CLA-2-83:OT:RR:NC:N1:121
Ms. Silke Rees
Master Lock Company
P.O. Box 927
137 W. Forest Hill Avenue
Oak Creek, WI 53154
RE: The tariff classification of a door locking system and various components and subassemblies from Mexico
Dear Ms. Rees:
In your letter dated October 4, 2012, you requested a tariff classification ruling. Pictures of the articles were submitted with your request.
The merchandise under consideration is Master Lock item 7200NDKIT, PulseCode™ Passage Door Locking System (imported unassembled), and various separately imported components and subassemblies. Item 7200NDKIT, PulseCode™ Passage Door Locking System, is a security system designed to be installed on a building’s interior or exterior outward swinging door. It is operated by entering a pass code on a keypad or by radio frequency identification (RFID) technology. The system includes a base metal locking mechanism, a safety feature that permits release of the door from the interior without use of the keypad or RFID, and a redundant opening feature using a vibration sensor. Item 7200NDKIT is designed to be networked. It incorporates a control module that links to a network server allowing for centralized updating of pass codes and centralized monitoring of facility access. The controller retains a list of valid pass codes enabling the lock to function independently in the event of a network interruption.
We agree with your proposal that when packed together and imported unassembled, item 7200NDKIT will be classified by application of GRI 2(a), which provides for complete or finished articles presented unassembled or disassembled to be classified in the same heading as the assembled article.
The applicable subheading for the unassembled PulseCode™ Passage Door Locking System, item 7200NDKIT, will be 8301.40.6030, Harmonized Tariff Schedule of the United States (HTSUS), which provides for padlocks and locks (key, combination or electrically operated), of base metal…other locks, other, door locks, locksets and other locks suitable for use with interior or exterior doors (except garage, overhead or sliding doors). The rate of duty will be 5.7 percent ad valorem.
The following articles are individual components of item 7200NDKIT, PulseCode™ Passage Door Locking System.
Part 7212, Combination Keypad and Radio Frequency Reader, is a nonprogrammable machine that combines a keypad and radio frequency reader. It does not operate the lock; rather, it sends data to a computer via a controller, thus it is an input device to a computer. It meets Legal Note 5 (C) to Chapter 84, HTSUS. The Combination Keypad and Radio Frequency Reader is solely or principally used with an ADP machine. It connects to an ADP machine indirectly through the controller and accepts or delivers data to the ADP in a code that the ADP can understand.
When entered separately, the applicable subheading for part 7212, Combination Keypad and Radio Frequency Reader, will be 8471.60.9050, HTSUS, which provides for ADP input or output units, whether or not containing storage units in the same housing: Other: Other: Other. The rate of duty will be free.
Part 7221, Controller, consists of a steel box containing a PCBA and USB jump drive equipped with terminals (blocks), connectors and a polyswitch, along with other electronic components, mounting hardware and hole plugs. It receives electronic signals from the RFID card reader or other inputs and regulates the circuits to lock or unlock the door. The USB jump drive serves as memory storage of user IDs in the event of communication loss to the software.
When entered separately, the applicable subheading for part 7221, Controller, will be 8537.10.9070, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Boards, panels, consoles, desks, cabinets and other bases, equipped with two or more apparatus of 8535 or 8536, for electric control or the distribution of electricity…: For a voltage not exceeding 1,000 V: Other: Other: Other.” The general rate of duty will be 2.7 percent ad valorem.
Part 7238, Locking Assembly, is a base metal lock with a strike. It also incorporates the latch and the electronic latch release. The body of the lock is made of zinc and the internal components are made of steel. When pushed into the lock, the strike rolls an internal cam and an internal blocking mechanism engages mechanically to prevent the removal of the strike from the lock. To release the strike, the internal blocking mechanism is moved out of the way either electrically by firing a solenoid connected to the Controller or manually by using the release button.
You propose classification of the Locking Assembly in subheading 8301.60, HTSUS, which provides for base metal parts of locks. This office disagrees. GRI 2(a) extends the scope of any heading to cover not only a complete article, but also an incomplete or unfinished article, provided that it has the essential character of the complete or finished article. Explanatory Note (EN) 3(b)(VIII) states that the factor which determines essential character will vary as between different kinds of goods. It may, for example, be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods. It is our position that the subject Locking Assembly imparts the essential character to the PulseCode™ passage door locking system because it is the primary component in relation to the use of the locking system.
When entered separately, the applicable subheading for part 7238, Locking Assembly, will be 8301.40.6030, HTSUS, which provides for padlocks and locks (key, combination or electrically operated, of base metal…other locks, other, door locks, locksets and other locks suitable for use with interior or exterior doors (except garage, overhead or sliding doors). The rate of duty will be 5.7 percent ad valorem.
Part 7857ND, Interior Door Release Hardware, is an assembly of parts that serves to link the components of the system and also serves as a safety release on the interior of the door. The assembly includes a cable and leads with mounting fasteners, a metal junction box with mounting fasteners, a two-part mechanical latch release with mounting fasteners, and an adhesive label.
When entered separately, the applicable subheading for part 7857ND, Interior Door Release Hardware, will be 8544.42.9000, HTSUS, which provides for Insulated wire, cable…: Other electric conductors, for a voltage not exceeding 1,000 V: Fitted with connectors: Other: Other. The rate of duty will be 2.6 percent ad valorem.
The submitted information is not sufficient to determine the classification of part 7219, Vibration Sensor. This office requires additional information in order to issue a ruling for this article. Please submit the information described below:
It is stated that “the Sensor connects to the controller INSIDE the 7219 Vibration Sensor.” What is the imported condition (provide a sample if available)? Are there two sensors working independently or one functioning as a component in another? How does it perform that function? Please explain fully.
Is the item a sensor switch? i.e. Does it open/close an electric circuit or just send a digital signal to a controller, which in turn opens/closes an electric circuit? Does it do any measuring or calculating? What is the mechanism to activate the switching?
Provide a list of the components within each item (e.g. switches, transformers, relays, etc.) individually labeled. If switches and relays are included, what type of switches and relays are they (e.g. integrated circuits (ICs), electromechanical, push-button, etc.)? What are their voltage and ampere ratings?
If you decide to resubmit your request, please include all of the material that we have returned to you and mail your request to U.S. Customs and Border Protection, Customs Information Exchange, 10th Floor, One Penn Plaza, New York, NY 10119, attn: Binding Rulings Section
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 ruling, contact National Import Specialist Barbara Kaiser at (646) 733-3024.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division