right code, no smooth declaration. A valid EORI number and clear Incoterms are part of that foundation too.
Why the right commodity code matters so much
The commodity code is not an administrative detail, but the foundation of the entire customs process. The Harmonized System of the World Customs Organization forms the basis for customs tariffs in 98% of world trade and is used in 211 economies. Literally everything hangs on the code: the percentage of import duties, the VAT, any anti-dumping duties, preferential tariffs under trade agreements, and whether permits, certificates or prohibitions apply.
Two products that look alike can receive completely different treatment under different codes: one at zero duty, the other with a substantial anti-dumping duty or a document requirement. And because customs declarations in the Netherlands are processed digitally, the declared code is checked automatically — an incorrect or vague classification stands out sooner than ever.
The code is also becoming more important beyond the classic declaration: reporting obligations such as CBAM and supply-chain rules such as the EUDR use commodity codes to determine whether your product falls under the regulation. Whoever has their codes in order, has their compliance in order too.
What companies often get wrong about HS codes
The first misconception: "the supplier already put the code on the invoice, so that's covered." The supplier's code is a useful starting point, but no guarantee: as importer or declarant, you are responsible for the correct classification on import into the EU. Moreover, foreign codes diverge from the European classification after the sixth digit — an American or Chinese ten-digit code can never be copied one-to-one.
The second misconception: "one product has one code worldwide." Only the first six digits are internationally harmonised. After that, every market builds further: the EU with the eight-digit CN code and the ten-digit TARIC code, other countries with their own extensions. Anyone who both exports and imports works by definition with multiple code levels for the same product.
The third misconception: "one digit off hardly matters." It does. A wrong code means wrong duties — and customs can recover underpaid duties retroactively, with possible fines and delays on top. Overpaying happens too: whoever uses a code with a higher tariff than necessary for years is simply leaving money on the table.
Practical example
A Rotterdam trading company imports a container of components from Asia. The invoice only says "machine parts" — no HS code and no usable description. TOP requests the right product information, works out the appropriate ten-digit TARIC classification and immediately checks which measures hang on that code: the tariff, any anti-dumping duties and document requirements. The declaration is correct in one go, the container is released without questions from customs — and the company knows exactly which code and description must appear on the invoice for all subsequent shipments.
HS, CN or TARIC: which code do you use when?
The terms HS code, CN code and TARIC code are often used interchangeably, but they are three levels of the same system. Here is how they relate to each other.
HS codes in numbers: sources and methodology
The facts below come from the World Customs Organization and the European Commission, and were verified for this page in August 2026.
98% of world trade, 211 economies — The Harmonized System forms the basis for customs tariffs in 98% of world trade and is used for trade statistics in 211 economies. The nomenclature counts over 5,000 commodity groups, identified by a six-digit code. The current edition is HS 2022, the seventh since the system was introduced.
Source: World Customs Organization (WCO), What is the Harmonized System
HS 2028 is coming — On 1 January 2028, the eighth edition of the Harmonized System enters into force, the result of six years of technical review within the World Customs Organization. Companies are well advised to check their product range against the changes in time: with every new edition, subheadings shift — and with them possibly tariffs and measures.
Source: World Customs Organization (WCO), HS Nomenclature 2028 Edition
Binding Tariff Information: three years of legal certainty — If you are in doubt about the right classification, you can apply to customs for Binding Tariff Information (BTI): a legal decision on the classification of your product. A BTI is valid for three years and binding on you and on every customs administration throughout the EU.
Source: European Commission, Access2Markets: Binding Tariff Information
How TOP handles commodity codes in practice
TOP includes the commodity code in the customs process from the start. That begins with document checks: is there a usable description and HS code on the commercial invoice, does that code match what is actually in the shipment, and does the description support the classification? If information is missing, TOP requests it before the shipment gets stuck at customs.
The code is then translated to the right level for the declaration: the ten-digit TARIC code for import or the eight-digit CN code for export, including a check of the measures attached to that code — from tariffs and preferences to anti-dumping duties and document requirements. In case of structural doubt about the classification, TOP advises on the route to Binding Tariff Information, giving you three years of certainty.
