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Newly Released CBP HQ Rulings Jan. 11

The Customs Rulings Online Search System (CROSS) was updated Jan. 11 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):

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H333562: Tariff classification of cork tackle gear

Ruling: Cork items A-D are classified under Harmonized Tariff Schedule subheading 9507.90.8000, which provides for “Fishing rods, fish hooks and other line fishing tackle; fish landing nets, butterfly nets and similar nets; decoy “birds” (other than those of heading 9208 or 9705) and similar hunting or shooting equipment; parts and accessories thereof: Other: Other parts and accessories.” The column one, general rate of duty is 9%. Cork item E will be classified in subheading 4503.90.6000 as “Articles of natural cork: Other: Other.” The column one, general rate of duty is 14%.
Issue: Are the subject cork pieces classifiable as natural cork under heading 4503, or as fishing tackle under heading 9507?
Item: Pieces of natural cork shaped like conical stoppers and natural cork balls with cuts and flat spots imported from Portugal. The cork pieces are glued to fishing hooks and then painted to make lures. The cork pieces come in a variety of shapes and sizes. The first shape, item A, is a sphere cut to have a flat surface near one “side”. The sphere is cut with a radius-type slot inward to the center from the flat surface. The second shape, item B, is a truncated cone. The cone is cut with two slots; one is a chord, or line across the wider end of the cone terminating at two opposite points along the circle’s curve, and the other is a radius cut inward from the edge to the center of the cone. The third shape, item C, is a small, pointed bullet shape with the flat, circular end cut at an angle. The bullet is cut with a radius slot from the edge to the center of the bullet. The fourth shape, item D, is a larger bullet than the third. The flat side of the bullet has a circular, concave indentation and there is a radius slot cut from the edge to the center of the bullet. The fifth and final shape, item E, is a cylinder with a rounded end. The cylinder is not cut with any slots.
Reason: Cork items A-D are shaped and cut in such a manner as to make them unsuitable for any use other than as fishing tackle. The particular cuts have considerable impact on the trajectory of the popper and the manner in which it floats on and skips across the water. These cuts that ensure the pieces are dedicated for use as fishing tackle. Without the cuts, the cork pieces could have many other uses, with cuts they must be used as floats for fishing lures. While the cork pieces are not complete fishing lures, they are parts of fishing lures because they are integral to the function of the completed fishing lures without which the lures could not function. Additionally, the items are imported solely for use with fishing lures. Finally, cork fishing floats are explicitly included under heading 9507 according to the ENs for that heading. As parts of articles of heading 9507, items A-D are classified with those articles, in heading 9507, pursuant to Note 3 to Chapter 95. Cork item E is not cut with any slots and appears to be an undedicated article of cork. Item E contains no cuts and minimal shaping. The thin cylindrical shape does not function as a stopper. Lacking additional cuts or shaping, it does not appear dedicated to any particular use. It is not a disk, wafer, or wallcovering. Accordingly, it is not a part of an article of heading 9507, and it therefore falls under subheading 4503.90.6000 as an other article of cork.
Ruling Date: Jan. 11, 2024

H335695: Coastwise Transportation; Outer Continental Shelf; Wind Turbines; 46 U.S.C. §§ 55102 and 55103; 19 CFR §§ 4.80a and 4.80b; 43 U.S.C. § 1333

Ruling: (1) The transportation of the subject eind turbine generator (WTG) components aboard the coastwise-qualified Tug and Barge from a U.S. port located on the eastern seaboard to the Jack Up Vessel attached to the seabed of the OCS would not be in violation of 46 U.S.C. § 55102 because the transportation between coastwise points would be effected by coastwise-qualified vessels. (2) The installation of the WTG units by the Jack Up Vessel attached to the seabed of the OCS would not be in violation of 46 U.S.C. § 55102 because the foreign-flagged Jack Up vessel would remain completely stationary during the installation process. (3) The transportation of the subject shipping frames, shipping containers, and associated vessel equipment between WTG sites onboard the Jack Up Vessel would not be in violation of 46 U.S.C. § 55102 because such items, in this context, are not “merchandise.” (4) The transportation of the marine crew and project crew onboard the Jack Up Vessel between or at WTG installation sites attached to the seabed of the OCS would not be in violation of 46 U.S.C. § 55103 because they are directly and substantially related to the operation of the vessel.
Issue: (1) Whether the transportation of the WTG components by a coastwise-qualified tug and barge from a U.S. port located on the eastern seaboard, to an anchored, non-coastwise-qualified Jack Up Vessel located on the U.S OCS violates the Jones Act, 46 U.S.C. § 55102. (2) Whether the installation of the subject wind turbine generators by the non-coastwise-qualified Jack Up Vessel on the OCS violates the Jones Act, 46 U.S.C. § 55102. (3) Whether transportation of certain empty shipping frames, containers, tools, and materials between coastwise points by the non-coastwise-qualified Jack Up Vessel violates the Jones Act, 46 U.S.C. § 55102. (4) Whether the transportation of the marine crew and project crew between coastwise points by the non-coastwise-qualified Jack Up Vessel violates the Passenger Vessel Services Act, 46 U.S.C. § 55103.
Item: WTG units for a project. The project is located in federal waters on the OCS located in a redacted location. The proposed transportation of the WTG units from a U.S. port located on the eastern seaboard, to installation sites on the U.S. Outer Continental Shelf (“OCS”) will be conducted by a coastwise-qualified tug and a coastwise-qualified barge (the “Tug and Barge”). At the installation sites, the WTGs will be installed by a foreign-flagged jack-up vessel (“Jack Up Vessel”).
Reason: (1) The Tug and Barge will be coastwise-qualified vessels. (2) The movement of the crane and Jack Up Vessel would not constitute transportation of merchandise and therefore, would not be considered to be coastwise trade. (3) The empty shipping frames, shipping containers, vessel waste, nuts and bolts, spare parts/provisions, tools, rigging equipment etc. are vessel equipment because they are integral to the function of the vessel, and aren't “merchandise” under the Jones Act. (4) The marine crew and project crew transported between coastwise points by the non-coastwise qualified Jack Up Vessel would not be considered to be passengers. The proposed activities in this case are directly and substantially connected with the operation and business of the vessel, which is the installation of the subject WTGs.
Ruling Date: Jan. 5, 2024