CLA-2-94:OT:RR:NC:N4:433
Adrienne Fusaro
ZT Group International Inc.
333 Meadowlands Parkway
Secaucus, NJ 07094
RE: The tariff classification of computer server cabinet racks from China.
Dear Ms. Fusaro:
In your letter dated April 19, 2019, you requested a tariff classification ruling. Illustrative literature and product descriptions were provided for review.
ZT Group International items, the “Modular Server Racks,” are a series of floor-standing, empty, steel storage cabinet racks on four castors, measuring approximately 32” in width, 78” in height, and 43” in depth that are designed to secure computer server equipment, fiber cables, airflow trays, switches, power supplies, shelves, rails, network cards, adapters, additional hardware components, and are used in large data centers. The cabinet racks are imported unassembled with all hardware included for assembly of the frame, roof, base, split front and split rear access panels and contains no additional electronic internal components or electronic subassemblies.
The Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS) constitute the official interpretation of the tariff at the international level. The ENs to Chapter 94, heading 9403, under the category of [offices] list clothing lockers, filing cabinets, filing trolleys, card index files, etc.) as falling under the list of exemplars for other furniture classified under heading 9403, HTSUS. In the opinion of this office the “Modular Server Rack” falls within the construct of EN 9403, HTSUS.
The applicable subheading for the subject merchandise will be 9403.10.0040, HTSUS, which provides for “Other furniture and parts thereof: Metal furniture of a kind used in offices: Other.” The rate of duty will be free.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheading 9403.10.0040, HTSUS, unless specifically excluded, are subject to the additional 10 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 9403.10.0040, HTSUS, listed above.
The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.
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 the 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 Dharmendra Lilia at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division