CLA-2-94:OT:RR:E:NC:1:110
Ms. Nikki Wilson
Mallory Alexander International
1100 Temple Street
Little Rock, AR 72202
RE: The tariff classification of recessed lighting fixtures from China.
Dear Ms. Wilson:
In your letter dated April 22, 2008, you requested a tariff classification ruling on behalf of your client Commercial Electric LLC.
The merchandise under consideration is recessed lighting fixtures identified as BEAH2P30MH39WSN-DIL, BEAS2P30MH39WSN-DIL, BEAS3P30MH39WSN-DIL and BEAH3P30MH39WSN-DIL.
The four lighting fixtures are recessed HID Luminarie intended for use in commercial applications. The BEAH2 and BEAS2 are two head fixtures, one for hard ceilings and one for soft or suspended ceiling installations. All recessed lighting fixtures are manufactured of sheet metal in China. It is stated that Commercial Electric purchases ballast manufactured in Mexico and Paulex electrical connectors manufactured in the U.S., which Commercial Electric exports to China for incorporation into the recessed lighting during the manufacturing process. The ballast supplied to the manufacturer in China are either single or two lamp metal haylide electronic ballast depending on the number of heads for each fixture. These lighting fixtures are rated for 120/277V (Volts) and utilize 39W (Watt) Metal Haylide Lamps.
In addition to classification, you also requested a determination of whether the ballast and connectors may be classified separately, and if so, if the value of the ballast and connectors is eligible for duty free treatment upon importation of the completed light fixtures to the U.S. During the manufacturing process, the ballast and connectors are incorporated into the fixtures and become indispensable components of the finished product. Therefore, they can not be classified separately.
The Paulex electrical connectors, components of U.S. origin, may receive the benefits of subheading 9802.00.80, Harmonized Tariff Schedule of the United States (HTSUS), for a partial duty exemption. In order to qualify for a partial duty exemption an article must meet the criteria set out in the language of the subheading. Subheading 9802.00.80, HTSUS, provides a partial duty exemption for articles assembled abroad in whole or in part of fabricated components, the product of the U.S., which were exported in condition ready for assembly without further fabrication, have not lost their physical identity in such articles by change in form, shape or otherwise, and have not been advanced in value or improved in condition abroad except by being assembled and except by operations incidental to the assembly process such as cleaning, lubrication, and painting. All three requirements of subheading 9802.00.80, HTSUS, must be satisfied before a component may receive a duty allowance. An article entered under this tariff provision is subject to duty upon the full value of the imported assembled article, less the cost or value of such U.S. components, upon compliance with the documentary requirements of Section 10.24, Customs Regulations (19 C.F.R. 10.24).
As stated above, the U.S. components, Paulex electrical connectors, were exported in condition ready for assembly without further fabrication. Therefore, allowance in duty may be granted under subheading 9802.00.80, HTSUS, for the cost or value of the Paulex connectors if the importer can demonstrate for each and every entry for which the allowance is claimed, that those components claimed to be products of the U.S. are, in fact, products of the U.S., provided the documentary requirements of 19 CFR 10.24 are satisfied. The ballast, however, are products of Mexico and are not eligible for a partial duty exemption under subheading 9802.00.80, HTSUS.
The applicable subheading for the four recessed lighting fixtures BEAH2P30MH39WSN-DIL, BEAS2P30MH39WSN-DIL, BEAS3P30MH39WSN-DIL and BEAH3P30MH39WSN-DIL will be 9405.10.6020, HTSUS, which provides for “Lamps and lighting fittings…: Chandeliers and other electric ceiling or wall lighting fittings…: Of base metal: Other: Other.” The general rate of duty will be 7.6 percent ad valorem.
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 Thomas Campanelli at 646-733-3016.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division