CLA-2-84:OT:RR:NC:N1:104
Natasha Salter
Global Trade Consulting
L1/35 Ventnor Ave, West Perth WA 6005
West Perth 6038
Australia
RE: The tariff classification and eligibility of the United States-Mexico-Canada Agreement (USMCA) of a
desand tank module from Canada
Dear Ms. Salter:
In your letter dated November 18, 2025, submitted on behalf of Santos Limited – Oil Search (Alaska), you
requested a binding ruling on the tariff classification and eligibility of the 341 Desand Tank Module (341
module) under the United States-Mexico-Canada Agreement (USMCA).
This office previously determined in New York Ruling Letter N348699 dated May 20, 2025, that the tariff
classification of the module is subheading 8479.89.9599, Harmonized Tariff Schedule of the United States
(HTSUS).
As noted in N348699, the 341 module is a processing unit that will be installed into the Nanushuk Processing
Facility (NPF) in Alaska. The NPF will process oil deposits from the Nanushuk reservoir into sales quality
oil. The 341 module will be installed downstream from the Seawater Treatment Plant which provides
seawater injection to subsurface reservoirs in the NPF. The 341 module is made up of Canadian and foreign
inputs that have been integrated into one complete unit at the Propak facility in Airdrie, Canada,
incorporating both building and electrical systems. Major components include tanks, pumps, motors, fans,
heaters, piping, valves, instrumentation and controls to make up the complete operational module.
The USMCA was signed by the Governments of the United States, Mexico, and Canada on November 30,
2018. The USMCA was approved by the U.S. Congress with the enactment on January 29, 2020, of the
USMCA Implementation Act, Pub. L. 116-113, 134 Stat. 11, 14 (19 U.S.C. § 4511(a)). General Note (GN)
11 of the HTSUS implements the USMCA. GN 11(b) sets forth the criteria for determining whether a good is
an originating good for purposes of the USMCA. GN 11(b) states:
For the purposes of this note, a good imported into the customs territory of the United States from the
territory of a USMCA country, as defined in subdivision (l) of this note, is eligible for the preferential
tariff treatment provided for in the applicable subheading and quantitative limitations set forth in the
tariff schedule as a “good originating in the territory of a USMCA country” only if-
(i) the good is a good wholly obtained or produced entirely in the territory of one or more
USMCA countries;
(ii) the good is a good produced entirely in the territory of one or more USMCA countries,
exclusively from originating materials;
(iii) the good is a good produced entirely in the territory of one or more USMCA countries
using non-originating materials, if the good satisfies all applicable requirements set forth in
this note (including the provisions of subdivision (o));
In the instant case, the module consists of non-originating materials and therefore is not considered a good
wholly obtained or produced entirely in a USMCA country under GN 11(b)(i). Moreover, under GN
11(b)(ii), the module is not a good produced entirely in Canada exclusively from originating materials.
Therefore, we must determine whether the non-originating materials undergo the tariff shift and other
requirements provided for in GN 11(b)(iii) and GN 11(o).
The applicable tariff shift rule for merchandise classifiable under subheading 8479.89.9599, HTSUS, is in
GN 11(o), HTSUS, which provides, in relevant part:
236(B) A change to any other good of 8479.89 from any other subheading.
You have provided a complete bill of materials listing the name, value, originating status, and tariff
classification of each material used in the production of the good. As each non-originating material used in
the production of the 341 module is classified in subheadings other than 8479.89, the requisite tariff shift rule
set forth in GN 11(o), HTSUS, is met. As a result, the 341 module is considered an originating good under
the USMCA and is therefore eligible for preferential treatment upon importation into the United States.
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 Arthur Purcell at [email protected].
Sincerely,
(for)
Deborah Marinucci
Designated Official Performing the Duties of the Division Director
National Commodity Specialist Division