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EUROPEAN COMMISSIONDIRECTORATE-GENERAL TAXATION AND CUSTOMS UNIONInternational Affairs and Tariff mattersHS Convention, combined nomenclature, tariff classification

Brussels, 26th October 2007TAXUD/B/3 ed D(2007)8462

CUSTOMS CODE COMMITTEETariff and Statistical Nomenclature Section

HS/WCO Coordination Sector

Report of the conclusions of the 430th meeting of the Committee

Please find herewith, the summary of the conclusions of the 430 th meeting of the Tariff and Statistical Nomenclature Section (HS/WCO Coordination Sector) of the Customs Code Committee, held in Brussels from 17th to 19th September 2007.

(signed)Kristian VANGRIEKEN

Head of Unit

c.c. Delegates (Member States) to the Tariff and Statistical Nomenclature Section(HS/WCO Coordination Sector) of the Customs Code CommitteeMr. Verrue, Director General, Mrs. Henzler, AssistantMr. Kastrissianakis, Director, TAXUD/B, Mr. Zielinski, Director, TAXUD/CHeads of Units TAXUD/B, TAXUD/CCustoms attachés of the Member StatesDelegates to the Customs Policy Group (Deputies)Mr. Jouangrand, Mr. Doeringer (TAXUD)Heads of Sector TAXUD/B/3

TAXUD/740/07 EN


Brussels, 23th September 2007

EU LIMITED

CUSTOMS CODE COMMITTEETariff and Statistical Nomenclature Section

HS/WCO Coordination Sector

Summary report of the 430th meeting held in Brussels from 17th to 19th September 2007.

AGENDA

1. Adoption of the agenda

2. Pre-coordination of the 40th HS Committee meeting. Study of all available documents on the agenda of the aforementioned committee and fixing of a joint positionDoc. WCO NC1179

3. WCO Recommendation concerning Article 8 of the HS ConventionDoc. TAXUD/673/07

4. Possible amendment of the HS Explanatory Notes to headings 21.06 and 38.24.Comments from EFEMA and ELCDoc. TAXUD/588/07

5. Possible amendment of heading 04.03Doc. TAXUD/587/07 rev 2

6. Possible amendment of heading 89.03. Proposal from HISWA/ICOMIADoc. TAXUD/671/07

7. Proposal from EURATEX for HS 2012Doc. TAXUD/633/07

8. Proposal from EUROFER for HS 2012Doc. TAXUD/632/07

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9. Possible amendment of the HS Explanatory Note to heading 48.14Doc. TAXUD/670/07

10. Proposal from EECA-ESIA for HS 2012 Doc. TAXUD/672/07

11. Possible amendment of heading 85.17Doc. TAXUD/675/07

12. Any other business

13. Working Group with experts from the EC and Associated Countries (on 19th

September 2007, starting at 15H00, ending at 18H30):

13.1 Consultation between the European Commission / Associated Countries with a view to preparing the 40th meeting of the Harmonized System Committee of the World Customs Organization Doc. WCO NC1179

13.2 Mutual information on tariff matters and the implementation of the Combined Nomenclature, version 2008Doc. TAXUD/674/07

ANNEXES

1. Convocation note2. List of participants

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Upon request from one MS the Chairman proposed and the Committee accepted to add under item 12. “Any other business” information from the Commission Services on the state of play concerning the classification dispute between the EC and the Chinese customs administration with regard to ARBOCEL products.


II. REPORT BY THE SECRETARIAT

II.1 Position regarding Contracting Parties to the HS Convention and related mattersNC1182

II.2 Report on the last meetings of the Policy Commission and the Council. NC1183

II.3 Approval of the decisions taken by the Harmonized System Committee at its 39 th

Session. NG0131, NC1181

II.4 Capacity building activities of the Nomenclature and Classification Sub-Directorate. NC1184

II.5 Co-operation with other international organisations. NC1185

II.6 New information provided on the WCO Web site. NC1186

II.7 Annual survey to determine the percentage of national revenue represented by Customs duties. NC1187With regard to items II.1 to II.7 of the HSC agenda the Committee took note of the contents of the respective working documents.

