CLA-2-84:OT:RR:NC:N1:103
Brian Veeke
Wolfe Heavy Equipment Inc.
700 Wright St.
Strathroy, Ontario N7G 3H8
Canada
RE: The tariff classification of drainage plow from Canada
Dear Mr. Veeke:
In your letter dated October 20, 2025, you requested a tariff classification ruling.
The merchandise under consideration is referred to as the Wolfe Next Generation Pipe Installation Machine,
model number PL540T, and is described as a self-propelled crawler tractor equipped with a pull-type plow.
The machine weighs up to 95,000 pounds (depending on its configuration) and is powered by a
540-horsepower diesel engine. Its main components include an operator’s cab, power unit, and plow
assembly.
The PL540T functions as a tile plow or drainage plow, which is a machine that uses a “plowing” technique to
install piping. As the tractor pulls the plow blade, it creates a long cut or trench in the ground. At the same
time, piping is fed though a boot assembly that both guides and lays the piping in the newly created opening.
To streamline the installation, the tractor can be equipped with an automated pipe stringer, an automated pipe
feeder, and a pipe cutting and crushing system. The pipe stringer and pipe feeder carry and guide the piping
into the boot while the pipe cutting and crushing system cuts the piping at the end of each installation run.
You state that the boot assembly, automated pipe stringer, automated pipe feeder, and pipe cutting and
crushing system are all optional equipment, and the PL540T may or may not be equipped with one or more
of these systems at the time of importation.
In your request, you suggest that the subject pipe installation machine is classifiable in heading 8430,
Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other moving, grading,
leveling, scraping, excavating, tamping, compacting, extracting or boring machinery, for earth, minerals or
ores; pile-drivers and pile-extractors; snowplows and snowblowers.” We disagree. Headquarters Ruling
Letter 958753, dated March 19, 1996, classified a self-propelled drainage plow in heading 8429, HTSUS. We
find that the PL540T is substantially similar in both function and operation to the machine in that ruling. That
is, both machines are principally used to create an opening in the ground so that piping can be installed.
Pursuant to General Rule of Interpretation 1 and note 3 to Section XVI, the applicable subheading for the
Wolfe Next Generation Pipe Installation Machine, model number PL540T, will be 8429.59.5040,
Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Self-propelled bulldozers,
angledozers, graders, levelers, scrapers, mechanical shovels, excavators, shovel loaders, tamping machines
and road rollers: Mechanical shovels, excavators and shovel loaders: Other: Other: New: Ditchers and
trenchers: Other.” The general rate of duty will be free.
On March 12, 2025, Presidential proclamation 10896 imposed additional tariffs on certain derivative iron or
steel products. Additional duties for derivative iron or steel products of 50 percent are reflected in Chapter
99, headings 9903.81.89, 9903.81.90, and 9903.81.91. Products provided by heading 9903.81.91, as well as
products of Chapter 73 provided by 9903.81.89 and 9903.81.90, will be subject to a duty of 50 percent upon
the value of the steel content. At the time of entry, you must report the Chapter 99 heading applicable to your
product classification, i.e., 9903.81.91, in addition to subheading 8429.59.5040, HTSUS. Derivative iron or
steel products processed in another country from steel articles melted and poured in the United States,
provided for in heading 9903.81.92, are not subject to the additional ad valorem duties.
Products of Canada as provided by heading 9903.01.10 in Section XXII, Chapter 99, Subchapter III, U.S.
Note 2(j), HTSUS, other than products classifiable under headings 9903.01.11, 9903.01.12, 9903.01.13,
9903.01.14, and 9903.01.15, HTSUS, will be subject to an additional 35 percent ad valorem rate of duty. For
products covered by heading 9903.81.91 this additional duty applies to the non-steel content of the
merchandise. At the time of entry, you must report the applicable Chapter 99 heading, i.e., 9903.01.10, in
addition to subheading 8429.59.5040, HTSUS, listed above. Articles that are entered free of duty under the
terms of general note 11 to the HTSUS (U.S.-Mexico-Canada Agreement (USMCA)), including any
treatment set forth in subchapter XXIII of Chapter 98 and subchapter XXII of chapter 99 of the HTSUS, will
not be subject to the additional ad valorem duties provided for in heading 9903.01.10. If your product is
entered duty free as originating under the USMCA, you must report heading 9903.01.14, HTSUS, in addition
to subheading 8429.59.5040, HTSUS.
Effective April 5, 2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must
be reported with either the Chapter 99 provision under which the reciprocal tariff applies or one of the
Chapter 99 provisions covering exceptions to the reciprocal tariffs. At this time, products of Canada are not
subject to reciprocal tariffs. At the time of entry, you must report the Chapter 99 heading applicable to your
product classification, i.e., 9903.01.26, in addition to subheading 8429.59.5040, HTSUS, listed above.
The tariffs and additional duties cited above are current as of this ruling’s issuance. 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 at https://hts.usitc.gov/.
The holding set forth above applies only to the specific factual situation and merchandise description as
identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations
(CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the
information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and
complete in every material respect. In the event that the facts are modified in any way, or if the goods do not
conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and
Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2.
Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic
verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection
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, please contact
National Import Specialist Paul Huang at [email protected].
Sincerely,
(for)
Evan Conceicao
Designated Official Performing the Duties of the Division Director
National Commodity Specialist Division