CLA-2-84:OT:RR:NC:1:104
Mr. Patrick Murray
True Value Company
8600 W. Bryn Mawr Ave.
Chicago, IL 60631
RE: The tariff classification of the Master Mechanic Three Piece 18Volt Combo Drill Kit from China
Dear Mr. Murray:
In your letter dated January 20, 2010 you requested a tariff classification ruling.
The imported drill kit, True Value sku # 127296/ model # 18Volt Combo Packs, consists of an 18 volt cordless drill, 18 volt cordless circular saw and a cordless flashlight. In addition, the set comes with (2) 1000 amp battery packs, one battery charger and a canvas bag. In your supplemental email to this office, dated January 22, 2010, you confirmed that the goods are imported packaged together for retail sale.
General Rule of Interpretation (GRI) 1, Harmonized Tariff Schedule of the United States (HTSUS), states in part that for legal purposes, classification shall be determined according to the terms of the headings, any relative section or chapter notes and, unless otherwise required, according to the remaining GRI’s taken in order. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3, HTSUS. GRI 3(a) states in part that when two or more headings each refer to a part of the item in a set put up for retail sale, those headings are to be regarded as equally specific, even if one heading gives a more precise description of the goods.
The instant tool kit consists of at least two different articles that are, prima facie, classifiable in different headings. It consists of articles put up together to carry out a specific activity (i.e., working wood and similar materials). Finally the articles are put up in a manner suitable for sale directly to users without repacking. Therefore, the kit in question is within the term “goods put up in sets for retail sale.” GRI 3(b) states in part that goods put up in sets for retail sale, which cannot be classified by reference to GRI 3(a), are to be classified as if they consisted of the component which gives them their essential character.
Inasmuch as no essential character can be determined, GRI 3(b) does not apply. GRI 3(c) states that, if neither GRI 3(a) nor GRI 3(b) applies, merchandise shall be classified in the heading which occurs last in numerical among those equally meriting consideration. This office is of the opinion that only the cordless drill and the cordless circular saw merit equal consideration. The other articles in the kit simply assist the user in utilizing the power tools and therefore do not merit equal consideration in tariff classification. In this case, the power tools fall under the same heading, i.e. heading 8467, Harmonized Tariff Schedule of the United States (HTSUS).
GRI 6 states in part that merchandise is to be classified at the subheading level according to the chapter notes and GRIs. Applying GRI 3(b) at the subheading level, neither the cordless drill, nor the cordless circular saw can be said to impart the essential character to the kit. By application of GRI 3(c), the 18volt combo drill kit is classified in the subheading which occurs last in numerical order.
The applicable subheading for the True Value sku # 127296/ model # 18Volt Combo Packs will be 8467.29.0020, (HTSUS), which provides for Tools for working in the hand, pneumatic, hydraulic or with self-contained electric or non electric motor, and parts thereof: With self-contained electric motor: Saws: Circular. The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Patricia O’Donnell at (646) 733-3011.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division