II.8 Survey on Free Trade Agreements. NC1188The Committee took note of the contents of the working document. The WCO Secretariat would be asked to verify whether the reference to “Hungary” in item 7, annex I might have been placed there erroneously.

II.9 Possible invitation of non-WCO Members to become HS Contracting Parties. NC1167The Committee agreed that the WCO Secretariat could carry out a study on this issue. However, this study should also include those countries which are members of the WCO but not of the HS Committee.

II.10 Use of working languages for HS matters. NC1234The Committee took note of the contents of the working document.

III. GENERAL QUESTIONS

III.1 Updating of the Table establishing a correlation between the Harmonized System and selected international Conventions. NC1189

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Although some doubts were raised on the usefulness of the correlation table the Committee agreed to accept its elaboration.

III.2 Possible amendment of Article 8 of the HS Convention with a view to removing the Council from its purely administrative role with regard to HS reservations, and to making the fast-track procedure the default reservation procedure. NC1228, NC1242Upon proposal from the Chairman the Committee agreed to discuss together with this item also agenda item 3) WCO Recommendation concerning Article 8 of the HS Convention” (document TAXUD/673/07).

With regard to document NC1242 the Committee unanimously agreed that the proposals made by the Russian Federation could not be accepted with the exception of their proposal in par. 7 which concerned only a minor editorial amendment. Furthermore, the language used by the Russian Federation to criticize the work of the HS Committee was not acceptable. This would also be stated by the EC during the HSC meeting.

With regard to document TAXUD/673/07 containing a note from an MS setting out a proposal for amending paragraphs 3 and 6 of the proposed text for Article 8 of the HS Convention the Committee decided as follows:

proposed amendment for paragraph 3: in the English version the word “back” in the last line should be deleted as in some occasions a question would be referred to the Council for the first time.

proposed amendment for paragraph 6: at the end of the first sentence use the phrase “after their first adoption by the Committee” (FR: “à partir de leur première adoption par le Comité”).

The note contained in document TAXUD/673/07 would be adapted accordingly taking into account the above mentioned observations and would then be submitted to the HS Committee as a non-paper from the EC.

III.3 Correlation Tables between the 2002 and 2007 versions of the Harmonized System: Possible corrigendum. NC1236The Committee accepted the proposal by the Secretariat as set out in the workingdocument.

IV. REPORT OF THE REVIEW SUB-COMMITTEE

IV.1 Report of the 35 th Session of the Review Sub-Committee. NR0691 Upon proposal from the Chairman the Committee accepted to examine the results of the 35th session of the HS Review Sub-Committee on the basis of document NC1190.

IV.2 Matters for decision. NC1190:

Annex C/4 – Possible amendment of Chapter 30The Committee agreed that it was at present not advisable to submit the text of additional note 1 to CN Chapter 30 to the WCO.

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Annex C/6 – Possible amendment of Note 7 (c) to Section XIThe Committee agreed that the EC could accept the proposed text only if the phrase “obtained in the finished state and ready for use” was removed.

Annex C/10 – Possible amendment of Chapter 95The Committee agreed that subheading 9504.30 should be deleted and its text re-inserted as subheading 9504.60 in order to avoid confusion with subheading 9504.50.

IV.3 Classification of methanol or ethanol mixtures with gasoline. NC1217The Committee unanimously agreed with the classification as proposed by the Secretariat for the four products mentioned in par. 7. Concerning product 5 as set out in par. 36 of the working document the Committee decided to keep an open position. With regard to the question of how to set a threshold at which the ethanol blended with gasoline could still be considered denatured ethyl alcohol the Committee decided that this issue could be sumitted to the Scientific Sub-Committee.

IV.4 Scope of heading 17.01. NC1218The Committee unanimously agreed with the classification of the product in question in heading 17.01 taking into account Note 1 to Chapter 17 as well as the presence of microcrystals.

IV.5 Possible amendment of the Explanatory Note to heading 90.21. NC1221Concerning the first alternatives in square brackets in the French text the Committee decided to adopt a flexible position with a slight preference for using the term “appareils”.

With regard to the issue of aligning the English and French versions concerning the words “support” and “bed” the Committee was in favour of using the alternative “a bed, a table or another support of heading 94.02” (FR: “à un lit, à une table ou à un autre support du n° 94.02”) in both instances where it appeared in the proposed text.

