[Federal Register Volume 83, Number 10 (Tuesday, January 16, 2018)]
[Notices]
[Pages 2168-2169]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-00577]
[[Page 2168]]
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DEPARTMENT OF HOMELAND SECURITY
U.S. Customs and Border Protection
[USCBP-2018-0001]
Notice of Domestic Interested Party Petitioner's Notice of Desire
To Contest the Tariff Classification Determination of Certain Steel
Tube Fittings
AGENCY: U.S. Customs and Border Protection, Department of Homeland
Security.
ACTION: Notice of petitioner's notice of desire to contest
classification determination.
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SUMMARY: This document provides notice that a domestic interested party
has filed a timely notice of its desire to contest a U.S. Customs and
Border Protection decision regarding the classification of certain
imported steel tube fittings.
DATES: January 16, 2018.
FOR FURTHER INFORMATION CONTACT: Dwayne S. Rawlings, Tariff
Classification and Marking Branch, Regulations and Rulings, Office of
Trade, U.S. Customs and Border Protection at (202) 325-0092.
SUPPLEMENTARY INFORMATION:
Background
This document concerns the tariff classification of certain steel
tube fittings by U.S. Customs and Border Protection (CBP) and the
desire of a domestic interested party to contest CBP's classification
decision.
Classification of Steel Tube Fittings
Merchandise imported into the customs territory of the United
States is classified under the Harmonized Tariff Schedule of the United
States (HTSUS). The tariff classification of merchandise under the
HTSUS is governed by the principles set forth in the General Rules of
Interpretation (GRIs) and, in the absence of special language or
context which otherwise requires, by the Additional U.S. Rules of
Interpretation. The GRIs and the Additional U.S. Rules of
Interpretation are part of the HTSUS and are to be considered statutory
provisions of law for all purposes. See Section 1204 of the Omnibus
Trade and Competitiveness Act of 1988, Public Law 100-418 (August 23,
1988); 19 U.S.C. 3004(c).
GRI 1 requires that classification be determined first according to
the terms of the headings of the tariff schedule and any relative
section or chapter notes and, provided such headings or notes do not
otherwise require, then according to the other GRIs. See GRI 1, HTSUS
(2017).
GRI 6 prescribes that, for legal purposes, the classification of
goods in the subheadings of a heading shall be determined according to
the terms of those subheadings and any related subheading notes and,
mutatis mutandis, according to GRIs 1 to 5, on the understanding that
only subheadings at the same level are comparable. See GRI 6, HTSUS
(2017).
The Explanatory Notes to the Harmonized Commodity Description and
Coding System (``Harmonized System'') represent the official
interpretation of the World Customs Organization (established in 1952
as the ``Customs Cooperation Council'') on the scope of each heading.
See H.R. Conf. Rep. No. 100-576, 100th Cong., 2d Sess. 549 (1988),
reprinted in 1988 U.S.C.C.A.N. 1547, 1582; Treasury Decision (T.D.) 89-
80, 54 FR 35127, 35128 (August 23, 1989). Although not binding on the
contracting parties to the Harmonized System Convention or considered
to be dispositive in the interpretation of the Harmonized System, it is
CBP's position that the Explanatory Notes should be consulted on the
proper scope of the Harmonized System. T.D. 89-80, 54 FR at 35128.
In New York ruling letter (NY) E83408, dated July 8, 1999, a steel
tube fitting from Taiwan is described as ``. . . a cold forged nonalloy
steel male threaded connector body having a center hex nut, one flare
tube end and one male pipe end. These tube fittings connect a piece of
rigid tubing to a valve, manifold or another piece of rigid tubing in a
hydraulic system.'' The U.S. Customs Service (U.S. Customs and Border
Protection's predecessor agency) classified the steel tube fitting in
subheading 7307.99.50, HTSUS (1999), which provides for ``Tube or pipe
fittings (for example couplings, elbows, sleeves), of iron or steel:
Other: Other: Other.'' In 1999, the column one, general rate of duty
for subheading 7307.99.50, HTSUS, was 4.3 percent ad valorem.
