HQ 087497
OCT 4 1990
CLA-2:CO:R:C:G 087497 JAS
TARIFF NO. 7326.90.9090
Judith K. Matta
William F. Joffroy, Inc.
P.O. Box 21041
Phoenix, Arizona 85036
RE: Container Frame Assemblies
Dear Madam:
In your letter of April 14, 1990, on behalf of North
American Marketing Ltd., Scottsdale, Arizona, you inquire as to
the tariff classification and country of origin marking of
container frame assemblies from Czechoslovakia. Our ruling
follows.
FACTS:
The merchandise consists of container frame panels of
steel, entered unassembled, and includes four sides, one gate
assembly, one lid, plus hinge assemblies and frame locking
hardware welded in place.
After importation, the importer will zinc plate the steel
panels, assemble them, screw six cut-to-size plywood panels to
the steel panels, then affix the assembed panels to a wooden
pallet by means of steel channels and cleats. The completed
articles exceed 300 liters in capacity and are used as shipping
containers for dry solid goods or, by inserting a plastic bag,
to ship liquids or dry granular goods.
You state that the imported steel panels are unfinished
shipping containers of the type classifiable under the
provision for reservoirs, tanks, vats, and similar containers
for any material, of iron or steel, of a capacity exceeding 300
liters, in subheading 7309.00.0090, Harmonized Tariff Schedule
of the United States Annotated (HTSUSA).
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ISSUE:
Whether the unassembled steel panels are unfinished
containers of heading 7309.
LAW AND ANALYSIS:
Merchandise is classifiable under the Harmonized Tariff
Schedules of the United States Annotated (HTSUSA) in accordance
with the General Rules of Interpretation (GRIs). GRI 1 states,
in part, that for legal purposes, classification shall be
determined according to the terms of the headings and any
relative section or chapter notes and, provided such headings
or notes do not otherwise require, according to GRIs 2 through
6.
The Explanatory Notes (ENs) constitute the Customs
Cooperation Council's official interpretation of the Harmonized
System. While not binding on the contracting parties, and
therefore not dispositive, they provide a commentary on the
scope of each heading of the Harmonized System and are thus
useful in ascertaining the classification of merchandise under
the System. See T.D. 89-80. Customs believes they should
always be consulted. ENs at p. 1021 indicate that containers
of heading 73.09 are normally installed as fixtures for storage
or manufacturing use, e.g., in factories, chemical and dye
works, breweries, distilleries and refineries, and to a lesser
extent, in houses, shops, etc. Among the types listed are oil
reservoirs, vats used in malt houses, vats for liquids, vats
for tempering and annealing metal goods, and water storage
tanks. Not all containers classifiable in heading 73.09 must
be installed as fixtures. Nevertheless, the containers in
issue here, when completed, are essentially designed to ship or
transport goods. There is no evidence that they are ejusdem
generis, that is, of a like class with reservoirs, tanks, and
vats, which are essentially used to hold or store goods. We
therefore conclude that this merchandise is not classifiable in
heading 7309. Because the containers in issue have not been
shown to be specially designed and equipped for carriage by one
or more modes of transport, we do not believe that heading 8609
applies.
HOLDING:
Under the authority of GRI 1, the steel frames in issue
are provided for in heading 7326 as other articles of iron or
steel. Actual classification is in subheading 7326.90.9090,
HTSUSA, dutiable as products of Czechoslovakia at the rate of
45 percent ad valorem.
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Copies of this ruling are being sent to Customs officers
at Nogales and Los Angeles, as you have informed us that there
have been actual importations at those ports.
The country of origin marking issue will be addressed
separately.
Sincerely,
John Durant, Director
Commercial Rulings Division