IV.6 Omission in the Report of the 34 th Session of the Review Sub-Committee. NC1235The Committee unanimously accepted the proposal made by the Secretariat in the annex to the working document.

V. REPORT OF THE PRESESSIONAL WORKING PARTY

V.1 Amendments to the Compendium of Classification Opinions to reflect the classification of a set consisting of bottles containing spices, in a metal rack in subheading 2103.90. NC1191, Annex AThe Committee agreed to the following amendments of the text presented in the working document:

● replace the term “selection” by “set” (FR: “assortiment”)

● insert the expression “at least” (FR: “au moins”) before “two different products”)

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● put the word “respectively” at the end of the fourth sentence (FR: “respectivement”)

● in EN use “bottles” instead of “containers”

Concerning the possibility to delete the third phrase in order to shorten the text of the Classification Opinion the Committee decided to adopt a flexible position i.e. if the HSC so wished the phrase could be maintained.

V.2 Amendments to the Compendium of Classification Opinions to reflect the classification of Beta gripe water in subheading 2202.90. NC1191, Annex BThe Committee agreed to the following amendments of the text presented in the working document:

● split the first sentence in order to make the text easier to read: put a full stop after the reference to “(2.15 mg per 5 ml)”, then start a new sentence with “It is intended to be used …”

● in the English version use “bottle” instead of “container”

V.3 Amendments to the Compendium of Classification Opinions to reflect the classification of a set consisting of bottles containing oil and vinegar, in a metal rack in subheading 2209.00. NC1191, Annex CIn analogy with the amendments made to the text for the Classification Opinion under item V.1 above the Committee decided the following changes to the text in the working document:

● replace the term “selection” by “set”; the reference to “in a set” in the second line should therefore be deleted

● insert the word “respectively” (FR: “respectivement”) at the end of the third sentence

● in the French version replace the term “récipient” by “flacon” every time it occurs

V.4 Amendments to the Compendium of Classification Opinions to reflect the classification of certain sodium chloride solutions in subheading 3307.90. NC1191, Annex DThe Committee decided to use in the English version the word “cleaning” instead of “instillations and washings”.

V.5 Amendments to the Compendium of Classification Opinions to reflect the classification of certain nonwovens in subheading 5603.12 or 5603.13. NC1191, Annex EOne MS drew the attention of the Committee to the fact that the reference to subheadings 5603.12 and – 13 as mentioned in the Classification Opinion were not correct. They should be replaced by a reference to subheadings 5603.92 and -93.After some discussion the Committee decided this issue should not be addressed at the HS Committee in order to avoid any possible reopening of the whole question.

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With regard to the last phrase which might be read to imply an end-use criterion the Committee decided to keep it as presented in the working document. However, a rewording of this phrase in order to open up its scope was acceptable.

The French term “lactofiltration” which has no equivalent in the English text might either be deleted from the FR text or translated and inserted into the EN text.

V.6 Amendments to the Explanatory Note to heading 85.19. NC1191, Annex FUpon proposal from the Chairman the Committee decided to align the FR text on the EN text by inserting in the second line after the word “optique” the phrase “tels que les disques magnéto-optiques” and to replace “secteurs” by “zones”.

VI. FURTHER STUDIES

VI.1 Classification of frozen chicken cuts with addition of salt. NC1192, NC1243Taking into account judgment C-310/06 of 18th July 2007 rendered by the European Court of Justice and from which follows that the goods in question are to be classified in HS heading 02.10 the Committee agreed that it was no longer possible to support the reservations entered by Japan and the US against this classification.

VI.2 Classification of pegfilgrastim (INN). NC1193The Committee unanimously confirmed its previous decision to classify the product in question in heading 39.07.

VI.3 Classification of separately presented outdoor units of compression-type split-system air conditioning machines. NC1194The Committee unanimously confirmed its previous decision to classify the products in question in heading 84.18.

VI.4 Classification of certain power modules, used in electrical converters. NC1195The Committee unanimously confirmed its previous decision to classify the products in question in subheading 8504.40.

