HS Code for Cotton yarn for retail

Cotton yarn for retail sale is classified under HS code 5207.10 because it meets specific criteria regarding its composition and packaging as defined in the Harmonized System's Section XI. To fall under this heading, the yarn must contain at least 85% cotton by weight and be "put up for retail sale." This means the yarn is packaged in a manner suitable for direct sale to consumers, such as on balls, hanks, or skeins of a specific weight. According to the Section XI notes, yarn is considered "put up for retail sale" if it is on supports (reels, tubes, etc.) of a weight not exceeding 125 grams, or in hanks/skeins of a weight not exceeding 125 grams, or in certain other specific configurations. This classification excludes sewing thread, which has its own specific heading. The primary factor for 5207.10 is the high cotton content combined with the retail-ready format, distinguishing it from industrial-use yarns that are typically shipped on large cones or beams for further manufacturing. The 85% threshold is critical; if the cotton content were lower, the product would move to other subheadings within Chapter 52 or even to Chapter 55 if synthetic fibers predominate. Furthermore, the yarn must not be treated in a way that classifies it as sewing thread under heading 5204, which requires a specific finish and a "Z" twist. The distinction between retail and non-retail is one of the most common points of confusion in textile classification, as the physical yarn may be identical, but the packaging determines the duty rate and regulatory requirements. Proper classification ensures compliance with textile labeling laws and trade quotas that may apply to specific cotton products.

Products Included

• Single cotton yarn for retail sale
• Multiple (folded) cotton yarn for retail sale
• Cabled cotton yarn for retail sale
• Combed or uncombed cotton yarn in small balls
• Cotton yarn in hanks under 125 grams

Common Misclassification

This product is often confused with HS code 5205, which covers cotton yarn not put up for retail sale. The distinction lies entirely in the packaging and weight of the unit. It is also sometimes confused with 5204 (sewing thread), which is defined by its finish and use rather than just its packaging. Additionally, if the cotton content is less than 85%, it must be classified under 5207.90.

FAQ

What is the HS code for cotton yarn for retail?

The HS code for cotton yarn containing 85% or more cotton by weight and put up for retail sale is 5207.10.

What is the difference between HS 5205 and 5207?

HS 5205 is for industrial or bulk cotton yarn, while HS 5207 is specifically for yarn packaged for retail sale, usually in smaller weights and consumer-friendly formats.