HQ 966109 - Protests 4101-02-100335, semiautomatic precision layer respooling machine; 4101-02-100336, vertical left and right machines; 4101-02-100337, pail packer machine; 4101-02-100355, semiautomatic precision layer respooling machine; 4101-02-100356, coating tanks for welded wires - United States International Trade Commision Rulings

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HQ 966109

November 24, 2003

CLA-2 RR:CR:GC 966109 AML

CATEGORY: CLASSIFICATION

TARIFF Nos.: 8422.30.90; 8422.90.90; 8479.81.00; 8479.89.97; 8483.50.90

Port Director
U.S. Customs and Border Protection
56 Erieview Plaza
Cleveland, OH 44114

RE: Protests 4101-02-100335, semiautomatic precision layer respooling machine; 4101-02-100336, vertical left and right machines; 4101-02-100337, pail packer machine; 4101-02-100355, semiautomatic precision layer respooling machine; 4101-02-100356, coating tanks for welded wires

Dear Port Director:

The following is our decision regarding protests 4101-02-100335, 4101-02-100336, 4101-02-100337, 4101-02-100355 and 4101-02-100356, all of which are dated June 20, 2002, filed by counsel on behalf of ITW Hobart Brothers Company, against your classification of “semiautomatic precision layer respooling,” “vertical left and right” and “pail packer” machines, as well as coating tanks and parts therefor, respectively, under the Harmonized Tariff Schedule of the United States (“HTSUS”). Copies of electronic images and technical literature were provided for our consideration.

FACTS:

Counsel for the protestant describes the component machines at issue in terms of their respective functions and roles in the production process. We paraphrase those descriptions as follows:

The subject merchandise forms part of new manufacturing lines for the production of copper coated welding wire. The protestant purchases wire rod which has been chemically descaled. Prior to drawing, the rod is coated with a
sodium-based powder that serves as a lubricant during drawing. Following the drawing process, the wire passes though a series of brushing units and through a first rinse. From there, the wire passes through a degreasing tank, which utilizes an alkaline bath to remove the lubricating agents to ensure that the wire has a pH level of neutral. The wire is then passed through a tank that coats the wire with copper. The coated wire is then subjected to a final rinse. The coated wire is then coiled into 2000-pound reels at the end of the production line.

The reels are then moved to either the precision wire respooling machine that rewinds the copper-coated welding wire onto spools that are then packaged for shipment to customers. Those spools typically weigh 30, 45 or 60 pounds. Or, in order to package larger quantities of the finished product, the protestant uses a separate device called a “pail packer.” The pail packer is a “stand alone” machine designed and used to wind coils of the finished product into the cardboard drums as described in the paragraph immediately above. In that case, the 2000-pound reels are moved to the pail packer which automatically coils the product inside cardboard drums. The drums typically hold 600 or 1000 pounds of finished product.

In sum, the system of machines, which is imported in 13 separate shipments, physically and chemically draws, cleans, rinses and coats imported wire to create the copper coated welding wire.

The articles were entered separately on July 31, 2001 (entry number xxx-xxxx230-0, subject of protest 4101-02-100335), April 9, 2001 (entry number xxx-xxxx722-7, subject of protest 4101-02-100336), March 30, 2001 (entry number xxx-xxxx672-4, subject of protest 4101-02-100337), January 22, 2002 (entry number xxx-xxxx712-9, subject of protest 4101-02-100355) and January 8, 2002 (entry number xxx-xxxx532-2, subject of protest 4101-02-100356) and all of the entries were liquidated (although entered by a customs broker for the protestant under heading 8479, HTSUS, Customs and Border Protection (“CBP”), following issuance of and replies to Customs Form (“CF”) 28s, rate advanced the articles under heading 8463, HTSUS) on March 22, 2002, with classification of the various articles as follows:

The “semi-automatic precision layer respooling” machines, subject of protests 4101-02-100335 and -100355, were classified under subheading 8463.30.00, HTSUS, which provides for, among other things, machines for working wire. The parts therefor were classified under subheading 8466.94.85, HTSUS, which provides for parts of machines classified under heading 8463. These protests were filed on June 20, 2002.

