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What's The Difference Between A NAICS Code vs A SIC Code?
What's The Difference Between A NAICS Code vs A SIC Code?

Learn about the difference between NAICS and SIC codes and the importance they have in your search results.

Dalal Alkaldy avatar
Written by Dalal Alkaldy
Updated over 2 years ago

What Are NAICS and SIC Codes?

NAICS Code: NAICS stands for the North American Industry Classification System, founded in 1997. The NAICS is the standard used by Federal statistical agencies to classify business establishments to collect, analyze, and publish statistics for the U.S, Canadian and Mexican economies. 

SIC Code: SIC, or Standard Industry Classification, was designed in the 1930s and groups companies together based on either the products they sell or the customers they serve.

So What Is The Difference Between A NAICS Code And A SIC-Code?

Let’s take the example of a fabricated metal company. Under the SIC code system, if that company primarily supplied aerospace customers, it could get an aerospace parts manufacturer SIC code even if the company provides other types of metal fabricated products to other customers.

Under the SIC code system, it is very difficult to track industries over time and is not internationally comparable. By using NAICS codes, we can share the system across borders and use a combination of primary and secondary NAICS codes in order to better track these industries over time.

Need to convert a SIC code to the correct NAICS code? Check out this SIC to NAICS converter!

Happy Gazelle-ing!

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