The StartOps Team
TLDR:
Tarifflo uses proprietary algorithms to classify products with their correct international tariff codes (HS/HTS codes) for import/export compliance. They achieve significantly higher accuracy than human experts and existing automated solutions.
Basic info
Year founded: 2024
Team size: 2
HQ location: Utah
Regions served: USA + 15 other countries
What's the backstory?
Founder Bryce Judy is a data scientist who previously worked at KPMG in trade compliance — specifically on classification of medical devices.
After seeing KPMG’s AI algorithm producing a low accuracy rate, he worked with a PhD mentor in computational mathematics to develop a more advanced algorithm. This new algorithm achieves over 90% alignment with CBP court rulings for HTS code classifications, compared to the typical 70% accuracy rate achieved by professional brokers manually.
He recently partnered with business co-founder Joseph Zhang to help scale the business.
Who do they work with?
Any importer who has to classify a large number of items with HTS codes each year (usually 500+/year)
Works equally well for enterprise, manufacturers, distributors, consumer brands, 3PLs, customs brokers, etc.
What problems do they solve?
Today, those seeking to assign harmonized codes have 2 options:
Automated solutions like the WTO free HS code suggester (12% accurate), or private solutions like Zonos (~40% acccurate). The problem is that the low accuracy rate means human intervention is still needed for review (or the company risks failing an audit.)
Human-researched solutions like KPMG. The problem is that this is expensive — often on the order of $100/classification.
Tarifflo is a better automated solution, achieving greater than 90% accuracy vs. backtest benchmarks.
How does it work?
The input a simple CSV input with product name and brief description for each product. (Getting this data into a clean format is the longest part of the process.)
Tarifflo users a combination of proprietary algorithms to produce HTS codes for each item within minutes. They also provide a written justification for the claim, and any prior court cases that support the claim.
What makes it different?
It’s wildly more accurate than other automated HTC classification services.
It returns not only the HTS code, but also a justification (backed by court rulings)
They currently support classification not just for the US, but also 15 other countries.
How does pricing work?
Pricing runs from $2,500 for 500 code assignments, through the high six figures depending on volume
Billing is on an annual subscription basis
Case studies
Currently conducting large-scale tests with some of the biggest logistics firms in the US
Building out multi-country classification capabilities for a customer operating in 16 different countries
Want to learn more or get in touch? Check out their page on the StartOps Directory.