In re Fujitsu General (India) Private Limited (CAAR Mumbai)
In the case of In re Fujitsu General (India) Private Limited (CAAR Mumbai), the Customs Authority for Advance Rulings (CAAR) examined the classification of air conditioner (AC) parts imported by Fujitsu General (India) Pvt. Ltd. The ruling clarified that if all components of an AC are imported together in semi-knocked down (SKD) form under a single invoice and presented for Customs clearance under one bill of entry, these components can be classified as a complete air conditioner under headings 84151010, 84158310, or 84158390, depending on the specific type of AC. However, if indoor units (IDUs) or outdoor units (ODUs) are imported separately in SKD form or in incomplete form, under different invoices, and presented separately for clearance, they should be classified under CTH 84159000 as parts of an air conditioner. This distinction is critical for determining the appropriate classification and applicable duties.
FULL TEXT OF THE ORDER OF CUSTOMS AUTHORITY OF ADVANCE RULING, MUMBAI
M/s. Fujitsu General (India) Private Limited (having IEC No. AADCF5791R and hereinafter referred to as ‘the applicant’ or FGI, in short) filed an application (CAAR-1) for advance ruling before the Customs Authority for Advance Rulings, Mumbai (CAAR in short). The said application was received in the secretariat of the CAAR, Mumbai on 11.03.2024 along with its enclosures in terms of Section 28H (1) of the Customs Act, 1962 (hereinafter referred to as the ‘Act’ also). The applicant is seeking advance ruling on the following questions:
(1) If all parts of Air Conditioner are imported together in SKD form, under one invoice and presented for Customs clearance under a single Bill of Entry, whether all such SKD parts can be classified as ‘Air Conditioner’ under 8415 1010 or 8415 8310 or 8415 8390 or under other headings?
(2) If Indoor Units (IDUs) or Outdoor Units (ODUs) are imported separately in SKD form or in unfurnished or incomplete form under different invoices and presented separately for Customs clearance under separate Bills of Entry, whether the same can be classified under CTH 8415 9000 as parts of Air Conditioner?
Applicant has submitted as follows:
