ITW Australia Pty Ltd and Comptroller-General of Customs

ITW Australia Pty Ltd (the applicant) sought review of a decision by the Comptroller-General of Customs (the respondent) concerning the classification of imported PET granules. The applicant contended that these granules, used in the manufacture of plastic strapping, should have been classified under By-law No. 1303874, which provides for concessional customs duty on goods imported for use in the manufacture of fibres or yarns.

The primary legal issue before the Tribunal was whether the PET granules imported by ITW Australia Pty Ltd were intended for use in the manufacture of fibres or yarns, thereby qualifying for the concessional treatment under By-law No. 1303874. A secondary issue, which the Tribunal deemed unnecessary to determine given its conclusion on the primary issue, was whether security for customs duty could be provided retrospectively.

The Tribunal found that the PET granules were not imported for use in the manufacture of fibres or yarns. Consequently, By-law No. 1303874 was held not to apply to the imported granules. The Tribunal affirmed the decision made by the National Trade Advice Centre on 4 November 2015.