CLA-2 CO:R:C:M 951506 DWS

District Director
U.S. Customs Service
101 East Main Street
Norfolk, VA 23510

RE: Protest No. 1401-92-100031; Tractors; Suitable For Agricultural Use; U.S. v. F.W. Myers & Co., Inc.; 8701.90.50

Dear Sir:

This is our response on Application for Further Review of Protest No. 1401-92-100031, dated February 24, 1992, concerning the classification of tractors under the Harmonized Tariff Schedule of the United States (HTSUS).

FACTS:

The merchandise consists of two models of compact tractors. Model H5103 is 86.2 inches long, 41.7 inches wide, and 70.3 inches high. It has 8 forward and 4 reverse speeds as well as 4 wheel steering. The tractor has a 13 horsepower, single cylinder air cooled engine, and both front and rear hydraulic lift power take offs (PTOs). The PTOs provide the power for the various attachments which are used with the tractors. It also has knobby turf tires suitable for soft mud and earth and a 3-point hitch suitable for connection with the various attachments. Model H6522 is similar in size to model H5103. It has 9 forward and 3 reverse speeds, and a power shift transmission. It also has a 22 horsepower, 3 cylinder engine, as well as rear and mid independent PTOs. The tractor has knobby tires and a 3- point hitch.

Attachments available for both models of tractors include a plow, a cultivator, a disc harrow, a mower, a dozer blade, a snow blower, a sweeper, a roto-tiller, a back hoe, a front loader, a manure spreader, a seeder, an aerator, and a sprayer.

ISSUE:

Whether, for classification purposes, the tractors are suitable for agricultural use under the HTSUS?

LAW AND ANALYSIS:

Classification of merchandise under the HTSUS is in accordance with the General Rules of Interpretation (GRI's), taken in order. GRI 1 provides that classification is determined according to the terms of the headings and any relative section or chapter notes.

The merchandise was entered under subheading 8701.90.10, HTSUS, which provides for: "[t]ractors: [o]ther: [s]uitable for agricultural use." However, the merchandise was liquidated under subheading 8701.90.50, HTSUS, which provides for: "[t]ractors: [o]ther: [o]ther."

The phrase "suitable for agricultural use" has been interpreted by the courts as requiring that a tractor be actually, practically, and commercially fit for such use. Suitability does not require that the tractor be chiefly used in agricultural pursuits, but there must be evidence of more than a casual, incidental, exceptional or possible use in this area. There must be evidence of substantial actual use in a recognized agricultural pursuit. U.S. v. F.W. Myers & Co., Inc., C.A.D. 1097, 476 F.2d 1377 (1973).

The importer has supplied us with letters from several dealers who sell the tractors on a regular basis. In all of the letters, the dealers stated that the tractors and the various agricultural attachments were generally sold to farmers, with small plots of land, for agricultural purposes.

Based upon these statements, the literature submitted by the importer, and the specific design features of the subject tractors and their attachments, it is our position that the merchandise has a substantial actual use in and is actually, practically, and commercially fit for agricultural use.

HOLDING:

Tractor models H5103 and H6522 are classifiable under subheading 8701.90.10, HTSUS.

The protest should be granted. A copy of this decision should be attached to the Customs Form 19 and provided to the protestant as part of the notice of action on the protest.

Sincerely,

John Durant, Director