In regard to the classification of these articles, counsel for protestant states that proper classification of the subject merchandise requires consideration of the function or purpose of the merchandise in question. The function of the respooling machines is
to wind the finished welding wire onto spools, not “working” the wire into some other commodity. Because the purpose of the respooling machines is to coil or spool the finished product, counsel avers that the articles are classifiable under heading 8479, HTSUS, rather than heading 8463, HTSUS, as liquidated.

The “vertical left and right” machines, subject of protest 4101-02-100336, were classified under subheading 8463.30.00, HTSUS, which provides for, among other things, machines for working wire. This protest was filed on June 20, 2002.

Information gleaned from the response to the CF 28 concerning these articles and the attachments to the CF 19s concerning the other protests indicates that the “vertical left and right” machines are designed to draw and clean the wire as part of the overall manufacturing process. The “left” and “right” designations indicate from which side of the operator the wire is pulled. Following importation, the articles are configured such that an operator can stand between and monitor their function in a “mirror” image.

The “pail packers and parts,” subject of protest 4101-02-100337, were classified under subheading 8463.30.00, HTSUS, which provides for, among other things, machines for working wire. The parts therefor were classified under subheading 8466.94.85, HTSUS, which provides for parts of machines classified under heading 8463. This protest was filed on June 20, 2002.

Counsel for the protestant states that the pail packers and the parts therefor are ancillary packing equipment that is employed at the end of the manufacturing process (described above). The finished product, which has been stored on reels weighing approximately 2000 pounds, is “dereeled” into cardboard drums in either 600 or 1000 pound quantities.

The “cleaning tanks,” “electrolytic degreasing and rinsing tanks,” “copper coating tanks for welded wires,” and control equipment, subject of protests 4101-02-100336 and 4101-02-100356, were classified under subheading 8463.30.00, HTSUS, which provides for, among other things, machines for working wire. These protests were filed on June 20, 2002.

Counsel for the protestant states that the machines are used to remove the lubricating powder, degrease and clean the drawn wire, and apply the copper coating to finish the welding wire. Counsel states that the first tank utilizes brushes and immersion in an alkaline bath to cleanse the wire. The wire is then passed through a second immersion to ensure the proper pH level. Each tank is followed by a rinsing unit to wash away any remaining material. The wire is then passed through a third tank that coats the wire with copper. Finally, the wire is subjected to a final rinse, after which the wire is coiled onto the 2000-pound rolls.

ISSUE:

Whether the semi-automatic precision layer respooling machine, vertical left and right machine, pail packer and parts therefor, and the coating tanks for welded wire are classifiable as machines for working wire under heading 8463, HTSUS, or as other machines and mechanical appliances having individual functions, not specified or included elsewhere (in Chapter 84), under heading 8479, HTSUS; and, depending on the classification of the pail packer, what is the proper classification for its parts?

LAW and ANALYSIS:

Initially we note that the protests were timely filed (i.e., within 90 days after but not before the notice of liquidation; see 19 U.S.C. 1514 (c)(3)(A)) and the matters protested are protestable (see 19 U.S.C. 1514 (a)(2) and (5)).

We are cognizant that Customs and Border Protection (“CBP”) has proposed regulations that would allow separate importations to be treated as a single importation for classification purposes under certain circumstances (see the Federal Register of April 8, 2002, 67 Fed. Reg. 16664). However, such regulations were proposed approximately one year after the importations at issue were made; the proposed regulations are not yet final. Further, counsel for the protestant has not requested such treatment as required by the proposed regulations. Thus, there is no legal basis for combining the thirteen shipments for classification purposes, and the shipments must be considered separately and the subject articles classified according to their condition as imported.

