H346942

H346942 May 28, 2025 OT:RR:CTF:VS H346942 EE CATEGORY: Classification Ms. Madison Hanson Dakota Air Parts International 1825 23rd Avenue North Fargo, ND 58102 RE: Subheading 9801.00.10, HTSUS; Helicopter Parts Dear Ms. Hanson: This is in response to your letter, dated April 10, 2025, in which you request a ruling concerning the applicability of subheading 9801.00.10, Harmonized Tariff Schedule of the United States (“HTSUS”), to certain helicopter parts. Your request, submitted as an electronic ruling request, was forwarded to this office from the National Commodity Specialist Division for review. Our ruling is set forth below. FACTS: Dakota Air Parts International (“Dakota Air Parts”) is an aerospace logistics company located in Fargo, North Dakota. The merchandise at issue are used parts of UH-1H helicopters. You state that the UH-1H helicopters and parts were originally manufactured in the United States by Bell Helicopter and other related U.S. Original Equipment Manufacturers (“OEMs”) and/or approved subcontractors. Starting in the 1970s, helicopters and parts were shipped to the Brazilian Air Force (“BrAF”) in Brazil under U.S. military aid programs, such as the Military Assistance Program (“MAP”) or Foreign Military Sales (“FMS”), to support BrAF operations. On December 20, 2024, Dakota Air Parts purchased, via a BrAF tender, used parts that were accumulated through the MAP and FMS programs and stored over time to support BrAF’s operation of the UH-1H fleet during its service life and operation in Brazil. You provided the following documentation: -A purchaser assurance letter from Dakota Air Parts to the U.S. Department of State, dated January 29, 2025. -Letter from the U.S. State Department, dated April 24, 2025, authorizing the transfer of the parts at issue to Dakota Air Parts for resale purposes. -Dakota Air Parts – Brazilian Air Force inventory list. -Draft commercial invoice, dated April 10, 2025, issued from the Brazilian Ministry of Defense – Air Force Command to Dakota Air Parts for the parts at issue listing quantity, part number/description, country of origin United States, and total price. -Draft packing list, dated April 10, 2025, issued from the Brazilian Ministry of Defense – Air Force Command to Dakota Air Parts for the parts at issue listing quantity, description, pallet number, dimensions, and weight. -The Office of Defense Trade Controls Compliance (“DDTC”) Exporter Registration Statement and Fee Submission dated October 10, 2024. -Communication between BrAF and Dakota Air Parts regarding the location of the parts at issue in Parque de Material Aeronautico de Sao Paulo. -Photos of the parts at issue. -U.S. State Department Third Party Transfer (“TPT”) export approval letter issued to BrAF providing authorization to permanently transfer H-1H helicopter parts to Dakota Air Parts for resale purposes. The letter includes an attachment with the list of the helicopter parts at issue, National Stock Numbers (“NSN”) for the parts, quantity, and serial number. You claim that the used parts at issue qualify for duty-free treatment under subheading 9801.00.10, HTSUS. You state that the parts at issue are products of the United States since they bear the NSN which is a 13-digit, standardized item identifier used by the U.S. Department of Defense and NATO members to catalog and manage logistics inventory. NSNs are assigned to items that are routinely purchased, stocked, issued, and used across federal agencies and allied military organizations. The first four digits identify the category of the item, e.g. 1615 = Helicopter Rotor Blades and Drive Mechanisms. The next two digits indicate the country of cataloging, e.g. 00 and 01 signify the United States. The last 9 digits are a unique identifier specific to the item. You state that each NSN is typically linked to a Commercial and Government Entity (“CAGE”) Code, which identifies the original manufacturer or supplier. This allows for the confirmation of U.S.-registered production entities, especially when combined with Federal Logistics Information System (“FLIS”) data or official procurement records. ISSUE: Whether the helicopter parts at issue are eligible for duty-free treatment under subheading 9801.00.10, HTSUS. LAW AND ANALYSIS: Section 904(b) of the Trade Facilitation and Trade Enforcement Act of 2015 (Pub. L. 114-125, February 24, 2016) amended subheading 9801.00.10, HTSUS, to include any products which are returned within 3 years after having been exported. Previously, subheading 9801.00.10, HTSUS, only applied to products of the United States. Subheading 9801.00.10, HTSUS, now provides for the duty-free treatment of: 2 Products of the United States when returned after having been exported, or any other products when returned within 3 years after having been exported, without having been advanced in value or improved in condition by any process of manufacture or other means while abroad. Section 10.1, U.S. Customs and Border Protection (“CBP”) Regulations (19 C.F.R. § 10.1) sets forth the documentary requirements for entry under subheading 9801.00.10, HTSUS. We note that CBP has not yet amended the regulations to implement the change to subheading 9801.00.10, HTSUS. Nonetheless, 19 C.F.R. § 10.1(a)(1) requires the foreign shipper to declare the following information with regard to articles in a shipment valued over $2,500: the port of exportation, the date of exportation, the quantity, the description of the merchandise, the value of the merchandise, the date of the declaration, and whether the articles were returned without having been advanced in value or improved in condition by any process of manufacture or other means. In addition, the documentation is to be filed “in connection with the entry.” 19 C.F.R. § 10.1(a)(2), requires the owner, importer, consignee, or agent having knowledge of the facts regarding the claim for free entry to declare that the foreign shipper’s statement is true, and, that the articles were not manufactured or produced in the United States under subheading 9813.00.05, HTSUS, and that the articles were exported from the United States without benefit of drawback. The information required also pertains to the name of the manufacturer, the location of the manufacturer, and the date of the declaration. Further, 19 C.F.R. § 10.1(a)(d) provides that if the Center director is reasonably satisfied, because of the nature of the articles or production of other evidence, that the articles are imported in circumstances meeting the requirements of subheading 9801.00.10, HTSUS, the Center director may waive the requirements for producing the documents specified in 19 C.F.R. § 10.1(a). As previously noted, you provided the TPT letter from the U.S. Department of State approving the exportation of the parts at issue from Brazil to the United States to be transferred to Dakota Air for resale purposes. The letter includes an attachment with the list of the parts at issue and information demonstrating origin and traceability of the parts. In previous rulings, including Headquarters Ruling Letter (“HQ”) 563132, dated January 13, 2005, CBP allowed the Port Director to accept other proofs of origin presented by the manufacturer in place of a manufacturer’s affidavit, provided the Port Director is reasonably satisfied that the evidence substantiates the importer’s claim that certain goods are products of the United States. See also HQ H142395, dated January 25, 2011. Further, you state that the parts at issue were not advanced in value or improved in condition since they were merely used to support the UH-1H helicopter fleet during the fleet’s service life and operation within Brazil without subsequent repair, overhaul, modification, or enhancement. HQ 559258, dated October 17, 1995, concerned certain 3 U.S. military aviation equipment which was abandoned in Vietnam and purchased for return to the United States. We found in that case that the equipment, which was either in th

