CLA-2 CO:R:C:F 952175 EAB

Mr. Hiroo Kondo
DIC America Trading, Inc.
2100 North Central Road
Fort Lee, New Jersey 07024

Re: Daicure SD-17; varnishes; EN 32.10; AUSRI 1(a); NYRL 838654 revoked

Dear Mr. Kondo:

This is a decision on a reconsideration of NYRL 838654 (May 15, 1989), which classified Daicure SD-17 under subheading 3907.91.5000 of the Harmonized Tariff Schedule of the United States Annotated, then dutiable at the column one general rate of 0.9 cents per kilogram plus 9 percent ad valorem.

FACTS:

Customs New York Laboratory analyzed a clear yellow liquid sample and found it to be composed essentially of an epoxy polymer, esters of acrylic acid and benzophenone. That analysis also reported that, according to the scientific literature, the sample is cured with UV light and a photo-initiator to form a polymer. In correspondence to Customs dated February 9, 1989, Mr. Naoki Tsuji of DIC America Trading, Inc., stated that the merchandise "is used as a protective coating for the surface of compact discs."

Recently, Customs New York Laboratory issued an "Amended Report" indicating that "Daicure SD-17, after curing with UV light, is composed essentially of an acrylic polymer (other, plastic)."

ISSUE:

What is the proper classification of Daicure SD-17?

LAW AND ANALYSIS:

Merchandise imported into the U.S. is classified under the HTSUSA. The tariff classification of merchandise under the HTSUSA is governed by the principles set forth in the General Rules of Interpretation (GRIs) and, in the absence of special language or context which otherwise requires, by the Additional U.S. Rules of Interpretation (AUSRI). The GRIs and the Additional U.S. Rules of Interpretation are part of the HTSUSA and are to be considered statutory provisions of law for all purposes.

GRI 1 requires that classification be determined first according to the terms of the headings of the tariff schedule and any relative section or chapter notes and, unless otherwise required, according to the remaining GRI's taken in order.

Explanatory Notes (ENs) to the Harmonized Commodity Description and Coding System represent the official interpretation of the Customs Cooperation Council on the scope of each heading, and, although neither binding upon the contracting parties to the Harmonized Sustem Convention nor considered to be dispositive interpretations, they should be consulted on the proper scope of the System.

Explanatory Note 32.10(B)(4)(c) advises that oligomers (i.e., polymers comprising 2,3 or 4 monomer units) and cross- linking monomers with or without photo-initiators, are varnishes that are cured, among other processes, by the action of ultra- violet light. Subsection (B)(4) of EN 32.10 concludes in part that products of the foregoing type are classified under heading 3210 when "they are clearly identifiable as being intended for use solely as varnishes." Only absent such clearly intended use would such products be classifiable under an otherwise descriptive heading of chapter 39.

HOLDING:

Daicure SD-17 is a product clearly identifiable as being intended for use solely as a varnish and is classifiable under subheading 3210.00.0000, HTSUSA, a provision for other paints and varnishes (including enamels and lacquers and distempers); prepared water pigments of a kind used for finishing leather.

Merchandise classified under this subheading is dutiable at the column one general rate of 1.8 percent ad valorem.

For purposes of this ruling, we consider subheading 3210.10.0000 to be a use provision governed by Additional U.S. Rule of Interpretation 1(a), HTSUSA, and evidence of use may be required in accordance with Customs Regulations.

NYRL 838634 is revoked pursuant to 19 CFR 177.9(d)(1).

Sincerely,

John Durant, Director
Commercial Rulings Division