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 GRIs and the Additional U.S. Rules of Interpretation are part of the HTSUS and are to be considered statutory provisions of law.

The 2001 HTSUS (see 19 USC § 1202) provisions under consideration are as follows:

8422 Dishwashing machines; machinery for cleaning or drying bottles or other containers; machinery for filling, closing, sealing or labeling bottles, cans, boxes, bags or other containers; machinery for capsuling bottles, jars, tubes and similar containers; other packing or wrapping machinery (including heat-shrink wrapping machinery); machinery for aerating beverages; parts thereof: 8422.30 Machinery for filling, closing, sealing or labeling bottles, cans, boxes, bags or other containers; machinery for capsuling bottles, jars, tubes and similar containers;
machinery for aerating beverages:
8422.30.90 Other:
8422.90 Parts:
8422.90.90 Other.
8463 Other machine tools for working metal or cermets, without removing material: 8463.30.00 Machines for working wire.
8466 Parts and accessories suitable for use solely or principally with the machines of headings 8456 to 8465, including work or tool holders, self-opening dieheads, dividing heads and other special attachments for machine tools; tool holders for any type of tool for working in the hand: 8466.94 For machines of heading 8462 or 8463: Cast-iron parts not advanced beyond cleaning, and machined only for the removal of fins, gates, sprues and risers or to permit location in finishing machinery:
8466.94.85 Other.
8479 Machines and mechanical appliances having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other machines and mechanical appliances: 8479.81.00 For treating metal, including electric wire coil-winders: 8479.89 Other:
Other:
8479.89.97 Other.
8483 Transmission shafts (including camshafts and crankshafts) and cranks; bearing housings, housed bearings and plain shaft bearings; gears and gearing; ball or roller screws; gear boxes and other speed changers, including torque converters; flywheels and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints); parts thereof: 8483.50 Flywheels and pulleys, including pulley blocks: Other:
8483.50.90 Other.

Heading 8479, HTSUS, is a so-called "basket" provision within Chapter 84. Such headings are those in which classification "is appropriate only when there is no tariff category that covers the merchandise more specifically." (Apex Universal, Inc., v. United States, CIT Slip Op. 98-69 (May 21, 1988)). Therefore, we are first addressing the competing provisions within Chapter 84, as well as heading 8463, HTSUS, under which the various articles were classified upon liquidation. Only if the various the various machines are not classified in previous headings within Chapter 84 will they fall to be classified under heading 8479, HTSUS.

The Harmonized Commodity Description and Coding System Explanatory Notes (“ENs”) constitute the official interpretation of the Harmonized System. While not legally binding on the contracting parties, and therefore not dispositive, the ENs provide a commentary on the scope of each heading of the Harmonized System and
are thus useful in ascertaining the classification of merchandise. Customs believes the ENs should always be consulted. See T.D. 8980. 54 Fed. Reg. 35127, 35128 (Aug. 23, 1989).

All of the articles are prima facie classifiable in Chapter 84, which provides for, inter alia, machinery and mechanical equipment and parts thereof. Section XVI (in which Chapter 84 is found), note 2, HTSUS, states that:

[s]ubject to note 1 to this section, note 1 to chapter 84 and to note 1 to chapter 85, parts of machines (not being parts of the articles of heading 8484, 8544, 8545, 8546 or 8547) are to be classified according to the following rules:

(a) Parts which are goods included in any of the headings of chapters 84 and 85 (other than headings 8485 and 8548) are in all cases to be classified in their respective headings;

(b) Other parts, if suitable for use solely or principally with a particular kind of machine, or with a number of machines of the same heading (including a machine of heading 8479 or 8543) are to be classified with the machines of that kind. However, parts which are equally suitable for use principally with the goods of headings 8517 and 8525 to 8528 are to be classified in heading 8517;

(c) All other parts are to be classified in heading 8485 or 8548.

