CLA-2-73:RR:NC:1:118 F83955
Mr. Brian F. Walsh
Barnes, Richardson & Colburn
Attorneys & Counsellors at Law
303 East Wacker Drive
Suite 100
Chicago, IL 60601
RE: The tariff classification of iron or steel leaf spring assemblies from Germany.
Dear Mr. Walsh:
In your letter dated February 23, 2000, you requested a tariff classification ruling on behalf of your client, Freightliner Corporation. The confidential treatment requested in this inquiry was amended by you to include only the submitted photographs.
You have described your product as a leaf spring assembly with attached hardware for mounting. You have advised us that the leaf springs and hardware are made of iron or steel. There are two steel leaf springs with a thickness greater than 1.6 mm, two screws, two fasteners you identified to be hexagon head bolts-MBN10105-CM12X1,5x1 5, four nuts-N13023-M12X1,510 DBL9440.4, two spring plates and four U-bolts that make up this assembly. These assemblies will enter the United States in their disassembled state. The leaf springs will be used for vehicle suspensions. Some of the leaf springs will be used in motor vehicles having a G.V.W. not exceeding four metric tons; others will be used in motor vehicles having a G.V.W. exceeding four tons. These assemblies are not intended for sale to retail motor vehicle purchasers in their imported state. Instead, they will be shipped to a Freightliner Corporation assembly facility and be fully reattached to the finished motor vehicle. None of these leaf springs will be sold as “aftermarket” goods to United States retail consumers. They are imported from Germany and you have advised us that the leaf springs and their associated fittings for assembly or attachment are made in Germany.
Leaf springs are classified within Heading 7320 of the Harmonized Tariff Schedule of the United States (HTS). Upon review of the relevant Explanatory Notes, which provide guidance as to the scope of the HTS at the international level, the Explanatory Notes for 73.20 advise us that “springs may be equipped with U-bolts (e.g., for leaf-springs) or other fittings for assembly or attachment.” Accordingly, the hardware that you are importing, if customarily and solely used along with the leaf springs for the assembly or attachment of the leaf springs, will be classified within the same subheadings as the leaf springs.
The applicable tariff provision for the leaf spring assemblies to be used in motor vehicles having a G.V.W. not exceeding 4 metric tons will be 7320.10.3000, HTS, which provides for springs and leaves for springs, of iron or steel: leaf springs and leaves therefor: suitable for motor vehicle suspension: to be used in motor vehicles having a G.V.W. not exceeding 4 metric tons. The rate of duty will be 3.2% ad valorem.
The applicable tariff provision for the the leaf spring assemblies to be used in motor vehicles having a G.V.W. exceeding 4 metric tons will be 7320.10.6015, HTS, which provides for springs and leaves for springs, of iron or steel: leaf springs and leaves therefor: suitable for motor vehicle suspension: other: leaf springs having individual leaves with a thickness of 1.6 mm or more and leaves therefor. The rate of duty will be 3.2% ad valorem.
Your letter also requests a country of origin marking ruling for the leaf spring assemblies. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the
U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article.
Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 CFR 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the marking easily and read it without strain. Section 134.1(d), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. 19 CFR 134.1(d)(1) states that if an imported article will be used in manufacture, the manufacturer may be the ultimate purchaser if he subjects the imported article to a process which results in a substantial transformation of the article. The case of U.S. v. Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98) (1940), provides that an article used in manufacture which results in an article having a name, character or use differing from that of the constituent article will be considered substantially transformed and that the manufacturer or processor will be considered the ultimate purchaser of the constituent materials. The leaf spring assemblies will be incorporated into a suspension system which will be utilized within a finished motor vehicle. In such circumstances, the leaf springs and associated hardware are excepted from marking and only the outermost container is required to be marked. See, 19 CFR 134.35. Customs officials at the port of entry must be satisfied that such container will reach the ultimate purchaser, Freightliner Corporation, unopened and the spring leaf assemblies will be used for the stated purpose. The district director may require the importer to submit whatever information is deemed necessary in support of the marking exception.
Lastly, your query requested that Customs confirm that for invoicing purposes, the description “Leaf Spring Assembly” is determined to be acceptable. The term “Leaf Spring Assembly”, does not adequately describe the merchandise, its materials, size or components. A detailed description of the merchandise must be indicated. You can refer to 19 CFR 141.86 through 19 CFR 141.92 for guidance.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of this 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 Kathy Campanelli at 212-637-7025.
Sincerely,
Robert B. Swierupski
Director
National Commodity
Specialist Division