CLA-2 R:C:M 957492 DWS
7212.40.10; 7217.11.20; 7217.19.50
Mr. Robert Garcia
R.W. Smith & Co., Inc.
P.O. Box 60587 AMF
Houston, TX 77205-0587
RE: Reconsideration of DD 897178; Ribbon Wound and Oscillated Wound Nonalloy Steel
Strapping; Chapter 72, Notes 1(k) and
(o); HQ 089538; NY 845896; The Making, Shaping and Treating
of Steel; General Explanatory Note (IV)(C)(2)(d)(ii) to
Chapter 72
Dear Mr. Garcia:
This is in reference to DD 897178, issued to you on May 17, 1994, on behalf of Burseryds
Bruk AB, by the District Director of Customs, New Orleans, Louisiana, concerning the
classification of steel strapping under the Harmonized Tariff Schedule of the United States
(HTSUS). In reviewing DD 897178, we found that the holding therein was incomplete based
upon the description of the merchandise you provided to Customs on April 19, 1994.
Pursuant to section 625(c)(1), Tariff Act of 1930 [19 U.S.C. 1625(c)(1)], as amended by
section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement
Implementation Act, Pub. L. 103-182, 107 Stat. 2057, 2186 (1993) (hereinafter section 625),
notice of the proposed modification of DD 897178 was published May 3, 1995, in the Customs
Bulletin, Volume 29, Number 18.
FACTS:
The merchandise consists of various types of steel strapping, which are cold-rolled and made
of two grades of carbon or nonalloy steel. One grade contains by weight 0.06 percent to 0.11
percent of carbon, and the other grade contains by weight 0.11 percent to 0.18 percent of carbon.
The strapping ranges in size from 19 mm x 0.50 mm to 32 mm x 1 mm. It is in either ribbon
wound coils, which consist of successively superimposed layers, or oscillated wound coils, which
consist of layers wound back and forth across a spool. The strapping is available in the following
finishes: bright finished, waxed, blue annealed, black painted, green painted, zinc painted, and hot-dip galvanized. It is our understanding that bright finished products may be of high-strength steel.
Zinc painted products are painted with an organic paint containing metallic zinc dust.
The subheadings under consideration are as follows:
7211.30.10: [f]lat-rolled products of iron or nonalloy
steel, of a width of less than 600 mm, not clad,
plated or coated: [n]ot further worked than
cold-rolled (cold-reduced), of high-strength
steel: [o]f a width of less than 300 mm: [o]f
a thickness exceeding 0.25 mm.
The general, column one rate of duty for goods classifiable
under this provision is 3.1 percent ad valorem.
7211.41.30: . . . : [o]ther, not further worked than cold-
rolled (cold-reduced): [c]ontaining by weight
less than 0.25 percent of carbon: [o]f a width
of less than 300 mm: [o]f a thickness exceeding
0.25 mm but not exceeding 1.25 mm.
The general, column one rate of duty for goods classifiable
under this provision is 3.1 percent ad valorem.
7211.90.00: . . . : [o]ther.
The general, column one rate of duty for goods classifiable
under this provision is 4.6 percent ad valorem.
7212.30.10: [f]lat-rolled products of iron or nonalloy
steel, of a width of less than 600 mm, clad,
plated or coated: [o]therwise plated or coated
with zinc: [o]f a width of less than 300 mm:
[o]f a thickness exceeding 0.25 mm or more.
The general, column one rate of duty for goods classifiable
under this provision is 3.1 percent ad valorem.
7212.40.10: . . . : [p]ainted, varnished or coated with
plastics: [o]f a width of less than 300 mm.
The general, column one rate of duty for goods classifiable
under this provision is 3.1 percent ad valorem.
7217.11.20: [w]ire of iron or nonalloy steel: [c]ontaining
by weight less than 0.25 percent of carbon:
[n]ot plated or coated, whether or not polished:
[f]lat wire: [o]f a thickness exceeding 0.25 mm
But not exceeding 1.25 mm.
The general, column one rate of duty for goods classifiable
under this provision is 2.9 percent ad valorem.
7217.19.50: . . . : [o]ther: [o]ther.
The general, column one rate of duty for goods classifiable
under this provision is 4.8 percent ad valorem.