VI.5 Classification of vehicles by the name “Jacobsen®Model 1100 and 1110 Haulers”. NC1223The Committee unanimously confirmed its previous decision to classify the products in question in heading 87.04.

VI.6 Classification of products containing more than 99.2 % of sodium sulphate and more than 98.5 % of sodium sulphate, respectively. NC1224The Committee unanimously confirmed its previous decision to classify the products in question in heading 28.33. Concerning the discussion of related agenda item VIII.2 “Scope of Note 1 to Chapter 25” (document NC1245) the Committee agreed that it could be discussed before item VI.6 if the HSC so wished.

VI.7 Study on the application of the set rule. NC1196, NC1244With regard to the classification of the roadside emergency kit presented by the US the Committee agreed that its components should be classified separately

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applying GIR 3 (b) and its Explanatory Note in a restrictive manner and taking into account the precedent of toilets sets classification.

Concerning the question of a possible amendment of the legal text of GIR 3 b) the Committee decided to adopt an open position. This issue could be submitted to the Review Sub-Committee for examination if the HSC so wished. In this context, one MS presented 2 texts as proposals for a possible amendment of GIR 3 (b). The Committee took note of these proposals but decided that they should first be discussed at EC level before submitting a text to the WCO.

Finally, the Committee decided that the Australian proposal as contained in par. 20 of document NC1244 i.e. deletion of paragraph (X) of the Explanatory Note to Rule 3 (b) was not acceptable.

VI.8 Classification of milk proteins. NC1197, NC1232The Committee agreed that product 1 was classifiable in heading 04.04 as it did not meet the criteria set out in additional Note 1 to Chapter 35. Product 2, on the other hand, fulfilled these criteria and was, therefore, to be classified in heading 35.04.

Furthermore, the Committee agreed that a threshold for protein content should be set. The figure of 85 % as contained in the Combined Nomenclature could be used as a starting point for discussion at the HS Committee. However, at the same time it was necessary to explain that a 90 % threshold was not acceptable for milk proteins due to technical reasons.

VI.9 Possible amendment of the Explanatory Notes or of the legal provisions to clarify the distinction between headings 21.06 and 38.24. NC1146, NC1174, NC1198, TAXUD/588/07Upon proposal from the Chairman the Committee agreed to discuss together with this item also agenda item 4) Possible amendment of the HS Explanatory Notes to headings 21.06 and 38.24. Comments from EFEMA and ELC. (Doc. TAXUD/588/07).

The Chairman informed the Committee that following consultations with relevant Commission DGs and European industry the proposal made by Brazil in document NC1174 could be accepted.

The Committee agreed that any attempt of reopening the issue of the classification of Multec Data and Admul Datem in heading 38.24 had to be rejected. At the HS Committee, therefore, it would be requested to deal with item VII.17 “Classification of emulsifiers containing calcium salts (doc. NC1220)” before addressing agenda item VI.9. With regard to this latter item the Committee agreed to accept the 1st alternative text as proposed by Brazil. However, in this text the reference to the Codex Alimentarius should be deleted as it was problematic to introduce into the HS Nomenclature a reference to standards that were outside the decision-making processes of the HS Committee.

VI.10 Scope of headings 22.06 and 22.08. NC1145, NC1171, NC1214, NC1237The Committee agreed that samples of the products mentioned in the note from the EC (document NC1171) should be obtained for analysis and made available to the WCO Secretariat.

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One MS remarked that a subheading covering the types of beverage bases at issue had existed in the HS Nomenclature (2206.10) but was deleted in the 1996 version. The Committee agreed that a suggestion to re-introduce such a subheading could be made at the HSC.

Furthermore, the Committee agreed that the observations made by the administration of South Africa in document NC1214 with regard to undenatured ethyl alcohol could be supported.

The comments from the US administration in document NC1237, however, needed to be studied further.

VI.11 Classification of disomotide (INN) and ovemotide (INN). NC1199The Committee agreed to classify these products according to their chemical structure in heading 29.33, thereby applying a strict interpretation of the scope of heading 30.02.

VI.12 Possible amendment of the Explanatory Note to Chapter 29. NC1200The Committee agreed that this question should be sent to the Scientific Sub-Committee.

VI.13 Possible amendment of Chapter 30. NC1201The Committee unanimously agreed to accept the proposal as set out in the annex to the working document.

