CLA-2 CO:R:C:M 954656 DWS
Ms. Silvia Perez
M.G. Maher & Company, Inc.
One Canal Street, Suite 2100
New Orleans, LA 70130
RE: M18 "Dromader" Aircraft; Used for Agricultural Purposes;
Subchapter XVII, U.S. Note 2(x); General Note 3(c)(iv);
19 CFR 10.183; 9817.00.50
Dear Ms. Perez:
This is in response to your letter of June 15, 1993, to the
District Director of Customs, New Orleans, Louisiana, on behalf of
Riddell Flying Services, Inc., concerning the classification of
certain aircraft under the Harmonized Tariff Schedule of the United
States (HTSUS).
FACTS:
The M18 "Dromader" aircraft, imported from Poland, is used for
agricultural purposes such as spraying crops. It has a 58 foot
wing span and an empty weight of 5400 pounds. The single engine
aircraft can carry materials such as spray chemicals, water, seeds,
or fertilizer. It can fly loaded in excess of 135 miles per hour.
The subheadings under consideration are as follows:
8802.20.00: [a]irplanes and other aircraft, of an unladen
weight not exceeding 2,000 kg.
The general, column one rate of duty is 5 percent ad valorem.
9817.00.50: [m]achinery, equipment and implements to be used
for agricultural or horticultural purposes.
Goods classifiable under this provision are eligible for duty
free treatment.
ISSUE:
Whether the aircraft is classifiable under subheading
8802.20.00, HTSUS, as an airplane of an unladen weight not
exceeding 2,000 kg, or whether it qualifies for duty free treatment
under subheading 9817.00.50, HTSUS, as machinery to be used for
agricultural purposes?
LAW AND ANALYSIS:
Classification of merchandise under the HTSUS is in accordance
with the General Rules of Interpretation (GRI's), taken in order.
GRI 1 provides that classification is determined according to the
terms of the headings and any relative section or chapter notes.
It is our position that the aircraft is specifically provided
for under subheading 8802.20.00, HTSUS.
Further, the aircraft does not qualify for duty free treatment
under subheading 9817.00.50, HTSUS. Subchapter XVII, U.S. note
2(x), HTSUS, states that:
[t]he provisions of headings 9817.00.50 and 9817.00.60 do not
apply to:
(x) articles provided for in chapter 88 (except heading 8805).
Therefore, the provision of subheading 9817.00.50, HTSUS, does
not apply to the subject aircraft because it is classifiable under
heading 8802, HTSUS.
HOLDING:
The M18 "Dromader" aircraft is classifiable under subheading
8802.20.00, HTSUS, as an airplane of an unladen weight not
exceeding 2,000 kg. Goods classifiable under this provision, upon
meeting the requirements in General Note 3(c)(iv), HTSUS, and in
section 10.183, Customs Regulations (19 CFR 10.183), are eligible
for duty free treatment under the Agreement on Trade in Civil
Aircraft.
Subheading 9817.00.50, HTSUS, does not apply to the subject
aircraft.
Sincerely,
John Durant, Director