CLA-2-84:OT:RR:NC:N1:105
Deborah White
Hamilton Beach Brands, Inc.
4420 Waterfront Drive
Glen Allen, Virginia 23060
RE: The tariff classification of the AquaFusion Water Filter from China
Dear Ms. White:
In your letter dated July 7, 2020, you requested a tariff classification ruling.
The item under consideration is identified as the AquaFusion Water Filter, which is an electric water filtration and flavoring system. The appliance filters water on-demand and, if the user so chooses, utilizes single-serve flavoring capsules to flavor the filtered water. The device has a 64-ounce (1.89 liter) detachable water container, a filter can, water and air pumps, a flowmeter, a self-contained electric motor, and a compartment to insert single-serve flavor capsules. You state that the AquaFusion weighs approximately 2.8 kilograms.
General Rule of Interpretation (GRI) 1, Harmonized Tariff Schedule of the United States (HTSUS), states in part that for legal purposes, classification shall be determined according to the terms of the headings, any relative section or chapter notes and, unless otherwise required, according to the remaining GRI’s taken in order. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3, HTSUS. GRI 3(a) states in part that when two or more headings each refer to a part of the item in a set put up for retail sale, those headings are to be regarded as equally specific, even if one heading gives a more precise description of the goods. The AquaFusion, consists of at least two different articles that are, prima facie, classifiable in different headings. It consists of articles put up together to carry out a specific activity (i.e., create flavored filtered water). Finally, the articles are put up in a manner suitable for sale directly to users without repacking. Therefore, the item in question is within the term "goods put up in sets for retail sale." GRI 3(b) states in part that goods put up in sets for retail sale, which cannot be classified by reference to GRI 3(a), are to be classified as if they consisted of the component that gives them their essential character. In this case, we find the essential character of the AquaFusion to be the filtering component.
In your letter, you suggest that the correct classification of the AquaFusion is under subheading 8509.40.0025, HTSUS, which provides for “Electromechanical domestic appliances, with self-contained electric motor, other than vacuum cleaners of heading 8508; parts thereof: Food grinders, processors and mixers; fruit or vegetable juice extractors: Other food mixers.” We disagree. The item’s primary function is to filter water with an auxiliary or secondary feature of mixing the flavor in the end. Without the filter function, the machine will not work but not vice versa. Water filters are more specifically provided for elsewhere in the tariff. Therefore, classification in heading 8509, HTSUS, is precluded, Note 3 to Section XVI noted.
Section XVI Note 3 states: Unless the context otherwise requires, composite machines consisting of two or more machines fitted together to form a whole and other machines designed for the purpose of performing two or more complementary or alternative functions are to be classified as if consisting only of that component or as being that machine which performs the principal function.
The applicable subheading for the AquaFusion will be 8421.21.0000, HTSUS, which provides for “Centrifuges, including centrifugal dryers; filtering or purifying machinery and apparatus, for liquids or gases; parts thereof: Filtering or purifying machinery and apparatus for liquids: For filtering or purifying water.” The general rate of duty will be Free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8421.21.0000, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.01, in addition to subheading 8421.21.0000, HTSUS, listed above. 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 https://www.cbp.gov/trade/remedies/301-certain-products-china respectively.
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 Jason Christie at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division