&&The goods under review are prefabricated insulated modular steel panels. These panels are used in the assembly of buildings such as warehouses, street malls, town houses and single family homes, specifically, for building walls, floors and roofs.&&Currently, these panels are being manufactured for two projects, a condo and a single family detached home. The goods are composed of structural carbon steel, expandable polyurethane spray foam insulation that comes pre-sprayed into the steel panels, and extruded polystyrene insulation panel that is secured outside of the structural steel panels.&&&&The goods are produced upon order placed by builders and developers, as they are custom designed for specific projects/buildings. The manufacturing process consists of creating panel pieces, which are then assembled on site. Due to the fact that the panels are created for a specific build, there are no materials left over. The prefabricated panels are made with a steel structure and the outside is covered by a two inch THK XPS rigid insulation between the steel frame which is filled with PU expansive insulation foam.&&&&The dimensions of the panels are typically 7 feet in width, 8 feet to 39 feet in length, and 6 inches to 14 inches in height. Some of the panels are heavier, such as the ones used for the flooring and roofing, and some of the panels as a lighter which are used for the walls. The importer has mentioned that the structural panels fit inside a shipping container, however, if there are larger size panels then those might ship on top of shipping racks.&&&&The goods are stored on pellets and shipped in shipping containers. Upon arrival at the destination the goods are pulled out with a fork lift. The importer mentioned that the intention is to ship the components together, however, it is likely that the goods may be shipped in multiple containers due to the large size of the order. The importer mentioned that the goods will all be accounted for at the same time the CSBA. Once the shipping containers arrive the mode of transport will be rail to Calgary and then via truck from the rail station to the site.

&&Section 10 of the Customs Tariff directs that classification of imported goods shall be determined in accordance with the General Rules for the Interpretation of the Harmonized System and the Canadian Rules set out in the schedule. Section 11 of the Customs Tariff states that in interpreting the headings and subheadings, regard shall be had to the World Customs Organization's (WCO) Compendium of Classification Opinions and Explanatory Notes to the Harmonized Commodity Description and Coding System (HS).&&&&General Interpretative Rule 1 (GIR 1) directs that titles of Sections, Chapters and sub-Chapters are provided for ease of reference only. For legal purposes, classification shall be determined according to the terms of the headings and any relative Section or Chapter Notes. Similarly, General Interpretative Rule 6 (GIR 6) directs that classification shall be determined according to the terms of those subheadings and any related Subheading Notes.&&&&In your application for an advance ruling, you suggested tariff classification number 9406.20.00.00. This tariff classification number is incorrect.&&&&Heading 94.06 covers Prefabricated buildings. Explanatory Notes to heading 94.06 states “Prefabricated buildings include “modular building units” with a steel structure, also referred to as modules. They are normally presented in the size and shape of a standard shipping container intended for multi-modal transport.” The goods under review are panels composed of steel, custom designed for specific projects and finished in a factory prior to importation. The goods are shipped in a standard shipping container. Once the shipping container arrives in Canada they are transported by rail, and then via truck to its final destination for assembly. The goods are presented together and assembled onsite to construct permanent buildings such as a condo and a detached single family home. Based on this information, the goods meet the terms of this heading.&&&&Consideration was given to subheading 9406.20, however, the Explanatory Notes to this heading state that “This subheading does not cover fabricated buildings that are presented as either “flat pack” or in assembly units that are not structurally self-supporting (subheading 9406.90)…” Since the goods are shipped in pellets, they would be considered to be presented as a “flat pack”, therefore, they the goods do not meet the terms of this subheading. The goods will then be classified under the second subheading breakout 9406.90 as “Other”. Paragraph 16 of Memorandum D10-14-56 states that “The Tribunal made it clear that permanent buildings, including those that are "pre-fabricated", are considered to be "immovable construction" while structures such as gazebos and sun shelters are designed for on-site assembly that can be readily dismantled for re-assembly at an alternative location.”. The goods under review cannot be dismantled for reassembly at an alternate location as they are used to create permanent housing structures. For this reason, the goods meet the terms of subheading 9406.00.&&&&Consideration was given to Tariff items 9406.90.11 and 9406.90.20, however, since the goods under review are not “Silos for storing ensilage” nor “Air-supported buildings”, they do not meet the terms of these Tariff items. Hence, the goods are classified under Tariff Item 9406.90.90 as “Other”.&&&&Therefore, the prefabricated insulated modular steel panels are then determined to be Tariff Classification 9406.90.90.90 “Other”, in accordance with General Interpretive Rules (GIR) 1 and 6, and Canadian Rule 1 of the Customs Tariff.