CLA-2-42:OT:RR:NC:N4:441
Rita Mihalek
PHILIPS Electronics North America Corp.
3000 Minuteman Road
Building 1, M/S 109
Andover, MA 01810
RE: The tariff classification of defibrillator carrying cases and component pieces from China
Dear Ms. Mihalek:
In your letter dated August 13, 2009, you requested a tariff classification ruling. You state in your letter that you are requesting a binding ruling for six carrying cases; however, you have only submitted samples of two complete carry cases. We are only able to issue a binding ruling for the two carrying cases for which samples were submitted. You are also requesting a binding ruling on five component pieces. A sample of each component piece was provided. Your samples will be returned to you as requested.
Style 989803163341 (black) is a carrying case for the Philips IntelliVue MP2/X2 patient monitor. The carrying case is constructed of polyester textile material coated on the outer surface with a sheeting of plastic. The bag is equipped with side-end zippered compartments and sleeves that hold cables, leads, probes, electrodes and a spare battery. It has a main compartment which contains foam padding that encases and protects the MP2/X2 patient monitor. Rigid plastic base panels on the bottom of the case protect it and the contents from water, shock, etc. It allows the MP2/X2 monitor to be connected to the patient while still in the carrying case. It has a removable, padded shoulder strap and measures approximately 18.5” (W) x 7.5” (H) x 8” (D).
Style M3541A (red) is a carrying case for the Philips Heartstart Defibrillator MRx/MRx ALS. The carrying case consists of five component pieces (the bottom piece, the back piece, a left side piece, a right side piece, and a carrying strap) that are specially shaped and adapted to one another. They are attached together by hook-and-loop fasteners. When all five pieces are attached together, they form a complete carrying case. It is constructed of a polyester textile material coated on the outer surface with a sheeting of plastic. The case has a specialized compartment to store electrode pads, cables and a spare battery. Rigid plastic base panels on the bottom of the case protect it and the contents from water, shock, etc. It has a removable, padded shoulder strap and measures approximately 18.5” (W) x 7.5” (H) x 8” (D).
You state in your letter that style M3541A will be imported empty, unassembled, and including all component pieces. General Rule of Interpretation (GRI) 2(a) provides that goods imported in an unassembled condition are to be classified as the assembled article. GRI 2(a) states that:
Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article. It shall also include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), entered unassembled or disassembled.
When imported together, but unassembled, the five component pieces possess the essential character of a defibrillator case.
You stated in your letter that each of the five individual component pieces will also be imported separately and available for sale at retail on their own. No one component piece provides the essential character of a defibrillator carrying case on its own. The component pieces when imported separately are classifiable as made up articles. The individual component pieces are made from a material composed of plastics and textile fabrics. This construction is considered a textile fabric for tariff purposes.
In your submission, you request consideration for a secondary classification for these cases under Harmonized Tariff Schedule of the United States (HTSUS) 9817.00.96, as articles specially designed or adapted for use by the permanently disabled or handicapped. HTSUS, Chapter 98, Subchapter 17, U.S. Note 4-b states that HTSUS 9817.00.96 cannot be applied to articles designed to treat an acute or transient disability, as opposed to a chronic or permanent affliction, nor can it be applied to therapeutic articles.
Style M3541A (Red), described above, is specially designed to carry the Philips HeartStart Defibrillator MRx. The dimensions of the case directly correspond with the shape of those automated external defibrillators (AEDs). The defibrillators are designed to detect a subject’s heart rhythm, and if an irregular rhythm is detected, they can administer an electric shock to restore the heart to normal rhythm. They can also be utilized in cases of cardiac arrest.
Headquarters Ruling Letter 563109, October 19, 2004, indicated that AEDs are not excluded from classification in HTSUS 9817.00.96 on the basis that it is an article for an acute or transient disability, nor that it is a therapeutic article.
Much like the cases described in Headquarters Ruling Letter 563109, and those in New York Ruling Letter N011491, June 19, 2007, yours have special fittings and attachments to allow easy access to a battery, as well as pockets to store the electrodes and cables. The cases are also conspicuously adorned with the Philips and Heartstart MRx logos. They are clearly specially designed to be used with a defibrillator. Even in their unassembled form, it is evident that the separately imported components are specially designed to be used with a defibrillator and its constituent parts.
Style 989803163341 (black), is designed to carry the Philips IntelliVue MP2 Patient Monitor and the IntelliVue MMS X2 multi-measurement module. Your submission describes the MP2 and MMS X2 as devices that “will help medical care providers and first responders better focus on treating patients.” You go on to state that the MP2 and the MMS X2 have “the potential to be the gold standard for mass casualty monitoring and disaster preparedness.”
Per U.S. Note 4-b, cited above, HTSUS 9817.00.96 cannot be applied to articles designed to treat an acute or transient disability, nor to diagnostic articles. HTSUS, Chapter 98, Subchapter 17, U.S. Note 4 describes a physically or mentally handicapped person as someone suffering from a permanent or chronic physical or mental impairment which substantially limits one or more major life activities. There is nothing in your description of the IntelliVue monitors to establish that they are specially designed to treat those with chronic impairments, as opposed to those with temporary ailments. In fact, in your submission you state that these devices provide “the ability to have a dedicated monitor for every patient that comes into the hospital.” Bearing in mind that most patients admitted into a hospital do not suffer from a chronic impairment, the IntelliVue MP2 and MMS X2, and their carrying cases, would not be considered articles specially designed to benefit the physically or mentally handicapped.
We note that Patient Monitoring Systems is an eight digit HTSUS subheading within heading 9018 for Electro-diagnostic apparatus (including apparatus… for checking physiological parameters); parts and accessories thereof.
On that basis a secondary classification will apply for style M3541A, the carrying case for the HeartStart Defibrillator (and its components parts, when imported separately) in HTSUS 9817.00.96, as specially designed or adapted for the use or benefit of the permanently or chronically physically or mentally handicapped, free of duty and user fees (if any), if all applicable entry requirements are met including the filing with the Customs port of entry of the U.S. Department of Commerce form ITA-362P. Note that this classification has no effect on any quota, visa, or restricted merchandise requirements.
The carrying case for the IntelliVue MP2 and MMS X2 will not qualify for secondary classification in HTSUS 9817.00.96. You have not established that these items were designed for those with a permanent or chronic incapacity, as opposed to an acute, but often transient, disability, e.g., a broken leg, which might also result in being bedridden in a medical facility. While the carrying cases are specially designed to be used with the IntelliVue monitors, you have not established that the patient monitors are designed for those with a chronic disability, nor have you shown that they are not diagnostic articles.
The applicable subheading for style 989803163341 will be 4202.92.9060, HTSUS, which provides for other containers and cases, with outer surface of plastic sheeting. The rate of duty will be 17.6% ad valorem.
The primary classification for style M3541A (when all 5 component pieces are imported together) will be 4202.92.9060, HTSUS, which provides for other containers and cases, with outer surface of plastic sheeting.
The primary classification for the five individual component pieces of style M3541A, when imported separately, will be 6307.90.9889, HTSUS, which provides for other made up textile articles, other.
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 World Wide Web at http://www.usitc.gov/tata/hts/.
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 classification in 9817.00.96 of these items, contact National Import Specialist J. Sheridan at 646-733-3012. If you have any other questions regarding the ruling, contact National Import Specialist Vikki Lazaro at (646) 733-3041.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division