VI.14 Possible amendment of the Subheading Explanatory Note to subheading 4101.20. NC1202After some discussion on the merits of deleting or maintaining the Subheading Explanatory Note to subheading 4101.20 the Committee agreed to maintain the note as set out in Option 1 in the annex to the working document with the addition of the term “generally”: “This subheading generally covers …” .

VI.15 Classification of lamp posts. NC1153, NC1227The Committee unanimously agreed with classification of the products in question in heading 94.05. A possible postponement of this agenda item could be accepted in case a Contracting Party would request it.

VII. NEW QUESTIONS

VII.1 Classification of canola oil flavoured with chilli pepper and black pepper. NC1203The Committee unanimously agreed to classify the product in question in heading 15.17.

VII.2 Possible amendment of the Explanatory Note to heading 22.02. NC1204The Committee noted that there had so far been no problems with the current French text of this Explanatory Note. An alignment of the French text on the English version was therefore not deemed necessary.

VII.3 Possible amendment of the Explanatory Note to heading 25.01. NC1205The Committee unanimously agreed to maintain status quo.

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VII.4 Possible amendment of the Subheading Explanatory Note to subheading 4412.10. NC1206The Committee accepted the proposal as set out in the annex to the working document.

VII.5 Classification of a warming blanket. NC1168, NC1233In the course of the discussion it became apparent that the Committee would need more technical information on the warming machine that was used in conjunction with the warming blanket. Depending on this information a decision between classification in heading 90.18 or in Chapter 63 would be made. On the basis of the information currently available classification of the warming blanket in heading 90.18 could be envisaged.

VII.6 Possible amendment of the General Explanatory Note to Chapter 84. NC1207The Committee accepted the proposal as set out in the annex to the working document.

VII.7 Possible amendment of the Explanatory Note to heading 84.15. NC1170The Committee decided to take up the suggestion made by the Secretariat in par. 11 of the working document i.e. to await first the outcome of the discussion on outdoor units of airconditioning systems before pursuing examination of a possible amendment of the HSEN 84.15.

VII.8 Possible amendment to the Explanatory Notes to headings 84.72 and 85.09. NC1208The Committee accepted the proposal as set out in the annex to the working document.

VII.9 Possible amendment of the Explanatory Notes to heading 85.08 and 85.09. NC1209The Committee unanimously agreed to the deletion of exclusion (h) of HSENs to 85.09, and its replacement in HSENs to 84.36 and 85.08. The Committee also agreed to maintain the status quo for the exclusion (ij) of the HSENs 85.09 and subsequent texts of headings 84.79 and 85.08.

VII.10 Possible amendment to the Explanatory Note to heading 85.41. NC1210The Committee agreed to accept the proposal under Option 2 in the annex to the working document. However, it would be suggested at the HSC to delete the word “generally” from the proposed text. Alternatively, references to Notes 2 (b) and 2 (c) along with references to headings 90.31 and 90.33 could be supported.

VII.11 This item was deleted from the HSC/40 agenda

VII.12 Possible amendment of the Explanatory Notes to heading 90.25 and 90.27. NC1169The Committee unanimously agreed with the Secretariat proposal. However, the reference in the French version to “humidimètres” should be kept.

VII.13 Possible amendment of the Explanatory Note to heading 95.04. NC1212The Committee unanimously agreed with the proposal set out in the annex to the working document. However, the reference to the HSEN concerned (Exclusion (a)) seemed to be erroneous. This would be checked with the Secretariat.

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VII.14 Possible amendment of the Explanatory Note to heading 95.06. NC1215The Chairman informed the Committee that the US administration could agree to avoid taking a classification decision and rather send this issue to the HS Review Sub-Committee for the elaboration of legal text amendments in the framework of the HS 2012 revision, provided no contracting party asks for classification. The Committee could agree to proceed in this manner. However, in case a classification decision should nonetheless be taken at the HSC the Committee agreed that all samples as presented in the working document would be classifiable in Section XI.

VII.15 Classification of an APC power distribution unit. NC1216After some discussion on the appropriate GIR to be applied the Committee unanimously agreed to classify the product in question in heading 85.36 by application of GIR 3 b).

