CLA-2-97:OT:RR:NC:N4:433
Lawrence Mushinske
Consultant
285 South Van Dien Avenue
Ridgewood, NJ 07450
RE: The tariff classification of a 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, from Canada.
Dear Mr. Mushinske:
In your letter dated November 27, 2016, on behalf of David Sydorick, you requested a tariff classification ruling. We note that on October 7, 2016, N278756, this office already issued a classification opinion for the merchandise concerned, the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001. You are presenting additional information for purposes of authenticating that the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, is entitled to duty-free treatment as a collectors’ piece of historical interest, under 9705.00.0070 of the Harmonized Tariff Schedule of the United States (HTSUS).
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order.
When interpreting and implementing the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
In light of this, we turn to the ENs to inform and shape our understanding of the scope of the heading, but with the caveat that the ENs are used for guidance only in interpretation of the HTSUS. The ENs explain the scope of headings, often by means of exemplars, of which these examples are not necessarily all inclusive or all restrictive. The ENs should not restrict or expand the scope of headings, rather, they should describe and elaborate on the nature of goods falling within those headings, as well as the nature of goods falling outside of those headings. Thus, items purporting to be classified in heading 9705 must be examined on a case-by-case basis, considering all the relevant factors involved.
The ENs to heading 9705, HTSUS, states, in pertinent part, the following:
These articles are very often of little intrinsic value but derive their interest from their rarity, their grouping or their presentation. The heading includes:
* * *
(B) Collections and collectors’ pieces of historical, ethnographic, paleontological or archaeological interest, for example:
(1) Articles being the material remains of human activity suitable for the study of the activities of earlier generations, such as: mummies, sarcophagi, weapons, objects of worship, articles of apparel, articles which have belonged to famous persons.
There is no dispute that the subject merchandise is a motor car, specifically known in car circles as a “Touring Berlinetta,” or simply a touring coupe sports car. Therefore, the question before us is whether the subject car is also described as a collectors’ piece, in which case, pursuant to Note 4 (a) to Chapter 97, it must be classified there, and not in heading 8703, HTSUS.
There exists no strict standard or enumerated criteria for articles classified in heading 9705, HTSUS. The word “historic” is not defined by the tariff, nor by the ENs, and the dictionary definition is quite broad. The Oxford English Dictionary states it is, “A historical work or subject; a history. Now rare”, and “relating to history; concerned with past events.” “historic, n. and adj.” OED Online. Oxford University Press, December 2014. Web. 23 February 2015.
Cars present an interesting conundrum in a heading 9705 analysis, as motor cars and racing cars (even luxury ones) are generally-speaking mass-produced for commercial consumption. Goods produced as a commercial undertaking to commemorate, celebrate, illustrate, or depict an event or any other matter, whether or not production is limited in quantity or circulation, do not fall in this heading as collections or collectors’ pieces of historical interest [unless the goods themselves] have subsequently attained that status by reason of their age or rarity. With regard to the aforementioned sentence, noting goods obtain the level of collectors’ pieces by reason of their age or rarity, we also note that goods obtain the level of collectors’ pieces by their (1) placement along the time spectrum as recorded in the annals of historical accountings, (2) recognized accomplishments as documented and recorded in the pages of historical facts, and (3) association to famous persons with or without a nexus to an historical time.
For purposes of entitlement of duty-free status under heading 9705, goods need only show they reach the level of collectors’ pieces as set by one of the three “parameters” as listed in the last paragraph, last sentence above. If goods qualify by their placement in time to be of historical interest, then there is no requirement that those same goods be deed-worthy or belong to famous persons. In the event and outcome that the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, qualifies by its placement in time to be of historical interest, this office will not rule upon whether the deeds of the sports car, or relationship of the manufacturer or previous owners to the sports car, rise to the level of historical importance.
