1997 (8) TMI 256 - AT - Customs

Summary

Issues: Classification of goods under Tariff Heading 7320.90 vs. Tariff Heading 8448.49

In this judgment by the Appellate Tribunal CEGAT, MADRAS, the issue pertains to the classification of goods labeled as "Spring Clocks" under Tariff Heading 7320.90, as opposed to the appellant's claim for assessment under Tariff Heading 8448.49. The appellant argues that the springs in question are intended for use in Double Clock Springs Discs fitted into looms, necessitating replacement due to wear and tear. The appellant relies on an exclusion note under Tariff Heading 7320.90 from the Harmonized System of Nomenclature (HSN) to support their classification claim under Tariff Heading 8448.49. However, the respondent contends that the nature of the goods categorizes them under Tariff Heading 7320.90, emphasizing that the springs are not assembled to function as part of machinery.

Upon reviewing the arguments presented by both parties, the Tribunal notes that Tariff Heading 73.20 encompasses iron and steel springs other than clock and watch springs, with the HSN indicating that springs of all types, regardless of their use, fall under this heading. Additionally, Section Note XVI, under which Tariff Heading 8448 is classified, excludes parts of general use as defined in Note 2 to Section XV of Base metal. This includes articles such as springs and leaves for springs of base metal, among others. The Tribunal concludes that the springs in question are considered articles of general use, thereby warranting assessment under Chapter Heading 73.20. The Tribunal rejects the appellant's reliance on the HSN notes excluding springs assembled to form machinery parts from Chapter 7320, as the imported goods are standalone springs, not assembled components. Consequently, the Tribunal dismisses the appeal, finding no merit in the appellant's argument for reclassification under Tariff Heading 8448.49.