CLA-2-38T:RR:NC:2235
Ms. Marie-Christine Aerts
PAD Peripheral Advanced Design
1400 Hocquart, Saint-Bruno-de-Montarville
Quebec, Canada J3V6E1
RE: The tariff classification of Microlox Ink Remover
Dear Ms Aerts:
In your letter dated May 5, 2011, you requested a tariff classification ruling.
The subject product is called Microlox. It is an ink remover which is manufactured in the United States and shipped to Canada for packaging. Documentation received with your request was forwarded to our lab for analysis. Based on Customs Laboratory review, the product contains between 11 and 35 percent aromatic chemical substances. You have indicated that the product will be shipped to Canada where it will only be subjected to bottling and repackaging. You indicate that no advancement in value or improvement in the condition of the product will occur in Canada. Your ruling request also asks for a determination of the products eligibility for special tariff treatment under Subchapter 1 of the HTSUS which pertains to articles exported and returned, not advanced or improved in condition.
The applicable subheading for the Microlox Ink Remover if containing Containing 5 percent or more but not more than 25 percent by weight of one or more aromatic or modified aromatic substances will be 3814.00.1000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for: “Organic composite solvents and thinners, not elsewhere specified or included; prepared paint or varnish removers: Containing 5 percent or more but not more than 25 percent by weight of one or more aromatic or modified aromatic substances. The rate of duty will be 6.5 Percent Ad Valorem.
The applicable subheading for the Microlox Ink Remover if containing more than 25 percent by weight of one or more aromatic or modified aromatic substances will be 3814.00.2000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for: “Organic composite solvents and thinners, not elsewhere specified or included; prepared paint or varnish removers:Organic composite solvents and thinners, not elsewhere specified or included; prepared paint or varnish removers: Containing more than 25 percent by weight of one or more aromatic or modified aromatic substances”. The rate of duty will be 6.5 Ad Valorem.
You also asked in your request for a determination on whether the Microlox Ink Remover will be eligible for special treatment under HTSUS Subheading 9801.00.10, Harmonized Tariff Schedule of the United States (HTS), provides for duty free entry of U.S. products that are exported and returned without having been advanced in value or improved in condition by any process of manufacture or other means while abroad. Articles will be afforded duty free treatment, provided the documentary requirements of section 10.1, Customs Regulations (19 C.F.R. §10.1), are met satisfying the conditions of the statute.
Products of the United States are not considered to have been advanced in value nor improved in condition merely by undergoing packaging operations in a foreign country. You state that the ink remover will be “only bottled in Canada”, and will then be shipped back to the United States for sale. The Microlox Ink Remover will be eligible for the duty exemption available under subheading 9801.00.10, HTS, provided the documentary requirements of section 10.1, Customs Regulations (19 C.F.R. §10.1), are met and the district director of Customs at the port of entry is satisfied that the ink remover was manufactured in the United States and not improved in condition prior to return.
The Microlox Ink Remover described above, a product of U.S. origin, will be eligible for entry as American Goods Returned, provided the documentary requirements of 19 C.F.R. §10.1 are satisfied. The applicable subheading for the Microlox Ink Remover will be 9801.00.1095, Harmonized Tariff Schedule of the United States (HTSUS), which provides for products of the United States when returned after having been exported, without having been advanced in value or improved in condition by any process of manufacture or other means while abroad: other: other. Products in subheading 9801.00.1095 are free of duty.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Paul Hodgkiss at (646) 733-3046.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division