What Every Member of the 

Trade Community Should Know About: 

The Agricultural 

Actual Use 

Provisions 

Tariff Classification Issues of Headings 

 9817.00.50 and 9817.00.60 

AN INFORMED COMPLIANCE PUBLICATION 

FEBRUARY 2008 
The Agricultural Actual Use Provisions 

February 2008 

NOTICE:

This publication is intended to provide guidance and information to the trade community. 

It reflects the position on or interpretation of the applicable laws or regulations by U.S. 

Customs and Border Protection (CBP) as of the date of publication, which is shown on 

the front cover. It does not in any way replace or supersede those laws or regulations. 

Only the latest official version of the laws or regulations is authoritative. 

Publication History 

First Published: January 1998 

Reprinted December 1998 

Revised March 2004 

Reviewed with No Changes May 2005 

Reviewed with No Changes March 2006 

Revised February 2008 

PRINTING NOTE: 

This publication was designed for electronic distribution via the CBP website 

(http://www.cbp.gov) and is being distributed in a variety of formats. It was originally set 

up in Microsoft Word97®. Pagination and margins in downloaded versions may vary 

depending upon which word processor or printer you use. If you wish to maintain the 

original settings, you may wish to download the .pdf version, which can then be printed 

using the freely available Adobe Acrobat Reader®. 

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The Agricultural Actual Use Provisions 

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PREFACE 

On December 8, 1993, Title VI of the North American Free Trade Agreement Implementation 

Act (Pub. L. 103-182, 107 Stat. 2057), also known as the Customs Modernization or “Mod” Act, 

became effective. These provisions amended many sections of the Tariff Act of 1930 and 

related laws. 

Two new concepts that emerge from the Mod Act are “informed compliance” and “shared 

responsibility,” which are premised on the idea that in order to maximize voluntary compliance 

with laws and regulations of U.S. Customs and Border Protection, the trade community needs to 

be clearly and completely informed of its legal obligations. Accordingly, the Mod Act imposes a 

greater obligation on CBP to provide the public with improved information concerning the trade 

community's rights and responsibilities under customs regulations and related laws. In addition, 

both the trade and U.S. Customs and Border Protection share responsibility for carrying out 

these requirements. For example, under Section 484 of the Tariff Act, as amended (19 U.S.C. 

1484), the importer of record is responsible for using reasonable care to enter, classify and 

determine the value of imported merchandise and to provide any other information necessary to 

enable U.S. Customs and Border Protection to properly assess duties, collect accurate 

statistics, and determine whether other applicable legal requirements, if any, have been met. 

CBP is then responsible for fixing the final classification and value of the merchandise. An 

importer of record’s failure to exercise reasonable care could delay release of the merchandise 

and, in some cases, could result in the imposition of penalties. 

Regulations and Rulings (RR) of the Office of International Trade has been given a major role in 

meeting the informed compliance responsibilities of U.S. Customs and Border Protection. In 

order to provide information to the public, CBP has issued a series of informed compliance 

publications on new or revised requirements, regulations or procedures, and a variety of 

classification and valuation issues. 

This publication, prepared by the National Commodity Specialist Division of Regulations and 

Rulings is entitled “The Agricultural Actual Use Provisions”. It provides guidance regarding the 

classification of these items. We sincerely hope that this material, together with seminars and 

increased access to rulings of U.S. Customs and Border Protection, will help the trade 

community to improve voluntary compliance with customs laws and to understand the relevant 

administrative processes. 

The material in this publication is provided for general information purposes only. Because 

many complicated factors can be involved in customs issues, an importer may wish to obtain a 

ruling under Regulations of U.S. Customs and Border Protection, 19 C.F.R. Part 177, or to 

obtain advice from an expert who specializes in customs matters, for example, a licensed 

customs broker, attorney or consultant. 

Comments and suggestions are welcomed and should be addressed to the Executive Director, 

Regulations and Rulings, Office of International Trade, U.S. Customs and Border Protection, 

1300 Pennsylvania Avenue, NW, (Mint Annex), Washington, D.C. 20229. 

Sandra L. Bell 

Executive Director, Regulations and Rulings 

Office of International Trade 

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INTRODUCTION..........................................................................................7

THE THREE-PART TEST............................................................................8

PART 1 - EXCLUSIONS..............................................................................9

IMPORTANT TERMS ................................................................................11

PART 3 - ACTUAL USE CERTIFICATION ...............................................16

Certification of Machines, Equipment and Implements under Heading 9817.00.50 ... 18

Certification of Parts under Heading 9817.00.60........................................................ 19

PERTINENT CBP REGULATIONS...........................................................20

C.S.D. 83-32 - HQ LETTER 069623..........................................................23

ADDITIONAL INFORMATION...................................................................27

The Internet................................................................................................................ 27

Customs Regulations ................................................................................................. 27

Customs Bulletin ........................................................................................................ 27

Importing Into the United States................................................................................. 28

Informed Compliance Publications............................................................................. 28

Value Publications...................................................................................................... 29

“Your Comments are Important”................................................................................. 30

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INTRODUCTION 

The merchandise assignments of a typical Import Specialist team can cover a 

fairly wide variety of goods, ranging through such far-flung industries as automobiles or 

aircraft down to very specialized merchandise such as spraying appliances for etching, 

stripping or cleaning semiconductor wafers. The diversity and complexity of these 

assignments is at least evenly matched by the multitude and frequency of questions and 

inquiries from the importing public on tariff classification issues imbedded in the various 

commodities. 

One assignment with a fairly large number of complex and confusing issues is 

that of two special classification provisions associated with agriculture. These two 

provisions of the Harmonized Tariff Schedule of the United States (HTSUS) are: 

9817.00.50 Machinery, equipment and implements to be used for 

agricultural or horticultural purposes 

 and 

9817.00.60 Parts to be used in articles provided for in headings 

8432, 8433, 8434 and 8436, whether or not such parts are 

principally used as parts of such articles and whether or not 

covered by a special provision within the meaning of additional U.S. 

rule of interpretation 1(c) 

Please be advised that any references to tariff provisions, notes or other citations 

are those which were in effect on the date of this publication and are used for 

discussion purposes only. You are urged to consult the current edition of these 

references for the most up-to-date information. 

Almost all of the agricultural provisions found in Chapter 84 provide for a free rate 

of duty. The special provisions of headings 9817.00.50 and 9817.00.60, HTSUS, may 

be applied to any article that meets the terms of either of these headings. Generally, 

these are articles which are used for agricultural purposes but which are not classified 

under a duty-free agricultural provision. Among the key terms in these two special 

provisions is the phrase "to be used". This phrase makes these two headings actual 

use provisions. As such, an article must satisfy the statutory requirements set forth in 

Additional U.S. Rule of Interpretation 1(b), HTSUS, which reads as follows: 

a tariff classification controlled by the actual use to which the imported 

goods are put in the United States is satisfied only if such use is intended 

at the time of importation, the goods are so used and proof thereof is 

furnished within 3 years after the date the goods are entered. 

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This rule governs the certification process of an actual use provision. 

