1. GIR 2

2. Objectives To be able to classify goods using GIR 2.
To be able to use relative sections, chapters and heading notes by the application of GIR 2.

3. Introduction Classification of goods is governed
by a set of six General Interpretative
Rules(GIRs)
These Rules guide the HS users on how
to classify goods in appropriate
headings (subheadings) of the HS
Nomenclature.

4. Introduction cont..d The GIRs are applied sequentially;
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Introduction cont..d
The GIRs are applied sequentially;
GIRs 1 to 5 apply at the heading level
GIRs 1 to 4 must apply in sequence or a hierarchical order
GIR 5 applies individually
GIR 6 applies individually at the subheading level
(GIR1 > GIR2 > GIR3(a) > GIR3(b) > GIR 3(c) > GIR 4)
To be completely sound, a classification system must associate each individual product with a single heading (and, as the case may be, subheading).
In the HS, there are six rules, known as General Rules for interpretation or GIRs. GIRs are designed to ensure that a given product is always classified in one and the same heading (and subheading), to the exclusion of any other heading which might appear to merit consideration.
All classification must be based upon the application of these rules.
Rules 1 to 5 apply at the heading level.
However, Rules 1 to 4 must be applied in sequence or a hierarchical fashion.
Rule 1 takes priority over Rules 2 to 4.
Rule 3(a) takes priority over Rules 3(b) and 3(c). Rule 2 over 3….
Rule 5 applies individually.
Rule 6 applies individually at the subheading level.

5. GIR 2
This rule can only be used after GIR 1 has failed to guide classification of the given article.
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6. GIR 2 cont..d GIR 2 has two parts, 2(a) and 2(b)
2(a)(i) deals with incomplete or unfinished articles
(ii) deals with unassembled or disassembled articles
2(b) Mixtures and combinations
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7. Rule 2a
Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as presented, the incomplete or unfinished article has the essential character of the complete or finished article. 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.
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8. GIR 2 (a) (i) Incomplete as complete
Incomplete or unfinished article is still classified as if it were complete or finished, if it has the essential character of the complete or finished article.
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9. Example
complete
incomplete
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10. incomplete
Complete
A complete bicycle as presented is classified under heading 87.12
A bicycle without the handle is classified under as it has the essential character of the complete bicycle
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11. unfinished can be finished
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12. Unfinished classified as finished
The dress is cut to size but not stitched at the sides.
It has the essential character of a finished. It needs only stitching.
Complete dress
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13. Blanks
Blanks are classified as a finished article when presented with an approximate shape or outline of a finished article.
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14. Blank keys
Classified as finished keys as they have the essential character of finished keys as per Rule 2(a)
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15. GIR 2(a) (ii) Unassembled, dissembled
Goods are presented unassembled or disassembled normally for convenience of packing, handling or transport
Assembly of such goods involves fixing the components with screws, nuts, bolts, rivets or welding.
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16. GIR 2a (ii) continued.
Any excess materials or components are classified separately.
The rule also applies to unfinished or incomplete articles presented unassembled or disassembled but treated as finished or complete by virtue of the 1st part.
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17. GIR 2a (ii) continued.
Cases covered by this rule are cited in the General Explanatory Notes to Sections or Chapters (e.g. Section XVI and Chapter 44, 86,87 and 89)
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18. Examples
unassembled
disassembled
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19. Exceptions to the rule This part of the rule does not apply to
Sections I to Section VI
Example- title of Section 1 Live
animals and animal products
Animals cannot be presented
Unfinished of incomplete
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20. GIR 2 (b)
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. Any reference to goods of a given material or substance shall be taken to include a reference to goods consisting wholly or partly of such material or substance. The classification of goods consisting of more than one material or substance shall be according to the principles of Rule 3.
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21. GIR 2(b) cont..d
This rule is not for classification of material or substance referred in the heading to include mixtures or combinations of that material or substances with other material or substances.
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22. Explanation of Rule 2(b)
It is just an introduction to Rule 3 where such mixtures and combinations are classified.
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23. END
THANK YOU
God bless you.