Study Guide

3.3. Article 4: Partial application by developing countries, and Article 5: Technical assistance for developing countries

These articles recognize that developing countries may face practical limitations in adopting the full HS Nomenclature at once. They provide flexibility and support.

These provisions were incorporated in the Convention because research indicated that practical domestic limitations in many developing countries would restrict their capacity to absorb all the details of the HS Nomenclature at once. In such instances, it is considered unreasonable to require such countries to fully commit themselves to use the complete system at the initial application phase. Therefore, they may decline, at least initially, to apply all or some of the subheadings and yet fulfill the obligations arising out of Article 3.

Minimum requirements for developing-country signatories

Partial application does not limit a country to the 4-digit headings only. A country may elect to use only some of the 5- and 6-digit subheadings, but those that do are obliged to apply the complete hierarchical 5-digit subheading structure within a particular 4-digit heading, and/or the complete hierarchical 6-digit subheading structure within a particular 5-digit subheading. Developing countries may also create their own domestic subheadings below the international 6-digit level.

By virtue of Article 5, contracting parties that are developed countries are obliged — when they are so able — to provide technical assistance to developing countries. This assistance may be in the form of training of personnel, translating local tariff systems into HS format and maintaining an up to date document.