"Security Container Seals" as Instruments of International Traffic

HQ 110161 May 18, 1990 BOR-7-07-CO:R:P:C 110161 RAH CATEGORY: Carriers Mr. William E. Vajda Manager, Marine Department. Daniel F. Young, Inc. 17 Battery Place North New York, New York 10004 RE: "Security Container Seals" as Instruments of International Traffic Dear Mr. Vajda: This is in response to your letter of March 21, 1989, in which you request that certain security container seals be designated as instruments of international traffic. FACTS: Your letter advises that the seals are used exclusively for the sealing of containers on in-bound shipments and sometimes on export loads leaving the United States. They have no real commercial value and are used to meet security and Customs requirements. They are only good for a one-time use. LAW AND ANALYSIS: To qualify as an "instrument of international traffic" within the meaning of section 322(a), Tariff Act of 1930, as amended (19 U.S.C. 1322(a)), an article must be used as a container or holder of merchandise moving in the foreign trade of the United States. The article must be suitable for and capable of repeated use, and must be used in significant numbers in international traffic. In the instant case, the security container seals in question are used exclusively for the sealing of containers on in-bound shipments. By the nature of their use, they are never removed from a bonded facility, except when Customs examination is waived, and they are limited to a one time use. Therefore, the security container seals can not be designated as instruments of international traffic. HOLDING: The security container seals under consideration do not constitute instruments of international traffic as discussed under LAW AND ANALYSIS. If you have any further questions regarding this matter, please do not hesitate to contact our office. Sincerely, B. James Fritz Chief Carrier Rulings Branch