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HQ H013537




July 2, 2007

OT:RR:CTF:VS H013537 GOB

CATEGORY: CLASSIFICATION

Texas Aero Engine Services Limited
Attn.: Vincent A. Enea
Trade Compliance Manager
2100 Eagle Parkway
Fort Worth, Texas 76177

RE: Tools of Trade; Subheading 9801.00.85, HTSUS

Dear Mr. Enea:

This is in reply to your request of June 13, 2007, which was forwarded to this office by the National Commodity Specialist Division. Our ruling follows.

FACTS:

You describe the pertinent facts as follows. Texas Aero Engine Services Limited (“TAESL”) is a joint venture between Rolls Royce and American Airlines whose primary business is the overhaul of aircraft turbine engines and the return of the engines to a serviceable condition.

When TAESL mechanics travel internationally they bring goods needed to accomplish their work, including aircraft components, mechanics’ tooling, specialized tooling, shop supplies, attaching hardware, reference manuals, and shop equipment. Certain of these materials are brought back into the United States upon completion of the work. In addition to the goods enumerated above, the items brought back to the United States may include material which has been removed from the serviced aircraft.

You state that TAESL would like to classify the above-described goods as tools of trade within the meaning of subheading 9801.00.85, Harmonized Tariff Schedule of the United States (“HTSUS”).

ISSUE:

Whether the above-described goods may be classified in subheading 9801.00.85, HTSUS, as tools of trade.

LAW AND ANALYSIS:

Subheading 9801.00.85, HTSUS provides for duty-free treatment for “[p]rofessional books, implements, instruments, and tools of trade, occupation, or employment, when returned to the United States after having been exported for use temporarily abroad, if imported by or for the account of the person who exported such items.”

Tools of trade generally include those items necessary for the exercise of the trade or profession of the subject individuals, in this case, mechanics of TAESL. Based upon the information submitted, we find that goods such as mechanics’ tooling, specialized tooling, shop supplies, attaching hardware, reference manuals, and shop equipment, which are necessary for the work of the TAESL mechanics, qualify for entry under subheading 9801.00.85, HTSUS.

Your request also mentions aircraft components. If these goods are necessary for the work performed by the TAESL mechanics, they qualify for entry under subheading 9801.00.85, HTSUS.

Materials removed from the serviced aircraft (i.e., materials which were not taken abroad by the TAESL mechanics) do not fall within the scope of subheading 9801.00.85, HTSUS, and are therefore not eligible for entry under this provision.

We note that, in order for subheading 9801.00.85, HTSUS to be applicable, the goods at issue must be imported by or for the account of the person who exported the same goods.

While the Customs and Border Protection (“CBP”) Regulations do not provide for specific documentation required to substantiate a claim under subheading 9801.00.85, HTSUS, carnets, commercial invoices, packing lists, landing certifications, customs documents used to import the merchandise into the foreign country, or any other documentation which shows that the merchandise being imported under subheading 9801.00.85, HTSUS, is the same as what was exported, may be utilized for this purpose.

HOLDINGS:

Goods such as mechanics’ tooling, specialized tooling, shop supplies, attaching hardware, reference manuals, and shop equipment, which are necessary for the work of the TAESL mechanics, qualify for entry under subheading 9801.00.85, HTSUS, provided that they are imported by or for the account of the person who exported those goods.

If the aircraft components are necessary for the work performed by the TAESL mechanics, they qualify for entry under subheading 9801.00.85, HTSUS, provided that they are imported by or for the account of the person who exported those goods.

Materials removed from the serviced aircraft (i.e., materials which were not taken abroad by the TAESL mechanics) are not eligible for entry under subheading 9801.00.85, HTSUS.

A copy of this ruling letter should be attached to the entry documents filed at the time the goods are entered. If the documents have been filed without a copy, this ruling should be brought to the attention of the CBP officer handling the transaction.

Sincerely,

Monika R. Brenner
Chief

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