One important caution to be made at the start is that the primary classification of 

a good must be known before proceeding with the rest of the process. Without this 

information, it cannot be determined whether the article qualifies for consideration under 

heading 9817.00.50 or 9817.0060, HTSUS. Knowing the classification beforehand will 

also save time and trouble at the time of liquidation if the merchandise does not satisfy 

the actual use requirements. 

 A second important caution is that the merchandise described herein must be a 

product of a “column one” country1 to be eligible for the Chapter 98 free rates of duty; 

otherwise, the rates of duty normally applicable in the absence of headings 9817.00.50 

and 9817.00.60 will be imposed. 

The purpose of this publication is to clarify the coverage of these provisions and 

to minimize the difficulties associated with the classification process. Furthermore, the 

certification process itself will be examined in detail and some useful guidelines 

covering intent and proof of use will be discussed. 

THE THREE-PART TEST 

The Harmonized Tariff Schedule of the United States consists of 99 chapters. 

The first 97 chapters form the international portion of the tariff that is utilized by all 

countries which have adopted the tariff. Chapters 98 and 99 of the HTSUS are United 

States chapters which have been added to the international portion by Congress. 

Virtually every item that is imported into the United States will receive a classification 

from within the first 97 chapters. Chapters 98 and 99 provide an additional classification 

that grants special treatment to qualifying articles. 

 

The classification of merchandise under the HTSUS is governed by the General 

Rules of Interpretation (GRIs), found at the front of the tariff. Once an article is 

classified using the GRIs and any pertinent section and chapter notes, consideration 

may be given to the special classification provisions, if appropriate. If an article is 

described by a provision of Chapter 98 and all applicable requirements are met, then 

the Chapter 98 provision and its duty rate prevail over the classification and tariff rate 

from the international portion of the tariff. See Chapter 98, U.S. Note 1. The Chapter 

 1

 The rates of duty in column 1 of the Harmonized Tariff Schedule of the United States 

are rates which are applicable to all products other than those of the countries enumerated 

below: 

1. North Korea 

2. Cuba 

3. Laos 

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98 provision would then be the ultimate classification for purposes of importation into 

the United States. 

 Headquarters Ruling Letter (“HQ”) 086211, dated March 24, 1990, was the first 

of many U.S. Customs Service ((Customs) now, U.S. Customs and Border Protection 

(CBP)) rulings to apply a three-part test to any good which claimed heading 9817.00.50 

or 9817.00.60, HTSUS, treatment. CBP requires that before an article can be classified 

in either of these headings a three-part test has to be applied: 

(1) The articles must not be among the long list of exclusions to heading 

9817.00.50 or 9817.00.60 under Section XXII, Chapter 98, Subchapter 

XVII, U.S. Note 2; 

(2) The terms of heading 9817.00.50 or 9817.00.60 must be met in 

accordance with GRI 1; and 

(3) The merchandise must meet the actual use conditions required in 

accordance with sections 10.131-10.139 of the Customs Regulations 

(19 CFR §§10.131-10.139). 

 A good must satisfy each part of the test, taken in order. If a good fails any part 

of the test, then it is treated according to its primary classification. 

PART 1 - EXCLUSIONS 

The first and easiest part of the test requires referral to the long list of articles 

which are excluded from consideration under heading 9817.00.50 or 9817.00.60. This 

is found in Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, which reads as 

follows: 

The provisions of headings 9817.00.50 and 9817.00.60 do not apply to: 

(a) articles provided for in chapter 25; 

(b) articles provided for in subheading 3212.10; 

(c) articles provided for in subheading 3926.90.30; 

(d) articles of leather or of fur on the skin; 

(e) articles of textile material; 

(f) articles provided for in section XIII (except heading 6808 and subheadings 

6809.11, 7018.10, 7018.90, 7019.40, 7019.51, 7019.52 and 7019.59); 

(g) articles provided for in chapter 71; 

(h) articles provided for in chapter 72; 

(ij) articles provided for in chapter 73 (except subheadings 7308.10, 7308.20, 

7308.40 and 7308.90, subheadings 7315.81 through 7315.89, 

subheadings 7319.20, 7319.30, 7325.10, 7325.91, 7326.11 and 7326.19); 

(k) articles provided for in chapter 74 (except subheadings 7419.10 and 

7419.91); 

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(l) articles provided for in chapter 75; 

(m) articles provided for in chapter 76 (except heading 7610); 

(n) articles provided for in chapter 78; 

(o) articles provided for in chapter 79 (except gutters, roof capping, skylight 

frames and other fabricated building components, of zinc); 

(p) articles provided for in chapter 80; 

(q) articles provided for in chapter 81 (except subheadings 8101.99 and 

8102.99); 

(r) articles provided for in chapter 82; 

(s) articles provided for in chapter 83; 

(t) articles provided for in subheadings 8419.81.50, 8419.81.90, 8427.10, 

8427.20, 8427.90 and 8431.20, headings 8432, 8433 and 8434, 

subheadings 8435.10 and 8435.90, heading 8436, subheadings 8438.80, 

8468.10, 8472.90.40 and 8479.89, subheadings 8482.10.10 through 

8482.99.65 (other than subheading 8482.91) and subheadings 8483.10.50 

and 8485.10; 

(u) articles provided for in chapter 85 (except subheadings 8519.81.20, 

headings 8523 and 8524, subheadings 8528.59.90, 8532.90 and 8539.90, 

subheadings 8543.11 through 8543.81, subheadings 8543.70.60, 

8543.70.80; 8543.70.85; 8543.70.92; 8543.70.96, 8543.89.93, 8543.90, 

8544.70, 8546.90, 8547.20 and 8548.90); 

(v) articles provided for in chapter 86; 

(w) articles provided for in chapter 87 (except bicycles and other cycles, not 

motorized, and parts thereof), but interchangeable agricultural and 

horticultural implements are classifiable in subheading 9817.00.50 even if 

mounted at the time of importation on a tractor provided for in chapter 87; 

(x) articles provided for in chapter 88 (except heading 8805); 

(y) articles provided for in chapter 89 (except headings 8901, 8902 and 8904, 

subheadings 8905.10 and 8905.20, and headings 8907 and 8908); 

(z) articles provided for in subheadings 9006.69.01, 9032.89.20, 9032.89.40, 

9032.90.20 and 9032.90.40; 

(aa) articles provided for in subheadings 9101.19.20, 9102.12, 9102.91.20, 

9103.10.20, 9104.00.05 and 9104.00.45; 

(ab) articles provided for in heading 9405 (except subheadings 9405.60.60 and 

9405.92); 

(ac) articles provided for in subheadings 9505.10.10, 9506.21.40 and 

9506.21.80; 

(ad) articles provided for in subheading 9603.50.00, headings 9604.00.00 and 

9605.00.00 and subheading 9616.10.00; or 

(ae) articles provided for in heading 9705. 

