Customs classification explained simply: Machinery of Chapters 84 and 85

The mechanical engineering industry faces a challenge. To put it simple: customs officials in the respective companies could possibly optimize here. The departments of these companies can work together as well as they can and supply each other with important information for their daily work, yet the customs tariff poses challenges for them. Simply because there is little background knowledge and the range of further education could also be expanded to deal more intensively with the customs tariff. This is also one reason why ERP master data in the field of foreign trade is often not properly maintained.

Even during my training as a technical customs officer in 2006, it would have been desirable to cover the two most important customs tariff chapters 84 and 85 (Section XVI) for mechanical engineering in more detail. This is because technical know-how is often lacking. Of course, I also don't just bring that along naturally. I mainly acquired it retrospectively during my activities in private industry. And even today, it is a constant process of learning.

In this article, I would like to offer an overview as well as occasional insights into the two chapters mentioned.

Definition of «Machinery»

The customs tariff defines the term »machinery« based on the function they perform. This is explained in Note 5 to Section XVI.

The membrane pump, for example, requires finding an appropriate functional description in chapters 84 and 85 at the level of the four-digit customs tariff number (often also referred to as »heading« or »number« in relevant laws).

The search is conducted using the web browser's search function. First, chapter 84 is opened and the word »pump« is entered.

I would like to point out that the wording »8413 – Liquid pumps, even with liquid meters; lifting devices for liquids« may not be sufficient. Even if the membrane pump is not explicitly mentioned there, it still constitutes a »liquid pump«.

The next step will be to check whether there are exclusions from this chapter. For this purpose, I call up the Notes to Section XVI (see chapter below).

Machinery with different functions: what now?

In the case of the membrane pump, the question arises as to what impact additional components, such as valves or an electric motor, have on the applicable heading in chapters 84 and 85. Reference is made here to heading 8481 (valves) and heading 8501 (electric motor). Which heading should be chosen in this case?

The Note 3 to Section XVI provides clarification. For machinery composed of different components and classified as a block, the main function of the entire machinery block must be determined. For these machines, there are dedicated headings in the customs tariff. When considering the membrane pump, it is evident that its main function clearly falls under the category of »pumps for liquids (…)« according to heading 8413. The remaining components are merely parts of the pump.

If the valves and/or the electric motor are traded as spare parts and shipped separately at a later time than the machine itself, they will, of course, also be classified under their respective headings.

The heart of chapters 84 and 85 are the (exclusion) notes to Section XVI

Before examining the headings of chapters 84 and 85 more closely, we must determine whether the machine or the spare part actually belongs here.

The very first Note of Section XVI and the first notes to the two chapters 84 and 85 deal with spare parts that are not classified in these chapters. For the mechanical engineering industry, the following exclusions are of particular relevance:

• Conveyor belts and drive belts made of plastics (3926), rubber (4010), or textiles (5910)

• Seals made of rubber (4016)

• Machine parts made exclusively of EPDM, NBR, SBR (4016)

• Pipes and fittings predominantly made of steel (7307) or plastics (3917)

• Simple pipes made of plastics (3917) or steel (7303–7306), which are not put up as sets

• Steel chains (7315)

• Screws, nuts, pins, keys, washers made of steel (7318) or plastics (3926)

• (Spiral) springs made of steel (7320)

• Interchangeable tools for machines (8207)

• Non-electrical hand tools with a working part made of steel, such as hand grease guns (Chapter 82)

• Steel hoses (8307)

• Measuring instruments such as flow meters or pressure gauges generally belong to chapter 90

• Machine parts made of ceramics (6909)

• Brushes for machines (9603)

Classification of other machine parts

Considering the exclusion notes in the aforementioned chapter, the question of how to classify other parts as machine parts or spare parts remains open. The Note 2 to Section XVI describes these in a detailed manner, which is difficult to understand. Therefore, a simplified explanation will be given below:

Classification in its own four-digit heading in Chapter 84, 85, or 90: Components sourced from a supplier with their «own» functionality

If a machine part is mentioned in a four-digit heading from chapters 84 or 85, classification occurs at the respective point and not in a subheading that mentions »parts«. For example, valves of a coffee machine do not belong in the subheading 8516 90 xx but in heading 8481.

It is recommended to go through all four-digit headings once and highlight for oneself what is relevant. In many cases, it can be assumed that electric parts or components with »own intelligence« from a specialized supplier are found under a four-digit heading in chapters 84, 85 or 90.

Classification in the corresponding (sub)headings with wording »parts«: Parts manufactured according to CAD drawings

What options are left, then? In most cases, these are stamped or injection-molded parts sourced from suitable suppliers according to CAD drawings. These fit exclusively into the respective machine for which they are intended. These parts have to be classified in the corresponding subheadings with the wording »parts (of…)«. For instance, an injection-molded housing part of a household coffee machine is classified in the subheading 8516 90 00 and the finished device itself in customs tariff number 8516 71 00.

Classification in the corresponding material chapter: General, regularly geometrical stamped and injection-molded parts

For stamped and injection-molded parts with regular shapes such as rectangles, profiles, or roundels, although they were manufactured according to drawings, they are not considered »exclusively recognizable for a particular machine«. These parts are therefore classified in the appropriate material chapter.

• Chapter 39: Plastics

• Chapter 40: Rubber

• Chapter 73: Steel

• and others

The general rule is that a well-informed layperson should be able to recognize without extensive research whether a machine part is considered exclusively recognizable or not.

What technical data of machines is required for classification?

After initially determining a heading in Chapter 84 and 85, the remaining digits, the so-called subheadings, need to be identified. It is advantageous to know the technical characteristics of the machine precisely. This can mainly be a challenge for machines from suppliers if datasheets are missing in the ERP system. I can report on this from my own experience.

Apart from the machine's functionality, which I need to know for each heading, these parameters are required for the following headings:

• Steam turbines (8406): Power in MW

• Internal combustion engines (8407): Displacement in cm³

• Hydraulic turbines (8410): Power in kW

• Turbojet engines (8411): Thrust in kN, power in kW

• Electric motors (8501): Power in W and kVA

• Generators (8502): Power in kVA

• Electrical transformers (8504): Power in kVA

• Non-heating electrical resistors (8533): Power in W

• Devices for interrupting, isolating, protecting, branching, connecting, or terminating electrical circuits (8535, 8536): Voltage in V

• Electric bulbs and discharge lamps, LED lamps (8539): Power in W, voltage in V

• Power cables (8544): Voltage in V

How does traideGo classify a diaphragm air pump?

### 1. Product Understanding: The product to be classified is a diaphragm air pump designed for industrial applications to transfer liquids. It is composed of polypropylene, aluminum, and a Santoprene membrane. The pump has specific technical features such as a maximum flow rate of 40 l/min, a maximum pressure of 7 bar, and can transfer liquids with a viscosity of up to 15,000 mPas.

### 2. Analysis of Tariff Classification: Based on the product characteristics and the provided customs tariff documents, the pump can be classified as a power-driven liquid pump. It falls under Chapter 84, which covers machines and mechanical devices.

The relevant tariff heading for this type of pump is: - 8413: Liquid pumps, even with liquid meters; lifting devices for liquids

Within this heading, the following subheading is considered:

- 841350: Displacement pumps, oscillating, power-driven

The diaphragm pump is an oscillating displacement pump, which classifies it under subheading 841350.

### 3. Tariff Number: Based on the analysis and the available information, the correct tariff number for the described diaphragm air pump is: [8413 50 80]

### 4. Justification: The classification follows General Rules 1 and 6 for the interpretation of the Combined Nomenclature.

1. The pump falls under Chapter 84 as a mechanical device.

2. Heading 8413 covers liquid pumps.

3. Subheading 841350 refers to oscillating displacement pumps, which include diaphragm pumps.

4. The further subdivision [8413 50 80] includes »Displacement pumps, oscillating, power-driven (excl. pumps of subheading 841311 or 841319, fuel, oil or coolant pumps for internal combustion engines, concrete pumps, hydraulic units, dosing pumps as well as generally piston pumps)«.

This classification is supported by the BTI decision [DEBTI1043/24-1] (Reference: [DEBTI1043/24-1]) which classifies a similar pump under [8413 50 80] although it is an electrically driven pump in that case.

The pump does not fall under the more specific subheadings such as [8413 50 40] for dosing pumps as it is designed for general industrial applications and not specifically for dosing purposes.

### 5. Request for Additional Information: No additional information was required for this classification.

### 6. Summary: The described diaphragm air pump is classified under the tariff number [8413 50 80] as an oscillating displacement pump, power-driven.