1999 (1) TMI 274 - AT - Central Excise

Summary

Issues: Classification of Tungsten Carbide products under specific sub-headings.

In this judgment, the primary issue revolves around the correct classification of ten Tungsten Carbide products under specific sub-headings. The Respondents, as manufacturers of these products, initially claimed classification under Chapter sub-heading 8101.100. However, the Asstt. Collector and the Collector (Appeals) classified the products differently, leading to an appeal by the Assessee. The products in question included wear parts blanks, work rest blade strips, T.C. Centres, T.C. Flats, and others.

The Revenue, represented by Shri M.P. Singh, argued that the products were wrongly classified under sub-heading 8101 and should be classified under sub-heading 8209. The argument was based on the nature of the products as essential for grinding, cutting, and drilling due to their exceptional hardness and anti-corrosion properties. The Revenue emphasized that these products provide the cutting edge or working surface for tools, enhancing wear resistance. They cited HSN notes to support the classification under Chapter 82, excluding tungsten carbide from Chapter 81 and specifying the classification under Heading 8209 for products like plates, sticks, and tips.

Regarding specific products like wear part blanks, work rest blade strips, and T.C. Centres, the Revenue contended that they should be classified under Chapter Heading 8209 due to their characteristics and intended use. On the other hand, wear part blanks for jute industries were argued to be correctly classifiable under Heading 8448 as parts of jute machinery. Cylpebs, solid round cylinders made of tungsten carbide, were deemed appropriate for classification under Heading 8482. The Respondents, in their cross-objections, argued for the classification under Chapter sub-heading 8101.00 based on the characteristics of the products and the Rules of Interpretation, highlighting the specificity of tungsten in their products compared to general machinery parts.

After considering the submissions and examining the Rules of Interpretation and HSN notes, the Tribunal concluded that products like wear part blanks, work rest blade strips, and T.C. Centres fell under Chapter sub-heading 8209. The wear part blanks for jute industries were classified under Heading 8448, while cylpebs were appropriately classified under Heading 8482. The impugned order was modified accordingly, and the Appeals were disposed of based on the revised classifications.