The Cité de l'Automobile Museum in Mulhouse, France is claimed to be the largest car museum in the world, and showcases 98 brands and over 400 classic and prestigious racing cars that trace the history of the automobile. The Cité de l'Automobile Museum is built around the Schlumpf collection of Bugatti classic automobiles and contains the largest and most comprehensive collection of Bugatti motor vehicles in the world. Specific to Alfa Romeo sports cars, the museum has showcased and displayed the following: an Alfa Romeo, 1931, 6C 1750; an Alfa Romeo, 1932, 8C 2; an Alfa Romeo, 1936, 8C 2900 A Pinin Farina Berlinett; an Alfa Romeo, 1938, 8C 2900 SPA 24H; and an Alfa Romeo, 1938, 8C 2900B Due Posti.
One realizes that the Cité de l'Automobile Museum affords a unique and impressive panorama glorifying the automobile industry from its very beginnings to modern times. The museum is segmented into three periods of time: the first being “the forerunners” 1878 to 1920, the second being “the golden age of the car” 1920 to 1950, and the third being “modern times” cars after 1950. This museum offers numerous classic automobiles, throughout the ages, showcased and displayed for public viewing.
Another prominent museum located in Philadelphia, Pennsylvania, is the Simeone Foundation Automotive Museum, in which they claim to have one of the world’s greatest collections of racing sports cars. A listing of the museum’s cars indicate the following: an Alfa Romeo, 1925 RLSS; Alfa Romeo, 1929, 6C 1750 SS; an Alfa Romeo, 1933 8C 2300 Mille Miglia Spyder; an Alfa Romeo 1933, 8C 2300 Monza; and an Alfa Romeo, 1937 8C 2900A. All of the Alfa Romeo sports cars listed above belong to “the golden age of the car,” as delineated by the Cité de l'Automobile Museum in Mulhouse. Like the museum in Mulhouse, one would find in this museum numerous classic automobiles, throughout the ages, showcased and displayed for public viewing.
We find that, Alfa Romeo sports cars from 1920 to 1950 falling into the category of the golden age of the car; these sports cars are: (1) housed for public display in some of the finest museums around the world, some of which are also captured by placement of time according to historical periods; (2) quite often showcased and displayed for public viewings in numerous “Concours d’Elegance” events and similar type events held domestically and internationally, regardless if publically retained or privately owned; and (3) kept in private collections throughout the world. We are further of the mind-set that authentic sports cars (frames, chassis with their engine, and other key mechanical components, as well as body characteristics) belonging to the golden age of the car represent some of the finest “material remains of human activity” of historical interest, which are placed along the time spectrum suitable for both human observation and study.
With case in point and also referencing back to N278756, we turn to the additional information furnished. We find that the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001: (1) remains in Canada still in dismantled condition; (2) in 1964 the sports car was in full disrepair, including having cracked engine block; and (3) the sports car had been completely rebuilt at least twice. Because the merchandise concerned is in dismantled condition, we maintain that a hierarchical standard as proposed in N278756 can be applied for purposes of authenticating that the rebuilt 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, remains upon reassembly an original Alfa Romeo belonging to the golden age of the car.
We observe from recorded accountings that there were 33, Alfa Romeo 8C 2900B sports cars built. Twenty-seven of these sports cars were built with the Carrozzeria Touring body of which five were the Berlinetta long chassis, and 6 were privately commissioned Berlinettas. Some Alfa Romeo 8C 2900B sports cars have fallen, some have be cannibalized for their parts, and others have been restored with original, remanufactured or reconstructed parts. With so few Alfa Romeo 8C 2900B sports cars built and fewer original cars remaining our hierarchy of core and critical parts (components) which truly identify this historic line of sports cars from the golden age of the car is as follows:
Core and Critical, Parts/Components:
(1) One Alfa Romeo, built long frame for the 8C 2900B.
(2) One Alfa Romeo, Chassis (built in-line 8 cylinder engine, drivetrain and other key mechanical parts and components) for the 8C 2900B.
(3) Dual overhead cams and twin Roots-type superchargers, preferably originals restored, for the
8C 2900B.
(4) One Alfa Romeo, Carrozzeria Touring body for the 8C 2900B.
(5) Instrument cluster panel and interior coachwork for the 8C 2900B.
(6) Thin alloy body panels for the 8C 2900B.
Non-Core and Critical, Parts/Components:
(7) Other parts and components for the 8C 2900B.
