Constraint-Aware Hierarchical Search for Regulation-Driven Fine-Grained Classification

arXiv:2607.10588v1 Announce Type: new Abstract: Tasks such as customs tariff classification, export control categorization, and standards-based equipment coding require assigning an input instance to a fine-grained class under an explicit regulatory hierarchy. Unlike standard text classification, the correct label in these tasks is not determined by semantic similarity alone, but by rule-defined boundaries, threshold conditions, exclusion clauses, definitions, and local exceptions. As a result, two highly similar inputs may require different labels, while a retrieved passage that appears relevant may still be inapplicable under the governing rules. Existing flat classifiers, hierarchical text classification methods, and retrieval-augmented LLM systems are not designed to jointly enforce hierarchical validity, rule consistency, and fine-grained boundary reasoning. In this paper, we formulate this setting as regulation-driven fine-grained hierarchical classification, where an external instance must be assigned to a fine-grained class through a valid path in a regulatory hierarchy and supported by auditable evidence. We construct four benchmark datasets from representative regulation-intensive scenarios and validate the annotations through an expert-in-the-loop process. We further propose a constraint-aware hierarchical search framework that converts regulatory documents into a searchable tree, retrieves only valid local candidate nodes, and uses structured regulatory fields with evidence snippets to guide each next-hop decision. Experiments show that our method achieves the best mean accuracy on all four datasets and provides interpretable decision paths, with the largest gains on cases involving fine-grained neighboring categories and rule-based boundary conditions.