CLA-2 OT: RR: CTF: TCM W968291 ADK
Port Director
U.S. Customs and Border Protection
9777 Via De La Amistad
San Diego, CA 92154
RE: Classification of the Sears Diamond Taper Point or High Speed Cutter; I/A: 06/016
Dear Port Director:
This is in response to your internal advice request, (File: App-60TMC: b) (I/A: 06/016) dated May 5, 2006, which is in accordance with Customs and Border Protection (CBP) Regulations Part 177 (19 CFR 177). This regulation allows requests for "advice or guidance to the interpretation or proper application of the Customs and related laws with respect to a specific Customs transaction . . . from the Headquarters Office at any time, whether the transaction is prospective, current, or completed." 19 CFR §177.11(a). Specifically, the request for internal advice was made pursuant to 19 CFR §177.11(b)(2), which provides:
When no ruling has been issued. Internal advice will be sought by a Customs Service field office with respect to a current transaction for which no ruling was requested or issued under the provisions of this part whenever a difference of opinion exists as to the interpretation or proper application of the Customs and related laws to the transaction, and the field office is requested to seek such advice by an importer or other person who would have been entitled, under § 177.1(c), to request a ruling with respect to the transaction, while prospective. The request must be submitted to the field office in writing and in accordance with the provisions of paragraph (b)(3) of this section.
The Port of Otay Mesa (Otay Mesa) is seeking internal advice on the classification of the Sears Diamond Taper Pt. P/N 53137 (High-Speed Cutter). The importer, Robert Bosch Tool Corp. (Robert Bosch), is currently entering the merchandise under subheading 6804.21.00, Harmonized Tariff Schedule United States (HTSUS), which provides for “[m]illstones, grindstones, grinding wheels…Of agglomerated synthetic or natural diamond.”
The high–speed cutter is also potentially classifiable under two different subheadings of heading 8207, HTSUS. The first is subheading 8207.90.4500, Harmonized Tariff Schedule United States Annotated (HTSUSA), which provides for “[i]nterchangeable tools for handtools, whether or not power operated, or for machine-tools (for example, for…drilling, boring, broaching, milling, turning or screwdriving)…Suitable for cutting metal, and parts thereof.” The second is subheading 8207.50.2055, HTSUSA, which provides for: “[i]nterchangeable tools for handtools, whether or not power operated, or for machine-tools…Other.” The case was referred to this office for a response.
FACTS:
The subject merchandise, the Sears Diamond Taper Pt. P/N 53137, is a high-speed cutter made for use in a Dremel hand held rotary power tool. It features an abrasive material on a support base of metal, but no cutting teeth, flutes, grooves, or the like. This abrasive material is comprised of synthetic diamonds and is permanently electro-plated to the tip. According to Robert Bosch, the subject import is designed for fine detail work on materials such as wood, ceramic, jade, glass, hardened steel and other materials.
ISSUE:
Whether the diamond taper point high speed cutter is a good of heading 6804, HTSUS, or an interchangeable tool of heading 8207, HTSUS; if the latter, whether it is a “tool for drilling”, of subheading 8207.50, HTSUS, or an “other interchangeable tool” of subheading 8207.90, HTSUS?
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order. The HTSUS provisions under consideration are as follows:
6804: Millstones, grindstones, grinding wheels and the like, without frameworks, for grinding, sharpening, polishing, trueing or cutting, hand sharpening or polishing stones, and parts thereof, of natural stone, of agglomerated natural or artificial abrasives,…:
Other millstones, grindstones, grinding wheels and the like:
6804.21.0000 Of agglomerated synthetic or natural diamond
* * *
8207 Interchangeable tools for handtools, whether or not power-operated, or for machine-tools (for example, for pressing, stamping, punching, tapping, threading, drilling, boring, broaching, milling, turning or screwdriving), including dies for drawing or extruding metal, and rock drilling or earth boring tools; base metal parts thereof:
8207.50 Tools for drilling, other than for rock drilling, and parts thereof:
* * *
8207.90 Other interchangeable tools, and parts thereof:
Other:
Other:
8207.90.4500 Suitable for cutting metal, and parts thereof
* * *
The relevant Legal Notes are as follows:
Chapter 68, Note 1 (e), provides:
1. This chapter does not cover:
(e) Tools or parts of tools, of chapter 82.
* * *
Chapter 82, Note 1 (c) provides, in pertinent part:
[T]his chapter covers only articles with a blade, working edge, working surface or other working part of:…Precious or semiprecious stones (natural, synthetic or reconstructed) on a support of base metal...
* * *
The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System at the international level. While not legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of these headings. See T.D. 89-80. The relevant EN is as follows:
The EN to heading 6804, HTSUS, (EN 6804) provides, in pertinent part:
(3) The heading covers such tools [grinding wheels, heads, discs, points, etc.] not only when they are predominantly of abrasive materials, but also when they consist of only a very small abrasive head on a metal shank, or of a centre [sic.] or core of rigid material (metal…) on to which compact layers of agglomerated abrasive have been permanently bonded…
* * *
It should, however, be noted that certain abrasive tools are excluded and fall in Chapter 82.
(Emphasis in original).
* * *
At issue is whether the subject high-speed cutter is classifiable in chapter 82, as a tool, or chapter 68, as an article of stone, or the like. We will first consider classification under chapter 82. If the high-speed cutter is classifiable in chapter 82, it is prima facie excluded from chapter 68 by reason of note 1 (e) and EN 6804.
Chapter 82 “covers only articles with a blade, working edge, working surface or other working part of:…Precious or semiprecious stones (natural, synthetic or reconstructed) on a support of base metal.” See chapter 82, note 1(c). The high-speed cutter therefore qualifies eo nomine as a good of chapter 82 because its only working surface is the abrasive tip of agglomerated synthetic diamond on a support of base metal. It does not feature cutting teeth, flutes, grooves, or the like. Specifically, it is classifiable in heading 8207, HTSUS, because it is an “interchangeable tool for [a] handtool.” By application of chapter 68, note 1 (e), and EN 6804, we find that the subject high-speed cutter is excluded from chapter 68.
We next consider the two competing subheadings of 8207.90, HTSUS, which provides for “other interchangeable tools” and 8207.50, HTSUS, which provides for “tools for drilling.” Robert Bosch describes the subject product as a “diamond taper point or high-speed cutter as ideal for fine detail work.” As a “cutter…ideal for fine detail work,” the article is excluded from subheading 8207.50, HTSUS, which provides only for “tools for drilling.” Accordingly, the subject high-speed cutter is classifiable under subheading 8207.90, HTSUS, as an interchangeable tool.
HOLDING:
By application of GRI 1 and note 1(c) to chapter 82, the diamond taper point or high speed cutter is classified in heading 8207, HTSUS. Specifically, it is classifiable in subheading 8207.90.4500, HTSUSA, which covers: “[I]nterchangeable tools for handtools, whether or not power operated, or for machine-tools (for example, for…drilling, boring, broaching, milling, turning or screwdriving), including dies for drawing or extruding metal, and rock drilling or earth boring tools; base metal parts thereof: Other interchangeable tools, and parts thereof: Other: Suitable for cutting metal, and parts thereof.” The 2006 column one, general rate of duty is 4.8 percent ad valorem.
You are to mail this decision to the internal advice applicant no later than 60 days from the date of this letter. On that date the Office of International Trade will take steps to make the decision available to CBP personnel, and to the public on the CBP Home Page on the World Wide Web at www.cbp.gov, by means of the Freedom of Information Act, and other methods of public distribution.
Sincerely,
Myles B. Harmon, Director
Commercial and Trade Facilitation Division