The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a floating home (prefabricated building) from Canada; Article 509

NY D84832 December 2, 1998 CLA-2-94:RR:NC:SP:230 D84832 CATEGORY: Classification TARIFF NO.: 9406.00.4000 Ms. Ginger White I.M.F.S. International Marine Flotation Systems Inc. 3473 River Road W. Delta, B.C. V4K 3N2 CANADA RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a floating home (prefabricated building) from Canada; Article 509 Dear Ms. White: In your letters dated September 29 and November 10, 1998, you requested a ruling on the status of a "floating home" from Canada under the NAFTA. Your company is building the home for Mr. Heinz Strobl, who will use it as a personal residence in the floating-home community in Lake Union in Seattle, Washington. The home in question is a prefabricated wood-frame house which will conform to the standard building codes for the Seattle area. It is said to be no different than an ordinary custom-built home except that it is built on a float instead of on a fixed, land-based foundation. The float is made of concrete with a core of expanded polystyrene. A brochure illustrating several existing homes of the instant kind was submitted with your inquiry. The photos show complete, attractive residential buildings of diverse architectural styles. Except for the fact that they are floating on the water, they appear to be conventional houses with standard features, including roofs, walls, windows and doors. The house for Mr. Strobl will be imported, fully assembled, in a single shipment. (It will be towed by water from your yard located just outside Vancouver.) You anticipate that the house will be "almost complete," but may require some interior finishing after delivery. You state that there will be "no equipment, other than standard household appliances, built into or included with the building." For the purposes of this ruling, it is assumed that anyequipment supplied will be of the built-in kind usually supplied with buildings (e.g., heating system, electrical fittings, etc.). If any other equipment (for example, loose furniture) is included, it will be separately classifiable under the appropriate individual tariff provisions. You also state that all constituent materials used in producing the floating home will be of Canadian and U.S. origin. The applicable tariff provision for the floating home will be 9406.00.4000, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for prefabricated buildings of wood. The general rate of duty will be 3.1%. The home, being wholly obtained or produced entirely in the territory of Canada and the United States, will meet the requirements of HTSUSA General Note 12(b)(i), and will therefore be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party. A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Paul Garretto at 212-466-5779. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division