HS 988089 Classified in Chapter 89
Quick Answer: HS code 988089, classified within Chapter 89, covers vessels and other watercraft. According to CustomTariffs data, specific duty rates for this code are not readily available for the UK or EU. This indicates that while the classification is established, the precise tariff treatment may depend on further subheadings or specific trade agreements. Importers and customs brokers should consult the detailed tariff schedules of the importing country, referencing the specific type of vessel or watercraft, to determine applicable duties and any potential preferential rates. This code serves as a broad category, necessitating granular examination for accurate customs declarations.
What Are the Import Duty Rates?
🇬🇧 United Kingdom
| Code | MFN | Preferential | Unit |
|---|---|---|---|
| 9880890000 | — | — | — |
🇪🇺 European Union (TARIC)
| Code | MFN | Preferential | Unit |
|---|---|---|---|
| 9880890000 | — | — | — |
Duty rates sourced from the USITC (US International Trade Commission) Harmonized Tariff Schedule (HTS) (accessed 2/22/2026), EU TARIC – DG TAXUD (Directorate-General for Taxation and Customs Union) (accessed 2/22/2026), and UK Trade Tariff – HMRC (His Majesty's Revenue and Customs) (accessed 2/22/2026).
Data compiled and presented by HSRates.
How to Classify This HS Code?
What products does HS 988089 cover?
This subheading covers products classified within Chapter 89 of the Harmonized System (HS) nomenclature, which pertains to ships, boats, and other floating structures. According to the World Customs Organization (WCO) HS Explanatory Notes and definitions found in official tariff schedules like the USITC Harmonized Tariff Schedule (HTS) and the EU TARIC database, this encompasses a broad range of vessels, from small pleasure craft to large commercial ships, including warships and aircraft carriers, provided they meet the criteria for classification under Chapter 89.
What falls outside HS 988089?
The following products are excluded from HS 988089, as they are classified elsewhere in the HS nomenclature. This includes, but is not limited to, parts and accessories of ships and boats that are not integral to the vessel's structure or operation (often classified in Chapter 89 or other relevant chapters based on their specific nature), floating structures not designed for navigation such as floating docks or oil platforms (typically classified in Chapter 84 or 89 depending on function), and disassembled vessels where the components are not yet assembled into a functional craft.
What are common classification mistakes for HS 988089?
A common error is misclassifying components or unassembled parts of vessels as complete units under HS 988089. General Interpretative Rule (GIR) 2(a) of the Harmonized System states that an incomplete or unfinished article is to be classified as if it were the complete or finished article if it has the essential character of the complete or finished article. Importers may also incorrectly classify specialized floating equipment, such as dredgers or floating cranes, if their primary function is not navigation but rather industrial operation, which might lead to classification in Chapter 84.
How should importers classify products under HS 988089?
The correct procedure for classifying products under HS 988089 involves a thorough review of the product's specifications against the headings and subheadings of Chapter 89. Importers and customs brokers must consult the official HS Explanatory Notes and the specific tariff schedule of the importing country, such as the USITC HTS or the EU TARIC, to ensure accurate classification. This includes determining if the item is a vessel designed for navigation and then identifying the most specific subheading within Chapter 89 that accurately describes the vessel's type, size, and intended use.
How is the duty calculated for products under HS 988089?
A luxury yacht weighing 50,000 kg and declared at a customs value of $5,000,000 USD would attract a US duty of $250,000. This is calculated using the Most Favored Nation (MFN) duty rate of 5% ad valorem, as published in the USITC Harmonized Tariff Schedule for certain pleasure craft, specifically: 5% × $5,000,000 = $250,000. Note that specific provisions within Chapter 89 may apply to warships or vessels for commercial use, potentially resulting in different duty rates or exemptions.
Which trade agreements reduce duties for HS 988089?
Several free trade agreements may reduce the applicable duty rate for HS 988089, including the United States-Mexico-Canada Agreement (USMCA). Under USMCA, qualifying vessels originating from Canada or Mexico may be eligible for a duty-free rate. For example, a vessel meeting USMCA rules of origin from Canada would have a preferential rate of Free. To claim this preference, a self-certified origin statement on the commercial invoice or a separate certificate of origin is typically required by US Customs and Border Protection (CBP).
```Which HS Codes Are Related?
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FAQ
What is the general import duty rate for HS code 988089, classified under Chapter 89?
HS code 988089 is a special statistical or administrative code, not a standard Harmonized System commodity code for duty assessment. Chapter 89 of the Harmonized Tariff Schedule (HTS) covers 'Ships and other vessels'. The actual duty rate for goods classified within Chapter 89 will depend on the specific type of vessel, its construction, propulsion, and intended use, as well as the importing country's tariff schedule. For example, under the US HTS, most vessels are duty-free, but specific provisions may apply. Importers must identify the correct 10-digit HTSUS code for the specific vessel to determine the applicable duty.
How is the duty calculated for a vessel classified under Chapter 89, given that 988089 is a placeholder?
Since HS 988089 is not a duty-bearing code, duty calculation relies on the specific 10-digit HTSUS code for the vessel. For instance, if a specific type of pleasure yacht falls under a 10-digit code with a 1.5% ad valorem duty rate, and its customs value is $500,000, the duty would be calculated as: $500,000 (Customs Value) × 0.015 (Duty Rate) = $7,500. It is crucial to consult the official HTSUS or the relevant jurisdiction's tariff schedule for the precise classification and duty rate applicable to the imported vessel.
What documentation is typically required for importing vessels classified under Chapter 89?
Importing vessels under Chapter 89 requires comprehensive documentation. This typically includes a commercial invoice detailing the vessel's construction, specifications, and value; a bill of lading or air waybill; a certificate of origin; proof of ownership (e.g., title or registration); and potentially specific permits or licenses depending on the vessel type and country of import. For vessels imported into the United States, Customs and Border Protection (CBP) requires specific declarations and may require documentation related to U.S. Coast Guard requirements. Always verify the exact requirements with the importing country's customs authority.
Are there preferential duty rates or trade agreement benefits applicable to vessels imported under Chapter 89?
Preferential duty rates under trade agreements can apply to vessels classified within Chapter 89, but this is highly dependent on the specific trade agreement and the country of origin of the vessel. For instance, if a vessel originates from a country with a Free Trade Agreement (FTA) with the importing country, and the vessel meets the rules of origin stipulated in that FTA, it may qualify for reduced or zero duty rates. Importers and customs brokers must carefully review the terms of relevant FTAs, such as the USMCA or agreements with EU member states, and ensure all origin documentation is in order to claim preferential treatment. The specific 10-digit HTS code will determine eligibility.
What are the key classification criteria for determining the correct HS code within Chapter 89 for vessels?
Classification within Chapter 89 hinges on several key criteria. These include the vessel's type (e.g., ship, boat, yacht, ferry), its propulsion system (e.g., sail, engine, steam), its tonnage, its construction materials (e.g., steel, fiberglass, wood), and its intended use (e.g., commercial, pleasure, military). For example, a large commercial cargo ship will have a different classification and potentially different duty treatment than a small recreational speedboat. The Explanatory Notes to the Harmonized System and national tariff schedules provide detailed guidance on these criteria. It is essential to have precise specifications of the vessel to ensure accurate classification beyond the general placeholder code 988089.