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

SEPTEMBER 2015

CBP Publication # 0494-0316
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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

Revised March 2010

Revised September 2015

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 Word 2003®. 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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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 Part 177 of the CBP Regulations (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 U.S. Customs and

Border Protection, Office of International Trade, Executive Director, Regulations and Rulings, 90 

K Street N.E. 10th floor, Washington, D.C. 20229-1177.

Harold Singer

Acting 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

ADDITIONAL INFORMATION..................................................................23

The Internet................................................................................................................ 23

Customs Regulations ................................................................................................. 23

Customs Bulletin ........................................................................................................ 23

Importing into the United States ................................................................................. 24

Informed Compliance Publications ............................................................................. 24

Value Publications...................................................................................................... 25

“Your Comments are Important”................................................................................. 26
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INTRODUCTION

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

wide variety of goods, ranging from automobiles or aircraft to specialized merchandise 

such as spraying appliances for etching, stripping or cleaning semiconductor wafers. It 

is not sufficient merely to know the proper classification of merchandise in Chapters 1-

97 of the Harmonized Tariff Schedule of the United States (HTSUS). One must also be 

aware of and understand the requirements of Customs and Border Protection (CBP) 

and those of the numerous other agencies that affect importations, as well as the 

special classification provisions within Chapter 98 of the HTSUS which may change the 

classification of merchandise or rates of duty. Section XXII of the HTSUS (“Special 

Classification Provisions; Temporary Legislation; Temporary Modifications Established 

Pursuant To Trade Legislation; Additional Import Restrictions Established Pursuant to 

Section 22 of the Agricultural Adjustment Act, As Amended”), provides for secondary

rates of duty for specific goods that meet the conditions of that Section. 

Within Subchapter XVII of Section XXII of the HTSUS, which provides for “Other Special 

Classification Provisions,” there are two special classification provisions associated with 

agriculture which have their own complexities that must be understood in order to be 

properly applied. 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)

Almost all of the tariff provisions for goods used in agricultural pursuits found in Chapter 

84 of the HTSUS provide for a free rate of duty. Additionally, the special classification 

provisions of headings 9817.00.50 and 9817.00.60, HTSUS, which provide for a free 

rate of duty, may be applied to any article that meets the terms of either of these 

headings. Generally, the goods covered by headings 9817.00.50 and 9817.00.60, 

HTSUS are articles which are used for agricultural purposes but which are not already 

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 
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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.

This rule governs the certification process of an actual use provision and will be further 

discussed later in this publication. 

In all instances concerning these two provisions, it is imperative that the primary 

classification of a good must be established before proceeding with the rest of the 

process. Without this classification, it cannot be determined whether the article qualifies 

for consideration under heading 9817.00.50 or 9817.00.60, HTSUS. 

It is also required that the merchandise be a product of a “column one” country1in order 

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 HTSUS 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 beginning 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, HTSUS, and all applicable requirements are met, then the 

Chapter 98, HTSUS 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 98, HTSUS provision would then be the 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, now 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 

 

1 The rates of duty in column 1 of the HTSUS are rates which are applicable to all 

products other than those of the following countries: North Korea; Cuba.
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before an article can be classified in either of these headings the following three-part 

test must 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. 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, HTSUS. This 

list 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 7319.40, 7325.10, 7325.91, 7326.11 and 7326.19);

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

7419.91);

(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;
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(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, 

heading 8523, subheadings 8532.90 and 8539.90, heading 8542, 

subheadings 8543.11 through 8543.30, 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.

Therefore, if the primary classification of an article is within one of the provisions 

enumerated in Note 2, it has failed the first part of the test. Then, the actual use 

certification process stops at this point, and duties will be assessed 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. 

In NY 878847, dated October 2, 1992, steel rakes properly classifiable under 

subheading 8201.30.00, HTSUS, were excluded from the agricultural provision based 

upon Note 2(r). In NY 892189, dated November 26, 1993, aluminum wire stakes used 

in the gardening marketplace commercially throughout the United States for supporting 

plants properly classifiable in subheading 7616.90 (currently subheading 7616.91), 

HTSUS, were excluded from the special agricultural provision by Note 2(m). Finally, in 
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HQ 954656, dated July 28, 1993, a crop dusting airplane properly classified in 

subheading 8802.20, HTSUS, was excluded from the special agricultural provision by 

Note 2(x).