ISSUE:
Whether the various types of steel strapping are classifiable under subheading 7211.30.10,
HTSUS, as flat-rolled products of nonalloy steel, not further worked than cold-rolled, of high-strength steel, not coated, of a width less than 300 mm and a thickness exceeding 0.25 mm; under
subheading 7211.41.30, HTSUS, as flat-rolled products of nonalloy steel, not further worked than
cold-rolled, not coated, containing by weight less than 0.25 percent of carbon, of a width of less
than 300 mm and a thickness exceeding 0.25 mm but not exceeding 1.25 mm; under subheading
7211.90.00, HTSUS, as other flat-rolled products of nonalloy steel, not further worked than cold-rolled, of a width of less than 600 mm, not coated; under subheading 7212.30.10, HTSUS, as flat-rolled products of nonalloy steel, coated, with zinc, of a width of less than 300 mm and a
thickness exceeding 0.25 mm or more; under subheading 7212.40.10, as flat-rolled products of
nonalloy steel, of a width of less than 300 mm, painted with plastics; under subheading
7217.11.20, HTSUS, as flat wire of nonalloy steel, containing by weight less than 0.25 percent of
carbon, not coated, of a thickness exceeding 0.25 mm but not exceeding 1.25 mm; or under
subheading 7217.19.50, HTSUS, as other wire of nonalloy steel, containing by weight less than
0.25 percent of carbon.
LAW AND ANALYSIS:
Classification of merchandise under the HTSUS is in accordance with the General Rules of
Interpretation (GRI's).
GRI 1 provides that classification is determined according to the terms of the headings and any
relative section or chapter notes.
In DD 897178, it was held that zinc painted steel strapping was classifiable under subheading
7212.30.10, HTSUS, and black painted steel strapping was classifiable under subheading
7212.40.10, HTSUS. It is now our understanding, based upon the original information you
submitted, that DD 897178 was incomplete and incorrect with regard to the classification of the
zinc painted steel strapping. Our classification analysis of all the merchandise follows.
BRIGHT FINISHED RIBBON WOUND STRAPPING
In part, Chapter 72, note 1(k), HTSUS, states:
1. In this chapter and, in the case of notes (d), (e) and
(f) below throughout the tariff schedule, the following
expressions have the meanings hereby assigned to them:
(a) - (ij) xxx
(k) Flat-rolled products
Rolled products of solid rectangular (other than
square) cross section, which do not conform to the
definition at (ij) above in the form of:
- coils of successively superimposed layers, . . .
Chapter 72, Additional U.S. Note 1(a), HTSUS, states:
1. For the purposes of the tariff schedule the following
expressions have the meanings hereby assigned to them:
(a) High-strength steel
Flat-rolled products of a thickness of less than
3 mm and having a minimum yield point of 275 Mpa or
of a thickness of 3 mm or more and having a minimum
Yield point of 355 Mpa.
A bright finish on the steel is created at the end of the of the cold reduction process, when an
unpolished finish is applied to the steel through cold-rolling, annealing, and descaling. The
application of the bright finish does not affect the classification of the steel strapping. See HQ
089538, dated
August 7, 1991.
The bright finished ribbon wound steel strapping meets the above definition of flat-rolled
products in that it is of solid rectangular cross section and is in the form of coils of successively
superimposed layers. Therefore, the steel strapping is classifiable under either subheading
7211.30.10, HTSUS, or subheading 7211.41.30, HTSUS, depending upon whether it is of high-strength steel.
BLACK PAINTED, GREEN PAINTED, AND ZINC PAINTED
RIBBON WOUND STEEL STRAPPING
With regard to the zinc painted steel strapping, it is our position that the zinc paint does not
constitute a metal coating.
The Making, Shaping and Treating of Steel (10th Edition), delineates between metallic protective
coatings and organic coatings. Metallic protective coatings are applied to steel by the following
methods: hot-dip process, metal spraying, metal cementation, metal cladding, fusion welding of
coatings, electroplating, cathode sputtering, and evaporation of condensation. Whereas, organic
coatings are commonly known as paints, varnishes, enamels, and lacquers. Paints are described as
mixtures of pigments with drying oils, with varnish vehicles or with synthetic resins or polymers.
Because the subject zinc paint consists of organic paint containing metallic zinc dust, it is a paint
rather than a metal coating.
Consequently, the black painted, green painted, and zinc painted ribbon wound steel strapping
is classifiable under subheading 7212.40.10, HTSUS.
ZINC HOT-DIP GALVANIZED RIBBON WOUND STEEL STRAPPING
As stated above, a zinc hot-dip galvanized coating is a metallic coating. Therefore, the zinc
hot-dip galvanized ribbon wound steel strapping is classifiable under subheading 7212.30.10,
HTSUS.