Very simply, if the primary classification of an article is within one of the 

provisions enumerated in Note 2, then it has failed the first part of the test and the 

actual use certification process stops at this point, with liquidation proceeding at the rate 

prescribed by the primary classification, assuming no other special provisions or 

programs apply. Examples of this exclusionary action may be found in several rulings: 

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HQ 083969, dated May 26, 1989 - wire containment articles used to protect the root 

systems of shrubs and small trees during transport classified in subheading 7326.20, 

HTSUS, excluded by Note 2(ij); New York Ruling Letter (NY) 883904, dated March 13, 

1993 - weed trimmer designed principally for agricultural use for cutting extra heavy 

vegetation around buildings, corrals, etc. classified in subheading 8508.80, HTSUS, 

excluded by Note 2 (u); NY 892189, dated November 26, 1993 - aluminum wire stakes 

used in the gardening marketplace commercially throughout the United States for 

supporting plants classified in subheading 7616.90, HTSUS, excluded by Note 2(m); 

and HQ 954656, dated July 28, 1993 - crop dusting airplane classified in subheading 

8802.20, excluded by Note 2(x). 

Part 2 – Heading Text 

IMPORTANT TERMS 

Assuming a successful passage of the first part of the test, the second part calls 

for the merchandise to be included within the terms of the headings as required by GRI 

1. GRI 1 requires that before an item may be classified under a heading, that item must 

first meet the terms of that heading. For heading 9817.00.50, HTSUS, this means that 

the good must be "machinery", "equipment" or "implements" used for "agricultural or 

horticultural purposes". For heading 9817.00.60, HTSUS, this means that the goods 

must be "parts" and actually used in the machinery of headings 8432, 8433, 8434 or 

8436, HTSUS, with the exception of "parts" or components of functional units under 

Section XVI, Note 4. For further discussion within this publication see Certification of 

Parts under Heading 9817.00.60 . 

As for the terms of heading 9817.00.50, we will refer to the definitions found in 

Webster's II New Riverside University Dictionary (1988). It must be emphasized rather 

strongly that these definitions are for the purposes of heading 9817.00.50, HTSUS, only 

and should not be applied to any other headings. 

Machinery: 1. Machines or machine parts in general. 2. The working parts of a 

machine. 3. A system of related elements that operates in a definable 

way. 

Equipment: 1. The act of equipping or state of being equipped. 2. Something with 

which one is equipped. 

Implement: 1. A tool, utensil, or instrument for doing a task. 2. An article used to outfit 

or equip. 

Agriculture: The science, art, and business of cultivating the soil, producing crops, and 

raising livestock. 

Horticulture: The science, art, and business of cultivating fruits, vegetables, flowers, 

and plants. 

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These definitions are the common definitions of the terms and have been 

followed in many Headquarters rulings. See, for example, HQ 955597, dated May 31, 

1994. It should be noted that parts of the machinery, equipment or implements of 

goods which meet these terms are not included in this heading. The determinative 

factor in this decision is the intent of Congress. By specifically referring to parts within 

heading 9817.00.60 it is clear that Congress considered the issue of parts of machinery. 

Since heading 9817.00.50 has no reference to parts it appears that Congress did not 

intend for all items used as a part of agricultural or horticultural equipment to receive 

duty free treatment. See HQ 087076, dated June 14, 1990. 

For the second part of the test, the initial determination to be made is what 

agricultural or horticultural pursuit is in question. The activity in which the good is 

engaged or employed must be identified; if there is a nexus, a clear connection, 

between that good and an agricultural or horticultural purpose, then the initial 

determination is satisfied. For example, in HQ 952796 of January 29, 1993, Customs 

determined that certain plastic sheeting which assists in raising swine by its use as a 

floor mat, wall liner, and for easy sanitary maintenance, is clearly engaged in an 

agricultural pursuit, since the care and maintenance of livestock is agricultural in nature. 

However, certain endeavors are not “agricultural” in nature. For instance, Customs has 

found on two separate occasions that "aquaculture", the "farming" of fish for commercial 

purposes, does not conform to the definition of agriculture and that, therefore, certain 

fish tanks and their supporting equipment could not be considered agricultural 

equipment. On another occasion, it was held by Customs that a sap evaporator used to 

process sap into maple syrup was not involved in an agricultural pursuit. Customs 

found that although that the collection of sap was agricultural in nature, the processing 

of sap into maple syrup, using the evaporator in the process, was not an agricultural 

purpose and that this process was more than a simple preparation of a product for 

market. 

Sometimes, however, certain distinctions are not quite so clear. In NY 873312, 

dated May 8, 1992, Customs held that certain fly catchers, strips of glue on paper, 

which were used to control pests around cattle, demonstrated an agricultural purpose, 

that is, the good assisted in the care and maintenance of livestock. On the other hand, 

certain insect traps of NY 880892 of December 14, 1992, which were used to control 

the insect population in forests and thus helped to conserve the trees, were held to 

serve an environmental purpose and not an agricultural purpose of heading 9817.00.50, 

HTSUS. 

The next determination to be made is whether the subject merchandise is 

"machinery", "equipment" or "implement" within the meaning of those terms as 

expressed earlier. There have been several rulings in which the importer claimed that 

his article was within the terms of heading 9817.00.50, HTSUS, but which, upon closer 

examination, failed to meet the definitions of those terms. Earlier it was mentioned that 

certain plastic sheeting was found to be used in an agricultural pursuit since articles 

made from it after importation were used in the care and maintenance of swine; the 

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raising of livestock being a legitimate agricultural purpose. However, since the plastic 

was imported in material condition, that is, in sheets of 4 feet by 8 feet, Customs found 

that the sheeting as imported was not an unfinished article since it did not have the 

essential character of a complete or finished article which is used in agriculture. As a 

sheet, the identity of the article was not fixed with certainty. Even though articles made 

from it were intended for use in the care and keeping of hogs, in its condition as 

imported the plastic sheeting did not have the requisite attributes of an agricultural 

implement and heading 9817.00.50 was ruled out. See HQ 952796, dated January 29, 

1993. Customs later issued a ruling to the same importer on plastic sheeting imported 

cut to the size of an article with a demonstrated agricultural use, in this case as 

gates/doors to a hog pen. Customs agreed with the importer that the cut-to-size pieces 

had a fixed identity in their imported condition and therefore the goods were within the 

meaning of the terms of heading 9817.00.50, HTSUS. See HQ 955597, dated May 31, 

1994. 

Parts

The courts have considered the nature of “parts” under the HTSUS and 

two distinct though not inconsistent tests have resulted. (See Bauerhin 

Technologies Limited Partnership, & John V. Carr & Son, Inc. v. United 

States, (“Bauerhin”) 110 F.3d 774 (“We conclude that these cases are not 

inconsistent and must be read together.” At 779)). The first, articulated in 

United States v. Willoughby Camera Stores, (“Willoughby Camera”) 21 

C.C.P.A. 322 (1933) requires a determination of whether the imported 

item is “an integral, constituent, or component part, without which the 

article to which it is to be joined, could not function as such article.” At 324. 

The second requires a determination of whether the imported item is 

dedicated solely for use with the article in question. United States v. 

Pompeo, (“Pompeo”) 43 C.C.P.A. 9 (1955). 

HQ H005091, January 24, 2007. 

