
The North American Industry Classification System or NAICS () is a
classification of business establishments by type of economic activity (the process of production). It is used by governments and business in
Canada
Canada is a country in North America. Its Provinces and territories of Canada, ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, making it the world's List of coun ...
,
Mexico
Mexico, officially the United Mexican States, is a country in North America. It is the northernmost country in Latin America, and borders the United States to the north, and Guatemala and Belize to the southeast; while having maritime boundar ...
, and the
United States of America
The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 states and a federal capital district, Washington, D.C. The 48 contiguo ...
. It has largely replaced the older
Standard Industrial Classification
The Standard Industrial Classification (SIC) is a system for classifying industries by a four-digit code as a method of standardizing industry classification for statistical purposes across agencies. Established in the United States in 1937, it ...
(SIC) system, except in some government agencies, such as the
U.S. Securities and Exchange Commission
The United States Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street crash of 1929. Its primary purpose is to enforce laws against market m ...
(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.
History
NAICS is a collaborative effort by Mexico's (INEGI),
Statistics Canada
Statistics Canada (StatCan; ), formed in 1971, is the agency of the Government of Canada commissioned with producing statistics to help better understand Canada, its population, resources, economy, society, and culture. It is headquartered in ...
, NATIONAL A and the
United States Office of Management and Budget
The Office of Management and Budget (OMB) is the largest office within the Executive Office of the President of the United States (EOP). The office's most prominent function is to produce the president's budget, while it also examines agency pro ...
(OMB), through its Economic Classification Policy Committee (ECPC), staffed by the
Bureau of Economic Analysis
The Bureau of Economic Analysis (BEA) of the United States Department of Commerce is a U.S. government agency that provides official macroeconomic and industry statistics, most notably reports about the gross domestic product (GDP) of the United ...
(BEA), the
Bureau of Labor Statistics
The Bureau of Labor Statistics (BLS) is a unit of the United States Department of Labor. It is the principal fact-finding agency for the government of the United States, U.S. government in the broad field of labor economics, labor economics and ...
(BLS), and the
Census Bureau
The United States Census Bureau, officially the Bureau of the Census, is a principal agency of the U.S. federal statistical system, responsible for producing data about the American people and economy. The U.S. Census Bureau is part of the U ...
. The system is designed to be largely compatible with the
United Nations
The United Nations (UN) is the Earth, global intergovernmental organization established by the signing of the Charter of the United Nations, UN Charter on 26 June 1945 with the stated purpose of maintaining international peace and internationa ...
Statistical Office's
International Standard Industrial Classification
The International Standard Industrial Classification of All Economic Activities (ISIC) is a United Nations industry classification system. Wide use has been made of ISIC in classifying data according to kind of economic activity in the fields of em ...
system (ISIC). NAICS versions are released every five years.
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. NAICS changes are done at intervals of five years; the latest NAICS updated in 2022.
See also
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Industry Classification Benchmark
The Industry Classification Benchmark (ICB) is an industry classification taxonomy launched by Dow Jones and FTSE in 2005 and now used by FTSE International and STOXX. It is used to segregate markets into sectors within the macroeconomy. The ICB ...
(ICB)
*
International Standard Industrial Classification
The International Standard Industrial Classification of All Economic Activities (ISIC) is a United Nations industry classification system. Wide use has been made of ISIC in classifying data according to kind of economic activity in the fields of em ...
(ISIC)
*
Standard Industrial Classification
The Standard Industrial Classification (SIC) is a system for classifying industries by a four-digit code as a method of standardizing industry classification for statistical purposes across agencies. Established in the United States in 1937, it ...
(SIC)
*
North American Product Classification System (NAPCS)
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Global Industry Classification Standard
The Global Industry Classification Standard (GICS) is an industry taxonomy developed in 1999 by MSCI and Standard & Poor's (S&P) for use by the global financial community. The GICS structure consists of 11 sectors, 25 industry groups, 74 industrie ...
(GICS)
*
(NACE)
*
Thomson Reuters Business Classification
The Refinitiv Business Classification (TRBC) is an industry classification of global companies. It was developed by the Reuters Group under the name Reuters Business Sector Scheme (RBSS), was rebranded to Thomson Reuters Business Classification ( ...
(TRBC)
Notes
References
Further reading
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External links
Trilateral NAICS siteUnited States Census NAICSStatistics Canada NAICSMexico SCIANHistorical NAICS changes
;Analogues in other countries
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Russian Economic Activities Classification System (OKVED)
Standard Industrial Classification (South Africa)
{{Authority control
1997 establishments in the United States
Industry classifications
Trilateral relations of Canada, Mexico, and the United States
Statistics Canada
United States Office of Management and Budget