CLA-2-87:OT:RR:NC:N2:201
Meloney Norris
PLG Customs Brokers, Inc.
306 Airline Drive
Coppell, TX 75019
RE: The tariff classification of pedal assist electric bicycle from China
Dear Ms. Norris:
In your letter dated September 28, 2022, you requested a tariff classification ruling on behalf of your client, Volcon Inc., located in Round Rock, Texas.
The item under consideration has been identified as a pedal assist electric bicycle referred to as the "Brat".
You state that the "Brat" is equipped with a 750W electric motor and a 48V battery. In your email of October 6, 2022, you indicated that the electric motor operates with a nominal power of 750W, but has a maximum peak power of 1,200W.
The "Brat" has four drive modes with a top speed of 30 miles per hour and a range of 70+ miles, The "Brat" is electrically pedal-assisted and can fully charge in 6-7 hours. In your email you stated that the four (4) drive modes are:
MODE
Functionality
Performance Level
Top Speed
1
Pedal Assist Only
Normal Acceleration
20 MPH
2
Pedal Assist and Throttle Enabled
Normal Acceleration
20 MPH
3
Pedal Assist and Throttle Enabled
Enhanced Acceleration
20 MPH
4
Pedal Assist and Throttle Enabled
Max Acceleration
20 MPH
You also stated that the cycle is “pedal assist” only and is not capable of 100% self-propulsion.
You state that the "Brat" is marketed for personal, family or household recreational purposes. You state that you believe that the appropriate Harmonized Tariff Schedule of the United States (HTSUS) classification for the "Brat" should be 8711.60.0090, which provides for “Motorcycles (including mopeds) and cycles fitted with an auxiliary motor, with or without side-cars; side-cars: With electric motor for propulsion: Other”. This office concurs.
In addition, you requested guidance as to whether this electric bicycle will be subject to additional duties under Section 301, or if the product would qualify for the product exclusion under HTSUS note 20(v) to subchapter III of chapter 99, 9903.88.17, which included: (86) Motorcycles with electric power for propulsion, each of a power not exceeding 1,000 W (described in n statistical reporting numbers 8711.60.0050 or 8711.60.0090). First, 9903.88.17 has been replaced by 9903.88.67, which provides for the same class of vehicles. Second, as the vehicle is not capable of 100% self-propulsion it would not be considered a “motorcycle” and would therefore not be eligible for the product exclusion set out in US Note 20(ttt)(ii)(31).
The applicable subheading for the Brat will be 8711.60.0090, HTSUS, which provides for “Motorcycles (including mopeds) and cycles fitted with an auxiliary motor, with or without side-cars; side-cars: With electric motor for propulsion: Other”. The rate of duty will be Free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8711.60.0090, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.02, in addition to subheading 8711.60.0090, 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, 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 Matthew Sullivan at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division