CLA-2-71:OT:RR:NC:N1:121
Ms. Shelley M. Hooker
American Precious Metals Exchange (APMEX)
226 Dean A. McGee Ave.
Oklahoma City, OK 73102
RE: The tariff classification of silver rounds
Dear Ms. Hooker:
In your letter dated January 10, 2012, you requested a tariff classification ruling.
The merchandise under consideration is two silver rounds, named the “1 oz Year of the Dragon Silver Round .999 Fine” and the “1 oz Sunshine Minting Silver Round .999 Fine.” These rounds are manufactured by a privately owned mint. They are not manufactured on behalf of any country, are not legal tender, and do not have an engraved nominal value. Each round weighs 1 troy ounce (31.1034 grams) and contains 31.0723 grams of pure silver. You indicate that they are sold as retail items online and that their purchasing and selling price is determined by the current spot price of their metal content.
The Year of the Dragon Silver Round is circular in shape with a diameter of 38.2 mm and is sealed in plastic for protection. The obverse depicts a Chinese dragon in the center, the text “YEAR OF THE DRAGON” along the top edge, and the year “2012” down the side. The reverse side features 10 Chinese symbols with translations, “BRAVE, STRONG, HONEST, POWER and LUCK;” the term “.999 FINE SILVER” along the top edge; and the weight “1 TROY OUNCE” along the bottom. You indicate that the Chinese dragon design commemorates the Year of the Dragon in the Chinese Lunar Calendar for 2012.
The Sunshine Minting Silver Round is circular in shape with a diameter of 38.5 mm and is sealed in plastic for protection. The obverse features an eagle flying through the sun, the word “SILVER” along the top edge and the word “EAGLE” along the bottom. The reverse side features the weight “ONE TROY OUNCE” in the center, the manufacturer “SUNSHINE MINTING” along the top and the term “.999 FINE SILVER” along the bottom.
You propose that the rounds should be classified under heading 7118, Harmonized Tariff Schedule of the United States (HTSUS), which provides for coin. However, based on the documentation provided, these rounds are not legal tender, nor were they ever legal tender removed from circulation. Consequently, they cannot be classified in heading 7118, HTSUS.
The applicable subheading for the silver rounds will be 7114.11.7000, HTSUS, which provides for articles of goldsmiths’ or silversmiths’ wares and parts thereof, of precious metal or of metal clad with precious metal, of silver, whether or not plated or clad with other precious metal, other.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
If you have any questions regarding the ruling, contact National Import Specialist Barbara Kaiser at (646) 733-3024.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division