CLA-2-84:OT:RR:NC:N1:164
Joy Semenuk
LG Sourcing, Inc.
1000 Lowe's Blvd. Mooresville, NC 28217
RE: The tariff classification of a Sub-Compact 10-Tool Kit Power Tool Set from China
Dear Ms. Semenuk:
In your letter dated May 21, 2024, you requested a tariff classification ruling.
The item under consideration is the “12V BL G2 Sub-Compact 10-Tool Kit” power tool set (item number CB8010A-20), which will be imported packaged for retail sale in a single printed box. The product consists of: (1) 12V Brushless Circular Saw, (2) 12V Brushless One-Hand Reciprocating Saw, (3) 12V Brushless Detail Sander, (4) 12V Brushed Multi-Cutter, (5) 12V Brushless Drill Driver, (6) 12V Brushless Impact Driver, (7) 12V Compact Inflator, (8) 12V Brushless Clamp Fan, (9) 12V Mechanical Light, (10) 12V Collapsible Lantern, (11) 18-inch Power Tool Storage Bag, (12) two 12V 2.0Ah USB-C Batteries, and (13) 20W Type-C PD Wall Outlet Charger.
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 and any relative section or chapter notes. Goods that are, prima facie, classifiable under two or more headings, are classified in accordance with GRI 3, HTSUS. GRI 3(a) states in part that when two or more headings each refer to part only of the items 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 instant power tool kit 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., home repair projects and maintenance). Finally, the articles are put up in a manner suitable for sale directly to users without repacking. Therefore, the kit 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 which gives them their essential character. Inasmuch as no essential character can be determined, GRI 3(b) does not apply.
GRI 3(c) states that, if neither GRI 3(a) nor GRI 3(b) applies, merchandise shall be classified in the heading which occurs last in numerical order among those equally meriting consideration. We determined that only the 12V Brushless Circular Saw, 12V Brushless One-Hand Reciprocating Saw, 12V Brushless Detail Sander, 12V Brushed Multi-Cutter, 12V Brushless Drill Driver, and 12V Brushless Impact Driver merit equal consideration. In this case, all six items fall under the heading 8467, HTSUS in accordance with GRI 3(c).
By application of GRI 3(c) and GRI 6, the applicable subheading for the “12V BL G2 Sub-Compact 10-Tool Kit” power tool set (item number CB8010A-20), will be 8467.29.0090, HTSUS, which provides for Tools for working in the hand, pneumatic, hydraulic or with self-contained electric or nonelectric motor, and parts thereof: With self-contained electric motor: Other: Other. The rate of duty will be Free.
Products of China classified under subheading 8467.29.0090, HTSUS, unless specifically excluded, are subject to an additional 7.5 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading 9903.88.15, HTSUS, in addition to the applicable subheading specified above.
The HTSUS is subject to periodic amendment, so you should exercise reasonable care in monitoring the status of goods covered by the Chapter 99 subheading cited above. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, including information on exclusions and their effective dates, 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 at https://hts.usitc.gov/.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (C.F.R.), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 C.F.R. 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist PAUL TAYLOR at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division