Study Guide

Rule 2(a) broadens the scope of a heading. It allows the classification within a heading of an article that is incomplete or unfinished, or presented unassembled or disassembled, or a combination of these.

Two principles inside Rules 2(a)

01 Incomplete or unfinished article Treated as a complete article, provided it has the essential character of the complete article.

02 Unassembled or disassembled article Classified as if it were assembled.

First principle

Any reference in a heading to a material or substance shall be taken to include a reference to mixtures or combinations of that material or substance with other materials or substances...

The first part of Rule 2(a) is directing that a heading, that normally describes goods in terms of their being complete or in the finished state, may also be available for consideration of the classification of those goods when those goods are presented - and that means imported - in a condition that is not complete or in the finished state.

The next part is the important phrase:

...provided that as presented the incomplete or unfinished article has the essential character of the complete or finished article.

Here the terms of Rule 2(a) are calling for the classifier to make a judgment.

Essential character The term 'essential character' appears in the terminology of Interpretation Rules 2(a), 3(b), and 5(a). Essential character is one of the most important aspects of classification. It is also one of the most difficult. It is subjective. It depends on the person doing the assessment and can be influenced by that person's biases and experience. This makes essential character a less predictable element in classification, and one of the main reasons for classification disputes. The first principle of Rule 2(a) lets incomplete or unfinished goods be classified under the heading for the complete article, provided those goods are recognizable or identifiable as having the essential characteristics of the complete or finished product.

Second principle

The second part of Rule 2(a) directs:

...It shall also be taken to include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), presented unassembled or disassembled.

This means that goods imported in an unassembled or disassembled condition are still classified as though they are assembled. Classification should not change simply because goods are imported in pieces.

Unassembled vs disassembled

Term	Meaning
Unassembled	Goods that have never been assembled, a collection of parts that must be put together to form the article.
Disassembled	Components that were once together and have since been taken apart, for example, for ease of transportation.

Rule 2(a) considers the fact that many goods are traded in an unassembled or disassembled form to meet packing, handling or transport requirements. A completely knocked down (CKD) car is still a motor vehicle. Bulky or fragile goods such as bridges, industrial machinery, and lamps and lighting fittings are frequently imported unassembled or disassembled. These goods should not be treated differently from their assembled counterparts.

Rule 2(a) broadens the scope of the heading to allow it to include goods, that on a strict interpretation of the description of the goods of the heading, it would not seem to provide for. In effect, it extends the coverage of the headings. The important words are ‘unassembled’ or ‘disassembled’ and ‘incomplete’ or ‘unfinished’, provided they have the essential character of the finished or complete article.