Government of Pakistan
Model Customs Collectorate (Appraisement)
Custom House, Karachi
No. CC-23/2011-(A) Dated: 19.12.2011
PUBLIC NOTICE NO. 11/2011(A)
SUB: CLASSIFICATION OF MAZDA RX-8 Car
Group-V of the Appraisement Collectorate has referred the case for classification of Mazda RX-8, car.
2. The meeting of the classification Committee was held on 26.10.2011 and 16.11.2011. The following PCT heading were discussed:-
1. 8703.2290
2. 8703.2300
3. 8703.2329
4. 8703.9000
3. The opinion of Appraising Group was that the vehicle in question is 1308 cc but due to installation of rotary engine its power has become double, therefore, it will be treated 2616 cc which is evident from the registration of the vehicle in question in the country from which the same has been imported. The Registration Certificate show its registration in UK as 2616 cc therefore the same classifiable under PCT heading 8703.2329 (Other- vehicles with spark – ignition internal combustion reciprocating piston engine of a cylinder exceeding 1,800cc but not exceeding 3,000 cc).
4. The importer’s contention was that the vehicle is classifiable under PCT 8703.2290 (Other-vehicles with spark-ignition internal combustion reciprocating piston engine of a cylinder capacity exceeding 1,300 cc but not exceeding 1,500 cc) since the vehicle is 1308 cc without any doubt which has been accepted by the examination staff on physical examination. As regard registration in U.K. as 2616 cc they submitted that 2616 cc was taken for the purpose of registration for collecting road tax on the basis of the working capacity of engine which due to the rotary engine has increased much a compared to the piston engine. According to them 8703.2290 deals with the vehicle having cylinder capacity 1,000 to 15,00 cc. Therefore, the vehicle shall fall in this heading.
5. PCT Committee discussed the issue in length, inspected the documents/ literature produced. PCT heading 8703 deals with Motor cars other Motor vehicle principally designed for transport of persons (other than those of heading 8702), including station wagon and Racing cars. The sub-heading of PCT 8703 read as under:-
- Other vehicles, with spark ignition internal combustion reciprocating piston engine
8703.21 -- Of a cylinder capacity not exceeding 1,000 cc
8703.22 -- Of a cylinder capacity exceeding 1,000 cc but not exceeding 1,500 cc
8703.23 -- Of a cylinder capacity exceeding 1,500 cc but not exceeding 3,000 cc
8703.90 -- Other
6. Perusal of the above sub headings would reveal that according to the above explanation, none of the sub heading deal with the vehicle having rotary engine. All sub heading of 8703 except PCT 8703.9000 deal with the vehicles which may have any type of internal combustion reciprocating Piston engine.
7. The Committee also examined the ruling issued by Nomenclature Committee specifically for this vehicle which read as under:-
“A rotary internal combustion piston engine also know under the name “Wankel Rotary Piston Engine” is an internal combustion engine comprising a triangular rotary (piston) moving in a chamber, contrary to a conventional internal combustion piston engine which has reciprocating piston moving in cylinders. As in the case of conventional spark-ignition internal combustion reciprocation piston engines, the rotary engine is equipped with sparking plugs for the ignition and operates on standard petrol.
At its 18th session in 1967, the Nomenclature Committee agreed that in the context of the classification of spark ignition combustion engines the term “piston” should cover not only conventional pistons reciprocating in cylinders but also rotary pistons/ rotar of the “Wankel” type. Consequently, heading 84.07 for spark ignition internal combustion engines covers both reciprocating internal combustion piston engines and rotary internal combustion piston / rotar engine (see question of rotary internal combustion piston engines in the Explanatory Notes of heading 84.07 on page 1406, first paragraph). Motor vehicles designed of the transport of persons which are driven by a spark ignition rotary internal combustion piston engine are classified in heading 87.03. In this heading vehicles not being designed for traveling on snow or golf cars are subdivided at one dash level into:
i) Vehicles with spark ignition internal combustion reciprocating piston engines;
ii) Vehicles with compression ignition internal combustion piston engines (diesel or semi-diesel; and
Since the text of subheading 8703.2 is restricted to reciprocating piston engines, the “Wankel” type piston engine is not covered by that sub-heading. Consequently, the vehicle at issue, driven by a spark-ignition rotary internal combustion piston engine is classifiable in subheading 8703.09, by application General Interpretative Rules 1 and 6”
8. The PCT Committee is, therefore, left with no alternative but the follow the aforesaid ruling and the vehicle Mazda RX-8 car is classifiable in PCT heading 8703.9000 by applying the General Interpretative Rules as mentioned above.
Signed by
(Dr. Zulfiqar Ahmed Malik)
ADC-I/Chairman PCT Committee
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