CLA-2-94:OT:RR:NC:N4:463

Sean K. Scarbrough
Taggart International Ltd.
2825 Lewis Speedway, Unit 108
St. Augustine, FL 32084

RE:      The tariff classification of a growing rack from China

Dear Mr. Scarbrough:

This ruling is being issued in response to your letter dated November 10, 2023, requesting a tariff classification determination on behalf of your client Mitchell Ellis Products, Inc.  In lieu of samples, a picture and a product description were provided.

As described in the submission, the NC1 Growing Rack will be used at commercial nurseries to grow various plants.  The rack is made of galvanized steel to withstand the weather and the application of fertilizer.  The frame is comprised of four vertical steel beams (one at each corner), four height-adjustable wire shelves, and one fixed lower shelf.  The rack sits atop four 4 ¾" nylon casters, two of which swivel and two of which are fixed.  The rack measure approximately 53" (L) x 22.25"(W) x 80" (H) and weighs approximately 70 lbs.  It is made in China.  See image below:



Classification under the 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, for the purposes of this Chapter, 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, theatres, cinemas, offices, churches, schools, cafés, restaurants, laboratories, hospitals, dentists, surgeries, etc., or ships, aircraft, railway coaches, motor vehicles, caravan-trailers or similar means of transport.  (It should be noted that, for purposes of this Chapter, articles are considered to be “movable” furniture even if they are designed for bolting, etc., to the floor, e.g., chairs for use on ships).  Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.  The subject growing rack falls within the meaning of furniture as described by the General ENs to Chapter 94 of the HTSUS.

The applicable classification for the NC1 Growing Rack will be subheading 9403.20.0082, HTSUS, which provides for “Other furniture and parts thereof: Other metal furniture: Other: Counters, lockers, racks, display cases, shelves, partitions and similar fixtures: Steel racks, other than those described in statistical reporting number 9403.20.0075.” The general rate of duty will be free.

You requested that the growing rack be considered for duty-free treatment under subheading 9817.00.50, HTSUS.  19 C.F.R. Part 177.7 provides that rulings will not be issued in certain circumstances.  Specifically, Part 177.7(b) reads, in pertinent part: No ruling letter will be issued with respect to any issue which is pending before the United States Court of International Trade, the United States Court of Appeals for the Federal Circuit or any court of appeal therefrom.  As such, CBP will not issue a ruling regarding the eligibility of the growing rack under subheading 9817.00.50, HTSUS, at this time.  The classification determination may be impacted by the court case currently pending in the Court of International Trade.

Products of China classified under subheading 9403.20.0082, 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., 9903.88.03, in addition to subheading 9403.20.0082, HTSUS, listed above.

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 internet 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 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.  If the facts are modified in any way, or if the goods do not conform to these facts at the 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 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