Code Shift

This report analyzes the environmental implications of the 2022 amendments to the Harmonized Commodity Description and Coding System (HS), managed by the World Customs Organization (WCO). The author explains how the creation of specific commodity codes for environmentally sensitive products and environmental goods improves trade monitoring and facilitates the negotiation of trade agreements aimed at climate and environmental sustainability.

• The 2022 amendments to the Harmonized Commodity Description and Coding System (HS), implemented by most economies on January 1, 2022, improve the monitoring of both environmentally sensitive products and 'environmental goods'.
• The HS 2022 update introduces specific codes for several environmental technologies, including the separation of photovoltaic (PV) cells from light-emitting diodes (LEDs). PV cells not assembled in modules are now coded 8541.42, while those in modules or panels are 8541.43, and LEDs have their own subheading at 8541.41.
• New subheadings in HS 2022 facilitate the tracking of hazardous wastes, specifically electrical and electronic waste and scrap under heading 85.49. This includes 11 subheadings that distinguish waste containing toxic materials such as cadmium, lead, mercury, or polychlorinated biphenyls (PCBs).
• The 2022 revisions include new codes for other environmentally relevant products, such as catalytic converters (8421.32), solar water heaters (8419.12), mass spectrometers (9027.81), and edible, non-living insects (0410.10).
• The report suggests that the 2027 HS revision should introduce specific codes for several emerging environmental technologies to improve trade statistics and policy, including silicon semiconductor wafers for PV cells, electrolyzers, fuel cells, and electric-powered aircraft and ships.

APA

Steenblik, R. P. (2020). Code Shift. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/code-shift-2022-harmonized-system.pdf

Chicago

Steenblik, Ronald P. Code Shift. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/publications/code-shift-2022-harmonized-system.pdf.

Wikipedia

{{cite report |last1=Steenblik |first1=Ronald P. |title=Code Shift |publisher=International Institute for Sustainable Development |date=May 2020 |url=https://www.iisd.org/system/files/publications/code-shift-2022-harmonized-system.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{steenblik2020code, author = {Steenblik, Ronald P.}, title = {{Code Shift}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = may, url = {https://www.iisd.org/system/files/publications/code-shift-2022-harmonized-system.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }