CLA-2 CO:R:C:M 950253 LTO
8460.19.0005; 8460.90.0010; 8461.50.0010
Mr. James Lapp
Burgess Machine & Tool
P.O. Box 559
Marine City, Michigan 48039
RE: Axis Profiler; Machining Centers; Surface Grinder;
Pedestal Grinder; Lathe; Manual Milling Machine; Cut-Off
Saw; EN 84.57; EN 84.58; EN 84.59; EN 84.60
Dear Mr. Lapp:
This is in response to your letter of August 13, 1991,
requesting the classification of several pieces of used machinery
and equipment under the Harmonized Tariff Schedule of the United
States Annotated (HTSUSA). You also inquired about the dutiable
status of completely depreciated machinery. This portion of your
inquiry has been referred to the Value and Marking Branch because
it concerns an issue within their jurisdiction. The Value and
Marking Branch will issue a separate value ruling. The
classification ruling follows.
FACTS:
Burgess Machine & Tool, Inc., has been recently incorporated
in Michigan. Several pieces of equipment in use at their
Canadian facility will be moved to Michigan. The merchandise in
question is as follows: an Axis Profiler; two Horizontal
Machining Centers (serial #147 and #169); a Williams and Wilson
Surface Grinder; a Pedestal Grinder; a Harrison M300 Lathe; a
Delta Knee-Type Manual Milling Machine; and a Cosen Cut-Off Saw.
ISSUE:
What is the proper classification for the used machinery and
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equipment under the HTSUSA?
LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) to the HTSUS
govern the classification of goods in the tariff schedule. GRI 1
states in pertinent part that "for legal purposes, classification
shall be determined according to the terms of the headings and
any relative section or chapter notes . . . ."
Heading 8457, HTSUS, provides for "[m]achining centers, unit
construction machines (single station) and multistation transfer
machines, for working metal." The Harmonized Commodity
Description and Coding System Explanatory Notes constitute the
Customs Co-operation Council's official interpretation of the
Harmonized System. While not legally binding, they provide a
commentary on the scope of each heading of the Harmonized System,
and are thus useful in ascertaining classification under the
System. In explaining the scope of Heading 8457, EN 84.57, pg.
1269, states that it applies "only to machine-tools for working
metal (other than lathes) which can carry out different types of
machining operations on a single workpiece either:
(a) by automatic tool change from a magazine or the like in
conformity with a machining programme (machining
centres);
(b) by the automatic use, simultaneously or sequentially, of
different unit heads working on a fixed position
workpiece (unit construction machines, single station);
or
(c) by the automatic transfer of the workpiece to different
unit heads (multi-station transfer machines)."
EN 84.57, pg. 1269, further states that "[m]achining centres are
individual machines, i.e., all the machining operations are
performed on a single (multi-function) machine. These centres
must satisfy two conditions: they must carry out several
machining operations and they must have automatic tool change,
from a magazine or the like in conformity with a machining
programme."
The OKK MCH700 Horizontal Machining Centers (serial 147 and
serial 169) and the Axis Profiler are used to machine, drill,
bore and mill steel and aluminum. All have automatic tool
changers (magazines). The horizontal machining centers are about
10 years old and the Axis Profiler is also a used piece of
machinery. These articles are classifiable under subheading
8457.10.0005, HTSUSA, which provides for used or rebuilt
machining centers.
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The Williams & Wilson Surface Grinder is a manual horizontal
grinder used to clean and square blocks of steel before
machining. It is 7 years old. The pedestal grinder is used to
sharpen drills. It is at least 10 years old. Heading 8460,
HTSUS, provides for "[m]achine tools for deburring, sharpening,
grinding, honing, lapping, polishing or otherwise finishing
metal, sintered metal carbides or cermets by means of grinding
stones, abrasives or polishing products, other than gear cutting,
gear grinding or gear finishing machines of heading 8461." EN
84.60, pg. 1275, states that this heading covers "[s]harpening
machines (tool and cutter grinding machines) including machines
for grinding sintered metal carbide or hard metal tool tips as
well as card sharpening machines." It also covers "[g]rinding
machines, of different types (e.g., internal surface grinders,
centreless surface grinders, surface grinding machines, thread
grinding machines, machines designed for grinding valves and
valve seats) whose function is to perfect, to the desired degree
of precision, the work of other machines." The Surface Grinder
is classifiable under subheading 8460.19.0005, HTSUSA, which
provides for used or rebuilt, flat-surface grinding machines.
The pedestal grinder is classifiable under subheading
8460.90.0010, HTSUSA, which provides for other used or rebuilt
machine tools for finishing metal by means of grinding stones,
abrasives or polishing products.
The Harrison M300 Lathe is a manual turning lathe. It is
approximately 10 years old. Heading 8458, HTSUS, provides for
"[l]athes for removing metal." EN 84.58, pg. 1271, states that
"[t]he lathes of this heading are machines used for surface-
working metal by cutting away or otherwise removing metal." The
lathe is classifiable under subheading 8458.19.0010, HTSUSA,
which provides for used or rebuilt, horizontal lathes for
removing metal.
The Delta Knee-Type Manual Milling Machine is a manual
milling and drilling machine. Heading 8459, HTSUS, provides for
"[m]achine tools . . . for drilling, boring, milling, threading
or tapping by removing metal, other than lathes of heading 8458."
EN 84.59, pg. 1272, states that "[i]n general machine-tools are
power-driven but similar machines, worked by hand or pedal, are
also covered by this heading. These latter types can be
distinguished from the hand tools of heading 82.05 and from the
tools for working in the hand of heading 84.67 or 85.08, by the
fact that they are usually designed to be mounted on the floor,
on a bench, on a wall or on another machine, and are thus usually
provided with a base plate, mounting frame, stand, etc." The
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Milling Machine is classifiable under subheading 8459.59.0010,
HTSUSA, which provides for used or rebuilt, knee-type milling
machines.
The Cosen Cut-Off Saw is a manually controlled, roll-in
circular saw. It is 8-10 years old. Heading 8461, HTSUS,
provides for "[m]achine tools for planing, shaping, slotting,
broaching, gear cutting, gear grinding or gear finishing, sawing,
cutting-off and other machine tools for working by removing
metal, sintered metal carbides or cermets, not elsewhere
specified or included." The Cut-Off Saw is classifiable under
subheading 8461.50.0010, HTSUSA, which provides for used or
rebuilt, sawing or cutting-off machines.
HOLDING:
The OKK MCH700 Horizontal Machining Centers (serial 147 and
serial 169) and the Axis Profiler are classifiable under
subheading 8457.10.0005, HTSUSA, which provides for used or
rebuilt machining centers. The column 1 rate of duty (general)
for articles in this subheading is 4.2% ad valorem.
The Surface Grinder is classifiable under subheading
8460.19.0005, HTSUSA, which provides for used or rebuilt, flat-
surface grinding machines. The column 1 rate of duty (general)
for articles in this subheading is 4.4% ad valorem.
The pedestal grinder is classifiable under subheading
8460.90.0010, HTSUSA, which provides for other used or rebuilt
machine tools for finishing metal by means of grinding stones,
abrasives or polishing products. The column 1 rate of duty
(general) for articles in this subheading is 4.4% ad valorem.
The Harrison M300 Lathe is classifiable under subheading
8458.19.0010, HTSUSA, which provides for used or rebuilt,
horizontal lathes for removing metal. The column 1 rate of duty
(general) for articles in this subheading is 4.4% ad valorem.
The Delta Knee-Type Manual Milling Machine is classifiable
under subheading 8459.59.0010, HTSUSA, which provides for used or
rebuilt, knee-type milling machines. The column 1 rate of duty
(general) for articles in this subheading is 4.2% ad valorem.
The Cosen Cut-Off Saw is classifiable under subheading
8461.50.0010, HTSUSA, which provides for used or rebuilt, sawing
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or cutting-off machines. The column 1 rate of duty (general) for
articles in this subheading is 4.4% ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division