Heading 9817.00.50, HTSUS, does not provide for parts. Nonetheless, some 

importers have claimed that their goods, which are parts, are within the meaning of the 

terms “machinery”, “equipment” and “implements”. A case in point is HQ 086019, dated 

March 24, 1990, in which the merchandise was a choker grapple and slack-pulling 

carriages used with log yarders in the logging industry. It was claimed that these goods 

were machinery, equipment or implements of heading 9817.00.50. The articles were 

not excluded from heading 9817.00.50 by operation of Note 2, Subchapter XVII, 

Chapter 98, and were engaged in a legitimate agricultural pursuit, the transportation of 

harvested logs. Customs found that the log yarder was the machine, equipment or 

implement that moved the logs. The choker grapple and the slack-pulling carriage were 

necessary components of the log yarder. However, they were not the machine, 

equipment, or implement which fulfilled the task and by themselves did not accomplish 

the pursuit of transporting logs, but were merely components of the machine, 

equipment, or implement which did so. Since they were held to be parts for the 

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purposes of heading 9817.00.50, and parts are not included therein, the two articles did 

not meet the second part of the test and thereby failed to qualify under heading 

9817.00.50. 

HQ 086019 was a reconsideration NY 834692, dated January 9, 1989, which 

concerned the classification of front-end loaders for use with agricultural tractors. The 

front-end loaders were intended for cleaning barns, moving hay and grain, feeding 

livestock and other farm uses. The front-end loader incorporated a mounting frame and 

a specially designed bucket or other attachment unique to the frame in question. The 

mounting frame was installed onto the tractor and held the bucket or other attachment 

(hay grapple, pallet fork, bale fork, or spear). The mounting frame and the bucket, when 

imported together, were classified within subheading 8428.90.00, HTSUSA, as "Other 

lifting, handling, loading or unloading machinery ... Other machinery..." (now, 

subheading 8428.90.01). The bucket, when imported separately, was classified within 

subheading 8431.39.00, HTSUSA, as "Parts suitable for use solely or principally with 

the machinery of headings of 8425 to 8430 ... Other ...". Alternatively, if the required 

use certification of 19 CFR 10.138 was met, the mounting frame imported with the 

bucket may have been classified within heading 9817.00.50, HTSUS. NY 834692 

determined that the bucket, when imported separately, was not classifiable within 

heading 9817.00.50. Customs upheld this position saying that the "machinery", 

"equipment" or "implement" which performed the agricultural pursuit of moving farm 

yard items was the tractor with the front-end loader. The bucket in question was merely 

a part of the machine, equipment or implement which performed the agricultural task. 

Therefore, the bucket was ineligible for classification under heading 9817.00.50. 

 Congress did not intend that all items used as a part of agricultural or horticultural 

equipment should receive duty free treatment. See HQ 086883, dated May 1, 1990, 

and HQ 087076, dated June 14, 1990. With the exception of parts or components of 

functional units, only those parts which are actually used as parts of machinery of 

headings 8432, 8433, 8434 or 8436, HTSUS, receive the benefit of duty free entry 

under heading 9817.00.60. 

 A ruling which considers the nature of “parts” under heading 9817.00.60, 

HTSUS, is HQ 952440, dated August 27, 1992. The articles in question were 

gearboxes and their parts, to be incorporated into rotary mowers, posthole diggers and 

farm irrigation systems. Customs found that these larger items were the machines, 

equipment or implements that did the mowing, digging or irrigating in agricultural 

pursuits. The gear boxes, although necessary components of the machines, equipment 

or implements that performed these pursuits, did not themselves fulfill the tasks of 

mowing, digging and irrigating. Therefore, the gear boxes did not meet the terms of 

heading 9817.00.50, HTSUSA. Customs found, however, that gear boxes and their 

parts were not excluded from heading 9817.00.60, HTSUS, by operation of the 

exclusionary notes. Therefore, if the importer could establish that the rotary mowers, 

posthole diggers and irrigation systems which incorporated the gear boxes and parts 

were classified in one of the four mentioned headings of heading 9817.00.60, then the 

terms of the heading were met. Of the three articles, the importer could only satisfy 

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Customs that the rotary mowers were classified in one of the four necessary headings. 

Customs found that rotary mowers for the mowing of grass or hay were classified in 

heading 8433, HTSUS, and that, therefore, the gear boxes and parts of gear boxes to 

be incorporated into rotary mowers would meet the terms of heading 9817.00.60. It 

should be noted that Customs’ position on parts of gear boxes, formulated under 

the Tariff Schedules of the United States (TSUS), was based on the “more than” 

doctrine, which has been revoked by operation of law. JVC Company of America, 

Division of US JVC Corporation v. United States, 234 F.3d 1348 (2000). It is the 

position of CBP that a subpart of a particular part of an article is more specifically 

provided for as a part of the part than as a part of the whole. C.F. Liebert v. 

United States, 60 Cust. Ct. 677, 686-87, 287 F. Supp. 1008, 1014 (1968), noted by 

the Court of International Trade in Mitsubishi Electronics America v. United 

States. However, the gear boxes used with irrigation systems and posthole diggers 

were not included in heading 9817.00.60, HTSUS. Irrigation systems were classified in 

heading 8424, HTSUS, as "mechanical appliances ... for projecting, dispersing or 

spraying liquids ...", and posthole diggers were classified in heading 8430, HTSUS, as 

"other moving, grading, leveling, scraping, excavating, tamping, compacting, extracting, 

or boring machinery ...". Headings 8424 and 8430 were not listed in the language of 

heading 9817.00.60, HTSUS. Therefore, the gear boxes to be used with irrigation 

systems and posthole diggers were not entitled to duty free treatment under 

9817.00.60. 

In Headquarters Ruling 087849, dated May 22, 1991, concerning the 

classification of rubber belting used on harvesting machinery, belting was imported both 

cut to specific lengths and in 100-meter rolls. Concerning the belting in material 

lengths, Customs took the position that since the belting was material it could not meet 

the definition of the term “parts” as understood by the heading. The belting cut to 

specific lengths, however, had the essential character of a part and would meet the 

terms of the heading if it were actually used on the harvesting machinery, which was 

provided for in heading 8433, HTSUS. 

Functional Units 

There is an important “exception” to the rule that only those parts which are 

actually used as parts of machinery of headings 8432, 8433, 8434 or 8436, HTSUS, will 

receive the benefit of the duty free provision of heading 9817.00.60. That exception 

concerns articles which are parts or components of machines held to be classified in 

one of the four-named headings but which were classified therein by operation of 

Section XVI, Note 4, covering functional units. This Note states that: 

[w]here a machine (including a combination of machines) consists of 

individual components (whether separate or interconnected by piping, by 

transmission devices, by electric cables or by other devices) intended to 

contribute together to a clearly defined function covered by one of the 

headings in Chapter 84 or Chapter 85, then the whole falls to be classified 

in the heading appropriate to that function. 

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February 2008 

A functional unit classified as such by operation of Section XVI, Note 4, exists, for 

tariff purposes, in and of itself and there is no provision, anywhere in the tariff, for parts 

of functional units. A case in point concerns an incomplete electric fence system. If 

imported in its entirety - the energizer, the fencing and its subcomponents, and the 

grounding system - such a system would be classified in subheading 8436.80, HTSUS, 

--as other agricultural machinery, by operation of Section XVI, Note 4. However, if 

components of the system were imported separately, they would not be classified in the 

parts provision of heading 8436, HTSUS, but in their own separate provisions. Each 

article would be classified in its imported condition in the tariff provision which best 

described it. For the electric fence system or any of its components to be considered 

classifiable in heading 8436, HTSUS, it would have to be entered as a complete 

functional unit or have the essential character of the complete functional unit. Because 

the components of the electric fence system cannot be classified as parts of a functional 

unit, they would not qualify for duty-free treatment under heading 9817.00.60, HTSUS, 

because they are not "parts". See HQ 960632, dated October 27, 1997. 

