CLA-2 OT:RR:CTF:TCM H056827 JER

Port Director
U.S. Customs and Border Protection
7141 Office City Drive
Houston, TX 77087

Re: Modification of Headquarters Ruling Letter H007677; Classification of blowout preventers

Dear Port Director:

This modification is in regard to Headquarters Ruling Letter (“HQ”) H007677, dated December 22, 2008, wherein U.S. Customs and Border Protection (“CBP”) issued a decision in response to your request for internal advice concerning the classification of certain blowout preventers under the Harmonized Tariff Schedule of the United States (“HTSUS”). Our response to your request, made on behalf of Lariat Services, Inc., in accordance with CBP Regulation, Part 177 (19 C.F.R. §177), determined that the merchandise was properly classified in heading 8481, HTSUS. The factual background and legal analysis contained in HQ H007677 is hereby incorporated by reference. It has come to our attention that in our Holding, on page 8 of HQ H007677, CBP made the following statement in error:

By application of GRI 1 and Note 2 (a) to Section XVI, the Ram-Type Blowout Preventer is classified in heading 8481, HTSUS. Specifically in subheading 8481.80.9030, HTSUS, which provides for: “Taps, cocks, valves and similar appliances, for pipes, boilers shells, tanks, vats or the like, including pressure-reducing valves and thermostically controlled valves: parts thereof: Pressure-reducing valves.” The 2008 column one, general rate of duty is 2% ad valorem.

By application of GRI 1 and Note 2 (a) to Section XVI, the Annular-Type Blowout Preventer is classified in heading 8481, HTSUS. Specifically in subheading 8481.80.9030, HTSUS, which provides for: “Taps, cocks, valves and similar appliances, for pipes, boilers shells, tanks, vats or the like, including pressure-reducing valves and thermostically controlled valves: parts thereof: Safety or relief valves.” The 2008 column one, general rate of duty is 2% ad valorem.

That statement should have read:

By application of GRI 1 and Note 2 (a) to Section XVI, the Ram-Type Blowout Preventer is classified in heading 8481, HTSUS. Specifically in subheading 8481.40.0000, HTSUS, which provides for: “Taps, cocks, valves and similar appliances, for pipes, boilers shells, tanks, vats or the like, including pressure-reducing valves and thermostatically controlled valves; parts thereof: Safety or relief valves.” The 2008 column one, general rate of duty is 2% ad valorem.

By application of GRI 1 and Note 2 (a) to Section XVI, the Annular-Type Blowout Preventer is classified in heading 8481, HTSUS. Specifically in subheading 8481.40.0000, HTSUS, which provides for: “Taps, cocks, valves and similar appliances, for pipes, boilers shells, tanks, vats or the like, including pressure-reducing valves and thermostatically controlled valves; parts thereof: Safety or relief valves.” The 2008 column one, general rate of duty is 2% ad valorem.

HQ H007677, dated December 22, 2008, is modified only with respect to the numerical subheading for both items (the ram-type and annular-type blowout preventers), the corresponding article description for the Ram-Type Blowout Preventer and title caption to indicate subheading 8481.40.0000, HTSUS. This modification does not change the outcome of our decision. The Port Director will be notified of this modification and shall act in accordance with the letter issued on December 22, 2008, and according to the correction made herein.

We consider this to be a modifying ruling letter issued for the sole purpose of correcting a clerical error. Under the provision of 19 U.S.C.A. §1625 (c)(1), publication in the Customs Bulletin is not required for a modification ruling which is issued only to correct a clerical error. Should you have further questions, please contact John Rhea of my staff at (202) 325-0035.

Sincerely,

Myles Harmon, Director
Commercial and Trade Facilitation Division