Import and Export Product Classification


Have your products, technology, software and services been classified by a qualified expert?

Having your products, technology, software and services properly classified ensures that you are applying the correct export regulations. This begins with ensuring that the correct commodity jurisdiction has been assigned – generally EAR for civil or ‘dual use’ items and ITAR for military & defense articles and services. Additionally, enforced compliance of the Foreign Trade Regulations and the Automated Export System (AES) requires exporters to enter correct Schedule B Numbers for exports valued over $2,500 or requiring a license.

Export Commodity Classification

Failure to properly classify your products, technology, software and services can lead to licensing errors or omissions, shipment delays or seizures, and potential fines and penalties. Compliance Assurance can help you classify your products and technologies and maintain an effective ‘product/technology matrix’ using your ERP or other system of your choosing. We work with your technical staff to classify even the most technical items on the U.S. Munitions List (USML) and Commerce Control List (CCL). We also utilize our own contract Engineers to assist if you don’t have the resources available in-house.

Of course, we recommend obtaining commodity jurisdictions and classifications from the Directorate of Defense Trade Controls (DDTC) and the Bureau of Industry and Security (BIS) and we can assist in the preparation and, in the case of the BIS, filing of requests on your behalf.

Product classifications are continually being revised and, with significant export control reforms in motion, are expected to undergo the most significant changes in decades using a positively defined, tiered list for both CCL and the USML. Don’t get left behind. Start classifying your products now so that you have a mechanism in place to effectively manage the impending changes.

Import Commodity Classification

Have you properly classified your import commodities with the correct Harmonized Tariff Schedule Number? Or are you relying on outdated information handed down previous employees or information provided by your overseas suppliers?

The Customs Modernization Act of 1993 shifted the legal responsibility for classifying imported merchandise to the importer. Pursuant to 19 U.S.C. 1484, the importer of record must use ‘reasonable care’ in making entry which includes the proper classification of merchandise using the Harmonized Tariff Schedule of the United States (HTSUS). Failure to do so may result in fines, penalties or forfeiture of the imported goods.

You may actually be overpaying for duties based on incorrect or outdated HTS codes. Or perhaps you are setting your company up for a huge liability in unpaid duties, penalties and interest by using an incorrect HTS code that reflects lower or zero duty rates.

Compliance Assurance can assist you in the sometimes laborious task of classifying your import commodities. With our years of expertise, we can quickly and efficiently work with your staff to classify your items according to the latest HTSUS. In addition, we can prepare and submit your requests for binding rulings for new products and making better business decisions.

Call us today to find out how we can help you manage your current and future product classification challenges.