PART 2 – HEADING TEXT

IMPORTANT TERMS

The second part of the test calls for the merchandise to be included within the terms of 

heading 9817, HTSUS, as required by application of GRI 1. 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 that they be “used in the machinery of 

headings 8432, 8433, 8434 or 8436 [HTSUS].” The heading indicates that goods are 

classified there “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).” For further discussion within this publication see 

Certification of Parts under Heading 9817.00.60.

Heading 9817.00.50

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

The Merriam-Webster’s Collegiate Dictionary, Tenth Edition (1999). 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.

Machine: 1. f: A mechanically, electrically or electronically operated device for

performing a task. 

Equipment: 1. a: the set of articles or physical resources serving to equip a person or 

thing: as (1) the implements used in an operation or activity.

Implement: 1. An article serving to equip. 2. a device used in performance of a task. 

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

raising livestock. 

Horticulture:The science and art of growing fruits, vegetables, flowers, or ornamental 

plants. 

The second part of the test requires that the goods be a “machine,” “equipment,” or 

“implement” which is used for “agricultural” or “horticultural” purposes – as those terms 

are defined above. See HQ H035968, dated May 5, 2009. As such, to satisfy the 

second part of the test, the importer must establish that the article is a “machine”,

“equipment” or “implement” and an agricultural or horticultural pursuit must be identified. 
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For example, in HQ 952796, dated January 29, 1993, CBP 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, in HQ 089936, 

dated November 15, 1991, CBP determined 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. Also, in HQ 089242, dated August 13, 1991, CBP determined 

that a sap evaporator used to process sap into maple syrup was not involved in an 

agricultural pursuit. CBP found that, although the collection of sap was agricultural in 

nature, the processing of sap into maple syrup, and the use of 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.

Certain insect traps of NY 880892, dated 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.

As those terms are defined above, the next determination to be made is whether the 

subject merchandise is "machinery", "equipment" or "implement". 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 accepted as being for use in an agricultural pursuit since articles made from 

it after importation were used in the care and maintenance of swine; the 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, and required 

significant cutting by importers and distributors in the US after importation, CBP 

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

have the essential character of a complete or finished article. 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, HTSUS, was ruled out. See HQ 952796, dated January 29, 1993. A 

subsequent ruling was issued to the same importer on plastic sheeting imported already 

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

gates/doors to a hog pen. CBP agreed 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.
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Heading 9817.00.60

Heading 9817.00.60 provides for (1) “parts” which are (2) intended for use in articles 

provided for in headings 8432, 8433, 8434 and 8436. 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 (Fed. Cir. 1997). The first, articulated in United 

States v. Willoughby Camera Stores, (“Willoughby”) 21 C.C.P.A. 322, 324 (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.” The second, set forth in United States v. Pompeo (Pompeo), 43 C.C.P.A. 

9, 14 (1955), states that an “imported item dedicated solely for use with another article is 

a ‘part’ of that article within the meaning of the HTSUS.” Id. at 779 (citing Pompeo, 43 

C.C.P.A. 9 at 13). Under either line of cases, an imported item is not a part if it is “a 

separate and distinct commercial entity.” Bauherin, 110 F. 3d at 779. 

More recently, the Court of International Trade applied the Willoughby and Pompeo tests 

when it addressed the issue of whether two vase-shaped glass structures were 

classifiable as glassware in heading 7013, HTSUS, or as parts of lamps in heading 9405, 

HTSUS. Pomeroy Collection, Ltd., v. United States, 783 F. Supp. 2d 1257, No. 11-78 

(Ct. Int’l Trade 2011). In applying Willoughby to the first article, the court ruled that 

“[w]hen imported, the claimed article is dedicated solely for use in such article, and, 

when applied to that use, the claimed part meets the Willoughby test.” Ibid, at 1261-

1262. In Pomeroy, the court found that first article satisfied the Willoughby test because 

the hurricane lamp “clearly could not function without the first article in question” since 

the lamp relied upon the glass structure to hang upon. Id. at 1262. The court found that 

the second glass structure satisfied Pompeo because the evidence showed that the 

glass structure contained the flame and enabled the candles to remain lit and to prevent 

open flames. Thus, the court also found that the second article at issue also satisfied the 

Willoughby precedent because “when applied to that use” the lamp could not function 

without the glass structures. Id. In other words, to satisfy the Pompeo test, two prongs 

must be satisfied: (1) the article must be solely dedicated for use with the product it 

claimed to be a part of and, (2) when applied to that use, the article cannot function

without the article at issue.

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

equipment should receive duty free treatment. 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, HTSUS.

