CLA-2-87:OT:RR:NC:N1:121
Mr. John M. Peterson
Neville Peterson LLP
17 State Street, 19th Floor
NY, NY 10004
RE: The tariff classification of pedal carts
Dear Mr. Peterson:
In your letter dated April 15, 2013 you requested a tariff classification ruling on behalf of Prime Pedal Karts LLC.
The merchandise under consideration is described as three-wheeled and four-wheeled pedal karts. You have identified three specific models: the Daisy, the Vortex and the Renegade. Each kart is equipped with a steel tubular frame, a coaster braking system, a secondary hand brake, a suspension, a drag bar steering system, and a free-wheeling hub. Each kart rides on short fat pneumatic tires with inner tubes and is propelled by means of pedals connected to a chain and sprocket transmission system that transmits power to the rear wheels. The four-wheeled versions are steered with a steering wheel; the three-wheeled versions are steered with a handlebar.
You suggest that the various three and four-wheeled pedal karts are properly classified as wheeled toys under subheading 9503.00.0090, Harmonized Tariff Schedule of the United States (HTSUS). However, CBP has consistently held that a free-wheeling hub is a feature that distinguishes whether an article is classified as a cycle as opposed to a wheeled toy. A free-wheeling hub allows the rider to coast without having to pedal constantly. You have stated that the pedal karts associated with this ruling are equipped with this feature, thus classification as a wheeled toy is precluded.
In the alternative, you suggest classification in subheading 9508.90, HTSUS, which provides for “[m]erry-go-rounds, boats-swings, shooting galleries and other fairground amusements….” In your letter you indicate that the instant pedal karts are purchased for commercial fairground use but are also made available for sale to private customers who rent them at campgrounds, beaches, pumpkin patches and in parks and other enclosed areas or designated pathways. The Explanatory Notes (EN) for heading 9508, HTSUS, provide guidance as to whether the subject merchandise is of the type typically classified as fairground amusements. Specifically, EN 95.08 provides several exemplars of articles classified as fairground amusements. These exemplars are not similar to the instant karts; therefore, the instant karts do not belong to the same class or kind of articles classified in heading 9508, HTSUS. Moreover, the instant karts are not suitable solely for fairground use (which EN 87.12 specifically mentions). Consequently, classification under heading 9508, HTSUS, is not appropriate.
You also assert that the instant karts have no cargo-carrying capacity, are operated by a single rider, ride low to the ground and travel at slow speeds, which makes them impractical for road travel and excludes them from classification as cycles in heading 8712, HTSUS. However, EN 87.12 lists monocycles (unicycles) and bicycles specially designed for music-hall artists as exemplars of articles classified in heading 8712, HTSUS. Such cycles are also impractical for road travel; yet are not precluded from classification in this heading.
The applicable subheading for the instant pedal karts will be 8712.00.5000, HTSUS, which provides for bicycles and other cycles …, not motorized, other cycles.
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 Barbara Kaiser at (646) 733-3024.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division