CLA-2-84:OT:RR:NC:N1:104
Mr. Robert A. Hanson
William L. Griffin & Company, Inc.
DBA Griffin & Company Logistics
7830 12th Avenue S
Minneapolis, MN 55425
RE: The tariff classification of a Household Tool Kit from China
Dear Mr. Hanson:
In your letter dated May 31, 2016 on behalf of your client, Apollo Tools Ltd, you requested a tariff classification ruling.
You are importing four household tool kits that all contain a cordless screwdriver along with an assortment of other tools to be used around the house for small repairs. A blow molded tool case made out of HDPE is included with each kit. The case is shaped and specially fitted to contain each article, is sturdily constructed for a long term use and has snaps to securely close the case. The case is intended to contain only the tools with which it is imported. The tools kits are imported and put up in a manner suitable for sale directly to the consumer without repacking.
The first kit is model #DT9707 which is a 69 piece household tool kit which includes a 4.8 volt rechargeable cordless screwdriver, a 12 foot tape measure, an 8 oz claw hammer, a 6" long nose pliers, twenty 1" bits: 1/8", 5/32", 3/16", 1/4", PH1, PH2, PH3, PZ1, PZ2, PZ3, T10, T15, T20, T25, T27, T30, 1/8", 5/32", 3/16", 1/4", a 2" bit connector, a 18mm Utility Knife, two precision screwdrivers: Phillips #1, slotted 3mm, an 8" level and forty picture hanging fasteners (steel nails with brass plating, machine screws, plastic crew lugs & picture hooks).
The second kit is model #DT0738, a 161 piece household tool kit which includes a 4.8 volt cordless rechargeable screwdriver with UL recharger, an 8.5" wire crimper/stripper, a slotted 1/4 x 4" screwdriver, a Phillips # 2 x 4" screwdriver, an 8 oz claw hammer, forty 1" bits, a 6" diagonal pliers, a 6" long nose pliers, a 100 piece fastener set (plastic screw lugs, screws, picture hooks, push pins, steel nails with brass plating, screw hooks), a 12' measuring tape, an electric voltage tester, a ratcheting bit driver, a 2" magnetic bit extension, UL electrical tape, a slotted 1/8" x 3" screwdriver, an 8" adjustable wrench, a Phillips # 0 x 3" screwdriver, 3" spring clamps, a 9" magnetic level, a 6" stainless ruler, a slotted 3.0 mm precision screwdriver and a Phillips # 1 precision screwdriver.
The third kit is model #DT0773N1, a 135 piece Household tool kit which contains a 4.8 volt cordless screwdriver screwdriver in pink with a UL recharger, a one hundred fastener set (plastic screw lugs, screws, picture hooks, push pins, steel nails with brass plating, screw hooks), an 18mm utility knife, ten 1" bits CRV (1/8", 5/32", 3/16", 1/4", PH1, PH2, PH3, PZ1, PZ2, PZ3), ten 1" bits CRV (T10, T15, T20, T25, T27, T30, 1/8", 5/32", 3/16", 1/4"), an 8" scissors, an 8oz claw hammer, four screwdrivers (Phillips No. 1, No. 0, slotted 2.4mm, 3.0 mm), UL electrical tape, a 6" long nose pliers, a 9" plastic magnetic level, 12' 5/8" measuring tape, an 6" adjustable wrench and a 2" putty knife.
The fourth kit is model #DT8422, a 144 piece household tool kit which contains a 4.8 volt rechargeable cordless screwdriver, a 12ft (3.5m) tape measure, a 7oz claw hammer, a 6" long nose pliers, a putty knife, a bit driver, ten 1" bits: 1/8", 5/32", 3/16", 1/4", PH1, PH2, PH3, PZ1, PZ2, PZ3; ten 1" bits: T10, T15, T20, T25, T27, T30, 1/8", 5/32", 3/16", 1/4"; a 2" bit connector, a 18mm utility knife, a Phillips 4" x #2 Screwdriver, a slotted 4" x 1/4" screwdriver, six precision screwdrivers: Phillips #1, #0, slotted 1.4mm, 2mm, 2.4mm, 3mm, a 9" Level, an 8" scissors, two 2/2" spring clamps, two 3/2" spring clamps, a digital voltage tester, PVC electrical tape and 100 picture hanging fasteners (plastic screw lugs, screws, picture hooks, push pins, steel nails with brass plating, screw hooks).
General Rule of Interpretation (GRI) 1, Harmonized Tariff Schedule of the United States (HTSUS), states in part that for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3, HTSUS. GRI 3(a) states in part that when two or more headings each refer to part only of the items in a set put up for retail sale, those headings are to be regarded as equally specific, even if one heading gives a more precise description of the good.
The instant tool kits consist of at least two different articles that are, prima facie, classifiable in different headings. They consist of articles put up together to carry out a specific activity (i.e., home repair). Finally, the articles are put up in a manner suitable for sale directly to users without repacking. Therefore, the kits in question are within the term "goods put up in sets for retail sale." GRI 3(b) states in part that goods put up in sets for retail sale, which cannot be classified by reference to 3(a), are to be classified as if they consisted of the component which gives them their essential character. It is the opinion of this office that the power tools impart the essential character to these kits.
Regarding the cases, certain containers may be classified with the article(s) they are designed to hold, if the requirements of GRI 5 (a) are met. In pertinent part, GRI 5 (a) states that: camera cases, musical instrument cases…and similar containers, specially shaped or fitted to contain a specific article or set of articles, suitable for long term use and entered with the articles for which they are intended, shall be classified with such articles when of a kind normally sold therewith. In this case, the cases are shaped and specially fitted to contain the articles. The cases are suitable for long-term use in that they are sturdily constructed and feature secure snap closures. In addition, the cases are being entered only with the articles they are intended to contain. It is this office’s determination that the cases meet the requirements of GRI 5 (a), and are classifiable together with their contents as kits.
The applicable subheading for the household tool kits will be 8467.29.0040, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Tools for working in the hand, pneumatic, hydraulic or with self-contained electric or nonelectric motor, and parts thereof: With self-contained electric motor: Other…Screwdrivers, nut-runners and impact wrenches”. 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 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, contact National Import Specialist Patricia O’Donnell at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division