Subject to certain exceptions not relevant here, goods that are identifiable parts of machines or apparatus of Chapter 84 are classifiable in accordance with Section XVI, Note 2, HTSUS. Nidec Corporation v. United States, 861 F. Supp. 136, aff'd, 68 F. 3d 1333 (1995). Parts, which are goods included in any of the headings of Chapter 84, are in all cases to be classified in their respective headings. See Note 2(a). Other parts, if suitable for use solely or principally with a particular machine, or with a number of machines of the same heading, are to be classified with the machines of that kind. See Note 2(b), above. “Where a particular part of an article is provided for specifically, a part of that particular part is more specifically provided for as part of the part than as part of the whole.” Sturm, Ruth; Customs Law & Administration, 3rd Edition, section 54.9, p. 57 (citing C.F. Liebert v. United States, 60 Cust. Ct. 677, C.D. 3499, 287 F. Supp. 1008 (1968); Foster Wheeler Corp. v. United States, 61 Cust. Ct. 166, C.D. 3556, 290 F. Supp. 375 (1968); and Korody-Colyer Corp. v. United States, 66 Cust. Ct.

337, C.D. 4212 (1971)).

Legal Note 4 to section XVI provides that:

Where a machine (including a combination of machines) consists of individual components (whether separate or interconnected by piping, by transmission devices, by electric cables or by other devices) intended to contribute together to a clearly defined function covered by one of the headings in chapter 84 or chapter 85, then the whole falls to be classified in the heading appropriate to that function.

The General ENs to Chapter 84 provide, in pertinent part, that: (3) Headings 84.25 to 84.78 cover machines and apparatus which, with certain exceptions, are classified there by reference to the field of industry in which they are used, regardless of their particular function in that field.

(4) Heading 84.79 covers machines and mechanical appliances not covered by any preceding heading of the Chapter. The General ENs to Chapter 84 continue, under subheading (D) “GOODS COVERED BY TWO OR MORE HEADINGS IN THE CHAPTER” and provide, in pertinent part, that:

Machines which fall in two or more headings, none of which is within headings 84.01 to 84.24, are classified in that heading which provides the most specific description of the goods, or according to the principal use of the machine. Multi-purpose machines which are used equally for a number of different purposes or industries (e.g., eyeletting machines used equally well in the paper, textile, leather, plastics, etc., industries) are classified in heading 84.79.

In Headquarters Ruling Letter (“HQ”) 087746, dated August 21, 1990, we noted that: The . . . machines in question, in order to be classified in either heading 8463, HTSUSA, or heading 8465, HTSUSA, must first be "machine tools". The language of the HTSUSA does not provide a definition of the term "machine tool", as did the previous tariff, the Tariff Schedules of the United States ("TSUS"). The Explanatory Notes provide a more expansive definition for "machine tool" than was found in the TSUS. These notes state
that a machine tool is a power-driven machine, but similar machines worked by hand or pedal are also considered machine tools. See Explanatory Note 84.59, Harmonized Commodity Description and Coding System ("HCDCS") Vol., 3, p. 1272, Explanatory Note 84.60, HCDCS, Vol. 3, p. 1275; Explanatory Note 84.61, HCDCS, Vol. 3, p. 1276; Explanatory Note 84.62, HCDCS, Vol. 3, p. 1279; Explanatory Note 84.63, HCDCS, Vol. 3, p. 1281; Explanatory Note 84.64, HCDCS, Vol. 3, p. 1282; Explanatory Note 84.65, Vol. 3, p. 1284.

