Instruments of international traffic; 19 U.S.C. 1322; 19 CFR 10.41a; Postal shipping bins

HQ 226681 February 16, 1996 BOR-4-07-RR-IT-EC 226681 GOB CATEGORY: Carriers Doug Dennis A.N. Deringer, Inc. P.O. Box 43, Route 37 Massena, New York 13662 RE: Instruments of international traffic; 19 U.S.C. 1322; 19 CFR 10.41a; Postal shipping bins Dear Mr. Dennis: This is in response to your letter dated January 3, 1996 on behalf of Amsterdam Products Ltd ("Amsterdam"). FACTS: You request that certain postal shipping bins ("bins") be designated as instruments of international traffic within the meaning of 19 CFR 10.41a. Two types of bins are involved. You have submitted one of the bins as a sample. This bin, known as a "lettertainer", consists of a plastic container and a plastic top. The top is affixed to the container. The bin is 597 mm long, 305 mm wide, and 178 mm deep. It has a capacity of up to 11 kilograms of mail. The bin's shipping weight is 1.8 kilograms. The second type of bin, known as a "flats tub," is constructed from ultrasonically welded, corrugated plastic with a wire reinforcement. It is 495 mm long at the top, 389 mm long at the bottom, 292 mm wide at the top, 250 mm long at the bottom, and 301 mm deep. This bin has a load capacity of 16 kilograms. The bin's shipping weight is .85 kilograms. In a letter dated November 7, 1995, Amsterdam states that it sends the bins, filled with "admail," from its Canada office to its Amsterdam, New York office, where the admail is prepared and sorted before being returned to Canada in the bins. Amsterdam states that the bins are on loan to it from the Canada Post Corporation. You advise that the annual usage of these bins is approximately 15,000. ISSUE: Whether the subject items may be designated as instruments of international traffic within the meaning of 19 U.S.C. 1322(a) and 19 CFR 10.41a. LAW AND ANALYSIS: 19 U.S.C. 1322(a) states in part: Vehicles and other instruments of international traffic, of any class specified by the Secretary of the Treasury, shall be excepted from the application of the customs laws to such extent and subject to such terms and conditions as may be prescribed in regulations or instructions of the Secretary of the Treasury. The Customs Regulations issued under the authority of 19 U.S.C. 1322 are contained in 19 CFR 10.41a. 19 CFR 10.41a(a)(1) designates lift vans, cargo vans, shipping tanks, skids, pallets, caul boards, and cores for textile fabrics as instruments for international traffic. 19 CFR 10.41a(a)(1) also authorizes the Commissioner of Customs to designate as instruments of international traffic such additional articles or classes of articles as he shall find should be so designated. Instruments so designated may be released without entry or the payment of duty, subject to the provisions of 19 CFR 10.41a. Instruments so designated are also stated to be duty-free in subheading 9803.00.50, Harmonized Tariff Schedule of the United States. To qualify as an instrument of international traffic within the meaning of 19 U.S.C. 1322(a) and 19 CFR 10.41a, an article must be used as a container or holder; the article must be substantial, suitable for and capable of repeated use, and used in significant numbers in international traffic. See Headquarters decisions 108084, 108658, 109665, and 109702. After a review of the information submitted, we determine that both types of the postal shipping bins meet the requirements to be designated as instruments of international traffic. The bins are substantial, suitable for and capable of repeated use, and used in significant numbers in international traffic. HOLDING: The two types of postal shipping bins, the lettertainer and the flats tub, are designated as instruments of international traffic within the meaning of 19 U.S.C. 1322(a) and 19 CFR 10.41a. Sincerely, Director, International Trade Compliance Division