HQ 082579: American Manufacturer's Petition Concerning the Tariff Classification of Wooden Pallet Bins

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                                       HQ 082579

                                     April 10 1989


            CLA-2 CO:R:C:G  082579 JLJ

            CATEGORY: Classification

            TARIFF NO.: 204.27,; 4415.20.4000

            Mr. Denton Sherry
            President
            NEPA Pallet & Container Co., Inc.
            P.O. Box 399
            Snohomish, Washington  98290

            RE:  American Manufacturer's Petition Concerning the Tariff
                 Classification of Wooden Pallet Bins

            Dear Mr. Sherry:

                 You asked several questions regarding the American
            manufacturer's petition filed under 19 U.S.C. 1516 concerning
            wooden pallet bins imported from Canada.

                 You asked the definitions of the terms "harvesting" and
            "designed for use in the harvesting of fruits."

                 In House Report No. 342, at pages 7 to 8, dated May 12,
            1965, the Committee on Ways and Means discussed item 204.27,
            Tariff Schedules of the United States (TSUS), and stated that
            it would restore duty-free status to certain harvesting
            containers.  The Committee described these containers as
            follows:

                      The harvesting containers here involved are
                      containers wholly or in chief value of wood
                      designed for use in the harvesting of fruits
                      and vegetables.  One type which is imported is
                      the so-called harvesting bin.  Harvesting bins
                      are made of plywood and lumber and usually have
                      an integral pallet that allows forklift handling.
                      Their primary use is by fruit growers, to secure
                      the advantages of mechanical handling in the
                      harvesting of their crops.  Typically, the bins
                      are filled in the orchard by pickers and are
                      moved by tractors with forklift attachments
                      either directly to the packing house, or to
                      other conveyances which bring the bins to the














                                         - 2-

                      packing house, where they are unloaded on arrival
                      or after incidental storage.  Sometime harvesting
                      containers are imported in "knock-down" condition
                      and are assembled in the United States.

                 In C.J. Tower & Sons v. United States, 32 Cust. Ct. 54,
            C.D. 1579 (1954), the Customs Court defined the term
            "harvesting" to include the actual collection of fruit in the
            field and transportation to processing plants.

                 You asked whether the Harmonized Tariff Schedule of the
            United States Annotated (HTSUSA), required the "designed
            package" concept of the TSUS.  In a telephone conversation with
            Ms. Johnson of this office, you explained that item 204.27,
            TSUS, covers complete packing boxes, cases and crates; you
            wondered whether the HTSUSA required that complete packages of
            unassembled pallet bins be imported together.

                 The Explanatory Notes for Chapter 44, HTSUSA, state with
            regard to such merchandise, at page 634:

                      These containers may be presented without
                      a lid ("open" containers such as cases,
                      crates, etc.).  They may be unassembled or
                      partly assembled, provided the wood is in sets
                      of the parts necessary to make a complete con-
                      tainer or an incomplete container having the
                      essential character of a complete container.
                      Where the wood is not in such sets, it is to
                      be classified as sawn or planed wood, plywood,
                      etc., as the case may be.

                 Finally, you requested that your American manufacturer's
            petition be amended to include the applicable HTSUSA numbers.
            You believe that subheading 4415.20.8000, HTSUSA, which covers
            other pallets, box-pallets and other load boards, other, should
            apply to the instant wooden pallet bins, while subheading
            4415.10.6000, HTSUSA, covers cases, boxes, crates, drums, and
            similar packing, containers designed for use in the harvesting
            of fruits and vegetables.  Actually, subheading 4415.20.4000,
            HTSUSA, which covers pallets, box-pallets and other load
            boards, will cover the instant merchandise.

                                        Sincerely,




                                        John Durant, Director
                                        Commercial Rulings Branch






            joan jackson library
            6cc:  Area Director, NY Seaport (NIS-230)
            1cc:  John Durant
            JJohnson:jaj:4/5/89