For the merchandise concerned, at a minimum to have an automobile of “historic interest” of the golden age of the car versus a replica (whether certified or not), we must have an original Alfa Romeo 8C 2900B long chassis frame or modified Alfa Romeo short frame, a built in-line 8 cylinder engine with dual overhead cams and twin Roots-type superchargers, and a Carrozzeria Touring body.
We have been asked by the filer of this ruling to undertake a second review for purposes of substantiating the authenticity of the 1937 Alfa Romeo, 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, as a collectors’ piece of historical interest. New information was presented by means of a declaration from the “Fédération Internationale des Véhicules Anciens” (FIVA) dated November 11, 2016, in regard to the merchandise concerned and by means of eleven photographs of the merchandise concerned in its disassembled condition.
The November 2016 declaration continues to reference the “FIVA Identity Card dated June 20, 2005” issued to previous owner, “William Ainscough,” certifying the 1937 Alfa Romeo, 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, as an historic vehicle. This declaration states that Mr. Sydorick can obtain a new FIVA Identity Card when entered into the United Sates through the Historic Vehicle Association – FIVA national authority for the United States. Neither the FIVA Identity Card of 2005 nor the declaration of 2016, have any supporting documents in which to substantiate that the merchandise concerned is an authentic Alfa Romeo sports car belonging to the golden age of the car. Even if we had supporting documentation of the 1994 major restoration undertaken by Tony Merrick of the United Kingdom, a prominent restorer of rare and historic sports cars, maintaining the sports car as authentic, which most likely aided in the issuance of the FIVA Identity Card of 2005, this card would be invalid today because the sports car is in dismantled condition at RX Autoworks of Canada. As such, the FIVA Identity Card of 2005 and the declaration of 2016 hold no weight in determining whether or not the merchandise concerned today is entitled to being classified as a collectors’ piece of historical interest in subheading 9705.00.0070, HTSUS.
This office does not dispute the fact that Tony Merrick “reunited and reworked” the original Engine (422001) to Chassis No. 412020, most likely impacting in the favorable outcome of the issuance of the FIVA Identity Card of 2005 for the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001. Because the merchandise concerned is in dismantled condition in Canada, not knowing what core and critical, parts and components will be maintained or replaced or replicated, the designation of [historic vehicle] by FIVA does not bestow onto the merchandise concerned.
Photographs of the merchandise concerned in its dismantled condition indicates various inscribed identification numbers and badges, either on the frame or chassis, of which we know from a reading of “The Immortal 2.9 Alfa Romeo 8C2900” (see N278756) that only the rectangular patent badge survived, which included chassis and engine number, all other badges were removed by salvagers. Observation of eleven photographs indicate inscribed numbers on the frame or chassis, no inscription on the engine block for 422001, and a reproduced graphic badge with the printed words “Carrozzeria Touring N 2029.” We note that parts and components from other authentic Alfa Romeo, 8C 2900, sports cars have been used for purposes of preserving and honoring this limited line of historic cars.
RX Autoworks of Canada is in the unique position, to issue a certification or declaration upon reassembly that the “reunited and reworked” Engine Number 422001 remains attached to Chassis No. 412020, as well as confirming Frame Number 2029, original or modified, will remain as the structure onto which all other parts and components will be attached. Furthermore, RX Autoworks of Canada is in the unique position to provide a complete listing of new, reworked or replicated, parts and components, mechanical as well as related to the body, of the reassembled 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, sports car.
Upon certification or declaration by RX Autoworks of Canada that the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, remains intact after reassembly or a like engine from the original 33 sports cars was reworked and used as a replacement, as well as identifying the coachwork performed to maintain the Carrozzeria body, we are of the opinion that the merchandise concerned will be entitled to be classified as a collectors’ piece under 9705.00.0070, HTSUS.
The applicable subheading for the 1937 Alfa Romeo 8C 2900B Touring Lungo Berlinetta, Chassis No. 412020, Engine Number 422001, upon certification or declaration by RX Autoworks of Canada, will be 9705.00.0070, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Collections and collectors’ pieces of zoological, botanical, mineralogical, anatomical, historical, archeological, paleontological, ethnographic or numismatic interest: Archaeological, historical, or ethnographic pieces.” The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at https://hts.usitc.gov/current.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Neil H. Levy at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division