CLA-2-87:OT:RR:NC:N2:201

Andrea Stacey
Hyundai Motor America
10550 Talbert Ave Fountain Valley, CA 92708

RE:  The tariff classification of a Robotic Taxi from South Korea

Dear Ms. Stacey:

In your letter dated October 25, 2023, you requested a tariff classification ruling.

The item under consideration has been identified as a “Robotaxi,” a Level 4 autonomous motor vehicle imported by Hyundai Motor America.  You state that the base electric model version is based on an Ioniq5.

The Robotaxi will be shipped to the United States as new a vehicle for the purpose of transporting people.  The Robotaxi is a five-door sport utility vehicle powered by an all-electric engine.  You state that the standard RWD vehicle has a 77.4kWh battery and 168 kW horsepower, has seating for five persons, and has an EPA-rated range of 168 miles.  In addition, you state that as part of the conversion from a “standard” Ioniq5 to a Robotaxi, Hyundai has collaborated with Motional, a driverless vehicle technology company, to installs sensors, controllers, vehicle interface controls, Global Vehicle Positioning Module, remote vehicle assistance, emergency communication antennas, and other modules which allows the Robotaxi to operate as part of a ridesharing/ride hailing program in predefined/geo-fenced areas.  These modifications allow the vehicle to operate without human intervention.

The applicable subheading for the RoboTaxi will be 8703.80.0020, HTSUS, which provides for “Motor cars and other motor vehicles principally designed for the transportation of persons, including stations wagons and racing cars: Other vehicles, with only electric motor for propulsion. With an EPA-rated range not exceeding 250 miles: New”.  The rate of duty will be 2.5% ad valorem.

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 at https://hts.usitc.gov/current.

The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.

This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Matthew Sullivan at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division