Mr. Jim Sides
Totex Manufacturing, Inc.
3050 Lomita Boulevard
Torrance, CA 90505
RE: The tariff classification of a lithium-ion battery core pack from China
Dear Mr. Sides:
In your letter dated June 10, 2020, you requested a tariff classification ruling. Descriptive information was included.
The battery core packs in question are referred to as 170mAh Li Ion Battery Core Pack (Model U30428R02). Each core pack consists of a lithium ion cell attached to a safety circuit. The lithium ion cell stores and provides power. The size of the cell included in each core pack depends on the model number of the battery pack. After importation, the core pack is enclosed in a plastic housing to form a complete battery, which is then attached to an Advanced Bionics Coguaro cochlear implant interface to power the sound processor of the implant.
The applicable subheading for the battery core pack referred to as 170mAh Li Ion Battery Core Pack (Model U30428R02) will be 8507.60.0020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Electric storage batteries, including separators therefor, whether or not rectangular (including square); parts thereof: Lithium-ion batteries: Other. The general rate of duty will be 3.4 percent ad valorem.
In your submission you request consideration of a secondary classification for the subject battery core packs under 9817.00.96, HTSUS, which applies to articles and parts of articles specially designed or adapted for the use or benefit of the permanently or chronically physically or mentally handicapped. Chapter 98, Subchapter XVII, U.S. Note 4(a), HTSUS, defines the term "blind or other physically or mentally handicapped persons" as including "any person suffering from a permanent or chronic physical or mental impairment which substantially limits one or more major life activities, such as caring for one's self, performing manual tasks, walking, seeing, hearing, speaking, breathing, learning, or working."
In this instance, it is stated that the subject battery core pack is designed to work exclusively with a sound processor of an Advanced Bionics Coguaro implant system, which allows the profoundly deaf or severely hard-of-hearing patients to regain their ability to hear. CBP has previously determined that cochlear implant systems, with which the subject battery packs are used, are eligible for the secondary classification of HTSUS 9817.00.96, e.g., HQ H305925, dated November 12, 2019. In this ruling, CBP determined that cochlear implant systems used to treat individuals who are hearing-impaired are considered eligible for the secondary classification under HTSUS 9817.00.96, as a hearing impairment satisfies the description set forth in Chapter 98, Subchapter XVII, U.S. Note 4(a). Therefore, being that the subject battery core pack is adapted for and exclusively used with a cochlear implant system, we find the secondary classification of 9817.00.96 will apply to the 170mAh Li Ion Battery Core Pack (Model U30428R02).
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8507.60.0020, 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 8507.60.0020, HTSUS, listed above.
The additional duties imposed by heading 9903.88.15 do not apply to goods for which entry is properly claimed under a provision of chapter 98 of the HTSUS, except for goods entered under subheadings 9802.00.40, 9802.00.50, and 9802.00.60, and heading 9802.00.80. For subheadings 9802.00.40, 9802.00.50, and 9802.00.60, the additional duties apply to the value of repairs, alterations, or processing performed abroad, as described in the applicable subheading. For heading 9802.00.80, the additional duties apply to the value of the article less the cost or value of such products of the United States, as described in heading 9802.00.80.
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, 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
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 Paul Huang at email@example.com.
Steven A. Mack
National Commodity Specialist Division