Eligibility under 9802.00.5060 of valves repaired, cleaned, painted and detailed in Mexico

N079718 October 29, 2009 CLA-2-98:OT:RR:NC:N1:102 CATEGORY: Classification TARIFF NO.: 9802.00.5060 Mr. Jose Eloy Cantu International Trade & Commerce, Inc. 309 Nafta Boulevard Laredo, TX 78045 RE: Eligibility under 9802.00.5060 of valves repaired, cleaned, painted and detailed in Mexico Dear Mr. Cantu: In your letter dated October 1, 2009 you requested a tariff classification ruling on behalf of your client TWC. You describe the articles in question as valves classifiable under subheading 8481.30.20, Harmonized Tariff Schedule of the United States (HTSUS), which provides for check valves of iron or steel. In your request you indicate that the subject valves originated from China and duty was paid upon their importation into the United States. However, the valves will now be exported to Mexico where they will undergo various operations, including testing, repair, cleaning, detailing and packaging. You state in your letter that you believe the operations performed in Mexico do not destroy the “essential characteristics” of the valves, nor create a new and different article of commerce. You inquire as to the applicability of HTSUS subheading 9802.00.5060 to the valves when re-imported into the United States. Under HTSUS subheading 9802.00.5060 articles exported from and returned to the U.S., after having been advanced in value or improved in condition by repairs or alterations outside the U.S., may qualify for a duty exemption, provided the foreign operation does not destroy the identity of the exported articles or create new or commercially different articles through a process of manufacture. Based on our review of the detailed description of the operations performed in Mexico that you have made available, we find those operations to be repairs and/or alterations within the meaning of subheading 9802.00.5060, HTSUS. Provided the documentary requirements of Section 181.64, Customs Regulations (19 C.F.R. §181.64) are satisfied, the processed valves will qualify for a duty exemption under HTSUS subheading 9802.00.5060 when returned to the U.S. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). 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 Kenneth T. Brock at (646) 733-3009. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division