In summary, it is first necessary to identify the pursuit in question as either 

agricultural or horticultural. Next, it must be established that there is a connection 

between the article and the agricultural or horticultural pursuit. Lastly, it must be 

determined whether the article is the machinery, equipment or implement which 

accomplishes that pursuit or whether it is a part of machinery of the four named 

headings. 

PART 3 - ACTUAL USE CERTIFICATION 

The last part of the test calls for compliance with the regulatory requirements 

governing actual use provisions as authorized by Additional U.S. Rule of Interpretation 

1(b), HTSUS, which was introduced at the beginning of this publication. What this 

means is that a good which is not excluded by the Notes covering heading 9817.00.50 

or 9817.00.60 and which satisfies the terms of the relevant headings will qualify for the 

duty-free benefit of those headings, if actual use for an agricultural or horticultural use is 

intended at the time of importation, the good is so used and the end-user or any one 

having knowledge of such use submits proof of that use within three years of 

importation. The pertinent Bureau of Customs and Border Protection (CBP) 

Regulations appear in Title 19, Code of Federal Regulations (CFR), part 10.131 through 

10.139 (19 CFR §10.131-10.139). These are reproduced in a separate section at the 

end of this publication. 

The first point to be made is that actual use is required for agricultural or 

horticultural purposes in an agricultural or horticultural setting. This does not 

necessarily have to be on a farm. Indeed, many horticultural uses may be realized in 

domestic or home garden environments. However, the duty-free provision is intended 

to benefit the use of a good employed for agricultural or horticultural purposes. Such a 

use will invariably take place in an agricultural or horticultural setting. HQ 953152, 

dated March 15, 1993, concerned among other things, the use of agricultural weighing 

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The Agricultural Actual Use Provisions 

February 2008 

scales by veterinarians and by farmers. Customs found that the weighing of farm 

animals for the purpose of charting growth rates, detecting illnesses, determining sale 

price, among other things, was a legitimate agricultural purpose. The ruling stated that: 

[e]ntries under 9817.00.50 are not limited to actual use by a farmer on his 

farm. Actual use in an agricultural or horticultural pursuit is the test, 

regardless of the user. ... Thus, an actual use certification for scales used 

by a veterinarian on a farm, either his farm or someone else's ... would be 

acceptable for 9817.00.50 purposes, while a certification in his personal 

practice would not. 

Thus, it appears that the agricultural or horticultural purpose must take place in a 

like environment. An agricultural or horticultural purpose cannot be satisfied except in a 

place suitable to that purpose. For example, a tool that might be used both on a farm to 

assist in the raising of livestock and in a slaughterhouse is one which would be eligible 

under heading 9817.00.50, HTSUS, in the agricultural environment but not in the 

marketing environment. 

Sections 10.131 to 10.139 of the CBP Regulations provide the ground rules for 

the certification process. Section 10.134 deals with the first of the three conditions 

required to be met, that is, that actual use for the purpose claimed must be intended at 

the time of importation. The intended use at the time of importation must be evidenced 

by a declaration of intent which is filed with the entry for consumption or for warehouse 

or, by entering the proper actual use subheading of the HTSUS on the entry form. 

Thus, either some form of statement by the importer evidencing intended use or 

entering the merchandise under an actual use provision, in this case either heading 

9817.00.50 or 9817.00.60, HTSUS, is required under section 10.134. The posting of a 

missing document bond in lieu of either a statement of intent does not constitute a 

declaration of intent. See HQ 088178 of January 14, 1991. However, Customs has 

found that entering an article under an agricultural heading demonstrates an "intent of 

entering the merchandise for the use of agriculture." Thus, if merchandise is entered in 

a recognized agricultural subheading, such as 8436.80, HTSUS, which provides for 

other agricultural, horticultural or forestry machinery, and is later found to be classified 

elsewhere, this use of the agricultural heading would satisfy the requirement to declare 

intent. 

The second and third requirements stipulating that an article be used as intended 

at entry and that proof be submitted within three years of entry is covered by section 

10.138 of the Regulations, which states as follows: 

Within 3 years from the date of entry or withdrawal from warehouse 

for consumption, the importer shall submit in duplicate in support of 

his claim for free entry or for a reduced rate of duty a certificate 

executed by (1) the superintendent or manager of the 

manufacturing plant, or (2) the individual end-user or other person 

having knowledge of the actual use of the imported article. The 

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The Agricultural Actual Use Provisions 

February 2008 

certificate shall include a description of the processing in sufficient 

detail to show that the use contemplated by the law has actually 

taken place. A blanket certificate covering all purchases of a given 

type of merchandise from a particular importer during a given 

period, or all such purchases with specified exceptions, may be 

accepted for this purpose, provided the importer shall furnish a 

statement showing in detail, in such a manner as to be readily 

identified with each entry, the merchandise which he sold to such 

manufacturer or end-user during such period. 

The U.S. Customs Service promulgated a decision covering the guidelines for 

determining the acceptability of certificates of actual use in C.S.D. 83-32 (HQ file 

069623), dated November 29, 1982. A copy of this decision is included in a separate 

section at the end of this publication. Although these guidelines were issued for the 

Tariff Schedules of the United States (TSUS) items 870.40 and 870.45, the 

predecessors of headings 9817.00.50 and 9817.00.60, HTSUS, they remain current 

CBP policy. The language of the headings remains unchanged and no different 

interpretation of that language is required under the HTSUS. C.S.D. 83-32 and certain 

rulings based on this decision are the basis of the following discussion. 

The burden of satisfying the actual use certification requirement is on the 

importer. Certifications submitted for each entry must be capable of substantiation by 

evidence of use that is acceptable to the Customs officer and verifiable from the 

importer's records or the records of a certifying person which are available to Customs 

through the importer. This information must be kept for a three-year period following the 

liquidation of the entry (19 CFR §10.137). 

Certification of Machines, Equipment and Implements under Heading 9817.00.50 

It is essential that an actual user either be engaged in an agricultural or 

horticultural pursuit or use the imported equipment only in agricultural or horticultural 

pursuits. Thus, an actual user may be someone who is not a farmer but whose 

business is agricultural or horticultural in nature - for example, a contractor whose 

business is tilling or draining land for agricultural purposes. Similarly, multi-purpose 

equipment must be intended for use only in agricultural pursuits. For example, a 

trencher which may be used to dig irrigation ditches on farms in addition to a number of 

other, non-agricultural applications may be accorded heading 9817.00.50, HTSUS, 

status if it is intended to be used and is so used only in agricultural pursuits. 

Certification of actual use may be accepted at the time of importation for an entry 

of articles if those articles are the subject of an existing contract of sale to an 

appropriate end user. 

