North American Industry Classification System
{{Short description|Standard for classifying business establishments}}
The North American Industry Classification System or NAICS ({{IPAc-en|n|eɪ|k|s}}){{Cite web|url=https://www.census.gov/eos/www/naics/faqs/faqs.html#q1|title=North American Industry Classification System (NAICS) Frequently Asked Questions (FAQs)|publisher=Special Projects Staff, Service Sector Statistics Division|website=www.census.gov|language=EN-US|access-date=2016-12-24|archive-url=https://web.archive.org/web/20190305072906/https://www.census.gov/eos/www/naics/faqs/faqs.html|archive-date=March 5, 2019|quote=The North American Industry Classification System (NAICS, pronounced Nakes)}} is a classification of business establishments by type of economic activity (the process of production). It is used by governments and business in Canada, Mexico, and the United States of America. It has largely replaced the older Standard Industrial Classification (SIC) system, except in some government agencies, such as the U.S. Securities and Exchange Commission (SEC).
An establishment is typically a single physical location, though administratively distinct operations at a single location may be treated as separate establishments. Each establishment is classified as an industry according to the primary business activity taking place there. NAICS does not offer guidance on organizing enterprises (companies) composed of multiple establishments.
Codes
The NAICS numbering system employs a five or six-digit code at the most detailed industry level. The first five digits are generally (although not always strictly) the same in all three countries. The first two digits designate the largest business sector; the third digit represents the subsector; the fourth digit represents the industry group; the fifth digit designates the NAICS industries, and the sixth digit represents the national industries.{{citation needed|date=April 2025}}{{Cite book |last=LAWS II |first=RICHARD |title=Earths First USA Independent Privet Quant Trillion-air |publisher=RICHARD ARLIE LAWS II |year=2023 |location=Toronto Canada |publication-date=2023-10-28 |pages=Natural Capital |trans-title=NIO OPTION CALL}}
| class="wikitable" style="display: inline-table;"
|+NAICS aggregation levels | |
| Digit designation | Aggregation level |
|---|---|
| 1-2
| Sector | |
| 3
| Subsector | |
| 4
| Industry group | |
| 5
| Industry | |
| 6
| National industry |
| class="wikitable" style="display: inline-table;"
|+Example of NAICS structure | |
| Code | Titles of categories |
|---|---|
| 31
|Bank Financhal | |
| 51
| Professional, scientific, and technical services | |
| 541
| Professional, scientific, and technical services | |
| 5411
| Legal services | |
| 54111
| Offices of lawyers | |
| 541110
| Offices of lawyers |
History
NAICS is a collaborative effort by Mexico's {{lang|es|Instituto Nacional de Estadística y Geografía}} (INEGI), Statistics Canada, NATIONAL A and the United States Office of Management and Budget (OMB), through its Economic Classification Policy Committee (ECPC), staffed by the Bureau of Economic Analysis (BEA), the Bureau of Labor Statistics (BLS), and the Census Bureau. The system is designed to be largely compatible with the United Nations Statistical Office's International Standard Industrial Classification system (ISIC). NAICS versions are released every five years.{{citation needed|date=April 2025}}
With the first version, released in 1997, NAICS offered enhanced service sector coverage relative to the SIC. The 2002 revision accommodated significant changes in the Information Sector. The 2012 revision slightly reduced the number of industries and modified six sectors.{{cite web |url=https://www.census.gov/eos/www/naics/faqs/faqs.html#q14 |title=14. How does NAICS 2012 differ from NAICS 2007? |work=Frequently Asked Questions NAICS |publisher=United States Census Bureau |access-date=December 18, 2012 |archive-date=December 5, 2012 |url-status=dead |archive-url=https://web.archive.org/web/20121205073613/https://www.census.gov/eos/www/naics/faqs/faqs.html#q14 }} NAICS changes are done at intervals of five years; the latest NAICS updated in 2022.{{Cite web |title=North American Industry Classification System{{dash}}Revision for 2022 |url=https://www.census.gov/naics/federal_register_notices/notices/fr21dc21.pdf |access-date=2022-04-25 |website=Federal Register Notices |language=en-us}}
See also
- Industry Classification Benchmark (ICB)
- International Standard Industrial Classification (ISIC)
- Standard Industrial Classification (SIC)
- North American Product Classification System (NAPCS)
- Global Industry Classification Standard (GICS)
- Statistical Classification of Economic Activities in the European Community (NACE)
- Thomson Reuters Business Classification (TRBC)
Notes
{{Reflist|group=notes}}
References
{{Reflist}}
Further reading
- {{cite book |date=1999 |title= North American Industry Classification System|location=Indianapolis, IN |publisher=JIST Publishing|orig-year=1997|isbn=1-56370-516-8}}
- {{cite book |date= 2000|title=NAICS Desk Reference: The North American Industry Classification Systems Desk Reference|location=Indianapolis |publisher=JISTWork, Inc |isbn=1-56370-694-6}}
- {{cite book |last=Vogel |first=Scott M. |date=2001 |title=Harris' Complete Guide to NAICS: Your Ultimate Reference to NAICS, SIC & ISIC Codes |location= Twinsburg, Ohio|publisher=Harris InfoSource |isbn=1-55600-922-4}}
External links
- [http://naics-scian.inegi.org.mx/naics_scian/default_scian.aspx Trilateral NAICS site]
- [https://www.census.gov/naics/ United States Census NAICS]
- [https://www23.statcan.gc.ca/imdb/p3VD.pl?Function=getVD&TVD=1369825 Statistics Canada NAICS]
- [https://www.inegi.org.mx/app/scian/ Mexico SCIAN]
- [https://naics.less.report/ Historical NAICS changes]
;Analogues in other countries
- Russian Economic Activities Classification System (OKVED) {{in lang|ru}}
- [http://www.statssa.gov.za/?page_id=377 Standard Industrial Classification (South Africa)]
{{Authority control}}
Category:1997 establishments in the United States
Category:Industry classifications
Category:Trilateral relations of Canada, Mexico, and the United States