CLA-2-72:OT:RR:NC:1:117
Ms. Diana Fournier
Manager, Import Administration and Logistics
Kloeckner Metals Corporation
888 San Clemente Drive
Suite 250
Newport Beach, CA 92660
RE: The tariff classification of flat-rolled nonalloy steel in coils from Russia
Dear Ms. Fournier:
In your letter dated July 9, 2012 you requested a tariff classification ruling.
The subject of your inquiry is flat-rolled iron or nonalloy steel in coils that has not been further worked than hot-rolled. The product is described in two sizes: first, 2.84 mm thick and 1524 mm wide: second, 6.10 mm thick and 1524 mm wide. The products have each been subjected to the same yield point mechanical tests. The two results for the first product within the same lot were 279 and 273. The two results for the second product were 356 and 342 from two different lots.
Mill test certificates have been presented for the products showing them to be manufactured to meet ASTM A1011/A1011M-10 and A36M-08 specifications. Based on the chemistry as shown in the mill test certificates these coils are nonalloy steel products.
The relevant ASTM standard states that each coil may be tested only at the end of the strip, and at no other location. Furthermore, with regard to how often the steel must be tested during production, the relevant ASTM standard states that two tension tests shall be made from each heat or from each 50 tons (45,000 kg). When the amount of finished material from each heat is less than 50 tons (45,000kg), one tension test shall be made. When material rolled from one heat differs 0.050 in. (1.27 mm) or more in thickness, one tension test shall be made from the thickest and thinnest material regardless of the weight represented.
Your specific question is if the products should be classifiable as high strength steel or other than high strength steel. The definition of “high strength steel” contained in Additional U.S. Note 1(a) to Chapter 72, Harmonized Tariff Schedule of the United States (HTSUS), states that the term applies to “Flat-rolled products of a thickness of less than 3 mm and having a minimum yield point of 275 MPa or of a thickness of 3 mm or more and having a minimum yield point of 355 MPa.” The instant products are flat-rolled products, some having a thickness less than 3 mm and the balance having a thickness of 3 mm or more.
The mill test certificates for the coils included with your inquiry include yield point data applicable to the entire coil. Therefore, for each coil of 3 mm or greater in thickness whose certificate shows that the yield point is 355 MPa or greater, that coil is properly classified as “high strength steel” within the meaning of Additional U.S. Note 1(a) to Chapter 72, HTSUS. For each coil of less than 3 mm in thickness whose certificate shows that the yield point is 275 MPa or greater, that coil is properly classified as “high strength steel” within the meaning of Additional U.S. Note 1(a) to Chapter 72, HTSUS.
The applicable subheading for the subject nonalloy steel coils measuring to a thickness of 6.10 mm where the mill test certificate indicates a yield point test at or above 355 MPa will be 7208.37.0030 , Harmonized Tariff Schedule of the United States (HTSUS), which provides for flat-rolled products of iron or nonalloy steel, of a width of 600mm or more, hot-rolled, not clad, plated or coated: other, in coils, not further worked than hot-rolled: of a thickness of 4.75mm or more but not exceeding 10mm; high-strength steel. The rate of duty will be free.
For coils with thicknesses of 6.10mm where the mill test certificate indicates that the yield point of the coil is below 355 MPa, the proper subheading is 7208.37.0060, HTSUS, which provides for “Flat-rolled products of iron or nonalloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated: Other, in coils, not further worked than hot-rolled: Of a thickness of 4.75 mm or more but not exceeding 10 mm: Other”.
The applicable subheading for the subject nonalloy steel coils measuring to a thickness of 2.84 mm where the mill test certificate indicates a yield point test of more than 275 MPa will be 7208.39.0015, HTSUS, which provides for flat-rolled products of iron or nonalloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated: other, in coils, not further worked than hot-rolled: of a thickness of less than 3 mm; high-strength steel. The rate of duty will be free.
For coils with thicknesses of 2.84 mm where the mill test certificate indicates a yield point test of less than 275 MPa, the proper subheading is 7208.39.0090, HTSUS, which provides for flat-rolled products of iron or nonalloy steel, of a width of 600 mm or more, hot-rolled, not clad, plated or coated: other, in coils, not further worked than hot-rolled: of a thickness of less than 3 mm; other, other. The rate of duty will be free.
The merchandise in question may be subject to antidumping duties or countervailing duties. We note that the International Trade Administration is not necessarily bound by a country of origin or classification determination issued by CBP, with regard to the scope of antidumping orders or countervailing duties. Written decisions regarding the scope of AD/CVD orders are issued by the Import Administration in the Department of Commerce and are separate from tariff classification and origin rulings issued by Customs and Border Protection. You can contact them at http://www.trade.gov/ia/ (click on “Contact Us”). For your information, you can view a list of current AD/CVD cases at the United States International Trade Commission website at http://www.usitc.gov (click on “Antidumping and countervailing duty investigations”), and you can search AD/CVD deposit and liquidation messages using ACE, the system of record for AD/CVD messages, or the AD/CVD Search tool at .
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 Mary Ellen Laker at (646) 733-3020.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division