CLA-2-53:RR:NC:TA:351 D83471

Mr. Bill Jerome
H.A. & J.L. Wood, Inc.
231 N. 3rd Street
Pembina, ND 58271

RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of flax waste from Canada; Article 509.

Dear Mr. Jerome:

In your letter dated October 8, 1998 you requested a ruling on the status of "Durafibre" and "Durafill" from Canada under the NAFTA. This request was made on behalf of Durafibre, Inc.

Samples of products called "Durafibre" and "Durafill" were submitted. These products are a result of a manufacturing of raw flax straw. The manufacturing process is described as follows: The raw flax straw is collected from agricultural fields after the crop has been harvested for the flax seeds. The straw is brought to the plant in bale form. It is mechanically processed into fibre, or ground into a grainy or powder like substance. The fibre ("Durafibre") would be used for pulp and paper, geo-textile, and automotive applications. The fibre is also further processed by grinding into "Durafill" which is used in the composite industry as a filler/reinforcer for plastics.

The applicable tariff provision for the flax products will be 5301.30.0000, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for flax, raw or processed but not spun, flax tow and waste. The general rate of duty will be Free.

The scutched fibre and fill, being wholly obtained or produced entirely in the territory of Canada, will meet the requirements of HTSUSA General Note 12(b)(i), and will therefore be entitled to a Free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.

This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181).

This ruling letter is binding only to the party to whom it is issued and may be relied on only by that party.

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 Camille Ferraro at 212-466-5885.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division