Harmonized System code
The international tariff classification for traded goods, and the key most trade data is aggregated under.
The Harmonized System is the World Customs Organization's classification of traded goods, structured as a six-digit code that participating countries extend with further digits of their own. Almost every customs declaration, tariff schedule and trade statistic in the world is organised by it, which makes it the de facto key for any analysis of physical trade.
Its analytical weakness is granularity. The classification was built for tariffs rather than for market analysis, so a single code can cover a range of products with very different value and significance - and specialised equipment frequently arrives under a code broad enough to hide it. Reading trade flows for a specific item usually means combining the code with the consignee and description rather than trusting the code alone.
The codes are also where trade policy is expressed. Tariffs, quotas and export control measures are written against classifications, so a change in how an item is classified can change its economics without anything about the item changing - which is a signal in its own right.
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