CLA-2-94:OT:RR:NC:N4:433
Sara Hinst
Customs Compliance Supervisor
Costco Wholesale
999 Lake Drive
Issaquah, WA 98027
RE: The tariff classification of a glider with ottoman from China.
Dear Ms. Hinst:
In your letter dated July 28, 2016, you requested a tariff classification ruling. Illustrative literature was provided.
Costco item #1041154 is a wood frame upholstered glider chair with a wood frame upholstered ottoman. No information was provided as to whether the ottoman is also capable of gliding. The photo of the illustrative literature depicts that the seat, backrest and armrests of the glider are upholstered and that the seat of the ottoman is upholstered. Both the glider and ottoman are packaged together in one box.
In the United States Court of Customs and Patent Appeals, United States v, Quon Quon Company, No. 4945, 1 C.A.D. 699, 46 C.C.P.A. 70 dated 1959, the Court stated: Of all things most likely to help in the determination of the identity of a manufactured article, beyond the appearance factors of size, shape, construction and the like, use is of paramount importance.
You suggest that the glider with ottoman should be classified in subheading 9401.69.6011 of the Harmonized Tariff Schedule of the United States (HTSUS), as the ottoman is a type of seat that could be used separately from that of the glider chair. Although the ottoman could be used as a stand-alone seat, the photo indicates that the seat and ottoman are a coordinated grouping having shared design features and fabric, and more importantly are designed to work together for purposes of sitting and resting one’s feet upon. It is our position that the use of the ottoman as a seat is a fugitive or subordinate use versus its primary function which is to be used as a foot-rest.
When interpreting and implementing the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The ENs to the HTSUS, General Rules of Interpretation (GRIs), at GRI 3 (b), X, provides that the term “goods put up in sets for retail sale” means goods that: (a) consist of at least two different articles which are, prima facie, classifiable in different headings; (b) consist of articles put up together to meet a particular need or carry out a specific activity; and (c) are put up in a manner suitable for sale directly to users without repacking. Goods classifiable as “sets” under GRI 3 (b) of the HTSUS are classified as if they consisted of the component or components taken together, which can be regarded as conferring on the set as a whole its essential character – see EN X to the GRIs.
We find that the merchandise concerned is a set for tariff purposes, in that the glider chair is classifiable in heading 9401 of the HTSUS and the ottoman is classified in heading 9403 of the HTSUS, both items work together for purposes of relaxation, and both items are packaged for retail sale directly to purchasers without being repacked. It is our opinion that he essential character of the set is imparted by the wood frame upholstered glider chair, because the chair can be used by itself within its fully upholstered confines, gliding forward and back, for long periods of duration for purposes of relaxing.
The applicable subheading for the wood frame upholstered glider chair with a wood frame upholstered ottoman will be 9401.61.4011, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Seats (other than those of heading 9402), whether or not convertible into beds, and parts thereof: Other seats, with wooden frames: Upholstered: Chairs: Other; Other household.” 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 Neil H. Levy at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division