Section 904(b) of the Trade Facilitation and Trade Enforcement Act of 2015 (Pub. L. 114-125, February 24, 2016) amended subheading 9801.00.10, HTSUS, to include any products which are returned within 3 years after having been exported. Previously, subheading 9801.00.10, HTSUS, only applied to products of the United States. Subheading 9801.00.10, HTSUS, now provides for the duty-free treatment of: 2 

Products of the United States when returned after having been exported, or any other products when returned within 3 years after having been exported, without having been advanced in value or improved in condition by any process of manufacture or other means while abroad. Section 10.1, U.S. Customs and Border Protection (“CBP”) Regulations (19 C.F.R. § 10.1) sets forth the documentary requirements for entry under subheading 9801.00.10, HTSUS. We note that CBP has not yet amended the regulations to implement the change to subheading 9801.00.10, HTSUS. Nonetheless, 19 C.F.R. § 10.1(a)(1) requires the foreign shipper to declare the following information with regard to articles in a shipment valued over $2,500: the port of exportation, the date of exportation, the quantity, the description of the merchandise, the value of the merchandise, the date of the declaration, and whether the articles were returned without having been advanced in value or improved in condition by any process of manufacture or other means. In addition, the documentation is to be filed “in connection with the entry.” 19 C.F.R. § 10.1(a)(2), requires the owner, importer, consignee, or agent having knowledge of the facts regarding the claim for free entry to declare that the foreign shipper’s statement is true, and, that the articles were not manufactured or produced in the United States under subheading 9813.00.05, HTSUS, and that the articles were exported from the United States without benefit of drawback. The information required also pertains to the name of the manufacturer, the location of the manu