Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1696584047069.pdf (Vanuatu)
Changes from HS 2012 to HS 2017 – International Level (6 Digit Level) Presentation by: Michael Ligo www.mligo@vanuatu.gov.vu Changes from HS 2012 to HS 2017  Outline: • • • • Background Changes to HS 2017 Reasons for Major Changes in HS 2017 Tools to Use to check HS Code Changes from HS 2012 to HS 2017 Changes from HS 2012 to HS 2017  Background: • What is the Harmonized Commodity Description and Coding System (“Harmonized System” or “HS”): • A multipurpose international product nomenclature developed by the Word Customs Organisation (WCO).
• Why is it Important?

• • • • • Used to standardize classification of goods within countries and across boarders Used by countries to implement taxation systems Ensure availability of statistically data for national and international uses Simplify customs procedures Essential tool for trade Changes from HS 2012 to HS 2017  Background: • HS is governed by “The International Convention on the Harmonized Commodity Description and Coding System” • Maintenance of the HS is a WCO priority.
Maintenance and changes are necessary for HS in order to: • • • • keep up to date with changes in technology keep up to date with changes in the patterns and norms of international trade Simplifications and clarification of texts Environmental/Social/Economic Issues that require data collection to monitor and control trades of certain goods.

Changes from HS 2012 to HS 2017  Who does the changes to HS?
 WCO manages process of HS changes through the Harmonized System Committee (who represent the Contracting Parties to the HS Convention), which examines policy matters, takes decisions on classification questions, settles disputes and prepares amendments to the Explanatory Notes.

The HS Committee also prepares amendments updating the HS every 5-6 years.
Proposal Secretariat Review Sub- Committee HS Committee Draft Recommendation Council Recommendation Implementation at International level Member Countries Implement changes Changes from HS 2012 to HS 2017  Changes to HS 2017:  Changes effective as of 1 January 2017.

  Summary 233 Sets of amendments at the International Level.
These changes are broken down into sections as follows:         85 Agriculture 45 Chemical Sector 13 Wood Sector 15 Textile Sector 6 Base Metal Sector 25 Machinery Sector 18 Transport Sector 26 Other Sectors Changes from HS 2012 to HS 2017 Reasons for Major Changes to HS 2017: Food and Agricultural Organisation of the United Nations on the following:  Agriculture:    0805.21 – new – mandarins 0805.22 – new – clementine 1211 – inclusion of chilled and frozen products  Forestry products:    Subheading Note 2 to Chapter 44 – Deletion – due to expansion of the scope of the expression ‘tropical wood’.
Subheading Note 2 to Chapter 44 – Delete – expansion of the scope of the expression ‘tropical wood’ 4407.96 and 4407.97 – New- created for wood of birch, poplar and aspen Changes from HS 2012 to HS 2017 Food and Agricultural Organisation of the United Nations on the following (continue.
):   Fertilizers Agricultural machinery International Narcotics Control Board (INCB):     1211.50 – new – control of ephedra (narcotic/pyschotropic substance) 1302.14 – new - control of ephedra (narcotic/pyschotropic substance) 2926.40 – new – control of alpha-phenylacetoacetonitrile (also known as "APAAN") 3003.40 – Subdivided to create:  3003.41, 3003.42 & 3003.43 – new – Monitor and control of pharmaceutical preparations containing ephedrine, pseudiephedrine or norephedrine, or salts thereof Changes from HS 2012 to HS 2017 Substances controlled under Chemical Weapons Convention ‘CWC’ (Organisation for the Prohibition of Chemical Weapons ‘OPCW’):          2811.12 – New – for Monitoring and control of hydrogen cyanide 2812.10 – expanded – 2812.11, 2812.12, 2812.13, 2812.14, 2812.15, 2812.16, 2812.17, 2812.19 for certain chlorides of non-metals to monitor and analysis data 2853.10 – New – for monitoring and control on cyanogen chloride (chlorcyan) 2904.91 – New – for monitoring and control of trichloronitronmethane (chloropicrin) 2918.17 – New – monitoring and control of 2,2-diphenyl-2-hydroxyacetic acid (benzylic acid) 2920.21 to 2920.29 – New – monitoring and control of dimethyl phosphite, diethyl phosphite, trimethyl phosphite and triethyl phosphite 2921.12 to 2921.14 – New – monitoring and control of 2-(N,N-Dimethylamino)ethylchloride hydro-chloride, 2-(N,N- Diethylamino)ethylchloride hydrochloride and 2-(N,N-Diisopropylamino)ethylchloride hydrochloride 2922.15 to 2922.18 – New – monitoring and control of triethanolamine, diethanolammonium perfluorooctane sulphonate, methyldiethanolamine and ethyldiethanolamine, and 2-(N,N-diisopropylamino)ethanol 2930.60 & 2930.70 – New – monitoring and control of 2-(N,N-Diethylamino)ethanethiol and Bis(2-hydroxyethyl)sulfide Changes from HS 2012 to HS 2017 Substances controlled under the Rotterdam Convention (Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade ‘PIC’):        2904.31 to 2904.36 – New – Monitoring and control of perfluorooctanesulfonic acid (PFOS), its salfs 2920.30 - New – Monitoring and control of Endosulfan (ISO) 2923.30& 2923.40 – New – Monitor and control of tetraethylammonium perfluorooctane sulphonate and didecyldimethylammonium perfluorooctane sulphonate 2924.25 – New – Monitor and control of Alachlor (ISO) 2930.80 – New – Monitor and control of Aldicarb (ISO), Captafol (ISO) and Methamidophos (ISO) - Deletion – 2930.50 – moved to above new heading 2933.92 – New – Monitor and control of Azinphos-methyl (ISO) 2935 – Subdivided – Monitor and control of sulphonamides Changes from HS 2012 to HS 2017 Substances controlled under Stockholm Convention (Persistent Organic Pollutants POPs):        2903.83 – New – Monitoring and control of Mirex (ISO), a chlorinated hydrocarbon.
2903.93 & 2903.94 – New – Monitoring and control of pentachlorobenzene (ISO) and hexabromobiphenyls 2904.31 to 2904.36 – New – Monitoring and control of perfluorooctanesulfonic acid (PFOS), its salfs 2910.50 – New – Monitoring and control of Endrin (ISO) 2914.62 – New – Monitoring and control of coenzyme Q10 (ubidecarenone (INN)) 2914.71 & 2914.79 – subdivision – Monitoring and control of Chlordecone (ISO) 2920.30 - New – Monitoring and control of Endosulfan (ISO) Changes from HS 2012 to HS 2017  Trade – Change in trade patterns, trade statistics, simplifications and corrections:     2202.91 and 2202.99 – New – for non-alcoholic beer 2204.22 – New – wines in containers holdings more than 2l not more than 10l 2853 – expansion – to accommodate goods of 28.48 which has been deleted due to low volume of trade 29.39 – expansion – to include other alkaloids obtained, for example, from animal origin    2939.80 – New – covers all the alkaloids of non-vegetal origin 2939.91 and 2939.92 – renumbered for the creation of above new code Expansion of 29.39 involves entails the transfer of certain products covered by other headings of the Nomenclature eg.
Heading 29.33, heading 29.34 to 2939.80.

