CLA-2-72: OT:RR:NC:N1:117
Jerry Epstein
W.N. Epstein & Co., Inc.
230 S. Bemiston Avenue
St. Louis, Missouri 63109
RE: The tariff classification of stainless steel strip welding electrode material from Belgium and China
Dear Mr. Epstein:
In your letter dated June 10, 2022, on behalf of Mid Alloys & Technology Inc., you requested a tariff classification ruling.
The merchandise under consideration is coiled strip electrode material used in submerged arc welding. This cold-rolled bright annealed stainless steel product will have a thickness of 0.5 mm and will be imported in widths of 60 mm or 30 mm.
Based on the information provided, the subject product is made to American Welding Society (AWS) specification A5.9/alloy designation 309L. Stainless steels meeting this chemistry will contain between 12-14% nickel and a maximum of .75% molybdenum. You indicate that this material will be used in conjunction with an agglomerated flux.
You proposed classification under heading 8311, Harmonized Tariff Schedule of the United States (HTSUS), which provides for wire, rods, tubes, plates, electrodes and similar products of base metal or of metal carbides, coated or cored with flux material, of a kind used for soldering, brazing, welding or deposition of metal or of metal carbides; wire and rods, of agglomerated base metal powder, used for metal spraying; base metal parts thereof. The Explanatory Notes for heading 83.11 state that “This heading covers wire, rods, tubes, plates, electrodes and similar products, of base metal or of metal carbides, of a kind used for soldering, brazing, welding or deposition of metal or of metal carbides, provided they are coated or cored with flux material…Wire, rods, tubes, plates, electrodes, etc., of base metal not coated or cored with flux material are excluded (Chapters 72 to 76 and 78 to 81). The materials used for coating or coring is the flux (e.g., zinc chloride, ammonium chloride, borax, quartz, resin or lanolin) which would otherwise have to be added separately during the soldering, brazing, welding or deposition process…”
Noting that the subject product is not coated or cored with flux material at the time of import, it is excluded from classification under heading 8311, HTSUS.
The applicable subheading for the stainless steel strip welding electrode material will be 7220.20.7015, HTSUS, which provides for Flat-rolled products of stainless steel, of a width of less than 600 mm: Not further worked than cold-rolled (cold-reduced): Of a width of less than 300 mm: Of a thickness exceeding 0.25 mm but not exceeding 1.25 mm: Other: Containing more than 0.5 percent by weight of nickel: Other. The rate of duty will be free.
On March 8, 2018, Presidential proclamations 9704 and 9705 imposed additional tariffs and quotas on a number of steel and aluminum mill products. Exemptions have been made on a temporary basis for some countries. Quantitative limitations or quotas may apply for certain exempted countries and can also be found in Chapter 99. Additional duties for steel of 25 percent and for aluminum of 10 percent are reflected in Chapter 99, subheading 9903.80.01 for steel and subheading 9903.85.01 for aluminum. Products classified under subheading 7220.20.7015, HTSUS, may be subject to additional duties or quota. At the time of importation, you must report the Chapter 99 subheading applicable to your product classification in addition to the Chapter 72, 73 or 76 subheading listed above.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 7220.20.7015, HTSUS, unless specifically excluded, are subject to an additional 7.5 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheadings 7220.20.7015, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively.
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 April Cutuli at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division