CLA-2 CO:R:C:M 956085 KCC
Warwick A. Johnston
KALTEK, INC.
P.O. Box 88390
Atlanta, Georgia 30356
RE: Stainless steel beer kegs; EN 73.10; 7311; EN 73.11;
containers for compressed or liquefied gas
Dear Mr. Johnston:
This is in response to your letter dated March 4, 1994, to
Customs in Savannah, Georgia, regarding the tariff classification
of stainless steel beer kegs under the Harmonized Tariff Schedule
of the United States (HTSUS). Your letter and enclosures were
forwarded to this office for a response.
FACTS:
The articles under consideration are industry standard,
stainless steel beer kegs ("kegs") with downtubes. The kegs are
manufactured in Finland. However, they contain United States-origin downtubes which are supplied by your company and installed
by the Finnish manufacturer. Prior to importation, the kegs with
a capacity of 58.67 liters are pressurized to about 35 psi with
air, so that defective kegs can be detected.
ISSUE:
Where are the stainless steel beer kegs classified under the
HTSUS?
LAW AND ANALYSIS:
The classification of merchandise under the HTSUS is
governed by the General Rules of Interpretation (GRI's). GRI 1,
HTSUS, states, in part, that "for legal purposes, classification
shall be determined according to terms of the headings and any
relative section or chapter notes...."
Heading 7310, HTSUS, provides for "Tanks, casks, drums,
cans, boxes and similar containers, for any material (other than
compressed or liquefied gas), of iron or steel, of a capacity not
exceeding 300 liters, whether or not lined or heat insulated, but
not fitted with mechanical or thermal equipment...."
In understanding the language of the HTSUS, the Harmonized
Commodity Description and Coding System ENs may be utilized. The
ENs, although not dispositive, are to be used to determine the
proper interpretation of the HTSUS. See, T.D. 89-80, 54 Fed.
Reg. 35127, 35128 (August 23, 1989). EN 73.10 (pg. 1021-1022),
states that:
...this heading covers sheet or plate iron or steel
containers of a capacity not exceeding 300l, but of a size
easily moved or handled, commonly used for the commercial
conveyance and packing of goods....
...The smaller containers include boxes, cans, tines, etc.,
mainly used as sales packings for butter, milk,
beer...(emphasis added).
...All the containers may be equipped with tap-holes, bungs,
lids or other closures to facilitate filling and emptying.
Based on the information provided, we are of the opinion
that the stainless steel beer kegs are of the class or kind of
article classifiable under heading 7310, HTSUS. The kegs are
designed to commercially convey beer to the consumer. The
inserted downtube is used to facilitate filling and emptying of
the beer. Specifically, the kegs are classified under subheading
7310.10.00, HTSUS, which provides for iron or steel tanks, casks,
drums, cans, boxes and similar containers, for any material, of a
capacity of 50 liters or more.
We note that heading 7311, HTSUS, provides for containers
for compressed or liquefied gas, of iron or steel. EN 73.11 (pg.
1022) states that the containers of heading 7311, HTSUS, are "for
the transport or storage of such gas." In this case, the
pressurized air imported in the kegs is used for the purpose of
quality control. The pressurized air is not meant to be
transported and stored. Therefore, the kegs are not of the class
or kind of article classifiable under heading 7311, HTSUS.
HOLDING:
The stainless steel beer kegs are classified under
subheading 7310.10.00, HTSUS, which provides for iron or steel
tanks, casks, drums, cans, boxes and similar containers, for any
material, of a capacity of 50 liters or more, which is a duty-free tariff provision.
Sincerely,
John Durant, Director
Commercial Rulings Division