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ITC Seeks Proposals for Changes to International HS Tariff Schedule in 2027

The International Trade Commission is accepting proposals for changes to the World Customs Organization’s Harmonized System tariff schedule for potential adoption in 2027, it said in a notice. The proposals will be reviewed by the ITC, CBP and the Census Bureau, and will be published for further comment, prior to potential submission to the relevant WCO committees by November 2022 for final WCO approval by June 2024. Proposals are due to the ITC by March 1, 2020.

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Proposals should include specific modifications to the HS tariff schedule, including section and chapter notes and the texts of 4-digit and 6-digit tariff headings. In particular, proposed changes should “describe new products or technologies, modify or eliminate unclear or obsolete categories, or otherwise advance the goals set out by the HS Convention,” the ITC said. “The implementation of changes in the international HS by the United States is intended to be tariff-neutral,” it said. Changes to U.S. 8-digit and 10-digit subheadings, rates of duty and additional U.S. notes won’t be considered.

The ITC “particularly invites proposals” on the deletion of HS headings with low trade volume, the creation of new 4-digit headings and 6-digit headings for goods that are important in international trade, simplification of the HS, or other changes “that would improve the classification of products, especially those being exported from the United States, or assist in the administration of the HS and the more uniform classification of goods internationally,” the ITC said.

The WCO updates the HS every five years. The most recent update occurred in 2017. Proposals for changes to the HS set for adoption in 2022 were requested by the ITC in 2015, and were due in February of the following year (see 1511060019).

(Federal Register 04/03/19)