Similarly, in HQ 955395, dated February 14, 1994, we noted that:

The term "machine tool" is not defined either in the text of the HTSUS or in the ENs. The term was, however, defined under the TSUS, in part, to include "...any machine used for shaping or surface-working metals...whether by cutting away or otherwise removing the material or by changing its shape or form without removing any of it..." Schedule 6, Part 4, Subpart F, Headnote 1(a), TSUS. Prior judicial decisions involving nomenclature under the TSUS are not to be considered dispositive in interpreting equivalent provisions under the HTSUS. However, on a case-by-case basis, such decisions should be considered instructive, particularly where the nomenclature remains unchanged and no contrary legislative intent is evidenced. In Pitney-Bowes, Inc. v. United States, C.D. 3116 (1967), the court examined headnote 1(a) in the context of certain embossing machines which changed the surface of metal plates by displacement without removing any metal. The court observed that from the sources used by the Tariff Commission in drafting headnote 1(a) it was clear there was no intention to take in all machines which in any way change the shape or form of metal regardless of their capability of shaping or surface-working, as those terms are understood in the field, or of producing other machines or of their being industrial equipment regarded by those in the field as machine tools. . . In a case holding that machines for compressing metal scrap were not machine tools under the Tariff Act of 1930, the court cited with approval a line of cases in which certain devices held to be machine tools all performed "a task of fabrication or manufacture or production" of an article. Kurt Orban Co., Inc. v. United States, C.D. 2041, aff'd. C.A.D. 724 (1959). . . From the cited court cases, it appears that machines that do not work metal by a process of fabrication, manufacture or improvement toward an intended end use would not have been regarded as "machine tools" under the TSUS. This conclusion, buttressed by the cited trade sources, makes it reasonable to conclude that such machines are not to be regarded as true machine tools under the HTSUS. The ENs to heading 8463, HTSUS, provide, in pertinent part, that:

This heading includes:
(3) Machines for working wire e.g., for manufacturing wire goods such as springs, barbed wire, chains, pins, wire nails or staples, and hooks. The heading also covers machines which, being of a kind specially designed for making wire grill or netting, differ from the ordinary textile weaving loom both as regards their method of operation and their constituent parts. Assembly looms using precrimped wire are excluded (heading 84.79, etc.)[bold emphasis in original].

Consideration of the types of processes described by the EN to heading 8463, in light of the discussion of the term “machine tools” in the above-cited rulings, particularly as the heading applies to machines for working wire, leads us to conclude that the machines contemplated therein are used to work or manufacture wire into distinct goods. That is, the exemplars demonstrate that the machines therein contemplated transform wire from its basic form into distinct articles such that the wire is no longer considered to be wire but rather is a separate article derived from wire. The articles at issue subject wire to various processes but ultimately the material so treated and manipulated remains readily recognizable as wire. Given that the articles at issue clean and modify the material that at the end of the various processes remains identifiable as wire, we find that the machines at issue cannot be construed to be “machine tools” and thus do not fall to be classified under heading 8463, HTSUS.

The ENs to heading 8422, HTSUS, provide, in pertinent part, that:

The heading . . . covers machines of different types designed . . . generally, for packing (including heat-shrink wrapping) goods for sale, transport or storage. These include: (2) Machines for filling containers (e.g., casks, barrels, cans, bottles, jars, tubes, ampoules, boxes, packets or bags), frequently equipped with subsidiary automatic volume or weight control and with devices for closing the containers. Machines which in addition to packing, wrapping, etc., also perform other operations remain classified in the heading provided the additional operations are incidental to the packing, etc. Thus machines which pack or wrap goods into the forms or presentations in which they are normally distributed and sold in commerce, are classified in this heading, whether or not the machines also contain devices for weighing or measuring.

The pail packer, described by counsel for the protestant as a machine that coils the finished copper wire in cardboard drums for shipment to customers, fails within the ambit of heading 8422, HTSUS. The pail packer apparently measures by weight the
amount of finished wire and packs it for transport and use into the appropriately sized (600 or 1000 pound) containers for delivery to customers. All of its functions are described in the above-quoted language of the relevant ENs. Thus, the pail packers are classified under this heading.

Classification of the various spare parts for the pail packer, viz. the snub pulleys, wire guide roller tracks, vulcanized pressure rollers, is of course influenced by and must be accomplished in consideration of their individual functions and conformity with the classification of the pail packer itself.

