Mr. Mark Kelly
Chandler Sales Division
P.O. Box 431
Saint John NB E2L 4L9
Date of issuance of ruling:
This is in response to your request for an advance ruling on the tariff classification of XO.XTREME Aliphatic Amine Epoxy. This product is manufactured by/exported from XO Science, Asheville, NC, USA.
According to the documentation provided, the product is a two-part epoxide, resin-based paint dispersed in a non-aqueous medium applied to metal and concrete surfaces to provide a protective coating against corrosive conditions found in the marine environment. Part A is an uncured epoxide resin dispersed in an organic solvent such as benzyl alcohol and Part B is a hardener. The two constituents are mixed together at a ratio of 1:1 prior to application.
Analysis and Justification
Legal Note 3 to Section VI states “Goods put up in sets consisting of two or more separate constituents, some or all of which fall in this Section and are intended to be mixed together to obtain a product of Section VI or VII, are to be classified in the heading appropriate to that product, provided that the constituents are:
- (a) having regard to the manner in which they are put up, clearly identifiable as being intended to be used together without first being repacked;
- (b) presented together; and
- (c) identifiable, whether by their nature or by the relative proportions in which they are present, as being complementary one to another.”
The product at issue fulfills the three conditions.
Heading 32.08 covers paints and varnishes (including enamels and lacquers) based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in a non-aqueous medium.
The Explanatory Notes to heading 32.08, Part (A), describe paints (including enamels) as “dispersions of insoluble colouring matter (chiefly mineral or organic pigments, or colour lakes), or metallic flakes or powders, in a vehicle consisting of a binder dispersed or dissolved in a non-aqueous medium. The binder, which is the film-producing agent, consists of synthetic polymers (such as phenolic resins, amino-resins, thermosetting or other acrylic polymers, alkyds and other polyesters, vinyl polymers, silicones, epoxide resins and synthetic rubber) or of chemically modified natural polymers (such as chemical derivatives of cellulose or natural rubber).” Other products such as inorganic fillers can be added to the product at issue for specific purposes.
The product at issue meets the terms of heading 32.08 as a paint based on an epoxide resin dispersed in a non-aqueous medium.
Section 10 of the Customs Tariff directs that classification of imported goods shall be determined in accordance with the General Rules for the Interpretation of the Harmonized System. Section 11 of the Customs Tariff states that in interpreting the headings and subheadings, regard shall be had to the World Customs Organization's (WCO) Explanatory Notes to the Harmonized Commodity Description and Coding System.
General Interpretative Rule 1 (GIR 1) directs that titles of Sections, Chapters and sub-Chapters are provided for ease of reference only. For legal purposes, classification shall be determined according to the terms of the heading and any relative Section and Chapter Notes. Similarly, General Interpretative Rule 6 (GIR 6) directs that classification shall be determined according to the terms of those subheadings and any related Subheading Notes.
The XO.XTREME Aliphatic Amine Epoxy is classified under 318.104.22.168 of the Customs Tariff as a paint based on other synthetic polymers dispersed in a non-aqueous medium in accordance with GIR 1 and 6.
This ruling has been issued under paragraph 43.1(1)(c) of the Customs Act and will be honoured by the CBSA for future importations of the goods specified, provided the material facts and circumstances remain as originally presented; all conditions in the ruling have been met; the ruling has not been modified, revoked, revised, or cancelled; and the Customs Tariff legislation has not changed. Should there be a change in the material facts or circumstances pertaining to the goods, you must notify the CBSA as soon as possible. You may request that the advance ruling be modified or revoked as of the date of the change.
Importers should quote the advance ruling number at the time of importation in either the description field of the B3 entry document or on the Canada Customs Invoice. Exporters or producers should quote the advance ruling number on the Certificate of Origin or commercial invoice accompanying the goods.
Should you disagree with this advance ruling, you may file a dispute notice under subsection 60(2) of the Customs Act within 90 days of the date of issuance. Please see the procedures outlined in Appendix C of the CBSA’s Memorandum D11-11-3, Advance Rulings for Tariff Classification.
This advance ruling is considered reason to believe for the purposes of section 32.2 of the Customs Act and as described in Memorandum D22-1-1, Administrative Monetary Penalty System.
All D-Memoranda referenced in this letter may be accessed on the CBSA website.
Consent to the Public Release of the Advance Ruling
As per your consent statement, we will release this advance ruling to the public, in both official languages, in accordance with the procedures described in Memorandum D11-11-3.
Manager, Tariff Policy Unit 'B'
Trade Policy Division
- Date modified: