CLA-2-40:OT:RR:NC:N1:119
Lawrence Pilon
Hodes Keating & Pilon
134 North LaSalle Street, Suite 1300
Chicago, IL 60602
RE: The tariff classification of dual chamber cow waterbeds from Taiwan
Dear Mr. Pilon:
In your letter dated February 28, 2018, on behalf of Advanced Comfort Technology, Inc., you requested a tariff classification ruling. A sample swatch was submitted with your request and will be retained by this office.
The products in question are DCC Waterbeds®. Manufactured in roll form, this merchandise consists of a series of dual chamber cow waterbeds comprised of three layers of vulcanized rubber. Based on the submitted documentation and information obtained from the company’s website, these beds are installed by first rolling them out onto a concrete platform in a dairy barn. After aligning the bedding so that one bed is in each stall, the long roll is cut to the desired length, secured to the platform, filled with water via fill tube holes in the rubber and sealed. Once filled, each waterbed takes on a convex shape and has a front pillow and rear cushion. The DCC Waterbeds® are designed to gently float a cow’s pressure points (knees, hocks, and udders), while shedding moisture and helping to reduce bacteria. You have not indicated whether the installation hardware is included at the time of importation.
You have suggested classification of the subject product in subheading 4016.91.0000 which provides for Other articles of vulcanized rubber other than hard rubber: Other: Floor coverings and mats. However, Explanatory Note 40.16 (2) explains that the floor coverings and mats of this heading are those which are not further worked than surface-worked. Therefore, since holes have been added to the beds to accommodate filling, they are considered to be further worked and precluded from classification in this provision.
The applicable subheading for the dual chamber cow waterbeds will be 4016.99.5060, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Other articles of vulcanized rubber other than hard rubber: Other: Other: Other: Other: Other: Other. The rate of duty will be 2.5 percent ad valorem.
You have also asked about the applicability of subheading 9817.00.5000, HTSUS. Machinery, equipment and implements to be used for agricultural or horticultural purposes are provided for under the special classification provision of subheading 9817.00.5000, HTSUS. In order for the subject merchandise to fall within the special provisions of Chapter 98, HTSUS, the following three-part test must be met: (1) The article in question must not be excluded from the heading under Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, HTSUS; (2) The terms of the headings must be met in accordance with GRI 1, HTSUS, which provides that classification is determined according to the terms of the headings and any relative section or chapter notes; and (3) The article must comply with the actual use provision requirements of sections 10.131-10.139, Customs Regulations (19 CFR 10.131-10.139).
The DCC Waterbeds® are provided for under heading 4016, HTSUS. This heading is not excluded from classification in subheading 9817.00.50, HTSUS, by operation of Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2. The second part of the test requires the DCC Waterbeds® to be “machinery", "equipment" or "implements" used for "agricultural or horticultural purposes". The waterbeds are clearly used in the care and maintenance of livestock which is an agricultural pursuit. The third part of the test is that the importer meets the actual use requirements of sections 10.131 through 10.139, CBP Regulations [19 CFR 10.131 through 10.139]. If these requirements are satisfied, the third part of the test will be met and the subject merchandise would be classifiable under subheading 9817.00.5000, HTSUS, as agricultural or horticultural equipment, and would be free of duty.
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 April Cutuli at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division