2003 (1) TMI 336 - AT - Customs

Summary

Issues:
Classification of CD ROM containing images of drawings and designs of engineering goods under Customs Tariff Act.

Analysis:
The primary issue in this appeal is the classification of the CD ROM by M/s. LML Ltd. The appellant argues that the CD ROM should be classified under Heading 49.06 of the Customs Tariff Act as drawings for engineering purposes or alternatively under Heading 49.11 as other printed matter. The appellant relies on previous judgments and notifications to support their classification argument. They contend that the CD ROM contains drawings and designs of engineering goods, which should be considered goods under the relevant headings.

On the other hand, the respondent argues that the CD ROM does not fall under Heading 49.06 or 49.11. They assert that the specific heading in Chapter 85 covering recorded discs, tapes, and wires should be preferred for classification. The respondent emphasizes that the CD ROM does not meet the criteria specified under Heading 49.06 for industrial plans and drawings. They also point out that the Explanatory Notes of HSN exclude certain products, including those covered by sub-heading 85.24.39, from Heading 49.11.

The tribunal examines the submissions from both parties and notes that the CD ROM imported by the appellant indeed contains images of drawings and designs of engineering goods. After reviewing the rival headings and the Explanatory Notes of HSN, the tribunal concludes that the CD ROM does not meet the criteria specified under Heading 49.06 for industrial plans and drawings. Additionally, the definition of 'printed' as per Note 2 to Chapter 49 does not apply to the CD ROM, ruling out classification under Heading 49.11. The tribunal finds that the product is specifically covered by sub-heading 85.24.39, as argued by the respondent.

In light of the arguments presented and the classification criteria, the tribunal rejects the appeal and upholds the classification of the CD ROM under sub-heading 85.24.39 of the Customs Tariff Act. The decision is based on the specific nature of the product and its alignment with the relevant heading within the tariff classification.

This detailed analysis of the judgment highlights the conflicting arguments presented by both parties regarding the classification of the CD ROM and the tribunal's reasoning for rejecting the appeal based on the applicable tariff headings and definitions.