Used Car HS CODE & Interpretation
What is the HS CODE?
It is an abbreviation for the Harmonized Community Description and Coding System, which was adopted as an international agreement in 1988.
The international unified product classification system is used for various purposes such as tariffs, trade statistics, transportation, and insurance to facilitate international trade and maintain consistency in the application of tariff rates by classifying foreign trade products into numerical codes and unifying the product classification system.
According to international agreements, HS codes can be used up to 10 digits. Up to six digits are international codes, with the first one to two digits being classified by product group, three to four digits being classified by type and processing degree, and five to six digits being classified according to the use and function of items in the same class.
From 7 digits, each country subdivides and grants numbers, but Korea uses 10 digits.
※ Automotive HS CODE Classification and Application Case
-
For the first 1 to 4 digits 8703 is a car code, 8702 is a van code, and 8704 is a truck code.
-
6-digit classification For example, 870323 is a passenger car with a cylinder capacity greater than 1,500CC and less than or equal to 3,000CC.
-
10-digit classification For example,
8703231010 is a spark ignition type gasoline passenger car with a cylinder capacity of 1500~2000CC as a new vehicle.
8703231020 is a used car, a spark ignition type gasoline passenger car with a cylinder capacity of 1500~2000CC. 8703239010 is a spark ignition type gasoline passenger car with a cylinder capacity of 2000~3000CC as a new vehicle.
8703239020 is a used car, a spark-ignition gasoline passenger car with a cylinder capacity of 2000-3000CC.
8703241020 is a used car, a spark ignition type gasoline passenger car with a cylinder capacity of 3000~4000CC.
8703249020 is a used car, a spark-ignition gasoline passenger car with a cylinder capacity of 4000CC or more.
8703321020 is a used car, which is a compression ignition type diesel passenger car with a cylinder capacity of 1500CC ~ 2500 or more.
8703402000 is a used car, a hybrid (HEV) electric car, but not a plug-in type.
8703802000 is a used car, pure electric vehicle (EV)
※ For other HS codes by vehicle class for all used cars, see details below.
Since the tariff rate varies depending on the HS code, exporting countries prefer codes with low tariff rates and importing countries prefer codes with high tariff rates, resulting in disputes (Doosan Baek and Dupedia).
In Korea, the HS CODE is required to be written in the “number three” column on the export declaration certificate form.
HS CODE Details by Used Car Class