VII.16 Classification of INN products (List 96). NC1219, NC1239, NC1241The Committee agreed with the classification of alogliptin in subheading 2933.59. Classification of the other products mentioned in the working documents would be discussed at the Scientific Sub-Committee meeting in January 2008.

VII.17 Classification of emulsifiers containing calcium salts. NC1220The Committee unanimously confirmed its previous decision to classify the two products mentioned in the working document in heading 38.24. The HSC would be requested to deal with this agenda item before the discussion of item VI.9 concerning headings 21.06 and 38.24.

VII.18 Possible amendments of the Explanatory Note to heading 76.15 and of the text of heading 73.23. NC1222The Committee unanimously agreed to maintain status quo.

VII.19 Possible amendment of the Explanatory Note to heading 57.02. NC1225One MS pointed out that the reference made by the Secretariat with regard to the pile surface and the backing of the products in question was technically not correct. The Committee agreed that the proposal as presented in the note by the EC would be maintained but an open position could be adopted with regard to a possible reference to “floral designs in a stylized form” as proposed by the Secretariat.

VII.20 Possible amendment of the Explanatory Note to heading 33.01. NC1226The Committee could accept the suggestion made by the Secretariat in par. 31 of the working document i.e. to send this question to the Scientific Sub-Committee.

VII.21 Possible amendment of heading 85.17. NC1211The Committee agreed to maintain the proposal as set out in the note by the EC. It would be made clear at the HSC that the proposed amendment was not intended to change the scope of heading 85.17 in any way. However, a submission of this question to the HS Review Sub-Committee was acceptable.

VII.22 Classification of polyurethane foam in aerosol containers. NC1229

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The Committee unanimously agreed with the Secretariat in classifying the product in question in heading 39.09.

VII.23 Possible amendment of the Explanatory Notes to headings 29.27 and 61.12. NC1230The Committee unanimously accepted the editorial amendments as presented in the working document.

VII.24 Classification of dried tea flowers. NC1231The Committee unanimously classified the product in question in heading 09.02.

VII.25 Classification of certain jojoba products. NC1238The Committee agreed with the view of the Secretariat to classify the products in question in heading 15.18. However, as the working document was published late there should only be a preliminary discussion at the HSC. The Commission Services would submit to an upcoming coordination meeting a draft contribution to this question for discussion at the HSC in March 2008.

VIII. ADDITIONAL LIST

VIII.1 Classification of an injectable intracutaneous gel referred to as “Restylane”. NC1240The Committee unanimously decided to maintain its previous decision to classify the product in question in heading 33.04 as it could not be considered a medicament. This case should not be reopened.

VIII.2 Scope of Note 1 to Chapter 25. NC1245The Committee unanimously agreed that the views put forward by the Russian administration in the working document could not be accepted. However, if RU so wished this item could be dealt with before discussion the reservation on sodium sulphate (item VI.6).

IX. OTHER BUSINESS

IX.1 List of questions which might be examined at a future session. NC1213The Committee accepted the list set out in the working document.


This question was discussed above under “2. Pre-coordination of the 40 th HS Committee meeting, agenda item III.2”.

4. Possible amendment of the HS Explanatory Notes to headings 21.06 and 38.24. Comments from EFEMA and ELCDoc. TAXUD/588/07

This question was discussed above under “2. Pre-coordination of the 40 th HS Committee meeting, agenda item VI.9”.


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The Committee agreed in principle that the scope of heading 04.03 should be widened in order to cover also those kinds of yoghurts containing pieces of plants or other foodstuffs (e.g. aloe vera, rhubarb, coffee, cereals etc.) that were nowadays available in the market. However, any widening of the scope needed to be studied very carefully in order to avoid unwanted transfers of products. It was, therefore, decided to consult DG AGRI on the basis of the proposed text in the annex to the working document. This question would then be further studied at the next coordination meeting.


The Committee took into consideration the information furnished by ICOMIA in their letter dated 3rd July 2007.

The Committee deemed the information furnished by ICOMIA as being of a very general nature only and which did not resolve the problems of how to clearly define rigid inflatable boats. Furthermore, it was brought to the attention of the Committee that there existed at least two different types of RIBS which should not be put into one and the same heading.