Some machines, equipment and implements are of such a nature that their use 

other than in agriculture or horticulture would be fugitive. They may not have been 

classified in the agricultural provisions because there was a more specific provision or 

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The Agricultural Actual Use Provisions 

February 2008 

because there was no agricultural provision which described them. There are more 

than 100 rulings on such articles. Greenhouse structures, grain bins, planters and 

animal vaccinators are but a few examples of such goods. These goods may be 

certified by the importer either individually or by using a blanket certificate after all such 

imported articles are sold, whether to end users or to others who distribute to 

appropriate end users. It should be emphasized that certification of future use or 

probable use is not sufficient under the language of Additional U.S. Rule 1(b), HTSUS. 

Congress intended to make certain that the duty-free benefits of these headings would 

not be misdirected. CBP has recognized however, that importations of certain of these 

articles, such as planters, could not feasibly be certified as to their actual use in 

accordance with the demanding statutory language. These articles are of the type 

which are imported in large shipments and then distributed to numerous wholesale or 

resale distributors. A certification by the importer which states that the article(s) may 

only be used for the agricultural or horticultural use for which they are intended may be 

accepted at the time of importation. The importer should be made aware that any 

knowledge of any other use should be brought to the attention of CBP. 

Multiple use articles require that the importer certify or obtain a certificate which 

will indicate knowledge of the actual use or of the individual end user for each item. 

Certification can be satisfied by accounting and production records as long as the 

information is sufficient to show the disposition of the imported merchandise. 

Certification of Parts under Heading 9817.00.60 

Certification of actual use from importers and manufacturers of parts of 

machinery of headings 8432, 8433, 8434 or 8436, HTSUS, may be made after the 

imported parts are used in the assembly or manufacture of that machinery. Acceptable 

accounting procedures must be used to identify the actual use of the goods. 

Replacement parts for goods of the specified headings may be certified by an importer if 

he shows evidence that the parts are specifically designed for the machines of the 

named headings, that other uses are fugitive, and that the parts have been sold to other 

distributors of the replacement parts or to actual end users. Certification can be made 

at entry if there exists a contract between the importer and such distributors or users. 

Parts which may be used in machines other than those of the named headings or which 

have multiple uses may be certified only if the importer has knowledge of each end user 

or if the importer can submit certificates from each end user. Caution is once again 

urged with respect to parts or components of systems which are classified in one of the 

four-named headings as functional units under Section XVI, Note 4, because such parts 

or components cannot be classified in heading 9817.00.60, HTSUS. 

Evidence of the nature of the article, the network and level of distribution, 

accounting records and other commercial data will be sufficient in most cases to permit 

certification of the merchandise during the three year window if not at the time of entry. 

Below are the CBP Regulations governing actual use and a U.S. Customs 

Service Decision on guidelines for the acceptability of actual use certificates. Generally, 

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The Agricultural Actual Use Provisions 

February 2008 

certificates will be accepted in any format so long as they satisfactorily establish the 

facts of the case and can be proven by the importer if needed. 

PERTINENT CBP REGULATIONS 

§10.131 Circumstances in which applicable. 

The provisions of §§10.131 through 10.139 are applicable in those circumstances in 

which the rate of duty applicable to merchandise is dependent upon actual use, unless 

there is a specific provision in this part which governs the treatment of the merchandise. 

However, specific marking or certification requirements, such as those for bolting cloths 

in section 10.58, may be applicable to merchandise subject to the provisions of sections 

10.131 - 10.139. 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971, as amended by T.D. 86 - 118, 51 

FR 22515, June 20, 1986] 

§10.132 [Reserved] 

§10.133 Conditions required to be met. 

When the tariff classification of any article is controlled by its actual use in the United 

States, three conditions must be met in order to qualify for free entry or a lower rate of 

duty unless the language of the particular subheading of the Harmonized Tariff 

Schedule of the United States applicable to the merchandise specifies other conditions. 

The conditions are that: 

(1) Such use is intended at the time of importation. 

(2) The article is so used. 

(3) Proof of use is furnished within 3 years after the date the article is entered or 

withdrawn from warehouse for consumption. 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971, as amended by T.D. 89 - 1, 53 FR 

51252, Dec. 21, 1988] 

§10.134 Declaration of intent. 

A showing of intent by the importer as to the actual use of imported merchandise 

shall be made by filing with the entry for consumption or for warehouse a declaration as 

to the intended use of the merchandise, or by entering the proper subheading of an 

actual use provision of the Harmonized Tariff Schedule of the United States (HTSUS) 

and the reduced or free rate of duty on the entry form. Entry made under an actual use 

provision of the HTSUS may be construed as a declaration that the merchandise is 

entered to be used for the purpose stated in the HTSUS, provided the port director is 

satisfied the merchandise will be so used. However, the port director shall require a 

written declaration to be filed if he is not satisfied that merchandise entered under an 

actual use provision will be used for the purposes stated in the HTSUS. 

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February 2008 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971, as amended by T.D. 89 - 1, 53 FR 

51252, Dec. 21, 1988] 

§10.135 Deposit of duties. 

When the requirement of §10.134 has been met the merchandise may be entered or 

withdrawn from warehouse for consumption without deposit of duty when proof of use 

will result in free entry, or with deposit of duty at the lower rate when proof of use will 

result in a lower rate of duty. 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971, as amended by T.D. 84 - 213, 49 

FR 41166, Oct. 19, 1984] 

§10.136 Suspension of liquidation. 

Liquidation of an entry covering merchandise for which a declaration of intent has 

been made pursuant to §10.134 and any required deposit of duties made, shall be 

suspended until proof of use is furnished or the 3-year period allowed for production 

thereof has expired. 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971] 

§10.137 Records of use. 

 (a) Maintenance by importer. The importer shall maintain accurate and detailed 

records showing the use or other disposition of the imported merchandise. The burden 

shall be on the importer to keep records so that the claim of actual use can be readily 

established. 

 (b) Retention of records. The importer shall retain records of use or disposition for a 

period of 3 years from the date of liquidation of the entry. 

 (c) Examination of records. The records required to be kept by paragraph (a) of this 

section shall be available at all times for examination and inspection by an authorized 

Customs officer. 

Authority: [T.D. 71 - 139, 36 FR 10726, June 2, 1971] 

§10.138 Proof of use. 

Within 3 years from the date of entry or withdrawal from warehouse for consumption, 

the importer shall submit in duplicate in support of his claim for free entry or for a 

reduced rate of duty a certificate executed by (1) the superintendent or manager of the 

manufacturing plant, or (2) the individual end-user or other person having knowledge of 

the actual use of the imported article. The certificate shall include a description of the 

processing in sufficient detail to show that the use contemplated by the law has actually 

taken place. A blanket certificate covering all purchases of a given type of merchandise 

21
The Agricultural Actual Use Provisions 

February 2008 

from a particular importer during a given period, or all such purchases with specified 

exceptions, may be accepted for this purpose, provided the importer shall furnish a 

statement showing in detail, in such manner as to be readily identified with each entry, 

the merchandise which he sold to such manufacturer or end-user during such period. 

Authority: [T.D. 71 - 139, 36 FR 10727, June 2, 1971]

§10.139 Liquidation. 

