CLA-2 OT:RR:CTF:TCM H202119 DSR
Area Port Director
U.S. Customs and Border Protection
Seattle Service Port
1000 Second Ave., Suite 2100
Seattle, WA 98104
Attn: Michael L. Urbick, Entry Branch Chief
RE: Aluminum die casting (used in an oil burner); Application for Further Review of Protest Number 3001-11-100492
Dear Port Director:
This is in response to the Application for Further Review (AFR) of Protest 3001-11-100492, dated October 13, 2011, filed by counsel on behalf of R.W. Beckett Corporation (Protestant), in response to your classification of an aluminum die casting (used in an oil burner) under the Harmonized Tariff Schedule of the United States (HTSUS).
FACTS:
On March 13, 2011, Protestant imported a shipment of aluminum die castings from Taipei, Taiwan, through the Port of Seattle, WA. Protestant classified the items as parts of furnace burners for liquid fuel in subheading 8416.90.00, HTSUS, with a “Free” duty rate. However, on July 8, 2011, your office liquidated the items as parts of fans classified in subheading 8414.90.10, HTSUS, with a 4.7% ad valorem duty rate. Protest was timely filed on October 13, 2011, and an Application for Further Review was has been forwarded for our consideration.
Each aluminum die casting serves as the housing assembly of an oil burner. Protestant states that the following operational parts of the burner are attached to a casting: air band, air shutter, pump, air guide or air inlet ball assembly, 4x4 box with safety control, air tube combination, mounting flange and igniter, and permanent split capacitor (“PSC”) motor. The burner’s fan is housed within the housing assembly but it is attached to the PSC motor.
The burner housing assembly was specifically designed to be the main body of the burner and its size and contour allow it to accommodate the various parts that it encloses and that are attached to it. In particular, the burner’s housing turret with circular side openings permits the attachment of the air band, air shutter and pump on the turret’s left side; the motor and 4x4 box with safety control on the turret’s right side; the air tube combination and mounting flange on the turret’s front; and the igniter on its top. The various attachment holes or protrusions on the above components mate with their counterparts on the burner. The burner housing assembly has no other purpose or use than to serve as the main structure upon which to attach the various components of the burner and the attached components are essential to the burner’s operation.
ISSUE:
Whether the subject aluminum die casting is classified under subheading 8414.90.10, HTSUS, as a part of fans, or under subheading 8416.90.00, HTSUS, as parts of furnace burners for liquid fuel.
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order.
In addition, in interpreting the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, although not dispositive or legally binding, provide a commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. See T.D. 89 80, 54 Fed. Reg. 35127 (August 23, 1989).
The HTSUS provisions under consideration are as follows:
8414 Air or vacuum pumps, air or other gas compressors and fans; ventilating or recycling hoods incorporating a fan, whether or not fitted with filters; parts thereof:
* * *
8414.90 Parts:
8414.90.10 Of fans (including blowers) and ventilating or recycling hoods.
* * *
8416 Furnace burners for liquid fuel, for pulverized solid fuel or for gas; mechanical stokers, including their mechanical grates, mechanical ash dischargers and similar appliances; parts thereof:
* * *
8416.90.00 Parts.
* * * *
Legal Note 2(b) to Section XVI, HTSUS, states, in relevant part, the following:
Parts [other than those parts which are goods included in any of the headings of chapter 84 or 85 (other than headings 8409, 8431, 8448, 8466, 8473, 8487, 8503, 8522, 8529, 8538 and 8548), if suitable for use solely or principally with a particular kind of machine, or with a number of machines of the same heading (including a machine of heading 8479 or 8543) are to be classified with the machines of that kind or in heading 8409, 8431, 8448, 8466, 8473, 8503, 8522, 8529 or 8538 as appropriate. …
The courts have considered the nature of “parts” under the HTSUS, and two distinct though not inconsistent tests have resulted. See Bauerhin Technologies Limited Partnership, & John V. Carr & Son, Inc. v. United States, 110 F.3d 774 (Fed. Cir. 1997). The first, articulated in United States v. Willoughby Camera Stores, 21 C.C.P.A. 322 (1933) requires a determination of whether the imported item is “an integral, constituent, or component part, without which the article to which it is to be joined, could not function as such article.” Bauerhin at 778 (quoting Willoughby Camera at 324). The second, initially set forth in United States v. Pompeo, 43 C.C.P.A. 9 (1955), states that “an imported item dedicated solely for use with another article is a ‘part’ of that article within the meaning of the HTSUS.” Bauerhin at 779 (citing Pompeo at 13). Under either line of cases, an imported item is not a part if it is “a separate and distinct commercial entity.” Id.
Here, Protestant argues that the Willoughby test is met because the motor, pump and various air moving parts that are to be attached to the casting are essential to a burner’s operation and without the casting holding them in place, the motor and pump could not function and, by extension, the burner would not operate. Protestant also argues that the casting meets the Pompeo test because the casting has no other use other than to act as an assembly upon which various necessary components of burners are to be attached.
Note 2(b) to Section XVI, HTSUS, directs that parts suitable for use solely or principally with a particular kind of machine are to be classified with machines of that kind. Here, we note that within the burner, a fan is attached to a motor and not to the casting, and the fan would still be able to function as a fan without the presence of the casting. It would strain logic to conclude that a casting that is not actually connected to or does not work with a burner’s fan could be considered to be suitable for use solely or principally with said fan.
By contrast, the casting is specifically designed to act as an assembly upon which various necessary burner components are attached, without which the burner could not operate. Just as importantly, the casting is specifically manufactured to have no other use other than to act as said assembly point and with such a burner. Based upon the information submitted to us, we find that the casting is suitable for use solely or principally with gas burners and constitutes a “part” within the meaning of the HTSUS. We therefore hold that the subject casting is classified in subheading 8416.90.00, HTSUS (2011) as a part of a furnace burner for liquid fuel.
HOLDING:
By application of GRIs 1 and 6, the subject aluminum die castings are classified under heading 8416, HTSUS, specifically subheading 8416.90.00, HTSUS (2011), as “Furnace burners for liquid fuel, for pulverized solid fuel or for gas; mechanical stokers, including their mechanical grates, mechanical ash dischargers and similar appliances; parts thereof.” The column one, general rate of duty is “Free.”
You are instructed to GRANT the protest. In accordance with Sections IV and VI of the CBP Protest/Petition Processing Handbook (HB 3500-08A, December 2007, pp. 24 and 26), you are to mail this decision, together with the CBP Form 19, to the protestant no later than 60 days from the date of this letter. Any reliquidation of the entry or entries in accordance with the decision must be accomplished prior to mailing the decision.
Sincerely,
Myles Harmon, Director
Commercial and Trade Facilitation Division