 3103.10 – Subdivided:  3103.11 – new – for superphosphates, containing by weight 35% or more of diphosphorus pentaoxide (P2O5)  3705.10 and 3705.90 – deleted – low volume of trade Changes from HS 2012 to HS 2017 Trade – Change in trade patterns, trade statistics, simplifications and corrections (continued):        4401.10 – Subdivided to provide separately for coniferous and non-coniferous fuel wood, due to high volume of international trade.
4401.39 & 4401.40 – Separated - Sawdust and wood waste and scrap have been separated into two major groups of products: agglomerated (pellets, briquettes, logs, etc.)

and not agglomerated.

4403.10 – subdivided – Coniferous and non-coniferous, due to the high volume of global international trade.

4403.93 to 4403.98 –new- to divide by species and size, due to high volume of global international trade.
4406.10 and 4406.90 – subdivided into coniferous and non-coniferious, due to high volume of international trade.

4407.11 and 4407.12 have been created to provide separately for wood of pine and fir and spruce.
Subheading Note 2 to Chapter 44 – Delete – expansion of the scope of the expression ‘tropical wood’  4407.96 and 4407.97 – New- created for wood of birch, poplar and aspen Changes from HS 2012 to HS 2017  Antimalaria Pharmaceuticals:  3002.10 – Subdivided to create:   3002.11 - new - malaria diagnostic test kits 3002.12 to 3002.15 – immunological products, whether unmixed, mixed or put up in measured doses or in forms of packings for retail sale.
This has been defined in new Subheading Note 1 to Chapter 30.

 3003.40 – Subdivided to create:   3003.41, 3003.42 & 3003.43 – new – Monitor and control of pharmaceutical preparations containing ephedrine, pseudiephedrine or norephedrine, or salts thereof 3003.60 – new – antimalarial medicaments.

Scope of new subheading has been defined in new Subheading Note 2 to Chapter 30.
Changes from HS 2012 to HS 2017    Tools to Use to check HS Code Changes from HS 2012 to HS 2017 Amendments effective from 1 January 2017 - A Summary of the changes Amendments to the Nomenclature:  WCO Council Recommendation of 27 June 2014  WCO Council Recommendation of 11 June 2015 – to be effective as of 01 Jan 2018, however can be implemented as of  Use of Correlation Tables:   Introduction:  Explains these tables as summaries and not legal documents Table I  Shows correlation between tables and makes remarks on changes on the far left column.
Changes from HS 2012 to HS 2017  Tools to Use to check HS Code Changes from HS 2012 to HS 2017    Table I – Annex Table II Table II – Annex  http://www.wcoomd.org - World Customs Organisation website Changes from HS 2012 to HS 2017 Stats National splits 115 (181national splits - 66 codes already accounted on WCO) Concessions WCO 6 digit Total 17 (chapters 98 & 99) 5,386 5,518 Changes from HS 2012 to HS 2017 Comments & Questions Presentation by: Michael Ligo – mligo@vanuatu.gov.vu www.customsinlandrevenue.gov.vu/