CLA-2 CO:R:C:G 087506 MBR
Ms. Yolanda Landau
Milton Snedeker Corporation
105 Chambers Street
New York, NY 10007
RE: "Skyscape" Evacuation Chute and Attched Life Rafts
Dear Ms. Landau:
This is in reply to your letter of June 1, 1990, on behalf
of Viking Life Saving Equipment (America), Inc., requesting
classification of the "Skyscape" evacuation chute with attached
life rafts, under the Harmonized Tariff Schedule of the United
States Annotated (HTSUSA). This merchandise is a product of
Norway.
FACTS:
The "Skyscape" evacuation system is a composite item
consisting of three attached components: (1) a metal container
with winch and electric motor (to be installed on an offshore
drilling rig platform); (2) a nylon webbing chute with inner and
outer ropes; and (3) an inflatable life raft with three or six
"getaway" rafts attached.
ISSUE:
What is the classification of the "Skyscape" evacuation
chute with attached life rafts, under the Harmonized Tariff
Schedule of the United States Annotated (HTSUSA)?
LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) to the HTSUSA
govern the classification of goods in the tariff schedule. GRI 1
states, in pertinent part:
...classification shall be determined according to the terms
of the headings and any relative section or chapter notes...
-2-
The "Skyscape" evacuation chute with attached life rafts is
comprised of the following components; (1) a metal container with
a winch and electric motor; (2) a nylon webbing chute with inner
and outer ropes; (3) a number (determined by the consumer) of
attached life rafts. All components are attached, imported, and
sold together as an evacuation system for use on drilling rigs.
GRI 2.(b) states, in pertinent part: "The classification of
goods consisting of more than one material or substance shall be
according to the principles of rule 3."
GRI 3.(a) states, in pertinent part: "The heading which
provides the most specific description shall be preferred to
headings providing a more general description. However, when two
or more headings each refer to part only of the materials or
substances contained in mixed or composite goods, or to part only
of the items in a set put up for retail sale, those headings are
to be regarded as equally specific in relation to those goods,
even if one of them gives a more complete or precise description
of the goods."
The "Skyscape" evacuation chute with life rafts is prima
facie classifiable under the following headings:
8425.31.00 Other winches; capstans: Powered by electric motor
* * * * * * * * * * * * *
6307.90.95 Other made up articles...: Other: Other: Other
* * * * * * * * * * * * *
8907.10.00 Other floating structures...: Inflatable rafts
Each applicable subheading refers to part only of the
materials contained in this composite good, therefore, these
subheadings are to be regarded as equally specific.
GRI 3(b) governs the classification of composite goods,
goods consisting of different components and goods put up in sets
for retail sale:
Mixtures, composite goods consisting of different materials
or made up of different components, and goods put up in sets
for retail sale, which cannot be classified by reference to
3(a), shall be classified as if they consisted of the
material or component which gives them their essential
character, insofar as this criterion is applicable.
The Harmonized Commodity Description and Coding System
Explanatory Notes (EN) to the HTSUSA, page 4, number IX, states:
-3-
For the purposes of this Rule, composite goods made up of
different components shall be taken to mean not only those
in which the components are attached to each other to form a
practically inseparable whole but also those with separable
components, provided these components are adapted one to the
other and are mutually complementary and that together they
form a whole which would not normally be offered for sale in
separate parts.
The components of the "Skyscape" evacuation system are
attached to each other to form a practically inseparable whole,
are adapted one to the other, are mutually complementary, and
they form a whole that would not normally be offered for sale in
separate parts.
Therefore, pursuant to GRI 3(b), it is necessary to
determine the essential character (if discernable) of the
"Skyscape" evacuation system. The EN to GRI 3(b), page 4, number
VIII, states:
The factor which determines essential character will vary as
between different kinds of goods. It may, for example, be
determined by the nature of the material or component, its
bulk, quantity, weight or value, or by the role of a
constituent material in relation to the use of the goods.
You argue that due to the revolutionary design of the
chute, it is the chute that imparts the essential character of
this composite good. However, your literature states that "the
system will only be used once the chute is successfully down and
the collection point has completely inflated." Clearly, each
component has an integral role in the function of the system as a
whole. Each component is very different in terms of constituent
material, bulk, quantity, weight and value. However, it is
Customs position that none of the components imparts the
essential character of this composite good.
GRI 3(c) dictates that: "[w]hen goods cannot be classified
by reference to 3(a) or 3(b), they shall be classified under the
heading which occurs last in numerical order among those which
equally merit consideration." Therefore, the "Skyscape"
evacuation chute and attached life rafts is classifiable under
8907.10.00, HTSUSA, which provides for: "Other floating
structures...: Inflatable rafts."
HOLDING:
The "Skyscape" evacuation chute and attached life rafts are
classifiable under 8907.10.00, HTSUSA, which provides for: "Other
-4-
floating structures...: Inflatable rafts." The rate of duty is
3.8% ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division