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A Global HTS Solution

The World Customs Organization is represented by 179 customs administrations across the world and these locations represent 98% of the world’s trade.   When goods are shipped internationally they must be classified for customs purposes using a Harmonized Tariff Schedule Number (HTS).  Each separate product is assigned a particular classification code. Amongst other things, the HTS number is used to help determine applicable duty rates. 

One of Allyn International’s core competencies is HTS classification, and this service is offered on a local or global level.  Regardless of country of import, Allyn can provide correct HTS number(s) for your products to ensure you are compliant with federal regulations.  

Why is having the correct HTS important?
Using the correct HTS code is important because the code determines the ad valorem duty rate for all items being imported. If the wrong code is applied, an incorrect amount of duties could be paid upon importation. Incorrect classification and duties can lead to increased costs in the form of interest and penalties. 
Issues

Providing the correct HTS code requires specific knowledge of the form and function of individual items. Determining the correct HTS can be tricky at times and even an experienced person can spend a lot of time hunting down specific information required to properly classify items. 

The HTS classification process requires knowledge of the General Rules of Interpretation and experience dealing with the HTS format. While the HTS for most countries is harmonized out to the 6th digit, any digits after the 6th will differ from country to country. 

Many multi-national corporations have issues with consistency of classifications across the globe. If the classification of items isn’t centralized within an organization, each location could be interpreting the regulations, specifications, or tariff differently leading to the same parts being classified in different chapters and headings. 

Another issue is the justification of all classifications as well as the recordkeeping of pertinent classification info.  An importer should be able to advise why a part was classified as such, and should have records to support the classification. 

Allyn’s Experience
Allyn International has been handling HTS classification for a variety of industries for over 20 years. We have licensed customs brokers on staff who have the knowledge and experience to help with your classification needs. 

Allyn can provide the HTS for any type of product and we have specific expertise in the following industries: electronics, semiconductor, automotive, textile, medical device, drilling and mining, oil and gas, power generation, chemicals and coatings, computing, telecommunications, furniture, jewelry and others. 
Allyn will provide the HTS for any country and we have experience in all regions of the globe. We have offices strategically located in North America, Europe and Asia and expertise in Latin America, Russia and Africa. 

Advantages
Using Allyn will help you reduce your turn around time on HTS classifications, and your productivity will be greatly increased. 
Allyn’s proprietary software system CIMS™, will allow for Allyn to create an audit trail with each classification that will justify the classification chosen and store any pertinent emails, documents, specs or drawings. 
The CIMS™ system affords our clients much needed flexibility, allowing them to choose specific fields for completion. CIMS™ also connects with any number of software platforms, enabling Allyn’s classifications to feed directly into our client’s systems. 
Allyn can also feed HTS classification directly to your customs broker, if your broker is maintaining your HTS parts list. 
All classification information and documentation will then be viewable and searchable by the client via the internet. 

Consistency & Compliance
Using Allyn as a provider for HTS classification demonstrates that your company is using reasonable care, and will ensure that consistency, structure and diligence will be used for all classifications.   
If you have different locations providing HTS numbers for different regions there is always the chance that there will be a gap between how items are classified.   Using Allyn on a global level will close that gap. 
All work will be overseen by a licensed customs broker and our service will be curtailed to meet each customer’s specific needs. 

Conclusion
Correct classification is at the very foundation of having compliant imports, globally.  To correctly classify parts, a person must know the tariff, the GRI’s, and have some specifics about the item.  Additionally, the person has to have the time to do a thorough and complete job.  We realize that not all companies have the personnel with the experience or the availability to oversee the correct classification of goods. 
Whether it be for a project, like the one-time classification of a parts list, or ongoing support Allyn provides your company a best in class solution for a reasonable price.   Our pricing is flexible and competitive and our service is second to none, as we put the customer’s needs first. 

About Allyn
Incorporated in 1992, Allyn is a privately held professional services firm that employs 160 personnel in 9 countries, in 3 continents, and is capable to conduct business in 15 languages. 
Aside from Global Trade Compliance Allyn provides the following services to our clients. 
•    Logistics Management
•    Supply Chain Consulting
•    Tax Management
Allyn’s mission is “Providing exceptional services for the global marketplace, enabling our customers to succeed by focusing on their core business, while inspiring our employees to achieve their full potential”.
If you would like more information on this or any other Global Trade Compliance matter please contact Allyn at (239) 489-9900 or you can email us at Dreckman.M@allynintl.com

 

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