In the light of this situation and taking into account the fact that the deadline for submissions to the World Customs Organization (WCO) in the framework of the HS 2012 review cycle had already passed the Committee was not in favour of submitting the proposal to the WCO.

However, if sufficient technical clarification could be obtained on the questions of how to define RIBS and the various types of these boats existing on the market, a possible amendment of the HS nomenclature could be envisaged for the next review cycle.


As no information form EURATEX had been received following the last coordination meeting the Committee was currently not in a position to continue its examination of the proposal from EURATEX set out in the working document.

With regard to the proposals made by CIRFS the Committee decided as follows:

● headings 5402.59 and 5402.69: the proposal for a specification of polypropylene was accepted as contained in the working document

● heading 55.02: the proposal for a specification of viscose rayon and cellulose acetate was accepted as contained in the working document

●heading 55.04: status quo should be maintained as a reference to lyocell might cause problems with regard to the registered trade mark for this denomination.

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● heading 5506.90: status quo should be maintained as the trade volume did not warrant a specification of polypropylene

● heading 55.10: status quo should be maintained as it would be very costly for customs to check the products concerned for blends with polyester

● heading 55.16: industry would be asked to provide more information on the trade volumes involved. The proposal could then be studied at an upcoming meeting

● heading 3907.60: the Committee accepted the proposal as set out in the working document as the proposed structure already existed on CN level. However, CIRFS would be asked to check whether some of their proposed subheadings could be deleted in order to contribute to the simplification of the HS Nomenclature.


Upon request from a number of MS who needed more time to study the proposal the Chairman proposed and the Committee accepted to postpone the discussion of this item to the next coordination meeting.


The Chairman asked the Committee whether the working document should be used as basis for a submission to the WCO Secretariat. In response, one MS pointed out that according to their view the proposed amendment of the HS Explanatory was not sufficient and that an amendment of legal note 9 to Chapter 48 should first be envisaged. Taking this comment into account and in order to elaborate a comprehensive proposal for possible submission to the WCO the Committee would address this issue at an upcoming meeting.


A number of MS pointed out that the proposal went too far and would entail unwanted transfers of goods by introducing the criterion of functionality. However, keeping in mind the interests of European industry vis-à-vis their competitors some parts of the proposal were worth further studying. One MS informed the Committee that the advice from their technical experts would be sent to the Commission Services.

The proposal from EECA-ESIA would be further studied at an upcoming meeting of the Committee.

11. Possible amendment of heading 85.17Doc. TAXUD/675/07Upon request from the MS at the origin of this question the Committee agreed

to postpone this issue to the next meeting.

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● Classification of ARBOCEL products

The Chairman informed the Committee that the reply from industry furnishing further technical details had only arrived very recently and would be conveyed as soon as possible to the Chinese administration as well as the WCO Secretariat in the framework of the bilateral consultations on this issue between the EC and China.

13. Working Group with experts from the EC and Associated Countries (on 19 th

September 2007, starting at 15H00, ending at 18H30):


Associated Countries present at the meeting were informed on the main results of the pre-coordination that took place for the 40th session of the HS Committee as set out above under agenda item 2. Specific comments were made on the following items:

● III.2 Amendment of Article 8 of the HS Convention : The Chairman informed the Associated Countries that the EC would submit to the HSC a non-paper on this question containing proposals for ameliorating the French version of the text at issue.

● V.5 Classification Opinion on certain nonwovens : One Associated Country suggested to add to the text of the Classification Opinion a reference to the names of the nonwoven products covered.

● VI.1 Frozen chicken cuts:One Associated Country informed the Committee that they agreed with classification of the products at issue in heading 02.10.

● VI.6 Reservation by Russia on the classification of sodium sulphate :One Associated Country informed the Committee that they would support the EC position with regard to this question.

● VI.8 Classification of milk proteins:One Associated Country underlined the need for having a threshold criterion for protein content. They could accept an 85 % criterion or any other provided that a clear delimitation of the products at issue would therefore become possible.

● VII.1 Classification of canola oil:One Associated Country was informed that the Committee could agree with the their position on this issue.