BLUE-ANNEALED RIBBON WOUND STEEL STRAPPING
In understanding the language of the HTSUS, the Harmonized Commodity Description and
Coding System Explanatory Notes may be utilized. The Explanatory Notes, although not
dispositive or legally binding, provide a commentary on the scope of each heading of the HTSUS,
and are generally indicative of the proper interpretation of these headings. See T.D. 89-80, 54
Fed. Reg. 35127, 35128 (August 23, 1989). In part, General Explanatory Note (IV)(C)(2)(d)(ii)
to chapter 72, HTSUS (pp. 981 - 982), states:
(IV) Production of finished products
(A) - (B) xxx
(C) Subsequent manufacture and finishing
The finished products may be subjected to further
finishing treatments or converted into other
articles by a series of operations such as:
(1) xxx
(2) Surface treatments or other operations,
including cladding, to improve the properties
or appearance of the metal, protect it against
rusting and corrosion, etc. Except as
otherwise provided in the text of certain
headings, such treatments do not affect the
heading in which the goods are classified.
They include:
(d) Surface finishing treatment, including:
(i) xxx
(ii) . . . blueing (blue annealing) . . .
Because the process of blue-annealing the steel strapping is considered a surface finishing
treatment, because the steel strapping is "further worked", the blue-annealed ribbon wound steel
strapping is classifiable under subheading 7211.90.00, HTSUS. See NY 845896, dated October
27, 1989.
BLUE-ANNEALED OSCILLATED WOUND STEEL STRAPPING
Chapter 72, note 1(o), HTSUS, states:
1. In this chapter and, in the case of notes (d), (e) and
(f) below throughout the tariff schedule, the following
expressions have the meanings hereby assigned to them:
(a) - (n) xxx
(o) Wire
Cold-formed products in coils, of any uniform solid
cross section along their whole length, which do not
conform to the definition of flat-rolled products.
It is our position that oscillated wound steel strapping is, for classification purposes, described
as wire as it does not meet the definition of flat-rolled products under chapter 72, note 1(k),
HTSUS. It consists of layers of material wound back and forth across a spool, as opposed to
being wound in successively superimposed layers.
Therefore, because the blue-annealed oscillated wound steel strapping is not coated, it is
classifiable under subheading 7217.11.20, HTSUS.
BLACK PAINTED, GREEN PAINTED, AND ZINC PAINTED
OSCILLATED WOUND STEEL STRAPPING
Because they are coated products, the black painted, green painted, and zinc painted oscillated
wound steel strapping is classifiable under subheading 7217.19.50, HTSUS.
HOLDING:
The bright finished ribbon wound steel strapping, of high-strength steel, is classifiable under
subheading 7211.30.10, HTSUS, as flat-rolled products of nonalloy steel, not further worked than
cold-rolled, of high-strength steel, not coated, of a width less than 300 mm and a thickness
exceeding 0.25 mm.
The bright finished ribbon wound steel strapping, not of high-strength steel, is classifiable
under subheading 7211.41.30, HTSUS, as flat-rolled products of nonalloy steel, not further
worked than cold-rolled, not coated, containing by weight less than 0.25 percent of carbon, of a
width of less than 300 mm and a thickness exceeding 0.25 mm but not exceeding 1.25 mm.
The black painted, green painted, and zinc painted ribbon wound steel strapping is classifiable
under subheading 7212.40.10, as flat-rolled products of nonalloy steel, of a width of less than 300
mm, painted with plastics.
The zinc hot-dip galvanized ribbon wound steel strapping is classifiable under subheading
7212.30.10, HTSUS, as flat-rolled products of nonalloy steel, coated with zinc, of a width of less
than 300 mm and a thickness exceeding 0.25 mm or more.
The blue-annealed ribbon wound steel strapping is classifiable under subheading 7211.90.00,
HTSUS, as other flat-rolled products of nonalloy steel, not further worked than cold-rolled, of a
width of less than 600 mm, not coated.
The blue-annealed oscillated wound steel strapping is classifiable under subheading
7217.11.20, HTSUS, as flat wire of nonalloy steel, containing by weight less than 0.25 percent of
carbon, not coated, of a thickness exceeding 0.25 mm but not exceeding 1.25 mm.
The black painted, green painted, and zinc painted oscillated steel strapping is classifiable
under subheading 7217.19.50, HTSUS, as other wire of nonalloy steel, containing by weight less
than 0.25 percent of carbon.
DD 897178, dated May 17, 1994, is modified to reflect the reasoning in this ruling. In
accordance with section 625(c)(1), this ruling will become effective 60 days after its publication in
the Customs Bulletin. Publication of rulings or decisions pursuant to section 625(c)(1) does not
constitute a change of practice or position in accordance with section 177.10(c)(1), Customs
Regulations [19 CFR 177.10(c)(1)].
Sincerely,
John Durant, Director
Commercial Rulings Division