What is an HS Code? A Guide to Tariff Classification

An HS code (Harmonized System code) is a standardized numerical classification used worldwide to identify traded products. Developed by the World Customs Organization (WCO), the Harmonized System is used by over 200 countries to classify goods for customs, duty calculation, and trade statistics.

How HS Codes Work

The HS code system is hierarchical:

Chapter (2 digits) — Broad category (e.g., 85 = Electrical machinery)
Heading (4 digits) — Product group (e.g., 8517 = Telephone sets)
Subheading (6 digits) — Specific product (e.g., 851714 = Smartphones)
National tariff line (8-10 digits) — Country-specific classification

The first 6 digits are universal — the same worldwide. Digits 7 and beyond are added by each country for their own tariff schedule.

HS Code vs HTS Code: What's the Difference?

HS Code	HTS Code
Full name	Harmonized System	Harmonized Tariff Schedule
Used by	All countries (6-digit base)	United States (10 digits)
Digits	6 (international standard)	10 (US-specific)
Purpose	Universal classification	US import duty determination

Schedule B codes (also 10 digits) are the US export classification — similar to HTS but used for outbound shipments.

Indonesia uses the BTKI (Buku Tarif Kepabeanan Indonesia) — an 8-digit system based on the international HS.

Why HS Code Classification Matters

Getting the HS code right is critical because it determines:

Import duty rate — Different codes have different duty percentages
VAT and other taxes — Some products have special tax rates
Required permits — Many codes trigger Lartas (restricted goods) requirements
FTA eligibility — Preferential rates apply per-code under trade agreements
Trade statistics — Government tracking of import/export volumes

A wrong HS code can result in:

Overpaying duties by thousands of dollars
Goods seized at customs for Lartas violations
Customs audits and fines for misclassification
Shipment delays while the dispute is resolved

How to Find Your HS Code for Indonesia

Use Kickrate's search — Search by product name or code to find the exact 8-digit Indonesian HS code
Check the duty rate — Each product page shows the MFN duty rate, VAT, income tax, and FTA preferential rates
See required permits — The page lists any Lartas requirements (BPOM, SNI, quarantine, etc.)

HS Code Examples

Product	HS Code	Indonesia Duty
Laptops	84713010	0%
Smartphones	85171400	0%
Wine	22041000	45%
Chocolate	18063100	15%
Steel coils	72083600	10%

Need Help Classifying?

HS code classification requires expertise — especially for complex products that could fall under multiple headings. As your Importer of Record, Kickrate classifies your products against Indonesia's 12,000+ tariff lines. Contact us for a free classification review.