CLA-2-85:OT:RR:NC:N2:209
Carol Robertson
Carmichael International Inc.
533 Glendale Blvd.
Los Angeles, CA 90026
RE: The tariff classification of a smart pet tag from China
Dear Ms. Robertson:
In your letter dated August 12, 2019, you requested a tariff classification ruling on behalf of your client, Worldwise, Inc.
The item concerned is referred to as the Smarter Pet Tag (Item# 91030-99997-024). This electronic device consists of a printed circuit board assembly powered by a lithium button battery, encased in an ABS plastic housing. The housing is in the shape of a traditional pet tag. In use, it would hang from a pet’s collar using a metal ring or slide clip.
The Smarter Pet Tag is smartphone-compatible and is used in conjunction with a web application. It is Bluetooth-enabled using short range, radar-style tracking. The tag connects to a corresponding smartphone app to let people track their pets within a 300-foot radius on a digital map. If the pet ventures outside that range, the application will notify the owner that the pet is too far away.
You have proposed classification under heading 8543, Harmonized Tariff Schedule of the United States (HTSUS). This heading provides for electrical goods with an individual function not specified elsewhere. It is the opinion of this office that the Smarter Pet Tag functions as a data transmission device. Data transmission is a function specifically provided for outside of heading 8543, HTSUS. As such, heading 8543, HTSUS, would be inapplicable.
The applicable subheading for the Smarter Pet Tag (Item# 91030-99997-024) will be 8517.62.0090, HTSUS, which provides for “Telephone sets, including telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network), other than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528; parts thereof: Other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network): Machines for the reception, conversion and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other.” The general rate of duty will be Free.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. The USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g). HTSUS. Subsequently, USTR imposed additional tariffs, effective September 1, 2019, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(r). For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), September 21, 2018 (83 F.R. 47974), and August 30, 2019 (84 F.R. 45821) . See also “Notice of Action and Request for Public Comment Concerning Proposed Determination of Action Pursuant to Section 301: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation” (June 20, 2018, 83 F.R. 28710). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheading 8517.62.0090, HTSUS, unless specifically excluded, are subject to the additional 15 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.04, in addition to subheading 8517.62.0090, HTSUS, listed above.
The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.
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 Steven Pollichino at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division