Everything You Need to Know About ICS2 and HS Codes in 2026

If you're shipping to the EU, accurate customs information can make a real difference to how smoothly your shipment clears customs.

EU customs requirements have continued to evolve throughout 2026, most recently with a customs reform expected in September. Before you book, it’s worth understanding how ICS2 works, why the right HS code matters, and what information you need to provide to support efficient customs clearance.

Let’s get into it.

What Is ICS2 and Why Does It Matter for Your EU Shipments?

ICS2 stands for Import Control System 2, the European Union's pre-arrival security and safety program for goods entering the EU. If you're shipping from Australia to the EU, this is the system checking your parcel's details before it arrives. Every shipment heading into the EU, whether it travels by air, road, rail, sea, post or courier, needs an Entry Summary Declaration (ENS) lodged before arrival. As the sender, your role is to provide complete and accurate shipment information so the economic operators responsible for the shipment can meet the ENS requirements.

What's Changed with ICS2 in 2026

ICS2 has been rolling out in stages since 2021. Road and rail requirements were added from April 2025, and since 1 June 2026, consignments entering the EU by any mode of transport need a valid ENS (Entry Summary Declaration) filed either directly through ICS2 or, where available, through NCTS Phase 6.

In practical terms, this means the description, HS code and other details on your parcel need to be accurate before it even crosses the border. Getting it wrong can mean a hold, a query, or the shipment being rejected by customs.

The European Commission also introduced an updated ICS2 stop words list from 3 August 2026. Stop words are vague terms such as "gift," "parts", “electronics”, “general goods” or "samples", and customs expects a clear, specific description in their place. So instead of “parts”, write something like “steel brake pads for cars”.

What Is an HS Code and Why Does Every Product Need One?

An HS code (short for Harmonised System code) is a set of numbers used to identify exactly what's inside a shipment. It's managed by the World Customs Organization, which says the code is used by more than 200 countries and covers over 98% of everything traded around the world. Customs authorities everywhere, including the EU under ICS2 and Australia's own import and export system, use this code to work out what's in a parcel, what it's made from, what duty applies, and whether the item needs extra checks. Because every country works from the same system, this universal approach reduces misunderstandings and speeds up processing.

Each type of product in your shipment needs to be classified with the correct HS code. Pair the code with a clear, accurate description of the goods to give customs the information they need to assess and process your shipment efficiently.

If you want to check a code yourself, the DFAT FTA Portal lets you search by HS code or product keywords to see if your item qualifies for reduced tariffs under one of Australia's free trade agreements. We also have our own HS code lookup, so if you're booking with Interparcel, you can find the right code as part of the process.

Why Do HS Codes Have Different Numbers of Digits?

Every type of product has its own 6-digit HS code. A cotton shirt, for example, will have a different code from a mobile phone.

Those first six digits are used internationally and are set by the World Customs Organization. That means the same type of product starts with the same 6-digit classification, no matter which country is assessing it. It gives customs authorities a common starting point and helps make international shipping more consistent.

What changes is what comes after those six digits.

Countries can add extra digits to suit their own customs systems, and the code you need depends on the country the shipment is entering. For example, a product exported from Australia may use an 8-digit AHECC code for Australian export reporting. If that product enters the EU, it is classified using the EU's 8-digit Combined Nomenclature. In the US, customs uses a 10-digit classification.

This is why it is important to use the right code for your destination. If the code is incomplete or incorrect, customs may need more information or hold the shipment while it is reviewed.

Our HS code lookup tool makes this easier by finding the appropriate code and code length based on the product and where you're sending it.

How to Find the Right HS Code for Your Product

Start with a specific description of your product. Think about what the item is, what it’s made from and what it’s used for, as these details help determine where it sits within the Harmonised System.

If you're booking with Interparcel, our HS code lookup tool makes this easier. Enter the product and what it’s made from, then choose the classification that best matches your item.

