CLA-2-94:OT:RR:NC:N4:463
Jill L. Williams
J.W. Allen & Company
1000 Riverbend
St. Rose, LA 70401
RE: The tariff classification of a 2-tier iron and wood shelf from China
Dear Ms. Williams:
This is in reply to your letter dated January 10, 2022, requesting a tariff classification ruling on behalf of your client, Ortego PL LLC, for a 2-tier iron and wood shelf. In lieu of samples, illustrative literature and product descriptions were provided.
Per the provided information, the article is a wall-mounted 2-tier iron and wood shelf that, when fully assembled, measures 29? (H) x 24? (W) x 10? (D). It consists of two shelves connected by iron pipes and elbows that mount to the wall with flanges. The 2-tier iron and wood shelf is imported and sold unassembled with 2 ounces of touch-up stain and 2 ounces of touch-up paint. The shelf unit is designed for use in either the kitchen or bathroom and is made in China. See images below:
Assembled:
Unassembled:
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. If the goods cannot be classified solely based on GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order.
In understanding the language of the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System, which constitutes the official interpretation of the Harmonized System at the international level, may be utilized. The ENs, although not dispositive or legally binding, provide a commentary on the scope of each heading and are generally indicative of the proper interpretation of the HTSUS. The ENs to Chapter 94 of the HTSUS state, in relevant part, that the term “furniture” means: (A): Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels, theatres, cinemas, offices, churches, schools, cafés, restaurants, laboratories, hospitals, dentists, surgeries, etc., or ships, aircraft, railway coaches, motor vehicles, caravan-trailers or similar means of transport. (It should be noted that, for purposes of this Chapter, articles are considered to be “movable” furniture even if they are designed for bolting, etc., to the floor, e.g., chairs for use on ships). Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.
You suggest that the shelf unit be classified in subheading 8302.42.3065, HTSUS, which provides for “Base metal mountings, fittings and similar articles… Other mountings, fittings and similar articles, and parts thereof: Other, suitable for furniture: Of iron or steel, of aluminum or of zinc; Other.” We disagree. This office finds that the subject shelf unit is within the meaning of furniture as described by the General ENs to Chapter 94 of the HTSUS.
Since the shelf unit is composed of different materials (metal and wood), it is considered a composite good for tariff purposes. The ENs to the 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.
The provided material breakdown indicates that the metal components weigh and cost considerably more than the wood components. Based on the overall look, bulk, weight, cost and utility of the components, the 2-tier iron and wood shelf will be classified as metal, household furniture.
The applicable classification for the 2-tier iron and wood shelf will be subheading 9403.20.0050, HTSUS, which provides for "Other furniture and parts thereof: Other metal furniture: Household: Other: Other.” 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 9403.20.0050, HTSUS, unless specifically excluded, are subject to an additional 25% ad valorem rate of duty. At the time of importation, the importer must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 9403.20.0050, 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.
Please note that modifications to the HTSUS [to align the HTSUS to the 2022 version of the Harmonized Commodity Description and Coding System] pursuant to Section 1206 of the Omnibus Trade and Competitiveness Act of 1988 are forthcoming. These modifications, made by Presidential Proclamation 10326 and set forth in Annexes I, II.A, and II.B of U.S. International Trade Commission Publication 5240, will be effective on January 27, 2022. To the extent that the modifications to the HTSUS impact the classification of the merchandise subject to this ruling, you may submit a new ruling request at that time.
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 Seth Mazze at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division