CLA-2-84:OT:RR:NC:N1:104

Dan Kelly
Williams Controls
2130 SW 72nd Avenue
Portland, OR 97224

RE: The tariff classification and trade remedy applicability of a pedal assembly from China.

Dear Mr. Kelly:

In your letter dated August 6, 2019, you requested a tariff classification ruling and trade remedy applicability.

The Williams Control “WM-538 Monotrol” is a pedal assembly designed for use in material handling equipment such as forklifts and other work trucks. This assembly controls two functions in one pedal; transmission control and throttle control. It is designed to be operated with one foot. The WM-538 Monotrol utilizes two sensors; a directional sensor sends a signal to the transmission, and a proportional sensor sends a signal to the Engine Control Unit (ECU) for throttle response. The WM-538 is used as a primary throttle in a lift truck and has a primary sensor for throttle output. A second sensor (known as the hall-effect) indicates the operator’s intended direction (forward or reverse).

The applicable subheading for the Williams Control “WM-538 Monotrol” will be 8431.20.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Parts suitable for use solely or principally with the machinery of headings 8425 to 8430: Of machinery of heading 8427”. 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). See also “Notice of Action and Request for Public Comment Concerning Proposed Determination of Action Pursuant to Section 301: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation” (June 20, 2018, 83 F.R. 28710). 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 8431.20.0000, HTSUS, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty. We find that the good subject to your ruling request falls under the scope of one of the product-specific exclusions set forth in Section XXII, Chapter 99, Subchapter III U.S. Note 20, specifically Note 20(j)(7) “Tines, carriages, and other goods handling apparatus and parts designed for use on fork lift and other works trucks (described in statistical reporting number 8431.20.0000)”. Accordingly, at the time of importation, you must report Chapter 99 subheading 9903.88.07, in addition to subheading 8431.20.0000, HTSUS, listed above.

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 Denise Hopkins at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division