EcoSystem
What information do I put into the EcoSystem for HS Code and duty rate?
We recommend putting only the duty rate for the HS Code used for your primary product. For record keeping on your current SRNs and future SRNs, you can put the duty rate for your primary product and any additional tariffs.
Invoices and Charges
Do I need to separate my Commercial Invoices for split shipments?
Yes - you do need to separate your Commercial Invoices. And each CI should show the total cost for your products and other fees for each shipment. The HS Codes should also correctly reflect the market for the shipment.
How do I know when VAT will be charged on my UK order?
All imports have VAT charged on them, unless you have a special exemption with HMRC.
If you do have a special exemption, you will need to provide these details to us before your order arrives at a port in China.
Are FOB fees dutiable?
Yes, nearly all costs associated with the purchase of your product are dutiable.
Research and HS Code details
Can I use the HS Code my supplier gave me?
You may find that your HS Code is similar to your suppliers. However, 99% of the time, your supplier provides you the HS Code for China.
You must verify that the code is the full and correct code for the market you are shipping to.
Is HS Code the same as Commodity Code?
Yes - both of these names mean the same thing.
In some groups they use Commodity Code and in others they use HS Code. The US calls the database the Harmonized Tariff System (HTS).
Do I need a separate HS Code for my bonus item?
In some cases you do. You must always ensure to provide all accurate details to customs on your Commercial Invoice.
Please review the three scenarios below to know when you do need a separate line on your Commercial Invoice.
Scenario 1: No separate HS Code required - when your bonus product has the same HS Code as your primary product.
Scenario 2: No separate HS Code required - when your bonus is considered part of a set “Put up for Retail Sale” according to the HS Code General Rules for Interpretation
Scenario 3: A separate HS Code is required and listed on a separate line on the Commercial Invoice - when your bonus has a different HS Code and is not considered a set “Put up for Retail Sale”.
What happens if I choose the incorrect HS Code?
Customs will assign the correct code for your product and then charge you the surprise duty and tariff.
It is a surprise as you were expecting a different cost. In some cases customs can fine you for the error. We recommend avoiding this error. If in doubt, use our experts for help.
How can I be sure I have chosen the correct code?
Finding the correct code is similar to finding the correct product to purchase.
Instead of looking for the exact code and finding confirmation from the heading, look to eliminate all other possible codes (headings), until the only one left is the best for your product. That is the way to know you have selected the correct code.
How do I know if there is a tariff in addition to the duty rate?
Each country handles their own tariffs.
For the US you will find the tariff by hovering over the “/” next to the duty of your HS Code.
For Canada and Australia they use tariff codes that are found on the right columns of their HS database.
The UK provides any tariff details once you click on your selected HS Code.
Is there such a thing as free or no duty?
Whose responsibility is it to supply the HS Code to the consignee?
The Importer is responsible for determining the HS Code suitable for the country of import. It may be that the shipper defines the HS Code for export, but this is not the most appropriate code for the customs entry on the import.