CLA-2 OT:RR:CTF:TCM H287718 DSR
TARIFF NO: 3926.90.99
Terrance L. Daley
AIRH2U
14890 Pleasant Bay Lane, #3207
Naples, FL 34119
RE: Tariff Classification of an evaporative humidifier from China
Dear Mr. Daley,
This is in response to your correspondence, dated May 22, 2017, in which you request a binding ruling from U.S. Customs & Border Protection (“CBP”) on behalf of AIRH2U. The ruling request concerns the classification on the Harmonized Tariff Schedule of the United States (“HTSUS”) of what is described as an “evaporative humidifier from China.” Our response follows.
FACTS:
The article is a plastic, vented reservoir unit containing two, removable paper wicking components. The article features no moving parts and requires no electricity or batteries, i.e., it performs its function entirely passively. After importation, the article is attached to the vent of a packaged terminal air conditioner (“PTAC”) unit, which is used in hotel rooms, for the purpose of humidifying dry heat. The plastic reservoir is manually filled with water and the article is hung on the PTAC. The two paper wicking components are situated on both sides of the reservoir to absorb water and are constructed of multiple perforated sheets of paper that are each pressed into a wavy texture and layered and glued together to form ¾”-thick, 3” squares. Hot air that is blown from the PTAC travels into the article through the article’s air intake scoop, is forced downward to cross the top surface of the water in the article’s reservoir and continues through the water-saturated paper components. The humidified air then moves upwards through vents on both sides of the article to enter the room. The following are illustrations of the subject article in its condition as imported and attached to the aforementioned PTAC unit:
ISSUE:
What is the tariff classification of the evaporative humidifier?
LAW AND ANALYSIS:
Merchandise imported into the United States is classified under the HTSUS. Tariff classification is governed by the principles set forth in the General Rules of Interpretation (GRIs). GRI 1 requires that classification be determined first according to the terms of the heading of tariff schedule and any relative section or chapter notes, and unless otherwise required, according to the remaining GRIs taken in their appropriate order.
Further, the Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System. While not legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the Harmonized System and are generally indicative of the proper interpretation of these headings. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989). The HTSUS provisions under consideration in this case are as follows:
4823 Other paper, paperboard, cellulose wadding and webs of cellulose fibers, cut to size or shape; other articles of paper pulp, paper, paperboard, cellulose wadding or webs of cellulose fibers:
* * *
3926 Other articles of plastic:
* * *
Initially, we find that the subject article does not fall under the scope of any heading of the HTSUS by application of GRI 1. The article’s plastic reservoir is prima facie classifiable under heading 3926, HTSUS, as an article of plastic, and the paper components are prima facie classifiable under heading 4823, HTSUS, as other paper cut to size or shape. Accordingly, the instant article is a composite good per GRI 3. GRI 3 provides, in pertinent part, as follows:
When, by application of rule 2(b) or for any other reason, goods are, prima facie, classifiable under two or more headings, classification shall be effected as follows:
The heading which provides the most specific description shall be preferred to headings providing a more general description. However, when two or more headings each refer to part only of the materials or substances contained in mixed or composite goods or to part only of the items in a set put up for retail sale, those headings are to be regarded as equally specific in relation to those goods, even if one of them gives a more complete or precise description of the goods.
Mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale, which cannot be classified by reference to 3(a), shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.
Explanatory Note (VIII) to GRI 3(b) states that "essential character will vary as between different kinds of goods . . . it may, for example, be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods." There have also been several court decisions on "essential character" for purposes of classification under GRI 3(b). See Conair Corp. v. United States, 29 C.I.T. 888 (2005); Structural Industries v. United States, 360 F. Supp. 2d 1330, 1337-1338 (Ct. Int'l Trade 2005); and Home Depot USA, Inc. v. United States, 427 F. Supp. 2d 1278, 1295-1356 (Ct. Int'l Trade 2006), aff'd 491 F.3d 1334 (Fed. Cir. 2007). "[E]ssential character is that which is indispensable to the structure, core or condition of the article, i.e., what it is." Home Depot at 1293 (quoting A.N. Deringer, Inc. v. United States, 66 Cust. Ct. 378, 383 (1971)). In particular, "[a]n essential character inquiry requires a fact intensive analysis." Id. at 1284.
Here, the paper components do not serve as reservoirs for water that enters the article, do not allow hot air to enter, heat and evaporate the water, and do not vent that air into the environment. The paper components simply serve to enhance the function of the article by wicking the water. Without the paper components, the article can still force hot air over water in its reservoir and vent that moisturized air into the environment, albeit less effectively. Furthermore, the paper components are temporary components that have to be intermittently replaced. Therefore, we find that the plastic reservoir provides the essential character of the article and the article must be classified as if it consisted of that plastic reservoir.
The complete article is not exclusively for household use – it is suitable for use in a home or office, school or dorm, and similar environments. The article is therefore classified in heading 3926, HTSUS, as an other article of plastic.
HOLDING:
By application of GRI 3(b), the AIRH2U is classified in heading 3926, HTSUS. Specifically, it is classified in subheading 3926.90.99, HTSUS, which provides for Other articles of plastics and articles of other materials of headings 3901 to 3914: Other: Other. The 2017 column one, general rate of duty is 5.3% ad valorem. Duty rates are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided at http://www.usitc.gov.
Sincerely,
Gregory Connor, Chief
Electronics, Manufacturing, Automotive, and International Nomenclature Branch