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HQ 085629


January 29, 1990

CLA-1 CO:R:C:G 085629 KWM

CATEGORY: CLASSIFICATION

TARIFF NO.: 4011.91.1000

Mr. Donald Russell
American Jawa Ltd.
185 Express Street
Plainview, New York 11803

RE: Reconsideration of NYRL 841567, dated June 20, 1989; Pneumatic Tires from Czechoslovakia

Dear Mr. Russell:

This letter is in response to your inquiry dated September 13, 1989, requesting reconsideration of a binding tariff classification of pneumatic rubber tires. No sample was submitted with your request, although we have received information regarding designations assigned by the domestic tire industry for tire size and use.

FACTS:

On June 20, 1989, our New York office issued New York Ruling Letter (hereinafter "NYRL") 841567, which classified new pneumatic rubber tires, having a "herringbone" or similar tread, in subheading 4011.91.5000, of the Harmonized Tariff Schedule of the United States Annotated (hereinafter "HTSUSA"). The duty rate assessed on the goods in that ruling was 10% ad valorem.

Your letter of September 13, 1989, suggests that the tires at issue in NYRL 841567 are designed for "tractors [suitable for agricultural use] provided for in subheading 8701.90.1000, HTSUSA, or for agricultural or horticultural machinery or implements provided for in Chapter 84". As such, the tires would be classifiable in subheading 4011.91.1000, HTSUSA, and could be entered into the United States duty-free. Included with your letter were several exhibits which purport to illustrate that tires of this type, bearing the technical designations "F-3 (front tractor use)" and "R-4 (rear tractor use)", are considered 'agricultural tires' by the domestic tire industry.

In addition to the information submitted with your request, our New York office has met with representatives from your company and the domestic distributor of the tires. The discussion during that meeting appears to substantiate the claims made by you in your correspondence.

ISSUE:

How should these goods be classified in the Harmonized Tariff Schedule of the United States Annotated?

LAW AND ANALYSIS:

Classification under the HTSUSA is made in accordance with the General Rules of Interpretation (hereinafter "GRI(s)") 1 through 5. The systematic detail of the harmonized system is such that virtually all goods are classified by application of GRI 1, that is, according to the terms of the headings of the tariff schedule and any relevant Section or Chapter Notes. Then, if GRI 1 fails to classify the goods, and if the headings and legal notes do not otherwise require, the remaining GRIs may be applied, taken in order.

The issue in this case centers around your claim that the tires in question are "designed for tractors provided for in subheading 8701.90.1000 or for agricultural or horticultural machinery or implements provided for in Chapter 84". We are of the opinion that these tires are so designed, and hereby revoke NYRL 841567, for the reasons discussed below.

Heading 8701, HTSUSA, classifies "Tractors", and includes farm or agricultural tractors as well as other types of vehicles. Chapter 84, and in particular heading 8432, classifies machinery used for agricultural or horticultural purposes, ordinarily used conjunction with a tractor of heading 8701, HTSUSA. For classification in subheading 4011.91, HTSUSA, tires must be shown to have been "designed for" use with either the above mentioned tractors or machinery pieces. In this case, the certification provided by the manufacturer of the tires and the U.S. distributor are strong evidence to that effect. In addition, the fact that the Czechoslovakian manufacturer produces nothing but tractor tires further indicates, in our opinion, that the tires were "designed for" tractors or agricultural equipment.

Finally, we note that heading 4011, HTSUSA, is a "use" provision in that it classifies products which are "used" for a specified purpose. In this case, the tires must fall within a class of goods used on the machinery specified by the subheading terms. When classifying goods under a "use" provision, this office is concerned not with the intended use of the product, but by its principal, actual use of the class or kind of articles to which the product belongs, in the condition in which it was imported. The information submitted by you, principally that regarding the industry technical designations, indicates that the principal use of these tires will be in the manner contemplated by the Nomenclature for subheading 4011.91.

Heading 4011, HTSUSA, provides for tires having a herringbone or similar tread, used on tractors or agricultural machinery. The Explanatory Notes, which constitute the official interpretation of the Nomenclature at the international level, contain several examples of the herringbone or similar tread contemplated by heading 4011. Each of the exemplars has raised ridges, placed diagonally across the face of the tire in a "herringbone" pattern. The tread designs indicated on your submission for the "R-4" tread pattern match to a significant degree the examples set out in the Explanatory Notes. The tread patterns designated as "F-3" do not. However, it is our understanding that the tread pattern designated as "F-3" is considered to be a herringbone or similar tread pattern, despite the dissimilarity with the Explanatory Notes exemplars. We, therefore, consider both styles of tire, designated "R-4" and "F- 3", to have the tread pattern indicated in subheading 4011.91, HTSUSA.

HOLDING:

The tires at issue in this case are classified under subheading 4011.91.1000, HTSUSA, as new pneumatic tires, of rubber, having a "herringbone" or similar tread, designed for tractors provided for in subheading 8701.90.1000, or for agricultural or horticultural machinery or implements provided for in chapter 84. Tires of that subheading are entered into the United States duty-free under column 2 rates of duty.

NYRL 841567 is hereby revoked under the authority of 19 CFR 177.9(d)(1) (1989). It is not to be applied retroactively (19 CFR 177.9(d)(2) (1989)), and will not, therefore, affect past transactions in the subject merchandise. However, for the purposes of future transactions in merchandise of this type, NYRL 841567 will not be valid precedent.

Sincerely,

John A. Durant
Director
Commercial Rulings Division

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