CLA-2-44:OT:RR:NC:N1:130
Ms. Pauline Jibb-Pacheco
PineRidge Timberframe, Inc.
147 Norpark Ave.
P.O. Box 188
Mount Forest, Ontario N0G 2L0
CANADA
RE: The tariff classification of pine tongue and groove ceiling decking
Dear Ms. Jibb-Pacheco:
In your letter, dated September 11, 2018, you requested a tariff classification ruling. The ruling was requested for pine tongue and groove ceiling decking panels. Samples were submitted for our review and will be retained for reference.
The merchandise under consideration is solid Eastern White Pine boards measuring approximately 4 ½” wide by 5/8” thick. The boards are continuously shaped with a V-joint tongue and groove. The boards are straight-cut on the ends. You indicate that the pine wood is sourced in Quebec and manufactured in Ontario. The boards may be uncoated or coated with an oil finish.
The applicable subheading for the uncoated pine boards will be 4409.10.9040, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Wood (including strips and friezes for parquet flooring, not assembled) continuously shaped (tongued, grooved, rebated, chamfered, V-jointed, beaded, molded, rounded or the like) along any of its edges, ends or faces, whether or not planed, sanded or end-jointed: Coniferous: Other: Other: Other. The rate of duty will be free.
The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System at the international level (for the 4 digit headings and the 6 digit subheadings) and facilitate classification under the HTSUS by offering guidance in understanding the scope of the headings and the General Rules of Interpretation (GRIs). While neither legally binding nor dispositive of classification issues, the ENs provide commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of the headings. See T.D. 89-80, 54 Fed. Reg. 35127-28 (Aug. 23, 1989). The ENs to heading 4409 of the HTSUS state that the heading excludes “(w)ood which has been surface worked beyond planing or sanding, other than painting, staining or varnishing (e.g., veneered, polished, bronzed, or faced with metal leaf).” Because the coated board is coated with an oil finish – which is beyond “painting, staining, or varnishing” – it is not classifiable in heading 4409. Because the boards are recognizable articles utilized in the construction of a building, they do meet the terms of heading 4418, HTSUS.
The applicable subheading for the oil-finished pine boards will be 4418.99.9095, HTSUS, which provides for Builders' joinery and carpentry of wood, including cellular wood panels and assembled flooring panels; shingles and shakes: Other: Other: Other: Other: Other. The rate of duty will be 3.2 percent ad valorem.
General Note 12, HTSUS, incorporates Article 401 of the North American Free Trade Agreement (NAFTA) into the HTSUS. General Note 12(a)(i) provides, in pertinent part:
Goods originating in the territory of a party to the NAFTA are subject to duty as provided herein. For the purposes of this note—
(i) Goods that originate in the territory of a NAFTA party under the terms of subdivision (b) of this note and that qualify to be marked as goods of Canada under the terms of the marking rules set forth in regulations issued by the Secretary of the Treasury (without regard to whether the goods are marked), and goods enumerated in subdivision (u) of this note, when such goods are imported into the customs territory of the United States and are entered under a subheading for which a rate of duty appears in the "Special" subcolumn followed by the symbol "CA" in parentheses, are eligible for such duty rate, in accordance with section 201 of the North American Free Trade Agreement Implementation Act.
General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that:
For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as “goods originating in the territory of a NAFTA party” only if—
(i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States
Because the instant boards are manufactured in Canada from wood sourced in Canada, the goods are wholly obtained or produced entirely in the territory of Canada. The tongue and groove panels are therefore eligible for preferential, duty-free treatment under NAFTA.
In your letter, you ask what documents are required for entry and if an export permit is required for importation into the United States. There is no export permit required by the United States for importation of Canadian softwood lumber. For documentation requirements, we refer you to Customs and Border Protection’s Importing into the United States: https://www.cbp.gov/sites/default/files/documents/Importing%20into%20the%20U.S.pdf.
The instant softwood lumber products may be subject to anti-dumping and countervailing duties (AD/CVD) for softwood lumber from Canada. Written decisions regarding the scope of AD/CVD orders are issued by the Enforcement and Compliance office in the International Trade Administration of the Department of Commerce and are separate from tariff classification and origin rulings issued by Customs and Border Protection (CBP). You can contact them at http://trade.gov/enforcement/ (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 https://www.usitc.gov (click on “Antidumping and Countervailing Duty” under “Popular Topics” at the top of the screen), and you can search AD/CVD deposit and liquidation messages using CBP’s AD/CVD Search tool at http://addcvd.cbp.gov/.
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 the 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 Laurel Duvall at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division