RR:IA 003941 ch
David Dixon
Cummins Engine Company
Box 3005
Columbus, Indiana 47202-3005
Re: Tariff classification of a thermostat housing.
Dear Mr. Dixon:
This is in response to your letter, dated August 9, 1994,
identifying a difference in tariff classification between the
United States, Canada and Mexico concerning an in-line diesel
engine part identified as a thermostat housing. Pursuant to
Article 513(6)(a)(ii) of the North American Free Trade Agreement
(NAFTA), the NAFTA Customs Subgroup convened a conference call to
discuss this matter on August 7, 1996. In view of the
discussion, and upon further consideration of the matter, Customs
concludes that the thermostat housing is classified as set forth
below.
FACTS:
The housing is part of an assembly which also includes parts
identified as a thermostat and a thermostat housing cover. The
thermostat is the only moving part of the assembly and consists
of a copper bulb, a collar, a hollow cylinder, an inner shaft and
an outer shaft. The thermostat is located inside the thermostat
housing. The housing cover creates a passage from the assembly
to the radiator.
In operation, engine coolant flows from a water manifold and
enters the thermostat housing through a port sealed by a
trapezoid shaped gasket. In cold operation, the thermostat is
closed and the coolant passes through the complete assembly to a
water transfer tube, which carries the coolant to the water pump
to be circulated back into the engine. As the engine heats, the
heated coolant contacts the copper bulb at the top of the
thermostat. As a result, fluid inside the bulb expands, causing
the inner shaft to extend. This action moves the cylinder into
its open position. In this position, the cylinder blocks the
passage of coolant to the water pump and opens the passage
leading to the radiator.
ISSUE:
What is the proper tariff classification for the thermostat
housing?
LAW AND ANALYSIS:
Heading 84.81 provides in part for valves for pipes, boiler
shells, tanks, vats or the like, including thermostatically
controlled valves. Subheading 8481.90 encompasses parts of
thermostatically controlled valves.
The Explanatory Note to heading 84.81, at pages 1430-1431,
states in pertinent part that:
This heading covers taps, cocks, valves and similar
appliances, used on or in pipes, tanks, vats or the like to
regulate flow (for supply, discharge, etc.), of fluids
(liquid, viscous or gaseous), or, in certain cases, of
solids (e.g., sand). The heading also includes such devices
designed to regulate the pressure or the flow velocity of a
liquid or a gas.
The appliances regulate the flow by opening or closing an
aperture (e.g., gate, disc, ball, plug, needle or
diaphragm). They may be operated by hand (by means of a
key, wheel, press button, etc.), or by a motor, solenoid,
clock movement, etc., or by an automatic device such as a
spring, counterweight, float lever, thermostatic element or
pressure capsule.
Taps, valves, etc., incorporating such mechanisms or devices
remain classified in this heading. This applies, for
example, to a valve equipped with a thermostatic element
(double-leaf, capsule, bulb, etc.). The heading also covers
valves, etc., connected to a thermostatic element by means
of, for instance a capillary tube.
(Emphasis supplied).
The thermostat, thermostat housing cover and thermostat
housing together comprise a complete valve. The thermostat
housing and thermostat housing cover act as the body of the valve
which directs the flow of the coolant. The thermostat acts both
as a thermostatic element and as a sealing element which opens
and shuts a passageway.
In view of the foregoing, the thermostat housing is
classifiable in subheading 8481.90.9060 as part of a valve,
specifically a valve body.
HOLDING:
The thermostat housing is classifiable under subheading
8481.90.9060, Harmonized Tariff of the United States, which
provides for parts of valves: other, other: valve bodies. The
applicable rate of duty is 2.2 percent ad valorem.
Sincerely,
John Durant, Director
Tariff Classification Appeals Division