CLA-2-94:OT:RR:NC:N4:433
Richard S. Brown
Brokerage Coordinator, CCS
Globe Express Services
8025 Arrow Ridge Boulevard
Charlotte, NC 28273
RE: The tariff classification of bed frames from China.
Dear Mr. Brown:
In your letter dated October 1, 2014, on behalf of Flexsteel Industries, Inc., you requested a tariff classification ruling. Photos of the bed frames were provided.
Item number 6008F is an upholstered bed frame which includes a headboard, side rails and footboard. The item consists of a wooden frame entirely encapsulated by synthetic fabric, has 4½-inch exposed wooden legs, and metal assembly hardware.
Item number 6009 is an upholstered bed frame which includes a headboard, side rails and footboard. The item consists of a wooden frame entirely encapsulated by Polyurethane (imitation leather), has 2½-inch exposed wooden legs, and metal assembly hardware.
Item number 6010 is an upholstered bed frame which includes a headboard, side rails and footboard. The item consists of a wooden frame entirely encapsulated by Polyurethane (imitation leather), has 2½-inch exposed wooden legs, and metal assembly hardware.
Item number 6010F is an upholstered bed frame which includes a headboard, side rails and footboard. The item consists of a wooden frame entirely encapsulated by synthetic fabric, has 2½-inch exposed wooden legs, and metal assembly hardware.
Item number 6011 is an upholstered bed frame which includes a headboard, side rails and footboard. The item consists of a wooden frame entirely encapsulated by synthetic fabric, has 4¾-inch exposed wooden legs, and metal assembly hardware.
Company provided information indicates, that the weight of the wooden understructures of the bed frames is significantly more than the weight of the fabric or imitation leather, and metal hardware. Further, the cost of the wooden understructures is more than the cost of the fabric or imitation leather, and metal hardware. Review of the company provided data, also indicates that the cost of the fabric and imitation leather is appreciable in relation to the cost of the wooden understructures.
It is stated by you that the bed frames will be imported in unassembled condition and shipped as separate handling units of equal numbers to complete finished beds, minus box springs and mattresses. For purposes of this ruling we will consider “separate handling units” to mean that the headboard, side rails and footboard are packaged in either bulk or individual boxes, and in equal quantities, in one shipment, forming beds upon their assembly.
Classification of goods under the Harmonized Tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRI). GRI 1 provides that classification shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRI may then be applied.
Under GRI 2 (a), “any reference to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as presented, 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.” GRI 2 (a) does not apply when unassembled components of goods are imported separately. When component parts are imported as separate items, the goods are classified separately, whereas if component goods of unassembled articles are imported together, even in separate boxes, the items are aggregated to determine the appropriate classification – see Headquarters ruling HQ H079175 dated April 8, 2010. By application of GRI 2 (a), the bed frames, consisting of headboard, side rails and footboard, whether packaged in bulk or individual boxes, when imported together in corresponding quantities, are classified in heading 9403, HTSUS, as finished beds.
The bed frames are composed of different components (primarily wood and fabric or wood and imitation leather) and are considered composite goods. The Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS), GRI 3 (b) (VIII), state that “the factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good.
We recognize that the weight and cost of the wooden understructures exceeds that of the fabric or imitation leather. Nevertheless, the fabric or imitation leather directs one’s visual of the bedframes and provides the aesthetics to which customers are drawn in for purposes of purchasing such beds.
Accordingly, the synthetic fabric or imitation leather made of plastic imparts the essential character to the finished beds.
The applicable subheading for the unassembled bed frames covered in fabric forming complete beds, of which the headboard, side rails and footboard are separately boxed, imported in one shipment, will be 9403.89.6010, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of other materials, including cane, osier, bamboo or similar materials: Other: Other; Household.” The rate of duty will be free.
The applicable subheading for the unassembled bed frames covered in imitation leather forming complete beds, of which the headboard, side rails and footboard are separately boxed, imported in one shipment, will be 9403.70.8015, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of plastics: Other: Other household.” The rate of duty will be free.
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 Neil H. Levy at E-mail address: [email protected].
Sincerely,
Gwenn Klein Kirschner
Director
National Commodity Specialist Division