 (a) In general. Upon satisfactory proof of timely use of the merchandise for the 

purpose specified by law, the entry shall be liquidated free of duty or at the lower rate of 

duty specified by law. When such proof is not filed within 3 years from the date of entry 

or withdrawal from warehouse for consumption, the entry shall be liquidated dutiable 

under the appropriate subheading of the Harmonized Tariff Schedule of the United 

States. 

* * * 

Authority: [T.D. 71 - 139, 36 FR 10727, June 2, 1971, as amended by T.D. 89 - 1, 53 FR 

51252, Dec. 21, 1988] 

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C.S.D. 83-32 - HQ LETTER 069623 

NOVEMBER 29, 1982 

CLA-2 CO:R:CV:G 

069623 JLV 

Re: Guidelines for Determining the Acceptability of Certificates of Actual Use 

Submitted for Entries Made Under Items 870.40 and 870.45 

Dear Sir: 

In order to provide uniformity in the requirements for acceptance of actual use 

certification for entries under item 870.40 and 870.45, Tariff Schedules of the United 

States (TSUS), specific guidelines have been established. These guidelines are issued 

in response to a request for advice from the District Director, Pembina, dated November 

4, 1981. 

The scope of item 870.40, is limited by Headnote 2 (Schedule 8, Part 7) and by 

the intent of Congress to those articles which are described in 666.00, but are not 

classifiable thereunder because they are not chiefly used in agricultural and horticultural 

pursuits or are provided for under a more specific tariff provision. Therefore, the scope 

of item 870.40 is controlled by the headnote exceptions and the various judicial, 

administrative, and legislative decisions affecting item 666.00. Actual use, in this case, 

requires use by an individual for agricultural or horticultural purposes. 

The scope of 870.45 is somewhat different. It provides for parts of articles 

provided for in item 666.00. The term "provided for" is more narrowly construed than 

the term "described" and refers to articles classifiable in item 666.00. Furthermore, 

parts imported under 870.45 need only be certified as to actual use in 666.00 articles. 

Actual use in agricultural or horticultural pursuits is not the controlling issue in 870.45 

certification. Actual use, in this case, requires only that the imported parts be used in 

articles classifiable in item 666.00, whether or not the articles are used in agricultural or 

horticultural pursuits. 

The certification requirements for items 870.40 and 870.45 are to be reasonably 

tied to the circumstances of each case. Factors to be considered include the nature of 

an imported article, level of distribution, value and size of an importation. All of these 

elements and other relevant factors must be considered. In many cases the nature of 

an article as a replacement part for agricultural equipment will be apparent. For 

example, articles that are specially designed or have a designated part number can be 

reasonably identified to be destined for use on a specific article which is provided for in 

item 666.00. Furthermore, importation and distribution to factory-authorized parts 

dealers is reasonable evidence that the components will be used in the equipment for 

which they are designated. If the imported parts have more than a fugitive application 

to equipment other than agricultural equipment, then the level of distribution could 

23
The Agricultural Actual Use Provisions 

February 2008 

narrow the extent of the claim for 870.45 treatment. Other factors considered relevant 

by the Customs officer at the port of entry may be used to consider whether an importer 

would have sufficient knowledge of actual use without obtaining separate statements 

from the individual users. This illustration is but one example of how factors are to be 

considered as relevant for an entry under 870.45, in which an importer certifies as to 

actual use. 

The burden of satisfying the actual-use certification requirement is on the 

importer. The importer is, for Customs audit purposes, the only one who can be directly 

audited on an entry. Therefore, the certifications submitted for each entry must be 

substantiated by evidence of use acceptable to Customs and verifiable from the 

importer's records or the records of a certifying person which are available to Customs 

through the importer. However, in some cases, such as those involving certain types of 

replacement parts, there will be sufficient evidence of "knowledge" on the part of the 

importer or certifier that will be acceptable even though the parts have not been actually 

traced to each end user. Furthermore, Customs will only accept an entry for the 

percentage of articles which can be reasonably shown by the importer to be destined for 

use within the meaning of 870.40 and 870.45. 

Because the importer remains liable at all times, it is important that the importer 

be aware of the claims being made on the certificate of actual use. If an importer is in 

doubt, he should request a ruling from Headquarters. For example, a replacement part 

may be imported for a piece of farm equipment which is not provided for in item 666.00. 

In such case item 870.45 would not apply. 

With these considerations in mind, the following guidelines should be used as the 

basis for acceptance of certification of actual-use: 

Item 870.40

1. Certification of actual-use may be accepted at the time of importation for 

an entry of articles imported under item 870.40 if the articles are the subject of an 

existing contract of sale to an appropriate end user. The importer-seller may certify 

actual-use to Customs on this basis. 

2. Some articles described in item 666.00 are not so classifiable because 

there is a more specific provision. These articles may be shown to be of a kind solely 

used for agricultural or horticultural purposes because of size, construction, capacity, 

type of distribution (if any), and type of market in the area of distribution. Any other use 

would be fugitive. Upon submission of evidence as to the use of these articles (i.e., 

silos, grain bins, heaters), an importer may submit certification of actual-use after all 

such imported articles are sold, whether to end-users or to others who distribute to 

appropriate end users. 

3. Multi-purpose articles entered under item 870.40 require that an importer 

certify or obtain a certificate which will indicate knowledge of the actual use or of the 

24
The Agricultural Actual Use Provisions 

February 2008 

individual end user for each item. Such articles, for example, would include land 

leveling equipment, nonagricultural scrapers, general-purpose steel buildings, and other 

equipment which can be used for agricultural or horticultural purposes. 

Item 870.45

4. Certification of actual-use is accepted from importers and manufacturers 

of 666.00 equipment after the imported parts are used in the assembly or manufacture 

of 666.00 equipment. The certifying party must be able to show that the imported 

articles were shipped to the manufacturer's plant, were entered into its inventory, and 

were withdrawn for production purposes. Acceptable FIFO accounting procedures are 

sufficient to identify use of the imported articles. 

5. Replacement parts for 666.00 equipment may be certified as to actual-use 

by an importer if he submits evidence that a) the parts are specially designed for the 

666.00 equipment and other uses are merely fugitive, b) and the parts have been sold 

by the importer to other distributors of the replacement parts or to actual end users. 

Certification of actual-use may be made at entry if the parts are the subject of an 

existing contract of sale by the importer to such distributors or users. 

6. Replacement parts which have possible application equipment not 

provided for in item 666.00 may be certified as to actual-use by an importer if he 

submits evidence that a) the imported parts are identified by a replacement part number 

or catalogue for specific application to 666.00 equipment, and b) have been sold to 

factory-authorized or similar retail or wholesale distributors of replacement parts for the 

specific 666.00 equipment. 

7. Certification of actual-use for replacement parts which have application to 

multiple types of equipment and machinery would normally be acceptable from an 

importer only if the importer has knowledge of each end user or if the importer can 

submit statements of use from each end user. If, however, an importer can identify a 

distributor, to whom all or part of the imported articles are sold, as one who sells only 

replacement or repair parts for 666.00 equipment, then certification would be 

acceptable. 

