May 22, 2009 CBP Bulletin Notice on Classification of Catalytic Converter Ceramic Substrates
In the May 22, 2009 issue of the U.S. Customs and Border Protection Bulletin (CBP Bulletin) (Vol. 43, No. 21), CBP published a notice revoking two rulings and a treatment as follows:
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Revocation of rulings, revocation of treatment.CBP is revoking two ruling on the classification of catalytic converter ceramic substrates; in addition, this notice covers any rulings on this merchandise which may exist but have not been specifically identified. CBP is also revoking any treatment it has previously accorded to substantially identical transactions.
According to CBP, the revocations are effective for merchandise entered or withdrawn from warehouse for consumption on or after July 21, 2009.
Catalytic converter ceramic substrates. The merchandise at issue in NY N013892 is identified as a Diesel Particulate Filter. The DPF is a catalytic converter ceramic substrate. The DPF is part of an exhaust system used to reduce diesel exhaust emissions through a filtering process. Upon importation, the DPF does not contain a catalyst coating. The DPF filters diesel particles through a series of ceramic honeycomb channels. The hardness of the DPF on the Mohs scale is nine.
The merchandise at issue in HQ 954365 is described as catalytic converter ceramic substrates. The substrate is a specially designed honeycombed body made of ceramic cordierite. After importation into the U.S., it is then coated with a catalytic agent, bracketed in place in a metal converter housing, and inserted in a motor vehicle exhaust system. The substrate, contained within a catalytic converter, is suitable for use solely with a motor vehicle for exhaust gas purification in order to convert carbon monoxide, hydrocarbons, and nitrogen oxide into non-toxic substances.
CBP is issuing HQ H015618 and HQ H017942, in order to revoke NY N013892 and HQ 954365, respectively, and determine that if the item has a hardness equivalent to 9 or more on the Mohs scale, it should be classified under HTS 6909.12.0000 as "Ceramic wares for technical uses having a hardness equivalent to 9 or more on the Mohs scale," and if it does not have a hardness equivalent to 9 or more on the Mohs scale it should be classified under HTS 6909.11.20 as "ceramic wares for technical uses machinery parts," rather than under HTS 6909.19.5095 as "Ceramic wares for technical uses Other, Other, Other" or HTS 8708.99 as "other parts of motor vehicles."
In the first instance, CBP makes this change as a correction based on new product information, specifically that the item has a hardness equivalent to 9 or more on the Mohs scale. In the second instance, CBP makes this change as a correction largely based on Additional U.S. Rule of Interpretation 1(c), and the ENs to heading 6909.
Additional U.S. Rule of Interpretation 1(c) provides that: "A provision for parts of an article covers products solely or principally used as a part of such articles, but a provision for ''parts'' or ''parts and accessories'' shall not prevail over a specific provision for such part or accessory." In addition, the ENs to heading 6909 state that the heading covers ceramic wares for technical uses.
According to CBP, the ceramic substrates are suitable for use solely or principally with the motor vehicles of chapter 87, however, at importation, the substrates are clearly identifiable as ceramic articles. CBP proposes that it logically follows that a provision which names a good, (heading 6909) must prevail over a heading that provides for parts, but which does not identify any particular article.
CBP now determines that, pursuant to Additional U.S. Rule of Interpretation 1(c), and by application of GRI 1, to the catalytic converter ceramic substrates are classified in 6909.11.20, HTSUS, which provides for ''Ceramic wares for laboratory, chemical or other technical uses; ceramic troughs, tubs and similar receptacles of a kind used in agriculture; ceramic pots, jars and similar articles of a kind used for the conveyance or packing of goods: Ceramic wares for laboratory, chemical or other technical uses: Of porcelain or china: Machinery parts'' if the ceramic substrate does not have a hardness equivalent to 9 or more on the Mohs scale.
If the ceramic substrate has a hardness equivalent to 9 or more on the Mohs scale, the applicable subheading is 6909.12.00, HTSUS, which provides for ''Ceramic wares for laboratory, chemical or other technical uses; ceramic troughs, tubs and similar receptacles of a kind used in agriculture; ceramic pots, jars and similar articles of a kind used for the conveyance or packing of goods: Ceramic wares for laboratory, chemical or other technical uses: Articles having a hardness equivalent to 9 or more on the Mohs scale."
New: 6909.11.20, duty-free or 6909.12.00, 4%; Previous: 6909.19.5095, 4% and 8708.99.81, 2.5% (formerly 8708.99.50)
(See ITT's Online Archives or 02/09/09 news, 09020955, for BP summary of proposed HQ H015618 and HQ H017942.)
May 22, 2009 CBP Bulletin (Vol. 43, No. 21) available athttp://www.cbp.gov/xp/cgov/trade/legal/bulletins_decisions/bulletins_2009/