For companies with recurring flows, it pays to classify the product range properly once and record that classification. TOP combines that with the digital side: declaration data flows into the TOP platform and, via API integrations, into your own systems, so the right code is automatically available for every next shipment.
Want to know what the right classification means for your shipments? Request a customs quote, prepare your shipment via book a shipment, or schedule an introduction to go through your product range.
Direct representation: TOP declares on behalf of your company
To submit customs declarations with the correct commodity codes on behalf of your company, TOP works with direct representation. You authorise TOP once; after that, TOP handles the declarations in the name and on behalf of your company, with all due care around classification, value and documents. Arranging this is simple via the form request direct representation.
Which companies is TOP suitable for?
TOP is suitable for companies that want to be sure of a correct tariff classification. These can be SMEs importing for the first time who do not know where to find the code, but also multinationals with thousands of article numbers whose classification must be structurally secured.
Boards want no additional assessments or compliance risks. Logistics managers do not want shipments standing still on a missing or incorrect code. Finance and procurement want to know in advance which duties and levies must be included in the cost price. TOP understands that these interests come together in one thing: a classification that is correct and recorded.
That is why TOP works in an advisory and practical way. No unnecessary jargon, but clear explanations of codes, tariffs and documents. For general developments in the transport sector, TOP also refers where relevant to industry information from Transport en Logistiek Nederland.
TOP is not a standard freight forwarder
TOP helps companies with a practical combination of customs matters, sea freight, air freight, intermodal transport, warehousing, rail and barge. This makes TOP particularly suitable for entrepreneurs and logistics teams who want understandable advice on importing, exporting, clearances and tariff classification without complicated jargon. Its strength lies in organising, explaining and following up on the entire logistics chain — down to the last digit of the commodity code.
Frequently asked questions about HS codes and commodity codes
What is an HS code?
The six-digit international commodity code of the Harmonized System of the World Customs Organization. The system forms the basis for customs tariffs in 98% of world trade and counts over 5,000 commodity groups.
What is the difference between an HS, CN and TARIC code?
They are three levels of the same system: the HS code (6 digits) is identical worldwide, the CN code (8 digits) is the EU extension for export and statistics, and the TARIC code (10 digits) is used for import into the EU and contains the applicable measures.
How do I find the right commodity code for my product?
By classifying the product according to the nomenclature: based on material, function and composition. This requires precision, especially for composite products. TOP helps work out and verify the classification, so the declaration is correct.
What is Binding Tariff Information (BTI)?
A legal decision by customs on the classification of your product. A BTI is valid for three years and binding on you and every customs administration throughout the EU — giving you legal certainty about the tariff.
Who is responsible for the correct HS code?
The declarant — in practice the importer or exporter on whose behalf the declaration is made. The code a foreign supplier puts on the invoice is a tool, not a guarantee: after the sixth digit, foreign codes diverge from the European classification.
What happens with a wrong commodity code?
Customs can recover underpaid duties retroactively, possibly with fines and shipment delays on top. A code that is too high means you pay unnecessarily high duties. In both cases, a correct classification up front pays off.
Conclusion: the commodity code is the foundation of your customs process
Every international shipment stands or falls with the right commodity code. The code determines the duties, the VAT, the documents and the measures — and increasingly also whether new regulations such as CBAM and the EUDR apply to your product. A correct classification prevents additional assessments, fines and standstill.
TOP helps companies get and keep that foundation in order: from checking invoices and working out the right TARIC classification to advising on Binding Tariff Information. That makes the commodity code what it should be: a certainty instead of a risk.
Sure your commodity codes are correct?
TOP verifies the classification of your products, handles the declarations and advises on tariffs, measures and Binding Tariff Information.
Request a customs quoteWant to know more about Trans Ocean Pacific forwarding? Visit the TOP homepage.
Last updated: August 2026. Sources: World Customs Organization and European Commission. Online findability and AI readiness of this page in collaboration with HEF Digital.