CLA-2-84:OT:RR:NC:N1:102
Benjamin Silk
Near North Customs Brokers, Inc.
55 Patterson Rd, 2nd Floor
Barrie, Ontario L4M 7K1
Canada
RE: The tariff classification of an evaporator unit from China
Dear Mr. Silk:
In your letter dated March 16, 2020, you requested a tariff classification ruling on behalf of your client, Wolf Steel Ltd. of Barrie, Ontario, Canada. Descriptive information was provided.
The Napoleon NH25 Series Ductless Heat Pumps are split air conditioning systems, consisting of indoor and outdoor units, which are imported separately. This request is for the indoor evaporator unit, item number NH25-09F-I, as the outdoor evaporator unit (item number NH25-09F-O) was ruled upon in New York ruling N308187, dated December 31, 2019.
The subject indoor evaporator unit is said to be exclusively used with the aforementioned outdoor condenser unit and together, these units cool or warm air within a specific space. The indoor evaporator unit primarily consists of a chassis, an evaporator assembly, a motor, and a blower that circulates air.
The applicable subheading for the indoor evaporator unit (item number NH25-09F-I) of the split Heat Pump AC system, when entered separately, will be 8415.90.8065, HTSUS, which provides for Air conditioning machines, comprising a motor-driven fan and elements for changing the temperature and humidity, including those machines in which the humidity cannot be separately regulated: Parts: Other: Other: Of heat pumps. The general rate of duty is 1.4 percent ad valorem.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8415.90.8065, HTSUS, unless specifically excluded, are subject to an additional 7.5 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 8415.90.8065, 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 Sandra Martinez at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division