CLA-2-97:OT:RR:NC:N4:433
Robert Leo
Meeks, Sheppard, Leo & Pillsbury
Attorneys at Law
355 Lexington Avenue, Suite 1400
New York, NY 10017
RE: The tariff classification of a 1953 Jaguar C-type XKC 038 from England.
Dear Mr. Leo:
In your letter dated May 21, 2012, on behalf of Vroom, LLC (Vroom), you requested a tariff classification ruling.
Jaguar Cars Ltd., manufactured and sold, the Jaguar C-type XKC from 1951 to 1953. The chassis numbers of the C-type were all prefixed with letters ‘XKC’ followed by 001, 002, 003, 004, and so on. The “C” designation stood for Competition. Jaguar produced a total of 53 of these racing cars. Some of the C-type cars were owned by Jaguar Cars Ltd. and operated by works Jaguar team at racing events; others were owned privately by race car drivers or owners who raced under non-Jaguar racing teams; while others were sold to car enthusiasts and never professionally raced.
Driven by race car drivers Peter Walker and Peter Whitehead, under works Jaguar team, the Jaguar C-type won the 24-hours of Le Mans race at its first attempt in 1951. In 1952, Jaguar Cars Ltd. (works Jaguar), worried by reports of the speed of the Mercedes-Benz 300SL, modified the C-type’s aerodynamics to increase the top speed of three of their race cars entered at Le Mans. Disastrous results occurred in the 1952 Le Mans race, in which, the cooling systems malfunctioned and overheated the engine of these cars; consequently, works Jaguar pulled the three cars from the race. Jaguar Cars Ltd., under works Jaguar team, once again won Le Mans in 1953, in a lightened, more powerful configuration, driven by race care drivers Duncan Hamilton and Tony Rolt. 1954, marked the final year of the C-type at Le Mans, with Ecurie Francorchamps, a Belgian motor racing team, finishing in fourth place.
The subject item is a 1953 Jaguar C-type XKC 038 racing car purchased by race car driver Duncan Hamilton from works Jaguar in 1954, and several times resold thereafter. The 1953 Jaguar XKC 038 was the official “spare” at the 1953 Le Mans race. After the 1953 Le Mans, historical records document that the XKC 038 was driven by several race car drivers of the time, and raced on known racing tracks – circuits.
In an article written about the racing career of Duncan Hamilton, Automobile March 2011, it is claimed that the XKC 038, disc-braked C-type, had a heavier body than those fitted to the Le Mans cars. Duncan Hamilton raced the XKC 038 at the following races: (1) the British Empire Trophy at Oulton Park placed fourth due to the handicap; (2) the Coupe du Paris at Montlhéry circuit placed first; (3) the Hedemora in Sweden placed third; and (4) won the first race ever held on the new Aintree circuit. In late 1954, Duncan Hamilton in pursuit of the Jaguar D-type sold the XKC 038 to race car driver Dan Margulies (Margulies, allowed race car driver Graham Hill to drive the car once). The XKC 038 was subsequently sold to race car driver Gil Tyrer in mid-1956; then sold to racing car driver Peter Mould in 1957; then sold to racing car driver Peter Sargent in 1958; then sold there after to Tom Gibson, Frank Sowden (credited for fitting in a 3.8 litre engine) and Rupert Glydon. The XKC 038 was resold thereafter to other owners up until purchased by Vroom, LLC in 2011. This car is mentioned as being one of the busiest of all C-types.
Two presented documents, (D1) Historic Vehicle Identity Form dated March 13, 1991 and (D2) Motor Sports Association (MSA) (sole motor sports governing body for the United Kingdom), Historic Technical Passport dated January 1, 2010, both indicate that the car is a Jaguar “works” C-type, chassis No. XKC 038 with registration number on front marking OVC 915. The Historic Vehicle Identity Form, in pertinent part, discloses the chassis conforms to original specifications (channel and tubular construction), Sowden’s change from the original 3.4 litre engine to the 3.8 litre engine, the Weber carburettor, the disc brakes, the rack & pinion steering, as well as photos indicating the original body type. The MSA, Historical Technical Passport overall confirms the Historic Vehicle Identity Form, as the body is the original one for the chassis; the chassis conforms to the original specifications with difference noted in “D1” the chassis is of channel and tubular construction and in “D2” the chassis is of girder and steel construction; the original engine size is the one for the C-type, and the Weber carburettor, disc brakes, and rack & pinion steering were all used in the C-type. Differences in chassis construction are attested by the two different owners of the XKC 038 and not Jaguar Cars Ltd. or works Jaguar in self-certifying documents. Never the less, the two documents over two different time periods, share enough similarities, with historical accountings (chronicles) written about the accomplishments of the XKC 038 to accept the position that the car sold by works Jaguar to notable race car driver Duncan Hamilton and resold over the years to other notable race car drivers of the time, as well as, race car enthusiasts, is the original C-type registered under OVC 915.
Of significant note, the “Bill of Sale” for the XKC 038 discloses a value significantly exceeding the normal appreciable market value for similar C-type racing cars. Similar to art and antiquities: the significant increase in value can only be attributed to the provenance, the history of the XKC 038 itself; those notable and distinguished drivers who owned and raced the car; and the tracks and circuits those drivers raced upon. Accordingly, the XKC 038 is classified in heading 9705 of the Harmonized Tariff Schedule of the United States (HTSUS) – the provision in part for collectors’ pieces of historical interest.
The applicable subheading for the 1953 Jaguar C-type XKC 038, 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: 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 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 Neil H. Levy at (646) 733-3036.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division