WEBVTT

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HOPKINS, DENISE Good afternoon.

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Everyone I'm national import
specialist, Denise Hopkins

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and my commodity assignment
includes several headings

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in charter 84 industrial machinery.

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Thank you for joining
me today for discussion

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on the new heading for additive.

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Manufacturing machines notice.

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3 D printers.

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Information has been included
that will I hope prove beneficial

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to both CBP and the trade community.

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HOPKINS, DENISE And before
I start there are just a couple

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of things formalities to cover.

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HOPKINS, DENISE When the
presentations finished you'll be able

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to ask questions in the chat box and
that's at the top of your screen.

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HOPKINS, DENISE And
also, if you click

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on the ellipsis the 3 dots you can
increase the presentation side.

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HOPKINS, DENISE Size you would click
on focus on content and full screen.

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And if you need to
have a live captions.

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You would turn on live captions.

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It's location also.

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HOPKINS, DENISE This is
our mission statement for US,

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Customs and Border Protection.

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HOPKINS, DENISE And, Please note
that disclaimer to this presentation.

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This presentation is for
general information purposes.

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It is intended to provide guidance and
information regarding the understanding

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of and compliance with importing
laws and regulations reliance solely

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on the general information
in this webinar

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may not be considered reasonable care.

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HOPKINS, DENISE Also, any images or
videos or for educational purposes only.

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HOPKINS, DENISE And the next slide.

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I'm going to show a short video
demonstrating 3 D printers in action.

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HOPKINS, DENISE And before we begin
discussing the new tariff provision

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for heading 8485.

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I just wanted to go over some some
tariff roles for legal purposes.

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3 D printers.

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As with all imports of merchandise
are to be classified in accordance

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with the terms of the
headings of the tariff.

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Any relative section in charter
notes and provided such headings

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or nodes do not otherwise require
in accordance with the general rules

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of interpretation.

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HOPKINS, DENISE It is necessary
to examine the relevant section

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and chapter notes and to
read the DRI and of course,

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the additional US rules
of interpretation.

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HOPKINS,
DENISE DRI one provides that

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for legal purposes classification
shall be determined,

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according to the headings
in this case heading 8485

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and any relative section
or charter notes.

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HOPKINS, DENISE And the tariff
of 2022, there's a new note

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in charter 84, which is note 10 for 3.

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D printers and a read of that states
for the purposes of heading 8485.

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The expression additive
manufacturing means the formation

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of physical objects based on a digital
model by the successive addition

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and layering and consolidation
and solidification of material.

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HOPKINS, DENISE Are a reference and
this is a public document every 5 years.

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Major changes happen with
the harmonized system

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and why do harmonized codes change?

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HOPKINS, DENISE The
Tariff is a living document

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that is periodically updated to reflect
technological advancements, the world.

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Customs organization updates.

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The harmonized codes primarily to
account for advances in technology.

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The development of new products
that aren't adequately addressed

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in previous lists and the elimination
of products in our categories

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that have become obsolete.

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HOPKINS, DENISE Or heading
8477, which provides for machinery

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for working in manufacturing,
rubber or plastics.

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Both systems and the CIT case relied
on an automated process described

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as laser sintering and which
computer directed a built in laser

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to selectively heat and melt together
particles within a build chamber

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to form thin layer shaped,
according to the stored data.

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These machines construct an entire
objects from particles also this slip up

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is a good read because.

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HOPKINS,
DENISE Gives analysis as to why.

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HOPKINS, DENISE These.

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HOPKINS, DENISE Machines were
not classified in other subheadings

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in 8479 or 8477.

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HOPKINS, DENISE Next we'll review the
new explanatory notes for heading 8485.

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The harmonized commodity
description and coding system.

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Explanatory notes represent
the official interpretation

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of the harmonized system
at the international level

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for the 4 digit headings
and 6 digit subheadings

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and facilitate classification.

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Under the tariff by offering
guidance and understanding the scope

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of the Headings and Garris.

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HOPKINS, DENISE The explanatory
notes, Although not dispositive

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or legally binding provide commentary
on the scope of each heading

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of the tariff and are generally
indicative of the proper interpretation

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of these headings.

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HOPKINS, DENISE Here we see
heading 8485 broken out by material

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being deposited highlighted in red.

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HOPKINS, DENISE And the first
part of the explanatory note states

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this heading covers machines of a
kind used for additive manufacturing,

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which is a process for the
formation of physical objects based

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on a digital model, the machine
creates the object on the basis

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of a design file provided to the
machine by the successive addition

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and layering and consolidation
and solidification of material.

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HOPKINS, DENISE The machine
uses selective application

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of an energy source such as lasers.

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Resistors electron beams or UV light
to produce 3 dimensional object

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out of several different
types of materials.

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HOPKINS, DENISE Depending
on the type of machine

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and the material being used a wide
variety of objects can be created

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in this fashion, including medical
devices prosthetics and Justice,

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the capabilities are endless.

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HOPKINS, DENISE The ENS
cover the 7 process categories

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of additive manufacturing machines
as set forth by ASTM international.

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HOPKINS, DENISE The category of
3 D printers provides a structure

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for grouping current and future
technologies and I'll just briefly go

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through the 7 different.

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HOPKINS, DENISE Categories
of 3 D printing machines

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and that each slide has an image
of what that machine may look like.

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HOPKINS, DENISE First there
are binder jetting machines,

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which use powder
and liquid binder to create objects.

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The powder is spread in layers and
each layer has a liquid Binder added

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to glue the powder
together and this way.

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The layers are hardened and
joined to form the object.

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HOPKINS, DENISE There are
stereo lithography machines,

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which layer liquid
materials such as raisins.

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The UV laser scans and
hardens the first layer,

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plastics and then the platform
rises and this process continues

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until the part is made.

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HOPKINS, DENISE There are material,
jetting machines, which layer plastics,

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the material drips out of the nozzle
and then it is hardened by UV light.

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HOPKINS, DENISE There are
material extrusion machines,

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which heats filaments inside an
extrusion nozzle and moves in a vertical

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and horizontal motion the
positing the melted material.

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HOPKINS, DENISE And there
are powder bed fusion machines,

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which use laser scans or electron beams
to melt powder materials layer by layer.

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HOPKINS, DENISE Also, there are
additive manufacturing machines

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that layer sheets commonly of
plastics infuse those layers together,

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according to a digital
model to produce specific 3.

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Dimensional objects just keep in mind.

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These differ from sheet
laminating machines, which bond 2

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or more sheets together to
form a composite article.

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HOPKINS, DENISE You may also
see these types of machines

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known as laminated
object manufacturing.

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HOPKINS, DENISE And lastly our
directed energy deposition machines,

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which use electron beams to
melt materials as they are

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being deposited in
order to form an object.

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HOPKINS, DENISE And the
final part of the N is for parts

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and then subject to the general
provisions regarding the classification

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of parts.

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Parts of the goods of this
heading are also classified here,

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including printer cartridges
specifically designed

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for containing materials
and limited to use with 3 D printers.

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Excluding those without electronic
components or mechanical mechanisms.

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HOPKINS, DENISE I've added
this slide for section 16.

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Note 2 that goes over parts.

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For Charter 84.

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I won't read this slide.

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But you have this here
for your reference

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or you can find it in the tariff.

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HOPKINS, DENISE The term part
is not defined in the tariff

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and the absence of
statutory definition.

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The courts have fashioned 2
distinct, but reconcilable tests

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for determining whether a
particular item qualifies as a part

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for tariff purposes.

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HOPKINS, DENISE And the
first is the first part

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of the test an imported item is is a
part only if it is something necessary

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to the completion of that
article without which the article

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to which it is to be
joined could not function.

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HOPKINS, DENISE And the
second test equates part

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to an imported item dedicated
solely for use with another article.

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HOPKINS, DENISE Now we've just
gone over a high level overview

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of Arts and I'd like to ask.

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A yes or no question
and in this picture.

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We have nylon monofilament schools.

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These are just plain spools with the
nylon monofilament do you believe

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that these are classified as a
part of a 3 D printer under 848590

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or do you believe that these
are classified elsewhere

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in the tariff schedule

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and if you could just answer
yes or no in the chat box.

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HOPKINS, DENISE And so it most
of you entered now that's great.

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Then the mono the nylon monofilament
spool would not be considered a part of.

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HOPKINS, DENISE And additional
US rule of interpretation.

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One see applies in the absence
of special language or contacts,

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which requires otherwise section 16.

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Note 2 is such special
language or context,

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but only where the
competing provisions.

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At issue are within Section 16, which
in this case is Chapter 84 heading 8485

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is not the more specific
provision based on the application

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of us additional note one C.

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HOPKINS,
DENISE And a read of one C states.

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A provision for parts of an
article covers product solely

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or principally used as
a part of such articles.

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But a provision for parts or parts
and accessories shall not prevail

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over a specific provision
for such part or accessory.

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HOPKINS,
DENISE The spoke orchard functions

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only to hold the nylon filament

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as it is inserted into the printer
and it's imported condition.

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The nylon filaments.

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Wills met the exemplars listed
in heading 3916 for those rulings

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on the previous slide.

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HOPKINS,
DENISE And also I want to make note,

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UM there's a good headquarters ruling
that provides analysis regarding

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a similar type of importation
scenario and that number is H 251008

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that is a good read.

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HOPKINS, DENISE And then I've
just highlighted the end of the.

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HOPKINS,
DENISE Uh parts explanatory note.

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HOPKINS, DENISE And the
cartridges are are excluding those

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without electronic components
or mechanical mechanisms.

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The sighted rulings did not
indicate that the schools contained

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any kind of electronic chips
or mechanical mechanisms.

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HOPKINS, DENISE So, therefore,
that concludes our high level overview

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of parts.

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HOPKINS, DENISE And even
though this is a new heading

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and new subheading breakout
301 duties are still applicable

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for 3 D printers from China.

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HOPKINS, DENISE And as you
can see the material deposits

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by rubber or plastic is under
990301 and same with the parts

00:29:04.833 --> 00:29:10.367
and then the other breakouts
by deposit are under 99038803

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and all are subject to an additional
25% additional duty from China.

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HOPKINS, DENISE And here
are some helpful questions

00:29:25.567 --> 00:29:29.400
for the classification of 3
D printers will Please note.

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These questions can also be
used for many different types

00:29:33.233 --> 00:29:37.933
of machines and charter 84 and having
this information in the beginning

00:29:37.933 --> 00:29:42.900
may help us not need to issue a
rejection For more information.

00:29:42.900 --> 00:29:46.900
HOPKINS, DENISE Like like
having the model number and name

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of the machine providing us a
labeled exploded cutaway diagram

00:29:51.333 --> 00:29:54.567
of the internal and external
components that the machine

00:29:54.567 --> 00:29:57.833
if you have a 3 D rendition
or images of that.

00:29:57.833 --> 00:29:59.033
That's even better.

00:29:59.033 --> 00:30:02.167
HOPKINS, DENISE Uh we would need
multi angle images of the machine.

00:30:02.167 --> 00:30:06.967
A complete detailed description of
the function and use from beginning

00:30:06.967 --> 00:30:08.467
to end how it operates.

00:30:08.467 --> 00:30:11.867
HOPKINS, DENISE And then
this question follows note 10

00:30:11.867 --> 00:30:15.567
is the machine using a digital
model by the success of addition

00:30:15.567 --> 00:30:18.900
and layering and consolidation
and solidification of material.

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HOPKINS, DENISE And, of course,
what is the material being used

00:30:22.300 --> 00:30:26.733
to make the 3 D object if you
have any videos or flow charts.

00:30:26.733 --> 00:30:30.967
That's very helpful and then any kind
of photo showing the step by step method

00:30:30.967 --> 00:30:32.233
of operation.

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HOPKINS, DENISE And also
for parts again this is uh.

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This is helpful for 3 D printers,
but then also machinery of charter 84.

00:30:43.433 --> 00:30:46.167
HOPKINS, DENISE And what
machine are these articles used

00:30:46.167 --> 00:30:50.300
and what feat what features limit
their use to one particular machine.

00:30:50.300 --> 00:30:54.333
HOPKINS, DENISE Can the articles
be used interchangeably in a variety

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of machines explain the role.

00:30:55.667 --> 00:30:58.400
These articles play in
the machines operation?

00:30:58.400 --> 00:31:00.067
What is their function?

00:31:00.067 --> 00:31:02.000
Is it a subassembly?

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Is it part of a subassembly
a part of a part we need

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to know that information
include multi angle images

00:31:07.967 --> 00:31:09.100
of the component.

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We really need a picture or
diagram showing where it is located

00:31:13.100 --> 00:31:17.467
in the machine and also
there's the part need any type

00:31:17.467 --> 00:31:19.700
of further work after
it's imported into the US.

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HOPKINS, DENISE And you may
want more in depth information

00:31:27.600 --> 00:31:30.667
on the different types of 3 D
printers and the following websites

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on the next few pages are
helpful also manufacturers

00:31:34.267 --> 00:31:37.233
of 3 D printers have a
vast amount of information

00:31:37.233 --> 00:31:39.700
on their respective
products available online.

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HOPKINS, DENISE I found
this website very helpful

00:31:44.300 --> 00:31:46.100
from the Society of manufacturing.

00:31:46.100 --> 00:31:50.767
Engineers assume it's a glossary of all
the different terms for 3 D printers.

00:31:53.767 --> 00:31:56.233
HOPKINS, DENISE And
also 3 D printing industry.

00:31:56.233 --> 00:32:00.000
HOPKINS, DENISE Dot com has
a lot of information they have

00:32:00.000 --> 00:32:01.467
a beginner 's guide.

00:32:01.467 --> 00:32:03.133
They have a beginner 's presentation.

00:32:03.133 --> 00:32:06.367
They have all many different
articles on 3 D printers.

00:32:10.482 --> 00:32:13.197
HOPKINS, DENISE And also
this article from the OECD

00:32:13.197 --> 00:32:17.800
features trades statistics
on 3 D printers and 3.

00:32:17.800 --> 00:32:22.033
D principal goods providing a technical
review of existing capabilities

00:32:22.033 --> 00:32:25.212
of 3 D printing technologies
and relating these

00:32:25.213 --> 00:32:27.000
to possible trade outcomes

00:32:27.000 --> 00:32:30.833
and you could download this for your
review and it is a very good read.

00:32:35.574 --> 00:32:38.067
HOPKINS, DENISE And that
concludes our today's presentation

00:32:38.067 --> 00:32:43.067
on the new tariff revision
heading or 8485 for 3 D printers.

00:32:43.067 --> 00:32:46.600
And there are 3 main key
takeaways to today's presentation

00:32:46.600 --> 00:32:49.667
and that is what is a 3 D printer?

00:32:49.667 --> 00:32:52.367
HOPKINS,
DENISE And we reviewed new note 10

00:32:52.367 --> 00:32:56.567
and the new provision
heading 8485 to charter 84

00:32:56.567 --> 00:33:00.667
and the Enns describing the
categories of 3 D printers.

00:33:00.667 --> 00:33:04.800
HOPKINS, DENISE I hope this
information will help you determining

00:33:04.800 --> 00:33:07.733
how to classify your merchandise
and of course, as always,

00:33:07.733 --> 00:33:10.600
you can submit a binding
ruling to our office.

00:33:13.631 --> 00:33:15.933
HOPKINS, DENISE And, please
take note of my contact information

00:33:15.933 --> 00:33:21.233
and also national import specialists
associate John Vischio or on Team 104.

00:33:24.015 --> 00:33:26.133
HOPKINS, DENISE And I want
to thank John vischio fun.

00:33:26.133 --> 00:33:29.567
King Kong and Sandra Walia for
hosting the technical portion

00:33:29.567 --> 00:33:30.833
of this team 's webinar.

00:33:32.552 --> 00:33:35.100
HOPKINS, DENISE And here
are some helpful links.

00:33:36.100 --> 00:33:38.833
HOPKINS, DENISE And,
Please note the preferred I'm going

00:33:38.833 --> 00:33:41.633
to open up the chat box and Please
note that the preferred mechanism

00:33:41.633 --> 00:33:46.200
that will offer a detailed constructive
analysis of your classification concern.

00:33:46.200 --> 00:33:49.000
HOPKINS, DENISE Would be for you
to submit a binding ruling request.

00:33:49.000 --> 00:33:53.267
I will try to address a few questions
and Please note certain questions

00:33:53.267 --> 00:33:56.367
will require additional research
and detailed information.

00:33:56.367 --> 00:34:00.300
HOPKINS, DENISE So if you go ahead
and ask any questions that you may have.

00:34:24.226 --> 00:34:26.106
HOPKINS, DENISE OK,
there's a question here

00:34:26.106 --> 00:34:28.933
that says can you provide
guidance on where machines

00:34:28.933 --> 00:34:32.833
that can use multiple materials
would be classified for example,

00:34:32.833 --> 00:34:36.467
some 3 D printers use both
metal and plastic filaments.

00:34:36.467 --> 00:34:38.633
That's an excellent question.

00:34:38.633 --> 00:34:42.333
Karen the best way for
you for us to answer that

00:34:42.333 --> 00:34:46.867
because we would need to analyze what
the 3 D printer is doing we would need

00:34:46.867 --> 00:34:49.491
if we can ask you to submit a
binding ruling to our office

00:34:49.491 --> 00:34:52.133
that shows how the 3
D printer is working

00:34:52.133 --> 00:34:53.967
and we could classify your merchandise

00:34:53.967 --> 00:34:54.933
for you.

00:35:02.345 --> 00:35:05.200
HOPKINS, DENISE Oh, you, said
the binding ruling link didn't work.

00:35:06.949 --> 00:35:11.267
HOPKINS, DENISE Tie if you send me an
email, I I can resend that link to you.

00:35:11.267 --> 00:35:13.633
I'm not sure why that's
not working for you.

00:35:22.570 --> 00:35:23.686
HOPKINS, DENISE OK.

00:35:23.686 --> 00:35:24.550
HOPKINS, DENISE I