Tariff classification of corrugated extruded goods: hollow profile shape, not a sheet, so exemption denial failed.

A flexible hollow corrugated extruded article, described as "Sunpac," was analysed for tariff classification to determine whether it was a sheet under Heading 39.20 or a profile shape under Heading 39.16. The product's structure, consisting of two layers joined by vertical flutes and remaining hollow, showed it was not a sheet with a solid cross-section. Relying on earlier Tribunal reasoning and tariff notes, the article was treated as a profile shape rather than a sheet. On that basis, the notices seeking to deny exemption on the footing that the goods were sheets under Heading 39.20 could not be sustained, and the assessee succeeded.

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Issues: Whether the product "Sunpac" was classifiable as a sheet under Heading 39.20 so as to deny exemption under Entry 57 of Notification No. 4/97, or whether it was a profile shape under Heading 39.16 and therefore outside the exemption denial proposed in the notices.

Analysis: The product was described as a flexible hollow corrugated article made by extrusion, consisting of two layers joined by vertical flutes and remaining hollow. The earlier Tribunal decision on the same product had held that it was not a sheet but a profile shape, and that view was treated as applicable because the essential question there too was whether the product was a sheet. Independently, the structure of the goods showed that a sheet ordinarily has a solid cross-section, whereas this product had a corrugated hollow construction. The reasoning in the tariff notes and explanatory material supported classification of such goods as profile shapes rather than sheets. As the goods were specified under Heading 39.16, they were not covered by Heading 39.26 for exemption purposes, and the attempt to deny exemption on the specific footing that the goods were sheets under Heading 39.20 could not be sustained.

Conclusion: The product was not liable to be treated as a sheet under Heading 39.20 for the purpose of the impugned notices, and the assessee succeeded.

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