CLA-2-82:OT:RR:NC:N1:118
Ms. Elizabeth Dean
Abrasive Technology
8400 Green Meadows Drive
Lewis Center, OH 43035
RE: The tariff classification of sintered metal carbide inserts and a Polycrystalline Diamond insert from the United Kingdom.
Dear Ms. Dean:
In your letter dated September 1, 2017, you requested a tariff classification ruling on articles described as PCBN and PCD tools/parts.
Items numbers SL181377N, SL181464N and SL181608N are identified as PCBN tools/parts. You have stated that they are made of sintered metal carbide and used to produce automotive parts. They are imported unmounted and, after importation, are bolted or screwed onto lathes and milling machines. Item number S4950041 is a PCD (Polycrystalline Diamond) carbine insert containing a PCD from Element 6 of carbon-fiber or glass-fiber laminate and aluminum. Illustrative literature indicates that either the segment type or triangle type insert consists of an underlying layer of tungsten carbide over which a layer of PCD is laminated. This PCD insert is not imported with a tool holder, and is used in 3-axis, 5-axis or NC turning equipment for performing milling or turning operations.
You suggested classifying all of these items as interchangeable tools for machine-tools within heading 8207, Harmonized Tariff Schedule of the United States (HTSUS). The General Rules of Interpretation (GRI's) to the HTSUS govern the classification of goods in the tariff schedule. GRI 1 states in pertinent part that "for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes . . . ." Heading 8209, HTSUS, provides for "[p]lates, sticks, tips and the like for tools, unmounted, of sintered metal carbides or cermets." The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System at the international level. While not legally binding, they provide a commentary on the scope of each heading of the Harmonized System, and are generally indicative of proper interpretation of these headings. EN 82.09, states that "[t]he products of this heading are usually in the form of plates, sticks, rods, pellets, rings, etc., and are characterised by great hardness, even when hot, and great rigidity." The EN further states, "[i]n view of their special properties these plates, tips, etc., are welded, brazed or clamped on to lathe tools, milling tools, drills, dies, or other high-speed cutting tools used for working metals or other hard materials." Items numbers SL181377N, SL181464N and SL181608N (i.e. the PCBN tools/parts) are described as inserts and stated to be made of sintered metal carbide. They are screwed or bolted on to tools and are used to cut, form or shape the product which is being manufactured. As such, they are described by the terms of Heading 8209, HTSUS, and by EN 82.09, and are classifiable within heading 8209, HTSUS.
Item number S4950041, the PCD, insert is not classified in heading 8207, HTSUS, because it lacks a base metal holder or other base metal attachment. This is consistent with Headquarters rulings HQ 967225 dated November 16, 2004; HQ 958704 dated April 23, 2004; HQ 958293 dated April 23, 2004; HQ 958704 dated April 23, 1996; and HQ 958293 dated April 23, 1996. Because the merchandise concerned is not excluded by means of Legal Note 3 (k) to Chapter 71, HTSUS, Legal Note 1 (a) is applicable and directs in pertinent part that all articles consisting wholly or partly of … precious or semiprecious stones (natural, synthetic or reconstructed) to be classified in Chapter 71, HTSUS.
The applicable subheading for item number S4950041, the PCD insert, will be 7116.20.5000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Articles of natural or cultured pearls, precious or semi-precious stones (natural, synthetic or reconstructed): Of precious or semiprecious stone (natural, synthetic or reconstructed): Other: Other. The rate of duty will be free.
The applicable subheading for items numbers SL181377N, SL181464N and SL181608N will be 8209.00.0030, Harmonized Tariff Schedule of the United States (HTSUS), which provides for plates, sticks, tips and the like for tools, unmounted, of cermets: of sintered metal carbides. The rate of duty will be 4.6% ad valorem.
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 Anthony E. Grossi at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division