HQ 089365: Classification of used hovercraft passenger/car ferries

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                            HQ 089365
                          May 28, 1991


CLA-2 CO:R:C:M  089365  DWS

CATEGORY:   Classification

TARIFF NO.:  8901.10.00

Mr. D.E. Prouty
1927 Observatory S.E.
Grand Rapids, MI 49546

RE:  Classification of used hovercraft passenger/car ferries

Dear Mr. Prouty,
     
     This in reply to your letter of April 4, 1991, requesting
the proper classification of five used, hovercraft-type,
passenger/car ferries under the Harmonized Tariff Schedule of 
the United States Annotated (HTSUSA).

FACTS:

     The vessels in question are amphibious hovercrafts, built by
the British Hovercraft Corporation.  The MKII model has four
Rolls Royce "Marine Proteus" gas turbines, its "height on
cushion" is 13.05 meters, and it can carry thirty-seven cars and
282 passengers.  The MKIII model is also powered by Rolls Royce
gas turbines, its "height on cushion" is 14.77 meters, and it can
transport fifty-five cars and 416 passengers.

ISSUE:

     What is the proper classification of hovercraft,
passenger/car ferry boats?

LAW AND ANALYSIS:

     Classification of goods under the HTSUSA is in accordance
with the General Rules of Interpretation (GRI's), taken in order. 
GRI 1 states that "classification shall be determined according
to the terms of the headings ..."

     Heading 8901 provides for ferry boats and similar vessels
for the transport of persons or goods.  Also, subheading
8901.10.00 provides for "ferry boats of all kinds."  As indicated
in the Explanatory Notes for heading 8901 of the HTSUSA (p.1450),
car ferries are contained within the category of "ferry boats of
all kinds."

     The vessels in question can  be classified as car ferries
because they were designed to carry both cars adpassengers across
bodies of water.

HOLDING:

     The hovercrafts are classifiable in subheading 8901.10.00,
HTSUSA, which provides for "ferry boats of all kinds."  Items
classifiable under this provision enter th United States duty
free.

                           Sincerely,



                           John Durant, Director
                           Commercial Rulings Division