2018 (4) TMI 304 - AT - Customs

Classification of imported goods - Steam Generator - Department was of the view that the right classification of the product will not be under 8424 as indicated by the appellant but the goods are rightly classifiable under Customs Tariff Heading 8516 79 90 - The approximate weight of the equipment is given as 412 kg and from the nature of use for which the equipment can be used, we are of the view that the same are typical for domestic use. The equipment cannot be considered as spray guns for industrial use - classification of the products is ordered under 8516.79 - appeal dismissed - decided against appellant.

Summary

Issues: Classification of imported goods under Customs Tariff Heading 8424 or 8516.

Analysis:
1. Background: The appellant imported Steam Generator and classified it under Customs Tariff Heading 8424 20 00, while the Department argued for classification under 8516 79 90. The appeal was filed against the Order-in-Appeal upholding the classification under 8516.

2. Appellant's Argument: The appellant contended that the goods should be classified under 8424 as steam cleaners for industrial use, citing HSN Explanatory Notes. Specifically, the appellant highlighted that spray guns with a maximum pressure of 3 bar fall under 8424, emphasizing the specific entry over a general residuary entry.

3. Revenue's Argument: The Revenue justified the classification under 8516, claiming the goods were electric appliances for domestic use. They referred to the impugned order stating the equipment's use for daily household chores.

4. Competing Entries: The Tribunal examined the entries for classification under 8424 and 8516, focusing on the nature and purpose of the imported goods. The appellant argued for classification under 8424 based on the equipment's steam generation and high pressure for industrial cleaning.

5. Tribunal's Findings: After reviewing the catalogue of the imported equipment and considering its weight and intended use, the Tribunal concluded that the goods were more suited for domestic rather than industrial use. The Tribunal upheld the impugned order classifying the products under 8516.79 as "electro thermic appliances" for domestic purposes.

6. Decision: Based on the analysis, the Tribunal found no grounds to interfere with the impugned order and dismissed the appeal. The classification of the products under 8516.79 was upheld, emphasizing the equipment's suitability for domestic use.

In conclusion, the Tribunal's detailed analysis considered the nature, use, and characteristics of the imported goods to determine their appropriate classification under Customs Tariff Heading 8424 or 8516. The decision was based on the specific features and intended purpose of the equipment, ultimately classifying it under 8516.79 for domestic use, as supported by the evidence presented during the proceedings.