CLA-2-84:OT:RR:NC:N1:103
Peter Quinter
Gunster, Yoakley & Stewart, P.A.
600 Brickell Ave., Suite 3500 Miami, FL 33131
RE: The tariff classification and status under the United States-Colombia Trade Promotion Agreement (CTPA), of a grease fitting from Columbia.
Dear Mr. Quinter:
In your letter dated December 4, 2024, you requested a ruling on the status of a grease fitting from Colombia under the CTPA on behalf of your client, Lubrication Components Mfg. Co.
The merchandise under consideration is a grease fitting with a 7/16-inch hex, a 1/8-inch by 27 PTF thread, and a 21/32-inch overall length. The grease fitting is screwed into machinery or components that require periodic lubrication. It has a threaded end and a nipple designed to seal against a grease gun coupler. Within the fitting is a spring-loaded check ball to prevent leakage and to prevent dirt or contaminants from entering the machine component. When pressure is applied, the spring-loaded mechanism allows lubricant to flow into the component.
Even though the described grease fitting is identified as part number GH1010, you state additional part numbers of different threads, lengths, diameters, etc., will be manufactured using the same sourcing and operational steps.
The applicable subheading for the grease fitting, part number GH1010, will be 8487.90.0080, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Machinery parts, not containing electrical connectors, insulators, coils, contacts or other electrical features, and not specified or included elsewhere in this chapter: Other: Other.” The rate of duty will be 3.9 percent ad valorem.
The subject grease fitting is manufactured in Colombia. The process begins with forming the body which is machined from hexagonal steel bars sourced from Spain. Chinese wire is coiled into a spring, which is then inserted with a Chinese-sourced steel ball into the body to complete the grease fitting.
In your submission you request a determination on the eligibility of the grease fitting for preferential treatment under the United States-Colombia Trade Promotion Agreement (CTPA).
The requirements of the CTPA are described in General Note 34 of the HTSUS. General Note 34(b) indicates that, for the purposes of this note, subject to the provisions of subdivisions (c), (d), (n) and (o) thereof, a good imported into the customs territory of the United States is eligible for treatment as an originating good of Colombia or of the United States under the terms of this note if—
(i) the good is wholly obtained or produced entirely in the territory of Colombia or of the United States, or both;
(ii) the good is produced entirely in the territory of Colombia or of the United States, or both, and—
(A) each of the nonoriginating materials used in the production of the good undergoes an applicable change in tariff classification specified in subdivision (o) of this note; or
(B) the good otherwise satisfies any applicable regional value-content or other requirements set forth in such subdivision (o); and
satisfies all other applicable requirements of this note and of applicable regulations; or
(iii) the good is produced entirely in the territory of Colombia or of the United States, or both, exclusively from materials described in subdivisions (i) or (ii), above.
Since the grease fitting contains non-originating materials, it is not considered a good wholly obtained or produced entirely in a CTPA country under GN 34(b)(i) and GN 34(c)(i). Thus, we must determine whether the product qualifies under GN 34(b)(ii). As previously noted, the grease fitting is classified under subheading 8487.90.0080, HTSUS. The applicable rule of origin for goods classified under subheading 8487.90.0080, HTSUS, is in GN 34(o)/84.134, HTSUS, which provides for “[a] change to heading 8487 from any other heading.”
Based on the facts provided, the goods described above qualify for CTPA preferential tariff treatment, because they will meet the requirements of HTSUS General Note 34(b)(ii). The grease fitting, part number GH1010, will therefore be eligible for preferential treatment under the CTPA upon compliance with 19 CFR § 10.3026, and all applicable laws, regulations, and agreements.
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 at https://hts.usitc.gov/current.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Paul Huang at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division