CLA-2-84:OT:RR:NC:N1:104
Mr. John C. McNulty
John C. McNulty Customs Broker Inc.
249 E. Ocean Blvd
Suite 801
Long Beach, CA 90802
RE: The tariff classification of Washing Machines from Germany
Dear Mr. McNulty:
In your letter dated May 19, 2017, on behalf of your client, Miele Inc., you requested a tariff classification ruling.
The imported articles consist of household automatic washing machines, model numbers WWH660WCS and WWH860WCS. They have a dry linen capacity not exceeding 10kg and each contains a liquid detergent dosing system. The washing machines have integrated detergent dispensing units called the “TwinDos” system. This is a liquid dosing system that automatically releases a predetermined amount of detergent for the selected setting. The imported washing machines come packaged with (2) 1.5 litre bottles of liquid laundry detergent, one for color wash and one for whites. The detergents, also known as Ultra Phase 1 and Ultra Phase 2, are packaged and shipped in the drums of the washers and are packaged together with the washers within the same retail packaging boxes.
In your letter, you propose classifying the imported goods as a set under General Rule of Interpretation (“GRI”) 3(b). The GRIs set forth the legal framework in which merchandise is to be classified under the Harmonized Tariff Schedule of the United States Annotated (HTS). GRI 1 requires that classification be determined first according to the terms of the headings of the tariff and any relative section or chapter notes. Goods that cannot be classified in accordance with GRI 1 are to be classified in accordance with subsequent GRIs taken in order.
GRI 3(b) states in part that goods put up in sets for retail sale, which cannot be classified by reference to GRI 3(a), are to be classified as if they consisted of the component which gives them their essential character. The washing machine and its detergent bottles are packaged together in a single retail package which contains items that are classifiable under two separate headings of the tariff. The Explanatory Notes represent the official interpretation of the HTS at the international level. GRI 3 applies when goods are put up for sale collectively and are classifiable under two or more headings of the tariff. GRI 3(b) covers goods put up in sets for retail sale. Explanatory Note X to GRI 3(b) defines "goods put up in sets for retail sale". Such goods: (a) consist of at least two different articles that are classifiable in different headings, (b) consist of products 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.
The subject articles, in our opinion, meet the criteria for sets as the terms are defined in the cited Explanatory Notes. For the purposes of the HTS, the washing machine together with the detergent bottles constitute a set under GRI 3(b). Having determined that the articles constitute a set for tariff classification purposes, it is necessary to determine the essential character. According to the Explanatory Notes to GRI 3(b), essential character may be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of the constituent material in relation to the use of the goods. In this office’s opinion, the washing machine imparts the essential character to the set. Thus, the set is classifiable in the appropriate heading for the washing machine.
The applicable subheading for the washing machines as described above will be 8450.11.0080, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Household or laundry-type washing machines, including machines which both wash and dry; parts thereof: Machines, each of a dry linen capacity not exceeding 10kg: Fully automatic macines. Other. The rate of duty will be 1.4 percent ad valorem.
The detergents may be subject to the requirements of the Toxic Substances Control Act (TSCA), which are administered by the U.S. Environmental Protection Agency. Information on the TSCA can be obtained by contacting the EPA at 1200 Pennsylvania Avenue, N.W., Mail Code 70480, Washington, D.C., by telephone at (202) 554-1404, or by visiting their website at www.epa.gov.
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