HS 2017 perspectives WCO Tariff and Trade Affairs













- Slides: 13
HS 2017 perspectives WCO Tariff and Trade Affairs Directorate
Harmonized Commodity Description and Coding System (HS) Background ü Implemented in 1988 ü Administered by WCO and used by more than 200 countries and economies ü Fifth major revision = HS-2017 Contracting Parties ü Currently 156 Contracting Parties New Contracting Parties ü Burundi ü Palestine (January 2017) (March 2017) 155 th Contracting Party 156 th Contracting Party
HS Nomenclature HS 2017 Effective 1 January 2017 84 out of 156 Contracting Parties applying 2017 edition 23 out of 156 Contracting Parties will implement during 2017 The Secretariat will update the WCO Website information accordingly HS Contracting Parties urged to ensure timely implementation – an obligation ! ü ü
HS 2017 Amendments • General • Environmental and Social issues • Technology • Trade patterns • Clarification • Trade Practice September 2017, New York, NY Copyright © 2017 World Customs Organization 4
HS 2017 Amendments Recommendation of the Customs Cooperation Council of 27 June 2014 concerning the Amendment of the International Convention on the Harmonized Commodity Description and Coding System Quantitative Analysis : September 2017, New York, NY Copyright © 2017 World Customs Organization 5 5
General Customs Co-operation Council Recommendation of 27 June 2014 This Recommendation is the sixth to amend the HS under the Article 16 procedure since the Council approved the HS Convention in 1983, though it is only the fifth to make major amendments to the HS. The Recommendation includes 233 sets of accepted amendments, divided as follows : Ø Ø Ø Ø September 2017, New York, NY agricultural sector chemical sector wood sector textile sector base metal sector machinery sector transport sector other sectors 85 45 13 15 6 35 8 26 Copyright © 2017 World Customs Organization 6 6
General September 2017, New York, NY Copyright © 2017 World Customs Organization 7 7
General § Implemented in 1988 § Amended in 1992 Ø Mainly editorial § Amended in 1996 Ø 393 sets of amendments HS Codes : 5113 § Amended in 2002 Ø 374 sets of amendments HS Codes : 5224 § Amended in 2007 Ø 354 sets of amendments HS Codes : 5052 § Amended in 2012 Ø 225 sets of amendments HS Codes : 5205 § HS 2017 Amendments Ø 233 sets of amendments HS Codes : 5367 September 2017, New York, NY HS Codes : 5019 HS Codes : 5018 Copyright © 2017 World Customs Organization 8 8
General 6 -digit additions : 235 6 -digit deletions : 73 6 -digit net change : + 162 subheadings whose code number is unchanged though the scope has been modified 200 4 -digit headings September 2017, New York, NY new : 1 96. 20 deleted : 3 [28. 48] [69. 08] [84. 69] Copyright © 2017 World Customs Organization 9 9
The Harmonized System (HS) • Structure (2017 -edition) (2012 -edition) 21 Sections – 96 Chapters (97 → Chapter 77) • 1222 1224 4 -digit headings – 5367 5205 6 -digit subheadings 280 37 September 2017, New York, NY 4 -digit headings not subdivided (00 – double zero) 4 -digit headings no longer in use [ ] Copyright © 2017 World Customs Organization 10 10
HS legal notes CHAPTER 4. New Note 4 (b) CHAPTER 30. New Subheading Note 1 CHAPTER 30. New Subheading Note 2 CHAPTER 38. New Subheading Note 2 14 new. CHAPTER 38. New Subheading Note 3 Legal Notes or Subheading Notes CHAPTER 60. New Subheading Note CHAPTER 63. New Subheading Note CHAPTER 84. New Note 1 (g) CHAPTER 84. Note 8 (b) (renumbered 9 (b)). (not including many existing Notes for which New Item (iv) part of the text was modified) CHAPTER 84. New Subheading Note 1 CHAPTER 84. New Subheading Note 3 CHAPTER 85. New Note 3 CHAPTER 90. New Note 1 (l) CHAPTER 94. New Note 1 (l) CHAPTER 95. New Note 1 (u) September 2017, New York, NY Copyright © 2017 World Customs Organization 11
The Harmonized System 2017 UPDATING THE HS : WHAT’S NEXT? THE REVIEW CYCLE FOR HS 2017 IS CLOSED. PROPOSALS FOR 2022 ARE UNDER DISCUSSION!!! HS 2022 Copyright © 2017 World Customs Organization. September 2017, New York, NY 12
The Harmonized System 2022 Proposal Secretariat Review Sub-Committee HS Committee March 2019 Draft Recommendation 2. 5 years Council June 2019 September 2017, New York, NY Recommendation Copyright © 2017 World Customs Organization. HS 2022 13