CLA-2-94:OT:RR:NC:N4:463
Ken Skillman
idX Corporation
2801 East Beltline Avenue NE
Grand Rapids, MI 49525
RE: The tariff classification of a retail display table and retail display gondola components from China
Dear Mr. Skillman:
In your letter dated November 30, 2022, you requested a binding ruling for a retail display table and gondola components. In lieu of samples, illustrative literature and product descriptions were provided.
Item 1, TJXC-00717, is a circular 4-tiered retail display table. The uppermost tabletop has a diameter of 22", the lowermost tabletop has a diameter of 40", and the two in-between tabletops have diameters of 32". The tabletops are composed of a melamine laminate over MDF (engineered wood) with PVC edge bands. The lowermost tabletop is approximately 20" high and sits atop four steel legs that are mounted on 2.5" casters. The uppermost tabletop is approximately 54" high. The uppermost tabletop and the two in-between tabletops are supported by boltless cantilevered braces that lock into a vertical steel center post.
Item 2, TJXC-02577, is a rectangular steel frame that measures 49" (W) x 60" (H), in which an MDF panel will be inserted after importation as part of a retail display gondola system. The front has slots for attaching boltless cantilevered braces that will support shelves.
Item 3, TJXC-02576, is a gondola end panel which consists of the rectangular steel frame described above (item 2, TJXC-02577) and an MDF panel insert, item TJXC-02578, which will be addressed in a separate ruling number.
Item 4, TJXC-00547, is a 1/4" thick MDF panel with a melamine laminate. It measures approximately 34" (W) x 56" (H) and has two notched corners to allow it to fit into a steel gondola frame.
All four items are made in China.
Classification under the Harmonized Tariff 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, the remaining GRIs 2 through 6 may then be applied in order.
In understanding the language of the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and coding System, which constitutes the official interpretation of the Harmonized System at the international level, may be utilized. The ENs, although not dispositive or legally binding, provide a commentary on the scope of each heading and are generally indicative of the proper interpretation of the HTSUS. The ENs to Chapter 94 of the HTSUS state, in relevant part, that the term “furniture” means: “(A): Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels…. Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.” The subject articles meet the definition of furniture.
Additionally, the ENs to Chapter 94 of the HTSUS, “Parts,” state: “This Chapter only covers parts, whether or not in the rough, of goods of heading 9401 to 9403 and 9405, when identifiable by their shape or other specific features as parts designed solely or principally for an article of those headings. They are classified in this Chapter when not more specifically covered elsewhere.”
Since items 1, 3 and 4 are composed of different materials (wood, steel, melamine, etc.), they are considered composite goods for tariff purposes. The ENs to the HTSUS, GRI 3(b) (VIII) state that “the factor which determines essential character will vary between different kinds of goods. It may, for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good. Upon review of relevant factors, this office finds that the wood components impart the essential character to item 1, the 4-tiered table, item 3, the gondola end panel, and item 4, the MDF panel. Item 2, the rectangular steel gondola component, is composed solely of steel and will be classified accordingly.
The applicable subheading for item 1, TJXC-00717, the 4-tiered table, will be subheading 9403.60.8081, HTSUS, which provides for "Other furniture and parts thereof: Other wooden furniture: Other: Other.” The general rate of duty will be free.
The applicable subheading for item 2, TJXC-02577, the rectangular steel gondola frame, will be subheading 9403.99.9041, HTSUS, which provides for “Other furniture and parts thereof: Parts: Other: Of Metal: Other.” The general rate of duty will be free.
The applicable subheading for item 3, TJXC-02576, the gondola end panel, and for item 4, TJXC-00547, the MDF panel insert, will be subheading 9403.91.0080, which provides for “Other furniture and parts thereof: Parts: Of wood: 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 9403.60.8081, 9403.91.0080, and 9403.99.9041, HTSUS, unless specifically excluded, are subject to an additional 25% ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 9403.60.8081, 9403.91.0080, and 9403.99.9041, HTSUS, listed above.
This ruling is being issued under the provisions of Part 177 of Title 19 of the Code of Federal Regulations (19 C.F.R. Part 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 Seth Mazze at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division