1995 (11) TMI 175 - AT - Customs

Summary

Issues:
Classification of imported Special High Precision Gear type Metering Devices under Heading 84.63 or 84.38(1) or 84.10(1).

Detailed Analysis:

1. The department appealed against the order of the Collector (Appeals) regarding the classification of the imported Special High Precision Gear type Metering Devices.

2. The appellants imported the devices in 1979, initially assessed under Heading 84.63 as Gears, but later requested reassessment under Heading 84.38(1) or 84.10(1).

3. The department argued that the devices are part of a Gear system for manufacturing polyamide yarn, thus correctly classifiable under 84.63 as it covers all types of Gears and assemblies.

4. The respondents contended that the devices are part of extruding machinery used in making Nylon yarn, classifiable under Heading 84.36, and auxiliary machinery under Heading 84.38(1).

5. The Tribunal examined a technical pamphlet from Kawasaki Heavy Industries Ltd., describing the devices as "precision Gear Pump" for pumping and measuring high-temperature liquids, concluding that they cannot be classified solely as Gears under 84.63.

6. The Tribunal found that the devices do not fit under Heading 84.38(1) as auxiliary machinery for specific machines, as examples provided did not match the devices' nature.

7. Considering the alternate prayer for classification under Heading 84.10(1) as Pumps with measuring devices, the Tribunal referenced the CCM Nomenclature, including Gear pumps under rotary pumps in this category.

8. The Tribunal determined that the description under Heading 84.10, covering Pumps with measuring mechanisms, aligns with the "Precision Gear Pump" nature of the devices, leading to the correct classification under 84.10(1).

9. Consequently, the Tribunal modified the Collector's order and classified the devices under Heading 84.10(1), disposing of the appeal in favor of the respondents.

10. The respondents were granted entitlement to any consequential relief due based on the revised classification.

This detailed analysis outlines the classification dispute of the imported Special High Precision Gear type Metering Devices and the Tribunal's decision to classify them under Heading 84.10(1) based on their nature as "Precision Gear Pump" with measuring capabilities, resolving the appeal in favor of the respondents.