What an HS Code Is and Why It Matters for Customs Clearance

The HS code, or Harmonized System code, is a six-digit numerical identifier that categorizes goods in international trade. Over 200 countries use this standardized system to classify goods and products for customs purposes.

If you’re sending goods from Australia to Thailand or vice versa, it’s important to use the correct HS code to prevent costly delays and penalties. In this article, we’ll explain how HS codes work and how Sabuy Express, a trusted international shipping company from Thailand, can assist you in using the correct HS codes for your shipments.

Purpose of the HS Code

The World Customs Organization (WCO) developed the HS code to serve as a basis for classifying traded goods across countries. The HS code serves three primary purposes:

1. Standardization: HS codes create a widely accepted standard for customs authorities worldwide.
2. Duty and Tax Assessment: Customs officers use HS codes to calculate the import duties, taxes, and tariffs.
3. Customs Processing: Correct HS codes facilitate efficient processing of shipments and prevent delays, rejections, and fines.

For example, using the correct HS code for electronics when shipping mobile phones from Australia to Thailand allows quicker customs duty assessment and efficient shipment release. You’ll need HS codes for trade documents like commercial invoices, bills of lading, customs declarations, export declarations, and import and export licenses.

Understanding the HS Tariff Code

The HS tariff code consists of a six-digit base code that’s globally recognized and used. Some countries include additional digits to further specify product details. For example, the six-digit base code for “Telephones for cellular networks or for other wireless networks” is 8517.12, so the Australian HS tariff code with added national digits is 8517.12.00.

Why Is Using the Correct Code Important?

Incorrect HS codes can lead to higher duties, shipment delays, or outright rejection by customs. Penalties or extra fees often result from misclassified goods. The understanding and implementation of the HS tariff code is crucial for cost estimation and compliance when shipping between Australia and Thailand. This applies to both businesses and individuals.

HS Tariff Code in Australia

In Australia, there are different commodity codes for imports and exports. Imports are classified under Working Tariff codes, which are HS codes with extra digits for a country’s tariff system. Meanwhile, Australia follows the global HS code structure while implementing its own Australian Harmonized Export Commodity Classification (AHECC) system for exportation.

Determining the right HS code can be difficult, particularly for those new to this unique system of classification. There are several places where you can look up HS codes for Australia. The official website of the World Customs Organization provides a tool for searching the six-digit Harmonized System codes. Official government websites such as the Australian Bureau of Statistics for the AHECC codes, the Free Trade Agreement Portal for working tariff codes, and the Australian Border Force also provide references to the HS code lists.

How Sabuy Express Can Help Validate Your Code

Shipping internationally requires accurate documentation, including the correct HS code for each item. Sabuy Express is a dependable international shipper with an expert team that will help determine the correct HS code for your products. In addition, we take care of all necessary customs documentation to guarantee our customers’ shipments meet all regulations.

Our accurate duty calculations will prevent unexpected costs for businesses. We can also help streamline the customs clearance process and reduce the risk of potential delays for individuals. First-time shippers can rely on us to provide key information and guidance for successful international shipping.

Sabuy Express offers end-to-end shipping solutions, from pickup to delivery, making the shipping process simple and straightforward. With over 10 years of experience handling shipments between Australia and Thailand, we’re your trusted partner in international logistics. Contact us today.

References:

1. What is the Harmonized System (HS). Retrieved May 15, 2025 from: https://www.wcoomd.org/en/topics/nomenclature/overview/what-is-the-harmonized-system.aspx
2. Harmonized System (HS Codes). Retrieved May 15, 2025 from: https://export.business.gov.au/get-started-with-exporting/harmonized-system-codes