February 1, 2006 CBP Bulletin Notice on Various Handtools and Tool Sets

CBP states that any party who has received an interpretive ruling or decision on merchandise subject to these notices, and/or any person involved in substantially identical transactions should advise CBP by March 3, 2006, the date that written comments on the proposed rulings are due. Furthermore, CBP states that an importer's failure to advise CBP of such rulings, decisions, or substantially identical transactions may raise issues of reasonable care on the part of the importer or its agent for importations subsequent to the effective date of the final decision in this notice.

CBP also states that this notice covers any rulings on the subject merchandise that may exist but have not been specifically identified.

Proposed Modification of a Classification Ruling

Various handtools and tool sets. At issue is a torque wrench (SKU 2696), a ratchet (SKU 40592), a 53-bit socket set (SKU 04142), and a 16-piece screwdriver bit and socket set (SKU 45785). (See CBP's notice for further description of the individual items at issue.)

CBP is proposing to issue HQ 967400 in order to modify NY K82360 and reclassify the 53-bit socket set under HTS 8204.20.0000 as "socket wrenches, with or without handles, drives and extensions, and parts thereof;" rather than under 8207.90.60, which provides for interchangeable tools for handtools.

In addition, CBP is also proposing to reclassify the subject torque wrench, ratchet, and 16-piece screwdriver bit and socket set under HTS 8466.10.8075, as tool holders and self-opening dieheads: other; rather than under HTS 8204.20.0000.

CBP has determined the classification for each item based on the following findings in proposed HQ 967400, which are summarized below:

Torque Wrench. According to CBP, the subject torque wrench does not include a socket or sockets, and as such cannot operate on a nut or bolt. Without the socket, the subject torque wrench does not have a "working part" within the meaning of Note 1 to Chapter 82, and cannot be classified therein. CBP finds that the torque wrench, without sockets, is classified in HTS heading 8466, as it is a tool holder for sockets, which are designed for hand operation.

Ratchet. With respect to the ratchet, CBP states that ratchets have been consistently classified under HTS heading 8466, as tool holders; therefore, the subject ratchet should be classified in HTS heading 8466 as well.

Tool Sets. With respect to the two tool sets, CBP states that the classification of goods put up in sets for retail sale is governed by GRI 3(b), which provides, in relevant part, that goods put up for retail sale shall be classified as if they consisted of the material or component which gives them their essential character. In this case, the 53-bit socket set should be classified according to its essential character, which is given by the sockets classified under HTS heading 8204. For the 16-piece screwdriver bit and socket set, CBP states that the essential character is imparted by the drive handle classified under HTS 8466.

proposed: HTS 8204.20.0000 (53-bit socket set), 9%, 8466.10.8075 (wrench, ratchet, and 16-bit screwdriver and socket set), 3.9%; current: 8204.20.0000, 9%, 8207.90.6000, 4.3%.

February 1, 2006 CBP Bulletin (Vol. 40, No. 6) available athttp://www.cbp.gov/xp/cgov/toolbox/legal/bulletins_decisions/bulletins_2006/vol40_02012006_no6/