CLA-2-94:OT:RR:NC:N4:433
James P. Wann
Operations Manager
Dimensions Furniture
341 Gradle Drive
Carmel, IN 46032
RE: The tariff classification of a bed from China.
Dear Mr. Wann:
In your letter dated August 5, 2014, you requested a tariff classification ruling. Descriptive literature, annotated illustrations and composition breakdowns were provided.
The item is identified as the “Metal Framed Wooden Bed Concept.” The bed consists of (1) a headboard panel constructed from 9mm, Multi-density Fibreboard (MDF) covered on its front surface with hardwood veneers and has 20mm MDF on the top and sides, which in turn bolts through the MDF into threaded inserts in the top, bottom and sides of the 30mm steel tube headboard frame, (2) a footboard panel constructed from 9mm, MDF covered on its front surface with hardwood veneers and has 20mm veneered MDF on the top and sides, which in turn slides over the top of the 30mm steel tube footboard frame, and is bolted through the backside of the footboard panel into threaded inserts in the footboard frame, (3) legs made to resemble real wood by casting resin around the metal legs; (4) two steel side rails, and (5) three steel cross supports with steel support legs.
Company provided information, by means of a breakdown table, indicates that the weight of the wood components is in the range of 20 to 23kg, the metal components is in the range of 22 to 25kg and the resin components is in the range of 10 to 12kg, while the cost of wood components is higher than that of the metal and resin components, taken individually. Further analysis of the material breakdown table, supports the position that the weight and cost of the wood components and metal components are appreciable to each other, whereas, the resin casted legs are neither appreciable nor De-minimis compared against the wood or metal components, taken individually.
The Metal Framed Wooden Bed Concept is composed of different components (i.e., wood, metal and resin), and is considered a composite good. The Explanatory Notes 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 consisted only of the material or component that imparts the essential character to the composite good.
You state that the wood components represent less than half of the estimated weight and value of the unit. However, this is only true when aggregating the metal and resin components together. Aggregation must be viewed in a narrow scope of like materials or components, which either forms part of the core or essence of the good’s overall identity, for example the aggregation of base metal castings or adds to the value of the like materials or components, for example the gold plating of base metal castings. We find no standing to aggregate resin covered metal legs with metal frameworks, metal side rails, metal cross supports, and metal support legs. With case in point, we find that the difference in the aggregated weight of the metal components over that of the aggregated weight of the wood components to be nominal and that the aggregated cost of the wood components exceeds that of the aggregated cost of the metal components. Consequently, we find that the “wood components” impart the essential character to the Metal Framed Wooden Bed Concept, in that the wood components have greater monetary value, the most visible surface area, and contribute to the bed’s consumer appeal.
The applicable subheading for the Metal Framed Wooden Bed Concept will be 9403.50.9045, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Wooden furniture of a kind used in the bedroom: Other: Beds: Other.” 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/.
At this time we are unable to provide a country of origin ruling, as no information was provided on the nature of the materials or components used in the manufacture of the Metal Framed Wooden Bed Concept. Upon receipt of a costed bill of materials that identifies each material with their country of origin, a step-by-step process description of the bed as manufactured in China, and any other process descriptions of materials, components or subassemblies produced elsewhere than China and used in the manufacture of the bed, this office will issue a country of origin determination.
Wooden bedroom furniture from China is subject to Antidumping Duties (AD) under the Department of Commerce case number A-570-890. Written decisions regarding the scope of AD orders and Countervailing Duties (CVD) are issued by the Import Administration in the Department of Commerce, and are separate from tariff classification and origin rulings issued by Customs and Border Protection. You can contact them at http://www.trade.gov/ia/ (click on “Contact Us”). For your information, you can view a list of current AD/CVD cases at the United States International Trade Commission website at http://www.usitc.gov (click on “Antidumping and countervailing duty investigations”), and you can search AD/CVD deposit and liquidation messages using the AD/CVD Search tool at http://addcvd.cbp.gov/.
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 Neil H. Levy at E-mail address: [email protected].
Sincerely,
Gwenn Klein Kirschner
Director
National Commodity Specialist Division