CLA-2-84:OT:RR:NC:N1:118
Matthew A. Clark
Kuehne+Nagel
1001 Busse Road
Elk Grove Village, IL 60007
RE: The tariff classification of unassembled lawn mowers from China
Dear Mr. Clark:
In your letter dated May 14, 2022, on behalf of Sunrise Global Marketing, LLC (“Greenworks”), you requested a tariff classification ruling on unassembled lawn mowers.
The merchandise under consideration includes five models of battery-operated lawn mowers. These riding lawn mowers have a cutting device that rotates in a horizontal plane. The five models covered by this request are as follows:
Model CRZ426 – CrossoverZ Ride On Zero Turn – 60V
Model CRZ428 – CrossoverZ Ride On Zero Turn – 80V
Model CRZ428 – CrossoverZ Ride On Zero Turn – 82V
Model CRT426– CrossoverT Ride On Lawn Vehicle – 60V
Model CRT428 – CrossoverT Ride On Lawn Vehicle – 80V
The models only differ substantively in battery size/capacity and the size of the front tires. You have stated that Greenworks plans to import these models unassembled, with only the seat and rear wheel assemblies missing. Pictures and schematic were provided that depict the lawn mowers in their unassembled state and fully assembled.
Classification under the Harmonized Tarif Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. If the goods cannot be classified solely based on GRI 1, and if the headings and legal notes do not otherwise require, GRIs 2 through 6 may then be applied in order. GRI 2(a) provides, in pertinent part, that any “reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article.”
Merchandise classifiable under heading 8433, HTSUS, includes not only complete, fully assembled lawn movers, but also "incomplete" lawn mowers (provided that, as entered, any such "incomplete" machinery has the essential character of a complete machine). You have stated that, as imported, the unassembled lawn mowers will be missing only the seat and rear wheel assemblies. It is therefore our opinion that the unassembled lawn mowers, at the time of importation, constitute an “incomplete machine,” and as such, can be classified as finished lawn mowers.
The applicable subheading for the unassembled lawn mowers (Model CRZ426 – CrossoverZ Ride On Zero Turn – 60V, Model CRZ428 – CrossoverZ Ride On Zero Turn – 80V, Model CRZ428 – CrossoverZ Ride On Zero Turn – 82V, Model CRT426– CrossoverT Ride On Lawn Vehicle – 60V and Model CRT428 – CrossoverT Ride On Lawn Vehicle – 80V) will be 8433.11.0010, HTSUS, which provides for “Harvesting or threshing machinery, including straw or fodder balers; grass or hay mowers…, parts thereof: Mowers for lawns, parks or sports grounds: Powered, with the cutting device rotating in a horizontal plane: Electric mowers, including battery operated.” 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 8433.11.0010, 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 8433.11.0010, 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, including information on exclusions and their effective dates, 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 Anthony E. Grossi at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division