Filing of Domestic Interested Party Petition
On October 29, 2014, counsel filed a petition on behalf of Brennan
Industries, Inc. (``Petitioner''), under section 516, Tariff Act of
1930, as amended (19 U.S.C. 1516), requesting that CBP reclassify the
articles under consideration (and as described in NY E83408) in
subheading 8412.90.90, HTSUS (2014), which provides for ``Other engines
and motors, and parts thereof: Parts: Other.'' The column one, general
rate of duty for subheading 8412.90.90, HTSUS, in 1999, 2014 and today
is free.
On February 9, 2016, CBP published a Notice of Receipt of a
Domestic Interested Party Petition in the Federal Register (81 FR
6880). The notice invited written comments on the petition from
interested parties. The comment period closed on April 11, 2016. One
comment was timely received in response to this notice, which was
submitted by the Petitioner. The comment reiterated the Petitioner's
position that the merchandise is classified in subheading 8412.90.90,
HTSUS, as other parts of other engines and motors.
Decision on Petition and Notice of Petitioner's Desire To Contest
In HQ ruling letter H259349, dated October 5, 2016 (a copy of this
ruling can be found online at https://www.regulations.gov under Docket
No. USCBP-2016-0007), CBP denied the domestic party petition and
affirmed the classification determination set forth in the previously
issued ruling letter (i.e., NY E83408). Consistent with the
determination in NY E83408, CBP determined in H259349 that the articles
at issue are parts of general use of heading 7307, HTSUS, as defined by
Note 2 to Section XV. Accordingly, these parts are excluded from
Section XVI of the HTSUS because, by operation of Note 1(g) to Section
XVI, a good cannot be a part of general use of Section XV and also be
prima facie classifiable as a part in Section XVI.
In HQ H259349, CBP also notified the Petitioner of its right to
contest the decision by filing a notice with CBP indicating its desire
to contest the decision, and that the notice must be filed not later
than thirty days from the date of issuance of the ruling letter,
pursuant to 19 U.S.C. 1516(c) and Sec. 175.23, CBP Regulations (19 CFR
175.23).
By letter dated November 2, 2016, the Petitioner filed a timely
notice under 19 U.S.C. 1516(c) and 19 CFR 175.23 of its desire to
contest CBP's decision in HQ H259349 regarding the classification of
the steel tube fittings under consideration. The Petitioner has
designated, under 19 U.S.C. 1516(c) and 19 CFR 175.23, eight (8) ports
of entry where Petitioner believes that merchandise of the kind covered
by the petition is being imported into the United States, and at which
the Petitioner desires to protest. The ports of entry are as follows:
Seattle, WA
Tacoma, WA
Long Beach, CA
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Los Angeles, CA
New York, NY
Savannah, GA
Houston, TX
Charleston, SC
Upon application by the Petitioner to any of the Port Directors of
the ports listed above, the Port Director(s) shall make available to
the Petitioner information on merchandise of the kind covered by the
petition (as described in NY E83408) entered after the date of
publication of this notice in order that the petitioner may determine
whether the entry presented raises the issue involved in the petition.
See 19 U.S.C. 1516(c); 19 CFR 175.25. By this notice, Port Directors at
these ports are directed to notify the Petitioner by mail when the
first of such entries is liquidated. See 19 U.S.C. 1516(c) and 19 CFR
175.25(b).
Authority
This notice is published in accordance with 19 U.S.C. 1516(c) and
Sec. Sec. 175.23 and 175.24 of the CBP Regulations (19 CFR 175.23-24).
Dated: January 10, 2018.
Kevin K. McAleenan,
Acting Commissioner, U.S. Customs and Border Protection.
[FR Doc. 2018-00577 Filed 1-12-18; 8:45 am]
BILLING CODE 9111-14-P