CLA-2-90:S:N:N1:102 875348
Mr. Gern F. Scott
C.J. Tower Inc.
128 Dearborn Street
Buffalo, N.Y. 14207-3198
RE: The tariff classification of an adaptive VAR compensator
from Canada
Dear Mr. Scott:
In your letter dated June 10, 1992, on behalf of your
client, Trench Electric, Ontario, Canada, you requested a tariff
classification ruling.
The item involved in this request is known as an Adaptive
VAR Compensator (AVC). It is a solid state switched capacitor
bank which can immediately compensate for any fast changes in
reactive electrical demand by an industrial user. Because of the
nature of the equipment used by these electric customers, such as
elevators, pumps and conveyors, rapid changes in electric demand
occur frequently, causing wide swings in consumption and
inefficient electrical utilization. The AVC incorporates a
micro-processor which monitors these surges and, by imputing
stored electricity from banked capacitors, evens out the system
demand.
The applicable subheading for the Adaptive VAR Compensator
will be 9032.89.4000, Harmonized Tariff Schedule of the United
States (HTS), which provides for other automatic regulating or
controlling instruments and apparatus; automatic voltage and
voltage-current regulators, other. The duty rate will be 4.9
percent ad valorem.
Goods classifiable under subheading 9032.89.4000, HTS, which
have originated in the territory of Canada, will be entitled to a
2.9 percent ad valorem rate of duty under the United States-
Canada Free Trade Agreement (FTA) upon compliance with all
applicable regulations.
This ruling is being issued under the provisions of Section
177 of the Customs Regulations (19 C.F.R. 177).
A copy of this ruling letter should be attached to the entry
documents filed at the time this merchandise is imported. If the
documents have been filed without a copy, this ruling should be
brought to the attention of the Customs officer handling the
transaction.
Sincerely,
Jean F. Maguire
Area Director
New York Seaport