CLA-2-84:OT:RR:NC:N1:104
Mr. Haris Catovic
Andritz Sundwig GmbH
Stephanopeler Str. 22
Hemer
Germany 58675
RE: The tariff classification of a Cold Rolling Mill from Germany
Dear Mr. Catovic:
In your letter dated August 8, 2016, you requested a tariff classification ruling.
The imported merchandise is a complete “Four-High reversing cold rolling mill”. As is mentioned in the ruling request, the mill will be delivered disassembled due to its weight and size but it will be delivered in a single shipment into the United States. The “Four-High reversing cold rolling mill” will be used for cold rolling hot-rolled steel grades. It is designed as a combination rolling mill, i.e., the rolling mill can be operated in the reduction model and also in skin-pass rolling mode. The material used in the reduction rolling are hot-rolled strips which have been annealed and pickled. Depending on the material structure, several passes might be required to reach the final required thickness. After each pass, the strips must be tightly wound into coils with straight edges. The core of the rolling mill is the mill housing. On the left and right side are attached the mill tables and beside the mill tables are two tension reels which are aligned. The mill housing also contains four main motors which are connected to the left tension reel (left motor), the mill’s two center motors and the right tension reel (right motor). It also contains the emulsion supply and filtration equipment, the electrical control cabinets and the control desks. The other components of the rolling mill which complete the technical functionality of the mill are the hydraulic power units, fume exhaust system and the filtration system.
Classification of goods under the Harmonized Tariff Schedule of the United States is governed by the General Rules of Interpretation (GRIs). GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes. Merchandise that cannot be classified in accordance with GRI 1 is to be classified in accordance with subsequent GRI's taken in order. The instant shipment as stated in the ruling request will be delivered disassembled but it will be delivered in a single shipment into the United States. General Rule of Interpretation “GRI” 2(a) states as follows:
Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article. It shall also include a reference to that article complete or finished (or failing to be classified as complete or finished by virtue of this rule), entered unassembled or disassembled.
Furthermore, the Explanatory Notes to the Harmonized Commodity Description and Coding System (ENs) represent the official interpretation of the Harmonized System at the international level. While neither legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the HTSUS, and are generally indicative of the proper interpretation of these headings. See T.D. 89-90, 54 Fed. Reg. 35127, 35128 (August 23, 1989). The EN for GRI 2(a) provides, in pertinent part, as follows:
RULE 2(a) (Articles presented unassembled or disassembled) (V) The second part of Rule 2 (a) provides that complete or finished articles presented unassembled or disassembled are to be classified in the same heading as the assembled article. When goods are so presented, it is usually for reasons such as requirements or convenience of packing, handling or transport.
In accordance with GRI 2(a), the applicable subheading for the applicable subheading for the cold rolling mill will be 8455.22.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Metal-rolling mills and rolls therefor: parts thereof: Other rolling mills: Cold”. The rate of duty will be free.
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 https://hts.usitc.gov/current.
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 Patricia O’Donnell at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division