Heading 8483, HTSUS, set forth above, provides for, among other things, flywheels and pulleys, including pulley blocks. In accordance with Note 2(a) to Section XVI, above, the snub pulleys are “goods included in . . . the headings of chapter[] 84” and therefore they should “be classified in their respective heading[].” Given the nature and function of the snub pulleys, they are classified under subheading 8483.50.90, HTSUS.

Similarly, the classification of the wireguide roller tracks is guided by Note 2 to Section XVI. The wireguide roller tracks, as the name implies, guide the wire during the packing process. As there is no specific heading for such articles and because the information provided establishes that the wireguides are parts of the pail packers, in accordance with Note 2(b) to Section XVI, the wireguide roller tracks are classified under subheading 8422.90.90, HTSUS, as parts of the packing machines.

In regard to the vulcanized pressure rollers and sheathings, we note that note 1(a) to Section XVI excludes “articles of a kind used in machinery or mechanical or electrical appliances or for other technical uses, of vulcanized rubber other than hard rubber (heading 4016).” No information regarding the composition of such articles has been provided. Similarly, no information concerning the “control cabinet upgrade for PC data acquisition system” or the “control cabinet upgrade to include control system for the copper coating process,” included in the entries subject to protest 4101-02-100336, was provided nor was classification of those articles made in counsel’s supporting memorandum. Protests against decisions of the appropriate Customs officers must be in conformity with applicable statutory and regulatory requirements. Under 19 U.S.C. §1514(c)(1), a protest of a decision under subsection (a) of section 1514 must set forth distinctly and specifically each decision as to which protest is made. United States v. E.H. Bailey & Co., 32 CCPA 89, C.A.D. 291 (1945); United States v. Parksmith Corp., 514 F. 2d 1052, 62 CCPA 76 (1975) and related cases. Additionally, the Customs Regulations require that a protest set forth the nature of, and justification for the objection set forth distinctly and specifically with respect to each decision. 19 CFR 174.13(a)(6).

The scope of review in a protest filed under 19 U.S.C. §1514 is limited to the
administrative record. Customs will consider all relevant allegations that are supported by competent evidence. In acting on a protest, however, Customs lacks the legal authority to assume facts and arguments that are not presented and, therefore, not in the official record.

In this case, protest is properly made against your decision to classify the parts composed of “vulcanized rubber” as described immediately above. Likewise, protest is properly made against your decision to classify the “control cabinet upgrade for PC data acquisition system” and the “control cabinet upgrade to include control system for the copper coating process.” However, no information has been presented to contradict Customs’ original determinations or to corroborate protestant’s claims. Therefore, the protests must be denied regarding the classification of these articles.

As noted above, the ENs provide a commentary on the scope of each heading of the Harmonized System and are thus useful in ascertaining the classification of merchandise.

The ENs to heading 8479 provide, in pertinent part, that:

This heading is restricted to machinery having individual functions, which:

(a) Is not excluded from this Chapter by the operation of any Section or Chapter Note.
and (b) Is not covered more specifically by a heading in any other Chapter of the Nomenclature.
and (c) Cannot be classified in any other particular heading of this Chapter since:

(i) No other heading covers it by reference to its method of functioning, description or type.
and (ii) No other heading covers it by reference to its use or to the industry in which it is employed.
or (iii) It could fall equally well into two (or more) other such headings (general purpose machines) [bold emphasis in original].

The machinery of this heading is distinguished from the parts of machinery, etc., that fall to be classified in accordance with the general provisions concerning parts, by the fact that it has individual functions.

For this purpose the following are to be regarded as having “individual functions”:

(A) Mechanical devices, with or without motors or other driving force, whose function can be performed distinctly from and independently of any other machine or appliance.
The many and varied machines covered by this heading include inter alia: (E) Machinery for treating metals, including electric wire coil-winders, e.g.: (2) Machinery for scouring or pickling metals (by acid, trichloroethylene, etc.) including pickling units for sheet-rolling mills, but excluding steam or sand blasting appliances of heading 84.24. (7) Electric wire coil-winders (e.g., for motors, transformers or inductors). Under the heading “Miscellaneous Machinery”, the EN to heading 8479 provides, in pertinent part that the “group” includes: (18) Coiling machines for flexible cables or tubes (e.g., for textile or metal cables or ropes, electric cables, lead pipes).

