International Trade Today is a Warren News publication.

Nov. 7 CBP Bulletin Modifies Rulings on Bearings, Kimberly Application to Tumbled Diamonds

In the Nov. 7 issue of the U.S. Customs and Border Protection Bulletin (Vol. 46, No. 46), CBP published two notices of modification of rulings and treatment regarding the tariff classification of bearings and tumbled diamonds .

Sign up for a free preview to unlock the rest of this article

If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.

Modifications Are Effective Jan. 7

CBP is modifying these rulings, as well as any treatment CBP previously accorded to substantially identical transactions, effective for merchandise entered or withdrawn from warehouse for consumption on or after Jan. 7

Bearings and Housings from Japan

Item: Bearings and housings, separately or individually, from Japan. The pivot bearing is comprised of steel balls and a sapphire plate that retains the balls. The housing is a manufacture of brass designed to incorporate the pivot bearing. All the articles are for use in aircraft instrumentation.
New Ruling: HQ H088396(dated 10/09/12), modifies NY N070076 (2009)
Old HTS/Rate :Housings alone: 8483.30.8020, 4.5% (bearing housings, ball or roller type). Pivot bearing and the pivot bearing and housing combined: 7116.20.4000, 10.5%, (precious or semiprecious stones (natural, synthetic or reconstructed).
New HTS/Rate: Pivot bearings alone: 8482.10.5068, 9% (“ball or roller bearings, and parts thereof; ball bearings: other: other.”) Housings alone: 8483.30.8020, 4.5% (“transmission shafts (including camshafts and crankshafts) and cranks; bearing housings, housed bearings and plain shaft bearings; gears and gearing; ball or roller screws; gear boxes and other speed changers, including torque converters; flywheels and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints); parts thereof: bearing housings; plain shaft bearings: other: bearing housings: ball or roller bearing type.”). Pivot bearings and housings: 8483.20.8040, 4.5%, “transmission shafts (including camshafts and crankshafts) and cranks; bearing housings, housed bearings and plain shaft bearings; gears and gearing; ball or roller screws; gear boxes and other speed changers, including torque converters; flywheels and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints); parts thereof: housed bearings, incorporating ball or roller bearings: other: incorporating ball bearings.”
Reason: CBP previously classified the pivot bearings based on the inclusion of a sapphire plate. CBP now finds that pivot bearings have their own classification. CBP said the housings were properly classified previously. The combined pivot bearings and housing were previously classified based on the sapphire plate, which CBP not finds shouldn't preclude classification elsewhere.

(See ITT's Online Archives 12082940 for summary of the proposed modification of this ruling.)

Jewelry Set with Tumbled Diamonds from Zambia

Item: A jewelry set with tumbled diamonds from Zambia consisting of silver, gold, or copper. Each piece of jewelry was said to be valued at over $40, but a carat weight of the tumbled diamonds was not provided. The tumbled diamond jewelry set would be classified in subheading 7113.11.50 (5%) when set in silver; 7113.19.50 (5.5%) when set in gold; and 7116.20.15 (6.5%) when set in copper.
New Rulings: HQ H173035 (dated 10/09/12), modifies NY N018792 (2007)
Previously: Tumbled diamonds are considered rough, subject to Kimberley Process Certification Scheme (KPCS) requirements and not allowed to enter the U.S.
Now: Tumbled diamonds are not rough, not subject to KPCS requirements and allowed to enter the U.S.
Reason: CBP previously found the subject jewelry will not be allowed into the U.S. because tumbled diamonds are considered rough and Zambia is not a member of the KPCS. CBP had stated that a tumbled diamond is where the surface has been rendered glossy and shiny by chemical treatment (polishing) and that tumbled diamonds are not considered "worked" but still in their "rough" state.

(See ITT's Online Archives 12032312 for summary of the proposed modification of this ruling.)