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. CBP found that these larger items were the machines, equipment or 

implements that did the mowing, digging or irrigating in agricultural pursuits. The gear 
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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, 

HTSUS. However, the 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, HTSUS, then the terms of the heading were met. Of 

the three articles, the importer could only satisfactorily show that the rotary mowers 

were classified in one of the four necessary headings. CBP determined that rotary 

mowers for the mowing of grass or hay were classified in heading 8433, HTSUS, and 

therefore, the gear boxes and parts of gear boxes to be incorporated into rotary mowers 

would meet the terms of heading 9817.00.60, HTSUS. (It should be noted that CBP’s 

position on parts of gear boxes, formulated under the Tariff Schedule 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, HTSUS, are 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, HTSUS.

“Parts” of 9817.00.50

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 the 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, HTSUS. The 

articles were not excluded from heading 9817.00.50, HTSUS, by operation of Note 2, 

Subchapter XVII, Chapter 98, HTSUS, and were used in a legitimate agricultural 

pursuit, the transportation of harvested logs. CBP 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 
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held to be parts, and parts are not included in heading 9817.00.50, HTSUS, the two 

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

heading 9817.00.50, HTSUS.

HQ 086019, dated March 24, 1990, was a reconsideration of NY 834692, dated January 

9, 1989, which concerned the classification of front-end loaders designed to be installed 

on 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 designed to be 

attached to the mounting frame arms 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, HTSUS, as "Other lifting, handling, loading or 

unloading machinery ... Other machinery..." (now, subheading 8428.90.02, HTSUS). 

The bucket, when imported separately, was classified within subheading 8431.39.00, 

HTSUS, as "Parts suitable for use solely or principally with the machinery of headings of 

8425 to 8430 ... Other ...” If the required use certification of 19 CFR 10.138 had been 

met, the mounting frame imported with the bucket may have been classified within 

heading 9817.00.50, HTSUS. However, NY 834692 determined that the bucket, when 

imported separately, was not classifiable within heading 9817.00.50, HTSUS. CBP 

stated 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, HTSUS.

Functional Units

There is an important aspect to the rule that only those parts which are actually used as 

parts of machinery will receive the benefit of the duty free provision of heading 

9817.00.60, HTSUS. It is important to note that parts of machines classified in

headings 8432, 8433, 8434 or 8436, HTSUS, which were classified therein by 

operation of Section XVI, Note 4, as “functional units,” are not necessarily classifiable in 

heading 9817.00.60. 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.

A case in point concerns an incomplete electric fence system designed and sold 

specifically for the purpose of managing livestock. If the fence system is imported in its 

entirety with the energizer, the fencing, the grounding system and its subcomponents, 

such a system would be classified in subheading 8436.80, HTSUS as other agricultural 
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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. Because the components of the 

electric fence system cannot be classified as parts of a functional unit and would be 

classified in other chapters of the HTS, they would not qualify for duty-free treatment 

under heading 9817.00.60, HTSUS, because they are not "parts" of that unit for 

classification purposes. See HQ 960632, dated October 27, 1997.

In summary, it must be established that there is an actual connection between the 

intended and designed use and function of the item and either an agricultural or 

horticultural pursuit. Also, 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 classifiable in headings 8432, 8433, 8434 or 8436, HTSUS, and that that 

machinery is used in an agricultural or horticultural pursuits.

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, HTSUS, and which satisfies the terms of the relevant headings, will qualify 

for the duty-free benefit of those headings, if the importer can certify that: (i) at the time 

of importation, the article is intended for agricultural or horticultural use; (ii) the article is 

so used; and (iii) proof of use is furnished within 3 years after the date the article is 

entered or withdrawn from warehouse for consumption. The pertinent 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.

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. HQ 

953152, dated March 15, 1993, concerned among other things, the use of agricultural 

weighing scales by veterinarians and by farmers. CBP 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 
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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. 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. The certification by the importer or user should establish both the use and 

the appropriate agricultural or horticultural location of use.

Sections 10.131 to 10.139 of the CBP Regulations provide the 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 a 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. However, merely 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 

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.
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In 1982, the former U.S. Customs Service promulgated a decision covering the 

guidelines for determining the acceptability of certificates of actual use in U.S. Customs 

Service Decision (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 Schedule 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 CBP officer and verifiable from the importer's records or 

the records of a certifying person which are available to CBP 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 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. 
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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. See 19 CFR 10.138.

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. 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, if imported separately,

would not 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, 

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.
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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.
The Agricultural Actual Use Provisions

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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 
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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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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.
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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, U.S. Government 

Printing Office, P.O. Box 979050, St. Louis, MO 63197-9000.

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.
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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.
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“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 1-888-NO-DROGA

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