We find virtually no distinction between a machine that coils metals and those at issue: the semiautomatic precision layer respooling machine and the vertical left and right machines, that move and coil metal wires. With regard to these machines, we are persuaded by the conclusions reached in the following rulings:

In HQ 086736, dated June 7, 1990, we classified tandem coilers used in coiling aluminum strip under subheading 8479.89.90 (now 8479.89.97), HTSUS. In HQ 963154, dated February 3, 2000, we held that machines that “wind or coil two pieces of carbon coated foil” were classified under subheading 8479.89.97, HTSUS. In HQ 965122, dated July 10, 2002, we classified articles that uncoil wire from a spool under heading 8479, HTSUS.

The respooling machines and vertical left and right machines are not excluded from classification within Chapter 84, HTSUS, pursuant to Section XVI and Chapter 84, HTSUS, notes and, as stated previously, they are not more specifically covered by another heading in the HTSUS. Additionally, they cannot be classified in any other heading of Chapter 84, HTSUS, because no other heading covers them by reference to their function, description or type, or by reference to their use or to the industry in which they are employed.

We are of the opinion that the purpose and function of the machines at issue is substantially similar to those (not determined to be classified differently above) described by unique function in heading 8479, HTSUS, as well as their method of operation. Additionally, Note 7, Chapter 84, HTSUS, states that:

Subject to note 2 to this chapter and note 3 to section XVI, a machine the principal purpose of which is not described in any heading or for which no one purpose is the principal purpose is, unless the context otherwise requires, to be classified in heading 8479[.]

Based on Note 7, Chapter 84, HTSUS, and EN 84.79, the respooling machines and the left and right vertical machines are classified under subheading 8479.89.97, HTSUS.

As noted in the “Facts” section above, the “cleaning tanks,” “electrolytic degreasing and rinsing tanks,” “copper coating tanks for welded wires,” subject of protests 4101-02-100336 and 4101-02-100356, were classified under subheading 8463.30.00, HTSUS, which provides for, among other things, machines for working wire. Counsel for the protestant states that the machines are used to remove the lubricating powder, degrease and clean the drawn wire, and apply the copper coating to finish the welding wire.

Because of their related functions, the articles can be considered, prima facie, to comprise a functional unit as contemplated by Note 4 to Section XVI, above. However, as is noted above, the articles are imported in separate shipments, a fact that we believe precludes the classification of the articles pursuant top Note 4 to Section XVI.

In United States v. Baldt Anchor, 59 CCPA 122 (1972), the Court of Customs and Patent Appeals (“CCPA”) addressed a similar issue. In that case, six machines designed to be used and operated together were imported in two shipments on different days (one in the first shipment and five in the second) and each classified separately. The importer claimed classification of the two shipments as an entirety. The Court cited to the long-established principle that articles that are not imported together are precluded from being classified as an entirety. Baldt Anchor at 126. Therefore, the Court held that because one machine was imported in a shipment separate from the five machines imported in the second shipment, it cannot be considered together with the second shipment to form an entirety. Id. See also Headquarters Ruling Letter (HQ) 956003, dated June 20, 1995.

In Volume 36, Number 31, page 29 of the Customs Bulletin dated July 31, 2002, Customs revoked and modified the treatment of “functional units” vis-à-vis Note 4 to Section XVI. We stated in this regard that:

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 imported article, however, must be found to have the essential character of the complete or unfinished good. Section XVI, Note 4, HTSUS, is the authority under GRI 1 for classifying a series of machines or components in a 4-digit heading describing a clearly defined function performed by the goods. Given the relationship between GRI 1 and GRI 2(a) in determining the scope of headings, it logically follows, in our opinion, that GRI 2(a) may also be applied to determine whether under GRI 1 a series of machines or components may qualify for classification under Section XVI, Note 4, even if imported incomplete or unfinished.

