2008 (4) TMI 107 - AT - Central Excise

Appellants claims that the impugned goods (plates, racks, angles etc) constituted a complete structure for mounting boilers so are classifiable under CSH 840290 as boiler parts and not under CSH 7308 as parts of steel structures goods in question, namely, plates, racks, angles etc or the steel structure cannot be held to be a part of boiler - held that impugned goods have to be held to fall under CSH 7308 assessee s appeal dismissed

Summary

Issues: Classification of goods under Chapter sub-heading 7308.90

Analysis:
1. The appeal challenges the order of the Commissioner (Appeals) regarding the classification of goods cleared by the appellants as steel structures for mounting boilers under Chapter sub-heading 7308.90.
1.1 The appellants argue that the goods should be classified under CSH 840290 as boiler parts, not under CSH 7308, citing Section Note 1(g) of Section XVI and Section Note 1(f) of Section XV.
1.2 They rely on the judgment in G.S. Auto International Limited v. CCE, Chandigarh, emphasizing that parts designed for specific machinery/equipment cannot be classified under Chapter 73 as parts of general use.
2. The respondent contends that the goods supplied by the appellants were steel structures for erecting boilers, falling under CSH 7308.90, based on the purchase order and the Tribunal's decision in Mahindra & Mahindra Ltd. v. CCE.
2.1 The respondent argues that the appellants fabricated steel structures using raw materials to suit the structural design, justifying the classification under CSH 7308.90.
3. The Tribunal considers the submissions and facts, noting that the goods supplied were plates, rods, angles, etc., shaped for erecting structures supporting boilers, as per the customers' orders.
3.1 Chapter Heading 7308 covers structures and parts of structures of iron or steel prepared for use in various applications, with the residuary entry 7308.90 covering parts prepared for similar structures not specifically listed.
3.2 The Tribunal applies Interpretative Rules, emphasizing that the goods fall under CSH 7308.90 as they do not qualify as specific parts of a boiler but align with the description of the residuary entry.
3.3 Referring to the decision in Mahindra & Mahindra Ltd., the Tribunal concludes that the impugned goods are correctly classified under CSH 7308, rejecting the appeal.

This detailed analysis of the legal judgment addresses the classification issue under Chapter sub-heading 7308.90, highlighting the arguments presented by both parties and the Tribunal's reasoning for upholding the classification of the goods in question.