● VII.14 HS Explanatory Note to heading 95.06:

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One Associated Country informed the Committee that they could agree to having this issue sent to the HS Review Sub-Committee. They would classify most of the products illustrated in the working document in Section XI. However, concrete samples should be made available at the HSC for examination by delegates.

● VII.20 HS Explanatory Note to heading 33.01:One Associated Country informed the Committee that they could agree with sending this issue to the Scientific Sub-Committee.

● VII.25 Classification of jojoba products:One Associated Country informed the Committee that they could agree with having a preliminary discussion only for this item.


The Commission Services informed the Associated Countries that the EC’s Combined Nomenclature 2008 would be published in all 22 official languages at the end of October 2007. There were only comparatively few changes with regard to the CN version 2007. In some sections a number of subheadings had been introduced, mainly to address statistical needs.

DATES OF THE NEXT MEETINGS:

Working Party HSC/40 20 – 21 September 2007

40th HS Committee 24 September – 5 October 2007

435th Coordination meeting 14 – 16 November 2007

36th HS Review Sub-Committee 19 – 27 November 2007

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TAXUD/740/07 EN

Annex 1


Brussels, 24th August 2007TAXUD/B/3 ed D(2007) 8365

430th Customs Code CommitteeTariff and Statistical Nomenclature Section

(HS/WCO Coordination Sector)to be held in Brussels in the Albert Borschette Conference Centre,

36 rue Froissart, Brusselsfrom 17th to 19th September 2007 (commencing 10h00, ending 18h30)

AGENDA




4. Possible amendment of the HS Explanatory Notes to headings 21.06 and 38.24.Comments from EFEMA and ELCDoc. TAXUD/588/07







11. Possible amendment of heading 85.1718

TAXUD/740/07 EN

Doc. TAXUD/675/07


13. Working Group with experts from the EC and Associated Countries (on 19th September 2007, starting at 15H00, ending at 18H30):



If a Member State administration is unable to be represented, they are requested to inform DG TAXUD-B3 (Mr. K. Vangrieken) accordingly.

Member State delegates are informed that the above-mentioned working documents can be found on CIRCA and paper copies will not be provided in the meeting room.

The European Commission will reimburse travel expenses for one delegate per Member State administration.

Detailed Guidelines for the reimbursement of travel expenses can be found on CIRCA.

(signed)Kristian Vangrieken Head of Unit

19

TAXUD/740/07 EN

Annex 2

430th meeting of the Customs Code CommitteeTariff and Statistical Nomenclature Section

(HS/WCO Coordination Sector)held in Brussels from 17th to 19th September 2007

Chairman: Mr. Eric Jouangrand

Commission: Mr. Erwin DoeringerMr. Ph. DelcroixMrs. A.M. De Vos-Ballegeer

Member States:

BELGIUM SPF Finances - DouanesBULGARIA Agence Nationale des DouanesCZECH REPUBLIC General Directorate of CustomsDENMARK Central Customs and Tax Administration GERMANY Bundesministerium der Finanzen ESTONIA Tax and Customs Board IRELAND Permanent RepresentationGREECE Ministry of Economy & FinanceSPAIN Agencia Estatal de Administracion TributariaFRANCE DGDDIITALY Agenzia delle DoganeCYPRUS Permanent representationLATVIA State Revenue Service, National Customs BoardLITHUANIA Customs Department, Ministry of FinanceLUXEMBURG NOT PRESENTHUNGARY Customs and Finance Guard MALTA NOT PRESENTNETHERLANDS Ministry of FinanceAUSTRIA Bundesministerium für FinanzenPOLAND Ministry of FinancePORTUGAL Ministério das Finanças, DGAIECROUMANIA National Customs AuthoritySLOVENIA Customs Administration SLOVAKIA NOT PRESENTFINLAND Finnish Board of CustomsSWEDEN Swedish CustomsUNITED KINGDOM HM Revenue and Customs

Observers :

TURKEY Undersecretariat of Customs

Third Countries:

ANDORRA Ambassade d'AndorreNORWAY Directorate of CustomsSERBIA Mission of the Rep. of Serbia to EUSWITZERLAND Douane Suisse

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2007)cm… · web viewdoc. wco nc1179. ii. report by the secretariat. ii.1 position regarding...

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