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HQ 966364




July 15, 2003

CLA-2 RR:CR:GC 966364 DSS

CATEGORY: CLASSIFICATION

TARIFF NO.: 8480.41.00

Port Director
U.S. Customs and Border Protection

610 S. Canal Street

Chicago, IL 60607

RE: Internal Advice; Die Casting Dies; GRI 2(a)

Dear Port Director:

This is in reply to a memorandum dated March 25, 2003, from the National Commodity Specialist Division, regarding the classification of die casting dies. We are treating this as a request for internal advice.

FACTS:

The articles at issue are die casting dies that use sand core inserts to mold cylinder heads of aluminum. They are known as cylinder head main casting dies. The dies are used in casting machines. A die cast die is a mold which has molten material injected into it by a die cast machine at a high velocity and pressure in order to produce an article in a defined shape and dimension. The molten material solidifies and the casted article is ejected from the die. Each die cast die is composed of a number of moveable and replaceable parts. These parts are unique to that specific die and are not interchangeable. Die inserts, such as sand core mold inserts, are used in complex areas of the die where breaks and steel erosion are prevalent due to the casting process.

The three sand core inserts at issue – the water jacket sand mold insert, the intake port sand mold insert and the exhaust port sand mold insert - are placed in the mold cavity which is then closed and then molten aluminum is injected. When the aluminum cools and the cavity is opened, a complete cylinder head emerges with the sand cores still inside. The sand core inserts are then mechanically extracted from the aluminum and discarded. Sand core inserts are generally used in low pressure die casting or permanent mold casting. Thus, sand core inserts are necessary for the dies to mold cylinder heads. However, the issue revolves around whether the dies, in their condition as imported, possess the essential characteristics of complete or finished dies (i.e., molds).

ISSUE:

Whether the die casting dies are classifiable as parts of a casting machine in subheading 8454.90.00, HTSUS, or as an incomplete or unassembled die casting die, classifiable in subheading 8480.41.00, HTSUS, according to GRI 2(a).

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 may then be applied.

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, the ENs provide a commentary on the scope of each heading of the HTSUS and are thus useful in ascertaining the classification of merchandise under the System. The Bureau of Customs and Border Protection (Customs) believes the ENs should always be consulted. See T.D. 89-90, 54 Fed. Reg. 35127, 35128 (August 23, 1989).

The HTSUS provisions under consideration are as follows:

Converters, ladles, ingot molds and casting machines, of a kind used in metallurgy or in metal foundries, and parts thereof: Parts

Molding boxes for metal foundry; mold bases; molding patterns; molds for metal (other than ingot molds), metal carbides, glass, mineral materials, rubber or plastics: Molds for metal or metal carbides:
8480.41.00 Injection or compression types

By its terms GRI 2(a), HTSUS, extends the scope of a 4-digit heading to include an article, whether assembled or unassembled, that is imported incomplete or unfinished. The EN to GRI 2(a) provides:

The first part of Rule 2(a) extends the scope of any heading which refers to a particular article to cover not only the complete article but also that article incomplete or unfinished, provided that, as presented, it has the essential character of the complete or finished article.

The ENs to GRI 2(a) direct us to the General ENs to Section XVI, HTSUS, which provide, in pertinent part, as follows:

(IV) INCOMPLETE MACHINES
(See General Interpretative Rule 2 (a))

Throughout the Section any reference to a machine or apparatus covers not only the complete machine, but also an incomplete machine (i.e., an assembly of parts so far advanced that it already has the main essential features of the complete machine). Thus a machine lacking only a flywheel, a bed plate, calendar rolls, tool holders, etc., is classified in the same heading as the machine, and not in any separate heading providing for parts. Similarly a machine or apparatus normally incorporating an electric motor (e.g., electro-mechanical hand tools of heading 84.67) is classified in the same heading as the corresponding complete machine even if presented without that motor.

Under GRI 2(a), the factor or factors that determine essential character will vary with the goods. It may, for example, be determined by the nature of the component or components, their bulk, quantity, weight, or value, or the role of a component or components in relation to the use of the good.

Based on the information in the file and discussions with individuals in the industry, we conclude that the cylinder head main die has the essential character of a mold of heading 8480, HTSUS, even when imported without the sand core inserts. Dies that utilize sand cores are commonly and commercially referred to and considered to be dies even without the sand cores. Sand core inserts are fragile and may easily be broken during shipment, and as a result, are rarely imported with the dies. Additionally, the sand core inserts are inexpensive and are only used once, while the dies themselves are used many times. Indeed, new sand core inserts must be used to mold other cylinder heads. In the completed mold, the dies clearly predominate by bulk and weight as well as value. In fact, the material in the file indicates that the value of the sand core inserts is less than one percent of the value of the completed mold.

Under the particular facts present in this instance, we conclude that an importation consisting of die casting dies imported without sand core inserts, represents the aggregate of distinctive parts that establish the identity of the good as molds of heading 8480, HTSUS. The die casting dies are classified in subheading 8480.41.00, HTSUS.

HOLDING:

The die casting dies imported without sand core inserts are classifiable in subheading 8480.41.00, HTSUS, which provides, in pertinent part, for, “Molds for metal or metal carbides: Injection or compression types.”

This decision should be mailed by your office to the importer no later than 60 days from the date of this letter. On that date, the Office of Regulations and Rulings will make the decision available to Customs personnel, and to the public on the Customs and Border Protection 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,

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