# Commodity classification system

*Last updated: 2026-06-22*

> When goods cross a border, a commodity classification system determines where they fit: a standardized schema that assigns products to defined categories based on composition, material origin, or commercial characteristics.

When goods cross a border, a commodity classification system determines where they fit: a standardized schema that assigns products to defined categories based on composition, material origin, or commercial characteristics. The globally authoritative framework is the Harmonized System (HS), maintained by the World Customs Organization (WCO), which provides a common six-digit baseline that most countries extend to eight or ten digits at the national level. Classification is legally binding, governing duty rates, import prohibitions, quotas, and licensing requirements. In day-to-day customs practice, the correct commodity code underpins every customs declaration, preferential duty calculation, and export control assessment. Misclassification can trigger duty underpayments, seizure, and fines. The HS should not be confused with national extensions such as the EU's Combined Nomenclature (CN) or the US Harmonized Tariff Schedule (HTS), which build on the HS but add further digits and jurisdiction-specific rules.

**Source:** [https://www.wcoomd.org/en/topics/nomenclature/overview/what-is-the-harmonized-system.aspx](https://www.wcoomd.org/en/topics/nomenclature/overview/what-is-the-harmonized-system.aspx)

## Quick Facts

| Property | Value |
|---|---|
| Term | Commodity classification system |
| Language | EN |
| Word count | 140 |
| Last updated | 2026-06-22 |
| Source | https://www.wcoomd.org/en/topics/nomenclature/overview/what-is-the-harmonized-system.aspx |

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