HQ 953948: Hot Rolled Carbon Steel Plate With Bevelled Edges; Angles, Shapes and Sections, Subheading 7216.90.00; Flat Rolled Products of Iron or Nonalloy Steel; Rolled Product of Solid Rectangular Cross Section; Chapter 72, Note 1(k); Statutory Construction, In Para Materia; NY 860075 Affirmed

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 953948

                            JULY 6 1993

CLA-2:CO:R:C:M   953948 JAS

CATEGORY:   Classification

TARIFF NO.: 7208.90.00

Mr. Steve Fugatt
Berg Steel Pipe Corp.
1832-1/2 B Avenue
Panama City, Florida 32402

RE:  Hot Rolled Carbon Steel Plate With Bevelled Edges; Angles,
     Shapes and Sections, Subheading 7216.90.00; Flat Rolled
     Products of Iron or Nonalloy Steel; Rolled Product of Solid
     Rectangular Cross Section; Chapter 72, Note 1(k); Statutory
     Construction, In Para Materia; NY 860075 Affirmed

Dear Mr. Fugatt:

     In a letter dated March 23, 1993, Mr. Lewis Leibowitz, Esq.,
Hogan & Hartson, inquires on your behalf as to the tariff
classification of steel plate with bevelled edges.

FACTS:

     The merchandise is described as hot-rolled carbon steel
plate.  It is rectangular shaped, approximately 40 feet long and
greater than 600 millimeters in width.  The plate is not clad,
plated or coated.  Subsequent to hot rolling, both the 40-foot
sides are bevelled by an edge planer to facilitate welding of the
product in the process of producing large diameter steel pipe. 
The bevelling results in what counsel describes as a product
having a cross-section in the shape of an eight-sided (hexagonal)
convex polygon.

     Counsel maintains that the merchandise is properly
classified in subheading 7216.90.00, Harmonized Tariff Schedule
of the United States (HTSUS), a provision for other angles,
shapes and sections of iron or nonalloy steel.  He contends that
Customs current classification of this merchandise in subheading
7208.90.00, HTSUS, as other flat-rolled products of iron or
nonalloy steel, of a width of 600 mm or more, hot-rolled, not
clad, plated or coated, is incorrect.  The claim is that
bevelling of the edges results in a product that does not have a
rectangular cross section, a requirement for flat-rolled products
of heading 7208.  Chapter 72, Note 1(k), HTSUS.                                - 2 -

     Relevant Harmonized Commodity Description and Coding System
Explanatory Notes (ENs) state that flat-rolled products which
have been worked after rolling by bevelling remain in heading
7208, provided they do not thereby assume the character of
articles or products of other headings.  Counsel maintains that
the ENs are not controlling in interpreting the HTSUS, and should
not be allowed to contravene the clear and unambiguous language
of the cited legal note.

     In a letter to your counsel, dated February 27, 1991, the
Area Director of Customs, New York Seaport, ruled that identical
merchandise was classifiable in subheading 7208.90.00, HTSUS.  NY
860075.
     
     The provisions under consideration are as follows:

     7208.90.00     Flat-rolled products of iron or
                    nonalloy steel, of a width of 600 mm or 
                    more, hot-rolled, not clad, plated or coated: 
                   Other....5 percent

           *           *          *           *           *

     7216.90.00     Angles, shapes and sections of iron or        
                  nonalloy steel: Other....4.4 percent

ISSUE:

     Whether carbon steel plates with beveled edges can be flat-
rolled products of heading 7208.

LAW AND ANALYSIS:

     Merchandise is classifiable under the Harmonized Tariff
Schedule of the United States (HTSUS) in accordance with the
General Rules of Interpretation (GRIs).  GRI 1 states in part
that for legal purposes, classification shall be determined
according to the terms of the headings and any relative section
or chapter notes, and provided the headings or notes do not
require otherwise, according to GRIs 2 through 6.

     The Harmonized Commodity Description And Coding System
Explanatory Notes (ENs) constitute the Customs Cooperation
Council's 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 under
the System.  Customs believes the notes should always be
consulted.  See T.D. 89-80.                              - 3 -

     The cited legal note states in part that flat-rolled
products include those with patterns in relief derived directly
from rolling (for example, grooves, ribs, checkers, tears,
buttons, lozenges) and those which have been perforated,
corrugated or polished.  The language of the legal note makes it
clear that the named patterns in relief derived directly from
rolling are examples only and are not intended to be exclusive,
while those derived subsequent to rolling can be interpreted as
being exclusive (i.e., they do not expressly include bevelling). 
We perceive of no logical reason for this distinction.  

     In our opinion, legal note 1(k) must be interpreted in para
materia, that is, by reading the whole note and interpreting the
entire context.  The different parts of the legal note that do
not seem to be in accord must be harmonized, if possible, so as
to bring about a result reasonably within the contemplation of
the drafters.  In our opinion, this can be done only by regarding
perforating, corrugating and polishing as only examples of
operations to which flat-rolled products can be subjected after
rolling.  

     Alternatively, legal note 1(k) can be viewed as ambiguous. 
In such cases, to resolve an ambiguity it is appropriate to
consult the ENs, as Congress has endorsed them as useful guides
to understanding the HTSUS.  Ugg International, Inc. v. United
States, Slip Op. 93-16, decided February 4, 1993.

HOLDING:

     Carbon steel plates with bevelled edges, as described, are
flat-rolled products for tariff purposes.  Under the authority of
GRI 1, such plates are provided for in heading 7208.  They are
classifiable in subheading 7208.90.00, HTSUS, as other flat-
rolled products of iron or nonalloy steel, of a width of 600 mm
or more, hot-rolled, not clad, plated or coated.
     
EFFECT ON OTHER RULINGS:

     NY 860075, dated February 27, 1991, is affirmed.
                              

                              Sincerely,


                              John Durant, Director
                              Commercial Rulings Division