AP-99-063

September 29, 2000

29 September 2000

AP-99-063

This is an appeal under section 67 of the Customs Act from two decisions of the Deputy Minister of National Revenue (now the Commissioner of the Canada Customs and Revenue Agency) on July 8, 1999, pursuant to section 63 of the Customs Act.

The issue in this appeal is whether the goods in issue, which are aluminum alloy walkway systems, consisting of walkways, steps, ladders, stairs, handrails and supports, are properly classified under tariff item No. 7610.90.00 of Schedule I to the Customs Tariff as other aluminum structures, as claimed by the respondent, or should be classified under tariff item No. 8439.99.90 as other parts of machinery for making pulp of fibrous cellulosic material, as claimed by the appellant.

HELD:

The appeal is allowed. As part of the re-determination, the respondent rejected considering the goods in issue as "parts" of paper-making machines as, in his opinion, they did not meet the test for parts, i.e. they did not contribute to the production of the end product (paper).

The Tribunal disagrees with this conclusion. The evidence submitted in this case leads the Tribunal to the conclusion that the goods in issue are an integral part of the paper-making machines. The design of a paper-making machine's section clearly contemplates walkway systems and, although they are fabricated by a third party, each system is uniquely designed for a paper-making machine. The evidence submitted was that not only are the goods in issue physically and permanently affixed to the chassis of the
paper-making machine when installed in situ, but they are also installed for testing purposes at the appellant's plant during the final testing of the machine to ensure that they fit properly.

This appeal can be found on the CITT web site at the following address:

http://www.citt.gc.ca/appeals/decision/ap99063e/ap99063e.htm


Topic(s): 
Acts, Regulations, Policies & Decisions / Customs Act / Post Entry / Appeals (Recourse & CITT)
Information Source: 
Canadian International Trade Tribunal (CITT)
Document Type: 
Email Article