Laforza four-wheel drive multipurpose motor vehicle

Active· CBP ruling HQ 084896· Issued 1989-10-18

Ruling
HQ 084896
Issued
Status
Active
Category
Classification
HS prefixes
8703.24
Tariff numbers
8703.24.0075

Ruling text

HQ 084896

                                    October 18, 1989

             CLA-2 CO:R:CV:G:  084896 JLV

             CATEGORY:  Classification

             TARIFF NO.:  8703.24.0075

             Mark K. Neville, Jr., Esq.
             Lamb & Lerch
             601 California Street
             San Francisco, California 94108

             RE:  Laforza four-wheel drive multipurpose motor vehicle

             Dear Mr. Neville:

                  In a letter of June 14, 1989, on behalf of your client,
             Laforza Automobiles, Inc., you request a ruling on the
             classification of the "Laforza," a multipurpose four-wheel
             drive luxury motor vehicle which will be imported without the
             engine, transmission, and various minor components.

             FACTS:

                  The vehicle, at the time of importation, will consist of
             a four-door vehicle constructed on a box-ladder steel frame
             with an 18-gauge steel body.  It has a lift-up rear door,
             windows in all doors and side panels, 16-inch wheels, a ground
             clearance of 6.75 inches, minimal front and rear overhang, and
             seating for five (two in front and three in a rear bench seat)
             in a luxuriously appointed interior of handsewn leather,
             burled walnut, and thick carpeting.  The rear seat is designed
             to fold out of the way or to be removed in order to provide
             more cargo space.

                  The imported vehicle will be incomplete.  The engine and
             transmission, as well as other components described simply as
             "minor elements of design," will be added after importation.
             You state that the engine will be a 5.0 liter V-8 engine and
             the transmission, based on the advertising literature, will be
             a four-speed automatic transmission with overdrive and shift-
             on-the-fly selectable four-wheel drive.  The overall height of
             the vehicle is 72.6 inches, the length is 179.9 inches, and
             the cargo space ranges from 40.53 cubic feet (seat up) to
             96.04 cubic feet (seat removed).












                                          - 2 -

             ISSUE:

                  Does the incomplete vehicle have the essential character
             of the complete vehicle for purposes of General Rule of
             Interpretation (GRI) 2(a), Harmonized Tariff Schedule of the
             United States Annotated (HTSUSA)?

                  If it does have the essential character of a complete
             motor vehicle, is the multipurpose vehicle classifiable as a
             motor vehicle "principally designed" for the transport of
             persons in heading 8703, HTSUSA?

             LAW AND ANALYSIS:

                  GRI 1 states, in relevant part, that classification shall
             be determined according to the terms of the headings and any
             relative section or chapter notes and according to the
             provisions that follow, such as GRI 2(a), provided that the
             headings or notes do not otherwise require.  There are no
             legal notes which address motor vehicles without engines and
             transmissions.

                  In order to be classified as the complete article, i.e.,
             a motor vehicle of heading 8703 or 8704, rather than as a
             body, chassis, or part of a motor vehicle, the imported
             incomplete article must have the essential character of the
             complete article.  The general Explanatory Notes (EN) to
             chapter 87 describe an incomplete or unfinished vehicle as
             having the essential character of a complete or finished
             vehicle if, for example, it is a "motor vehicle not equipped
             with its engine."  In this case, the imported article consists
             of a chassis frame, body, axles, wheels and tires, suspension,
             brakes, steering assembly, and interior furnishings.  The EN
             instruct us as to a motor vehicle that is not yet fitted with
             an engine.  We conclude that a motor vehicle not yet fitted
             with an engine and transmission is not significantly different
             from a motor vehicle not yet fitted with an engine, and,
             therefore, also has the essential character of the complete
             motor vehicle.

                  In a ruling letter of May 19, 1989 (file 083412), we
             determined that a multipurpose motor vehicle, substantially
             the same in functional features as the Laforza, was
             principally designed for the transport of persons.  The
             vehicle in issue was the Range Rover, and the reasons given in
             that ruling are applicable to the facts in this case.
             Therefore, we conclude that the Laforza is principally
             designed for the transport of persons and falls under the type
             of vehicles provided for in heading 8703.













                                          - 3 -

             HOLDING:

                  The Laforza, although not fitted with an engine and
             transmission and certain design features at the time of
             importation, has the essential character of a complete motor
             vehicle that is principally designed for the transport of
             persons, and, therefore, is classified in subheading
             8703.24.0075, HTSUSA.

                                          Sincerely,




                                          John Durant, Director
                                          Commercial Rulings Division


















































































             6cc:  AD NY Seaport
             2cc:  Chief, CIE
             1cc:  NIS DeSoucey
             1cc:  Director, Trade Ops
             1cc:  AC, CO
             1cc:  Durant
             1cc:  Reading File

             LIBRARY:   valentin
             FILE NAME: 084896

Source: rulings.cbp.gov — ruling 084896, retrieved 2026-10-12T05:18:51Z, republished verbatim. This digest is informational; only CBP issues binding rulings.

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