CLA-2-44:OT:RR:NC:N4:434
Ken Skillman
UFP International
5200 Highway 138
Union City, GA 30291
RE: The tariff classification and applicability of 9817.00.50 to various planters from China
Dear Ms. Skillman:
In your letter, dated June 23, 2022, you requested a tariff classification ruling and a determination as to the applicability of subheading 9817.00.50, Harmonized Tariff Schedule of the United States (HTSUS) for five items. In lieu of samples, photos and product specifications were provided for our review.
Item 1, Item number 472069, is described as a framed gridwall trellis. It measures 24 inches wide by 60 inches high. It has a 2 inch by 2 inch cedar frame which surrounds a steel grid. The gridwall trellis is intended to be hung on a wall or leaned against a wall. Mounting hardware is not included. (After importation, the gridwall will be packaged with four cedar planter boxes which attach to the gridwall for hanging plants.)
Item 2 corresponds to cedar planter boxes. The larger, item number 472068, measures approximately 14 inches long by 5 inches wide by 7 inches high. The smaller, item number 472067, measures approximately 7 inches long by 5 inches wide by 7 inches high.
Item 3, Item number 472069K, is a set consisting of four cedar planter boxes, two small and two large, as described in Item 2 above, and one steel grid, as described in Item 1. The goods are packaged together in a retail box with metal brackets for mounting the planter boxes to the grid.
Item 4, Item number 357272, is described as a cedar garden bed on legs, used to grow vegetables, flowers, or other plants. It measures 28 inches wide by 20 inches deep and stands on legs that are 27.5 inches high.
Item 5, Item number 472551, is described as a raised cedar garden bed used to grow vegetables, flowers, or other plants. It measures 48 inches wide by 48 inches deep by 12 inches high and is designed without a bottom to sit directly on the ground.
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes (together known as legal notes). If the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 are then applied in order.
The gridwall trellis, item number 1, product # 472069, is composed of different components (base metal and wood) and is considered a composite good. The Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS), GRI 3 (b) (VIII), state that the factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight, or value, or by the role of a constituent material in relation to the use of the goods. When the essential character of a composite good can be determined, the whole product is classified as if it consists only of the material or component that imparts the essential character to the composite good. In the case of the subject gridwall trellis, we find that the metal grid, which is used to hold the planter boxes provides the essential character. As such, the gridwall trellis is classified by application of GRI 3(b), according to its metal component. This gridwall is 1) made of base metal, 2) affixed to a vertical surface and 3) used to hang, hold, or support other household items. Based on these three factors, the gridwall trellis is ejusdem generis with the exemplars in heading 8302.50.0000, HTSUS, which provides for hat racks, hat pegs, brackets and similar fixtures and parts thereof, of base metal.
The gridwall trellis imported with the planter boxes as a kit, item number 3, product # 472069K, is also a composite good and follows the above reasoning. This item is a wall mounted rack, in which the metal component provides the means to hold the planter boxes, and it is therefore classified by application of GRI 3(b), according to its metal component.
The applicable subheading for item number 1, product # 472069, framed gridwall trellis and item number 3, product # 472069K, gridwall trellis kit will be 8302.50.0000, HTSUS, which provides for hat racks, hat pegs, brackets and similar fixtures and parts thereof, of base metal. The rate of duty will be Free.
The applicable subheading for Item 2, item nos. 472067 and 472068, the cedar planter boxes, will be 4420.90.8000, HTSUS, which provides for “Wood marquetry and inlaid wood; caskets and cases for jewelry or cutlery and similar articles, of wood; statuettes and other ornaments, of wood; wooden articles of furniture not falling within chapter 94: Other: Other. The rate of duty will be 3.2% ad valorem.
The ENs to Chapter 94 of the HTSUS state, in relevant part, that the term “furniture” means: “(A): Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels…. Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.” The subject cedar garden beds, items 4 and 5, meet this definition of furniture.
The applicable classification for Item no. 4, 357272, cedar garden bed on legs, and Item no. 5, 472551, raised garden bed, will be subheading 9403.60.8081, HTSUS, which provides for "Other furniture and parts thereof: Other wooden furniture: Other: Other.” The general 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 the World Wide Web at https://hts.usitc.gov/current.
You request that the above items be considered for duty-free treatment as an agricultural or horticultural implement under subheading 9817.00.50, HTSUS, which provides for machinery, equipment and implements to be used for agricultural or horticultural purposes. Subheading 9817.00.50, HTSUS, is an actual use provision. To fall within a special classification, a three-part test must be met. First, the subject merchandise must not be excluded from the heading under Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, HTSUS. Secondly, the terms of the headings must be met in accordance with GRI 1, which provides that classification is determined according to the terms of the headings and any relative section or chapter notes. Thirdly, the article must comply with the actual use regulations under Section 10.131 through 10.139, Customs Regulations (19 CFR 10.131 through 10.139). The five items within this ruling request fail to qualify for classification within 9817.00.50, per consultation with CBP Headquarters.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheadings 4420.90.8000, 8302.50.0000, and 9403.60.8081 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, 9903.88.03, in addition to subheadings 4420.90.8000, 8302.50.0000, and 9403.60.8081, 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.
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 Charlene Miller at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division