CLA-2-84:OT:RR:NC:N1:118
Mr. Richard L. Writsman
Continental Agency Inc.
1768 W. Second Street
Pomona, CA 91766
RE: The tariff classification of parts of agricultural tow-behind rotary tillers from China.
Dear Mr. Writsman:
In your letter dated September 2, 2020, on behalf of your client, Autotech USA Inc., you requested a ruling on the tariff classification of certain parts of agricultural tow-behind rotary tillers from China. You also inquired as to the applicability of subheading 9817.00.60, Harmonized Tariff Schedule of the United States (HTSUS).
You indicate that the items under consideration are specifically made and designed for use in three types of agricultural tow-behind seeders (models TXG, YCT and YCT-R). The parts are identified and described as follows:
COM-TXMF, TX and COM-YTMF, YT Series Cultivator Gearbox with Frame Assembly - Frame assembly with center mounted Drive system with ring and pinion gear for transfering power to Side panel and gears in order to drive cultivator rotor use to support cultivator rotor and drive system.
COM-TXGD, TX and COM-YTGD, YT series Lateral Gear Drive System – Side panel and gears for drive cultivator rotor.
COM-TXRC, TX and COM-YTRC, YT series Cultivator Rotor - Cultivator rotor with helical mounted tines used to breakup soil for cultivating purposes.
COM-TXSPR, TX and COM-YTSPR, YT series Right Side Panel Rotor support - Side panels to support cultivating rotor for drive cultivator.
COM-TXSPL, TX and COM-YTSPL, TX series Left Side Panel Rotor series Left Side Panel Rotor - Side panel with idler gear to support and drive cultivating rotor.
COM-TXTGC and COM-YTTGC, Rear mounted Tailgate - Rear Tailgate used for enhanced pulverization of cultivated soil.
The applicable subheading for the rotary tiller parts will be 8432.90.0060, HTSUS, which provides for agricultural, horticultural or forestry machinery for soil preparation or cultivation; lawn or sports ground rollers; parts thereof: parts…other: of seeders, planters, transplanters, manure speaders and fertilizer spreaders. The general rate of duty will be free.
In your submission, you also requested that the parts be considered for duty-free treatment as agricultural or horticultural machinery under subheading 9817.00.60, HTSUS, which provides for parts to be used in articles provided for in headings 8432, HTSUS. Subheading 9817.00.60, HTSUS, is an actual use provision. To fall within this special classification, a three-part test must be met. First, the subject merchandise must not be excluded from the heading under Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, HTSUS. Secondly, the terms of the heading must be met in accordance with GRI 1, which provides that classification is determined according to the terms of the headings and any relative section or chapter notes. Thirdly, the article must comply with the actual use regulations under Sections 10.131 through 10.139, Customs Regulations (19 C.F.R. §§ 10.131 through 10.139).
Articles provided for in heading 8432 are excluded from subheading 9817.00.60 pursuant to U.S. Note 2(t) to Subchapter XVII of Chapter 98. While the instant items are considered parts of an article of heading 8432, HTSUS, the exclusion in Note 2(t) refers only to “articles” and not “parts” (see H264768, dated September 7, 2017). Therefore, the parts at issue do not fall within the exclusions enumerated in Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, and thus satisfy the first part of the test. The instant items also satisfy the terms of subheading 9817.00.60, which has two parts to it: the article under consideration must 1) qualify as a part; and 2) be used with an article of headings 8432, 8433, 8434, or 8436. In regard to the second part of subheading 9817.00.60, HTSUS, tow-behind seeders are provided for in heading 8432, HTSUS, and therefore the items are parts to be used in an article provided for in heading 8432, HTSUS. With respect to the first part of the subheading, a part must be either: an integral, constituent, or component part, without which the article to which it is to be joined, could not function as such article. In this case, the items under consideration are stated to be for use as integral parts of the tow-behind rotary tillers without which the machines could not function.
Therefore, provided the items will actually be used in tow-behind rotary tillers (models TXG, YCT and YCT-R) classified in heading 8432, HTSUS, and the documentary requirements of 19 C.F.R. §§ 10.131 through 10.139 can be satisfied, they will qualify for duty-free treatment under subheading 9817.00.60, HTSUS. In particular, we note that the importer is responsible for satisfying the documentary requirements, and the items must be intended for such use at the time of importation and proof thereof must be furnished within three years of the date of entry.
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 the 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 Anthony E. Grossi at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division