Setting Up the Derivation of Commodity Codes from Customs Tariff Numbers

Objective

After completing this lesson, you will be able to set up the derivation of commodity codes from customs tariff numbers.

Derivation Using a Reference Scheme

If a product is imported as well as exported, it has to be classified under both the customs tariff of the importing country and the nomenclature used in export declarations. Even if the same nomenclature and, therefore, the same type of numbering scheme are used for both imports and exports, traded commodities have to be classified twice.

In the EU, the customs tariff number is always an extension of the CN. The Member States may use the TARIC as it is or add digits in a national customs tariff. It might therefore make sense to let SAP GTS derive the CN code from the TARIC code at the time of classification. Business users classifying a product select the appropriate TARIC code, and the system proposes the additional classification with the CN code contained in this TARIC code.

Numbering Scheme as Reference Scheme

To enable the derivation of CN codes from TARIC codes, you have to assign the numbering scheme representing the TARIC to the numbering scheme representing the CN in the Reference Scheme field (SAP Global Trade Services, edition for SAP HANAGeneral SettingsNumbering SchemesCommodity CodesDefine Numbering Scheme for Commodity Codes).

Caution

The derivation of a commodity code from a customs tariff number is not possible in reclassification.

How to Use a Reference Scheme in Classification

Derivation Using Number Sets

A derivation of the commodity code from the customs tariff number during product classification is also possible using number sets. Number sets can thus be an alternative to the reference scheme assignment you learned about in the previous paragraph.

A number set links codes from different numbering schemes. One of the numbering schemes is flagged as the reference scheme of the number set. If a user assigns a code from the reference scheme to a product, SAP GTS proposes additional classification with the code or codes linked to the code from the reference scheme.

You can combine numbering schemes across application areas. A number set could, for example, join a numbering scheme for commodity codes to a numbering scheme for control classes. This might be useful in countries where the authorities in charge of export control publish lists that relate commodity codes to dual-use items in order to facilitate classification.

Examples from a list relating CN codes to dual-use items

Products classified under CN codecould be dual-use items
8413 50 401B230
8413 60 802B350i
8414 10 892B231
8482 10 102A001a

Note

The European Commission publishes a correlation table for CN codes and dual-use items:

https://circabc.europa.eu/ui/group/0e5f18c2-4b2f-42e9-aed4-dfe50ae1263b/library/1d07bee0-2335-414b-b3d7-70f97526222f/details.

You can define number sets in Customizing for SAP GTS (SAP Global Trade Services, edition for SAP HANAGeneral SettingsNumbering SchemesDefine Number Set). Individual codes from the numbering schemes combined in a number set can be linked using the Manage Number Sets app.

Note

A code can be assigned to one number set at a time.

How to Use Number Sets in Classification

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