CLA-2-85:OT:RR:NC:N2:209
Amanda Levitt
Sandler, Travis & Rosenberg, P.A.
551 Fifth Avenue, Suite 1100
New York, NY 10176
RE: The tariff classification of a smart entry/access module from China
Dear Ms. Levitt:
In your letter dated September 6, 2019, you requested a tariff classification ruling on behalf of your client, Latchable Inc.
The item concerned is referred to as the Latch R (model # R1LB1). The Latch R is a wireless entry/access device that directly connects to any electronic locking mechanism and allows users to open an electronic door lock.
The Latch R communicates with Latch's cloud-based system (the Latch Cloud Manager) over a network using either wireless Bluetooth or Wi-Fi technology (or in some cases, a wired Ethernet connection). It transmits and receives data to and from the Latch Cloud Manager which makes a determination as to whom has the authority to open a locked door. The Latch R communicates with user smartphones via the Latch Mobile App over a network using wireless Bluetooth technology to allow such users to unlock an electronic lock coupled to the Latch R.
The Latch R incorporates, within its single housing, two PCBAs, a Wi-Fi controller, two Bluetooth controllers, a microcontroller, a CMOS camera module (used optionally for the ancillary function of capturing pictures of guests for security purposes), an Ethernet cable, an NFC transceiver, a capacitive touch controller, and IO wire cable harnesses.
Based on the information supplied to CBP within the ruling request, it is the opinion of this office that the principal function of the Latch R is to act as a wireless transceiver module. It allows for the transmission and reception of data, which is used to facilitate the authorized activation of a coupled locking mechanism (the locking mechanism is not the subject of the ruling).
The applicable subheading for the Latch R (model # R1LB1) will be 8517.62.0090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Telephone sets, including telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network), other than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528; parts thereof: Other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network): Machines for the reception, conversion and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other.” The general rate of duty will be Free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8517.62.0090, HTSUS, unless specifically excluded, are subject to an additional 15 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheading 8517.62.0090, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively.
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 Steven Pollichino at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division