CLA-2-98:RR:NC:N1:101 M87369
Mr. Jason Combs
C J International, Inc.
7720 Bluffton Road Suite A
Fort Wayne IN 46809-2912
RE: The tariff classification of automotive parts from China.
Dear Mr. Combs:
In your letter dated October 10, 2006 you requested a tariff classification ruling on behalf Connor Corporation in Fort Wayne, IN.
This ruling requests a determination as to whether the HTS 9802.00.5060 or HTS 9802.00.60000 would apply for items of US manufacture exported by Connor Corp. to China for further working and then imported back into the US by Connor Corp.
Item # A-3105W-1167: An outer steel ring is stamped in the US. This ring is then exported to China where it is zinc plated, an adhesive is applied to the inner diameter and then the rubber is molded to the inside of the ring. You have provided a sample of the finished product.
Item # 3556B40H01: A nylon plastic ring is molded in the US. This ring is then exported to China where an adhesive is applied to the inner diameter of the ring and then the rubber is molded to the inside of the ring. The sample provided is the nylon ring, as it looks when exported from the US.
Item # 53P22-1: The outer steel ring is stamped in the US. This ring is then exported to China where it is zinc plated, (sample provided is painted black), an adhesive is applied to the inner diameter and then the rubber is molded to the inside of the ring. The sample provided is the outer ring, as it looks when exported from the US and the finished product as it looks upon return to the US. The outer ring and the rubber are clearly distinguishable.
Item # 53P25-1: The outer steel ring is stamped in the US. This ring is then exported to China where it is zinc plated, (sample provided is painted black), an adhesive is applied to the inner diameter and then the rubber is molded to the inside of the ring. The sample provided is the finished product, as it looks upon return to the US. The outer ring and the rubber are clearly distinguishable.
Item 611491-4: The outer and inner steel rings are stamped in the US. These rings are then exported to China where they are zinc plated, (sample provided is painted black), an adhesive is applied to the inner diameter and then the rubber is molded to the inside of the ring. The inner ring is then attached to the inside of the rubber. The sample provided is the outer ring, as it looks when exported from the US, and the finished product as it looks upon return to the US. The inner ring, outer ring, and rubber are clearly distinguishable.
Under subheading 9802.00.6000, HTSUS, articles of metal (except precious metal) manufactured in the U.S. or subject to a process of manufacture in the U.S., if exported for further processing, and if the exported article as processed outside the U.S., or the article which results from processing outside the U.S., is returned to the U.S. for further processing, may be entered with duty on the cost or value of the processing abroad upon compliance with applicable regulations.
Customs has previously held that for purposes of subheading 9802.00.6000, HTSUS, the term "further processing" has reference to processing that changes the shape of the metal or imparts new and different characteristics which become an integral part of the metal itself and which did not exist in the metal before processing.
In all five cases mentioned above, there is no change in shape of metal nor are there any new and different characteristics which become an integral part of the metal itself and which did not exist in the metal before processing.
It is our opinion that the work performed in China is an alteration within the meaning of subheading 9802.00.5060, HTSUS. Provided the documentary requirements of section 181.64, Customs Regulations (19 CFR 181.64) are satisfied, the metal insert will qualify for a duty exemption under HTSUS subheading 9802.00.5060 when returned to the U.S.
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 http://www.usitc.gov/tata/hts/.
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 Robert DeSoucey at 646-733-3008.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division