By the functional description in the “Facts” section above, it appears that some of the articles are designed and intended to function in tandem to complete a specific step of the manufacturing process. Nevertheless, the articles imported in the thirteen separate entries cannot be classified as a complete system or functional whole.

The purpose of the various tanks is to either clean or coat the wire as part of or as the ultimate step in the manufacturing process of the welding wire. The ENs to heading 8479 include as exemplars both machines for scouring metal (“metal scouring machines”) and metal treating machines (e.g., “machines for tin-plating by dipping”). We find that the cleaning, rinsing, degreasing and coating tanks have individual functions that are contemplated by and described within heading 8479, HTSUS and by no other heading within Chapter 84. Therefore, the articles will be so classified under subheading 8479.81.00, HTSUS.

HOLDINGS:

The precision wire respooling machines are classified under subheading 8479.89.97, HTSUS, which provides for machines and appliances having individual functions, not elsewhere specified or included (in Chapter 84): other machines and mechanical devices: other: other: other. Protests 4101-02-100335 and 4101-02-100355, concerning the classification of the precision wire respooling machines should be GRANTED.

The “vertical left and right” machines are classified under subheading 8479.89.97, HTSUS, which provides for machines and appliances having individual functions, not elsewhere specified or included (in Chapter 84): other machines and mechanical devices: other: other: other. Protest 4101-02-100336, concerning the classification of the vertical left and right machines should be GRANTED.

The pail packer is classified under subheading 8422.30.90, HTSUS, which provides for, among other things, other packing or wrapping machinery (including heat-
shrink wrapping machinery) . . . machinery for filling, closing, sealing or labeling bottles, cans, boxes, bags or other containers . . . other. The spare parts for the pail packer are classified as follows: the snub pulley is classified under subheading 8483.50.90, HTSUS, which provides for flywheels and pulleys, including pulley blocks: other: other; the wireguide track rollers are classified under subheading 8422.90.90, HTSUS, which provides for parts of packing machinery; and, for the reasons stated above, the vulcanized pressure rollers and sheathings remain classified as they were upon liquidation. Protest 4101-02-100337 should be GRANTED in part as it pertains to the pail packers and the wireguide roller tracks and DENIED in part as it pertains to the vulcanized pressure rollers and sheathings. With regard to the snub pulleys, since the rate of duty under the classification indicated immediately above is more than the liquidated rate, the protest with regard in part to the snub pulleys should be DENIED.

The cleaning tanks, electrolytic degreasing and rinsing tanks, and the copper coating tanks are classified under subheading 8479.81.00, HTSUS, which provides for machines and mechanical appliances having individual functions, not specified or included elsewhere (in Chapter 84): other machines and mechanical appliances: for treating metal. Protests 4101-02-100366 and 4101-02-100356 should be GRANTED in part as they pertain to the cleaning tanks, electrolytic degreasing and rinsing tanks, and copper coating tanks and DENIED in part as they pertain to the classification of the “control cabinet upgrade for PC data acquisition system” and the “control cabinet upgrade to include control system for copper coating process” (as discussed in the “Law and Analysis” section, these articles remain classified as they were upon liquidation).

In accordance with Section 3A(11)(b) of Customs Directive 099 3550-065, dated August 4, 1993, Subject: Revised Protest Directive, you are to mail this decision, together with the Customs Form 19, to the protestant no later than sixty (60) days from the date of this letter. Any reliquidation of the entry or entries in accordance with the decision must be accomplished prior to mailing the decision.

Sixty (60) days from the date of the decision, the Office of Regulations and Rulings will make the decision available to Customs personnel, and to the public on the Customs 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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