Classification of imported radial tyres for mixed road and off-road use: road-suitable tyres fell within the exemption-bearing tariff entry.

Imported radial tyres capable of use both on-road and off-road were not shown to be designed exclusively for off-road vehicles or equipment, so sub-heading (III) did not apply. Because the tyres were fit for road use and intended for mechanically propelled vehicles other than tractors designed for use upon roads, they fell within sub-heading (I)(b)(i) of Heading 16 of the Central Excise Tariff. On that classification, the exemption under Notification No. 20/84 dated 1 March 1984 was available.

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Issues: Whether imported radial tyres intended for on-road and off-road use were classifiable under sub-heading (I)(b)(i) of Heading 16 of the Central Excise Tariff and entitled to exemption under Notification No. 20/84 dated 1st March, 1984, or whether they fell under sub-heading (III) as tyres for vehicles or equipment designed for use off the road.

Analysis: Sub-heading (III) applies to tyres specifically designed for vehicles or equipment meant for off-road use. The imported tyres were not shown to be designed exclusively for such off-road use. The material at best indicated that they were capable of use both on road and off road. Since the tyres were fit for use on roads and were intended for mechanically propelled vehicles other than tractors designed for use upon roads, they answered the description in sub-heading (I)(b)(i). On that classification, the exemption notification applied.

Conclusion: The imported tyres were correctly classifiable under sub-heading (I)(b)(i) of Heading 16 and were entitled to the exemption under Notification No. 20/84 dated 1st March, 1984.

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