CLA-2-84:S:N:N1:103 874472
Ms. Lisa L. Cortes
Nippon Express USA, Inc.
20444 South Reeves Avenue
Long Beach, CA 90810
RE: The tariff classification of press and calender rolls from
Japan
Dear Ms. Cortes:
In your letter dated May 14, 1992 on behalf of Yamauchi USA
you requested a tariff classification ruling.
You stated that your client purchased roll bodies from
manufacturers in the United States. The roll bodies, which will
eventually be used in the papermaking industry, are not capable
of functioning without additional processing. They are exported
to Japan and a ceramic or plastic coating is permanently applied
to the roll surface. Ceramic coatings improve sheet release,
strengthen the roll surface, and prevent materials from sticking
to the roll. Plastic coatings increase roll durability, improve
the gloss, smoothness and brightness of paper produced by the
rolls, and reduce paper mottling. After having the necessary
coating applied in Japan, the rolls are re-imported into the
United States. According to literature submitted with your
inquiry, the ceramic and plastic covered rolls are designed for
use in the press section of a papermaking machine, as well as in
on-machine and off-machine paper calenders.
The applicable subheading for ceramic and plastic coated
rolls for a papermaking machine press section will be
8439.99.1000, Harmonized Tariff Schedule of the United States
(HTS), which provides for parts of machinery for making paper or
paperboard. The duty rate will be free.
The applicable subheading for ceramic and plastic coated
rolls for on-machine calenders will be 8420.91.2000, HTS, which
provides for cylinders for calendering or other rolling machines
for machines for making paper pulp, paper or paperboard. The
duty rate will again be free.
Finally, the applicable subheading for ceramic and plastic
coated rolls for off-machine calenders will be 8420.91.9000, HTS,
which provides for other cylinders for calendering or other
rolling machines. The rate of duty will be 3.7 percent ad
valorem.
You also inquired about the applicability of subheading
9802.00.50, HTS, to this merchandise. Subheading 9802.00.50
encompasses articles returned to the United States after having
been exported to be advanced in value or improved in condition by
any process of manufacture or other means: articles exported for
repairs or alterations: other. It provides for a duty upon the
value of the repairs or alterations.
In discussing subheading 9802.00.50, Customs Headquarters
stated in Ruling Letter HQ 555417 dated Jan. 22, 1990, abstracted
as C.S.D. 90-50, that:
entitlement to this tariff treatment is precluded when
the exported articles are incomplete for their intended
use prior to the foreign processing...
Since you have stated that the roll bodies without the coatings
are not functional, they are incomplete for their intended use
prior to being exported for processing. Accordingly, they are
not eligible for classification in subheading 9802.00.50.
Subheading 9802.00.60 encompasses any article of metal (as
defined in U.S. note 3(d) of this subchapter) manufactured in the
United States or subjected to a process of manufacture in the
United States, if exported for further processing, and if the
exported article as processed outside the United States, or the
article which results from the processing outside the United
States, is returned to the United States for further processing,
and provides for a duty upon the value of such processing outside
the United States. We are unable to determine whether subheading
9802.00.60 may apply to the coated rolls upon their re-
importation into the United States without additional
information. The additional information required would include a
statement as to whether the roll bodies exported to Japan are
made of metal, as well as a description of any further processing
operations the coated rolls may undergo after they have been
returned to the United States.
This ruling is being issued under the provisions of Section
177 of the Customs Regulations (19 C.F.R. 177).
A copy of this ruling letter should be attached to the entry
documents filed at the time this merchandise is imported. If the
documents have been filed without a copy, this ruling should be
brought to the attention of the Customs officer handling the
transaction.
Sincerely,
Jean F. Maguire
Area Director
New York Seaport