These guidelines permit certification of actual-use by an importer for many 

situations before the imported articles reach the end-users. This position is based on 

two primary determinations. First, evidence of a sale to an appropriate end-user or 

distributor is sufficient evidence of actual-use even though the articles have not yet 

been delivered. The articles have been entered into the chain of commerce which will 

result in the required end use. Second, certain practical considerations are necessary 

to make items 870.40 and 870.45 economically viable preferential provisions intended 

by Congress. Evidence of the nature of the articles, method of distribution, and other 

commercial data will be sufficient in most cases to permit certification of actual-use at 

the time the articles are entered into the commercial channels which lead to the desired 

end-use. If an importer cannot demonstrate that the normal course of trade for the 

25
The Agricultural Actual Use Provisions 

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articles in question will result in the intended actual-use as required by item 870.40 or 

870.45, then the importer will have to trace the articles further along the distribution 

route before certification of actual-use can be made. 

These guidelines do not propose to cover all situations. Not every article 

intended for agricultural or horticultural purposes will necessarily be given duty-free 

treatment. Congress has even stated that despite the overriding intent to provide dutyfree treatment for agricultural articles, some articles will not be included. However, 

these guidelines are intended to give effect to the intent of 870.40 and 870.45 by 

reducing the economic and administrative burden on both importers and the Customs 

Service. 

Sincerely, 

Robert P. Schaffer 

Assistant Commissioner 

Commercial Operations 

 

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February 2008 

ADDITIONAL INFORMATION 

The Internet 

The home page of U.S. Customs and Border Protection on the Internet’s World Wide 

Web, provides the trade community with current, relevant information regarding CBP 

operations and items of special interest. The site posts information -- which includes 

proposed regulations, news releases, publications and notices, etc. -- that can be 

searched, read on-line, printed or downloaded to your personal computer. The web site 

was established as a trade-friendly mechanism to assist the importing and exporting 

community. The web site also links to the home pages of many other agencies whose 

importing or exporting regulations that U.S. Customs and Border Protection helps to 

enforce. The web site also contains a wealth of information of interest to a broader 

public than the trade community. For instance, the “Know Before You Go” publication 

and traveler awareness campaign is designed to help educate international travelers. 

 

The web address of U.S. Customs and Border Protection is http://www.cbp.gov

Customs Regulations 

The current edition of Customs and Border Protection Regulations of the United States 

is a loose-leaf, subscription publication available from the Superintendent of 

Documents, U.S. Government Printing Office, Washington, DC 20402; telephone (202) 

512-1800. A bound edition of Title 19, Code of Federal Regulations is also available for 

sale from the same address. All proposed and final regulations are published in the 

Federal Register, which is published daily by the Office of the Federal Register, National 

Archives and Records Administration, and distributed by the Superintendent of 

Documents. Information about on-line access to the Federal Register may be obtained 

by calling (202) 512-1530 between 7 a.m. and 5 p.m. Eastern time. These notices are 

also published in the weekly Customs Bulletin described below. 

Customs Bulletin 

The Customs Bulletin and Decisions (“Customs Bulletin”) is a weekly publication that 

contains decisions, rulings, regulatory proposals, notices and other information of 

interest to the trade community. It also contains decisions issued by the U.S. Court of 

International Trade, as well as customs-related decisions of the U.S. Court of Appeals 

for the Federal Circuit. Each year, the Government Printing Office publishes bound 

volumes of the Customs Bulletin. Subscriptions may be purchased from the 

Superintendent of Documents at the address and phone number listed above. 

27
The Agricultural Actual Use Provisions 

February 2008 

Importing Into the United States 

This publication provides an overview of the importing process and contains general 

information about import requirements. The current edition of Importing Into the United 

States contains much new and revised material brought about pursuant to the Customs 

Modernization Act (“Mod Act”). The Mod Act has fundamentally altered the relationship 

between importers and U.S. Customs and Border Protection by shifting to the importer 

the legal responsibility for declaring the value, classification, and rate of duty applicable 

to entered merchandise. 

The current edition contains a section entitled "Informed Compliance." A key component 

of informed compliance is the shared responsibility between U.S. Customs and Border 

Protection and the import community, wherein CBP communicates its requirements to 

the importer, and the importer, in turn, uses reasonable care to assure that CBP is 

provided accurate and timely data pertaining to his or her importation. 

Single copies may be obtained from local offices of U.S. Customs and Border 

Protection, or from the Office of Public Affairs, U.S. Customs and Border Protection, 

1300 Pennsylvania Avenue NW, Washington, DC 20229. An on-line version is 

available at the CBP web site. Importing Into the United States is also available for 

sale, in single copies or bulk orders, from the Superintendent of Documents by calling 

(202) 512-1800, or by mail from the Superintendent of Documents, Government Printing 

Office, P.O. Box 371954, Pittsburgh, PA 15250-7054. 

Informed Compliance Publications 

U.S. Customs and Border Protection has prepared a number of Informed Compliance 

publications in the “What Every Member of the Trade Community Should Know 

About:...” series. Check the Internet web site http://www.cbp.gov for current 

publications. 

28
The Agricultural Actual Use Provisions 

February 2008 

Value Publications 

Customs Valuation under the Trade Agreements Act of 1979 is a 96-page book 

containing a detailed narrative description of the customs valuation system, the customs 

valuation title of the Trade Agreements Act (§402 of the Tariff Act of 1930, as amended 

by the Trade Agreements Act of 1979 (19 U.S.C. §1401a)), the Statement of 

Administrative Action which was sent to the U.S. Congress in conjunction with the TAA, 

regulations (19 C.F.R. §§152.000-152.108) implementing the valuation system (a few 

sections of the regulations have been amended subsequent to the publication of the 

book) and questions and answers concerning the valuation system. 

Customs Valuation Encyclopedia (with updates) is comprised of relevant statutory 

provisions, CBP Regulations implementing the statute, portions of the Customs 

Valuation Code, judicial precedent, and administrative rulings involving application of 

valuation law. A copy may be purchased for a nominal charge from the Superintendent 

of Documents, Government Printing Office, P.O. Box 371954, Pittsburgh, PA 15250-

7054. This publication is also available on the Internet web site of U.S. Customs and 

Border Protection. 

The information provided in this publication is for general information 

purposes only. Recognizing that many complicated factors may be 

involved in customs issues, an importer may wish to obtain a ruling under 

CBP Regulations, 19 C.F.R. Part 177, or obtain advice from an expert 

(such as a licensed Customs Broker, attorney or consultant) who 

specializes in customs matters. Reliance solely on the general 

information in this pamphlet may not be considered reasonable care.

Additional information may also be obtained from U.S. Customs and Border Protection 

ports of entry. Please consult your telephone directory for an office near you. The 

listing will be found under U.S. Government, Department of Homeland Security. 

29
The Agricultural Actual Use Provisions 

February 2008 

“Your Comments are Important” 

The Small Business and Regulatory Enforcement Ombudsman and 10 regional 

Fairness Boards were established to receive comments from small businesses about 

Federal agency enforcement activities and rate each agency’s responsiveness to small 

business. If you wish to comment on the enforcement actions of U.S. Customs and 

Border Protection, call 1-888-REG-FAIR (1-888-734-3247). 

REPORT SMUGGLING 1-800-BE-ALERT OR 1-800-NO-DROGA 

Visit our Internet web site: http://www.cbp.gov

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