For goods entering the EU, the official classification system is the EU Combined Nomenclature (CN). It builds on the international 6-digit HS code by adding two more digits, creating an 8-digit CN code used for EU customs classification. TARIC, the EU's integrated customs tariff database, builds on this classification and shows the tariff and other customs measures that may apply to goods entering the EU.

If you also need the Australian export classification, the Australian Bureau of Statistics publishes the Australian Harmonised Export Commodity Classification (AHECC). AHECC uses the same international 6-digit HS foundation and adds Australian-specific digits for export reporting.

What Happens If You Get the HS Code Wrong

A wrong or missing HS code can hold up your shipment, add extra costs and, in some cases, lead to penalties. Here's what can happen:

• Delays at customs: Customs can hold the parcel while it checks the goods or asks you for more information.
• Rejected shipments: Customs can refuse to clear the parcel if the code doesn't match the goods.
• Return costs: If a parcel is refused or sent back, the return freight is usually charged to the sender.
• Wrong duties and taxes: The HS code decides which duty rate applies, so a wrong code can mean you or your customer pay the wrong amount.
• Missed free trade savings: The DFAT Free Trade Agreement Portal matches tariff savings to your HS code, so a wrong code can mean missing out on a lower tariff.
• Penalties: For goods coming into Australia, the Australian Border Force can apply penalties when goods are classified incorrectly.

The easiest way to avoid these risks is to check that the HS code, item description, quantity, value of each item, country of origin and reason for export all match the goods before you book.

New EU Customs Rules You Should Know About in 2026

ICS2 and HS codes are only part of a bigger shift happening in EU customs this year. From 1 July 2026, the EU removed the customs duty exemption for affected low-value ecommerce consignments up to €150 and introduced a temporary €3 duty for each different category of goods in a consignment, based on its tariff classification rather than the number of individual units. A further EU-wide handling fee is due to apply from November 2026. We've covered these changes in detail in our EU shipping changes for 2026 guide.

Separately, the EU's Packaging and Packaging Waste Regulation (PPWR) started affecting how products are packaged for the EU market from August 2026, which we've broken down in our PPWR guide.

The wider EU customs reform expected in September will also changes how ecommerce imports are managed in the years ahead. From 1 July 2028, ecommerce businesses selling directly to customers in the EU will use the EU Customs Data Hub, with online sellers and platforms taking greater responsibility for customs information, compliance and duty payments.

The Data Hub will then roll out to the rest of the market in stages. Other traders will be able to start using it voluntarily from March 2031, before it becomes the mandatory customs entry point for all traders from March 2034.

These changes do not replace ICS2. They sit alongside it and form part of a broader overhaul of how goods entering the EU are declared, assessed and processed.

How Interparcel Helps You Get It Right

Interparcel helps you with HS codes, duties and taxes, and order management, all in one place:

• HS code lookup: Our HS code lookup tool uses AI data to suggest the most accurate code for your product. Enter the item name and what it's made of, choose the matching code from the options, and it's added straight to your customs invoice. The tool supports 8 and 10-digit classifications depending on the destination, helping reduce manual errors and support more accurate customs information and duty calculations.
• Prepay duties and taxes: Giving customers visibility over import costs before their parcel arrives can create a smoother post-purchase experience. When you book internationally with UPS, FedEx or Asendia, look for the "Prepay Duty & Taxes" tag on services to your destination. Prepay at booking and your customer receives their parcel with the applicable import costs already covered, helping reduce unexpected charges on delivery.
• One platform for all your orders: Connect your Shopify, WooCommerce, eBay, Etsy or other ecommerce store, and your orders flow straight into one single platform, ready to book. It's free to use, with no subscription fees and no contracts to lock you in.
• Smart shipping tools for businesses: If your business ships internationally on a regular basis, sign up for a free Interparcel account to access the Shipping Manager, where our smart shipping tools work together. Automated order processing brings orders through without manual entry, so you spend less time on shipping admin and more time growing your business.

Want a hand working out the best shipping setup or negotiating your rates for your international volumes? Book a call with our shipping experts. Got a question about an existing shipment or booking instead? Our customer service team is here to help.

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