CLA-2-87:OT:RR:NC:N2:206
Cameron W. Roberts
Roberts & Kehagiaras LLP
One World Trade Center
Long Beach, CA 90831
RE: The tariff classification of folding utility wagons from China
Dear Mr. Roberts:
In your letter dated October 25, 2019, you requested a tariff classification ruling on behalf of your client, Picnic Time, Inc.
The items under consideration have been identified as a 736-00 Adventure Wagon XL, a 737-00 Adventure Wagon GT, a 739-00 Adventure Wagon, and a 741-00 Adventure Wagon – All Terrain – Black/Gray, which are folding utility wagons used for household shopping and moving groceries and other household goods. All four wagons have a weight capacity of 225 pounds, and consist of a powder coated steel frame and handle, plastic wheels, joints, base, and 600D polyester liner and cover. The wagons differ in size, but have the same function of moving household goods.
The applicable subheading for the 736-00 Adventure Wagon XL, the 737-00 Adventure Wagon GT, the 739-00 Adventure Wagon, and the 741-00 Adventure Wagon – All Terrain – Black/Gray will be 8716.80.5090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Trailers and semi-trailers; other vehicles, not mechanically propelled; and parts thereof: Other vehicles: Other: Other: Other.” The general rate of duty will be 3.2% ad valorem.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8716.80.5090, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 8716.80.5090, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively.
You also requested this office to make a determination on whether the portable folding wagons qualify for the exclusion granted by the United States Trade Representative, listed in subheading 9903.88.13, HTSUS, which provides for “Articles the product of China, as provided for in U.S. note 20(p) to this subchapter, each covered by an exclusion granted by the U.S. Trade Representative.” It appears that carts used for household shopping as those described in your request are listed in U.S. note 20(p)(7), corresponding to subheading 9903.88.13, HTSUS. As a result, the 736-00 Adventure Wagon XL, the 737-00 Adventure Wagon GT, the 739-00 Adventure Wagon, and the 741-00 Adventure Wagon – All Terrain – Black/Gray will also be classified in subheading 9903.88.13, HTSUS.
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 https://hts.usitc.gov/current.
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, please contact National Import Specialist Liana Alvarez at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division