CLA-2-73:OT:RR:NC:N1:164

William Sherman
Northern Customs Services Inc.
2351 Whirlpool St.
Niagara Falls, NY 14305

RE: The tariff classification of return air access panels from Canada

Dear Mr. Sherman:

In your letter dated June 10, 2025, you requested a tariff classification ruling regarding return air access panels from Canada on behalf of your client, Marfab Metal Products Inc. Technical information was submitted with your request and in subsequent correspondence.

The items under consideration are described as three different models of steel return air access panels, with corresponding frames, for use with heating, ventilation, and air conditioning (HVAC) systems. In your letter, you state that each model is installed onto or mounted in front of an HVAC unit and enables air to return to the unit. Additionally, you assert that without the panels installed, an HVAC unit would be left exposed to the surrounding environment, thereby affecting the aesthetics and functional performance of the system.

The first model (RA-HP-PERI-H) is similar in function to a return air grille, but instead of louvers for air to flow through, it features a gap between the hinged door and frame. This model features magnetic latches in the frame to secure the hinged door when closed. Additionally, the interior surface of the panel is lined with ½-inch of acoustic insulation to aid acoustic control and thermal performance. Submitted product material suggests it is designed for use with heat pump systems.

The second model (RA-VFC) is louvered on its lower portion which allows air to return to the HVAC unit. You clarify that model RA-VFC can be mounted directly onto the front of an HVAC unit or onto drywall directly in front of an HVAC unit. The submitted material suggests it is designed to fit onto vertical fan coil units. Furthermore, model RA-VFC features a removable upper door panel for accessibility.

The third model (RA-HP-AC) is louvered on its lower portion and is fully removable for accessibility. The submitted information suggests that this model is designed for use with heat pump units in acoustically sensitive applications. Accordingly, the panels feature ½-inch of acoustic insulation for acoustic control and performance. All panels are primarily composed of 22-gauge satin coat steel. The corresponding frames are composed of 20 to 22-gauge satin coat steel. You clarify that the panels weigh 25 to 60 pounds but will vary in dimensions because they are customized to accommodate various HVAC systems. Finally, you state that the panels and frames feature a standard white powder coat finish but alternative colors and textures are available as desired.

In your letter, you suggest that the return air access panels are classified within subheading 8415.90.8085, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Air conditioning machines, comprising a motor-driven fan and elements for changing the temperature and humidity, including those machines in which the humidity cannot be separately regulated; parts thereof: Parts: Other: Other: Other. We disagree.

The term “part” is not defined in the HTSUS or the Explanatory Notes. In the absence of a statutory definition, courts have applied two tests to determine whether merchandise constitutes a part of an article. See Bauerhin Technologies Limited Partnership v. United States, 110 F.3d 774, 779 (Fed. Cir. 1997). First, as set forth in United States v. Willoughby Camera Stores, Inc., a “part” of an article is “an integral, constituent, or component part, without which the article to which it is to be joined, could not function as such article.” 21 C.C.P.A. 322, 324 (1933). Second, as held in United States v. Pompeo, an item is a “part” if “at the time of importation it is dedicated solely for use” with a particular article, and “when applied to that use … meets the definition of ‘parts’ established by the Willoughby case.” 43 C.C.P.A. 9, 14 (1955). Moreover, an item is not a part if it is “a separate and distinct commercial entity.” Bauerhin, 110 F.3d at 779.

Here, the return air access panels are not integral, constituent, or component parts of an air conditioning unit or system. Similar to the grilles and vent discussed in New York rulings N313810 (August 31, 2020) and N022317 (February 1, 2008), the panels are separate and distinct items that function as return air vents, which can also be used to access the unit. As such, the steel return air access panels are precluded from classification in heading 8415.

Heading 7326, HTSUS, is a residual or basket provision which covers a wide range of iron or steel articles that are not more specifically provided for elsewhere/in any other heading in the HTSUS. The Explanatory Notes for 73.26 state that “This heading covers all iron or steel articles obtained by forging or punching, by cutting or stamping or by other processes such as folding, assembling, welding, turning, milling or perforating other than articles included in the preceding headings of this Chapter or covered by Note 1 to Section XV or included in Chapter 82 or 83 or more specifically covered elsewhere in the Nomenclature.” An article of iron or steel would be classified in heading 7326 if it was determined that the item is not more specifically provided for in any other heading of the tariff. Noting that the return air access panels are not more specifically provided for under heading 8415, or any other heading of the tariff, the items may be classified under heading 7326, HTSUS.

The applicable subheading for the steel return air access panels will be 7326.90.8688, HTSUS, which provides for Other articles of iron or steel: Other: Other: Other: Other: Other. The general rate of duty will be 2.9 percent ad valorem.

On March 12, 2025, Presidential proclamation 10896 imposed additional tariffs on certain derivative iron or steel products. Additional duties for derivative iron or steel products of 50 percent are reflected in Chapter 99, headings 9903.81.89 and 9903.81.90. Products provided by heading 9903.81.91 will be subject to a duty of 50 percent upon the value of the steel content. At the time of entry, you must report the Chapter 99 heading applicable to your product classification, i.e. 9903.81.90, in addition to subheading 7326.90.8688, HTSUS. Derivative iron or steel products processed in another country from steel articles melted and poured in the United States, provided for in heading 9903.81.92, are not subject to the additional ad valorem duties. Please note that derivative steel products admitted to a U.S. foreign trade zone under “privileged foreign status” before March 12, 2025, and entered for consumption on or after March 12, 2025, may be subject to additional duties under heading 9903.81.93, HTSUS. Effective April 5, 2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must be reported with either the Chapter 99 provision under which the reciprocal tariff applies or one of the Chapter 99 provisions covering exceptions to the reciprocal tariffs. At this time products from all countries will be subject to an additional 10 percent ad valorem rate of duty. Your product falls within an excepted subheading. At the time of entry, you must report the Chapter 99 heading applicable to your product classification, i.e. 9903.01.33, in addition to subheading 7326.90.8688, HTSUS, listed above.

The tariffs and additional duties cited above are current as of this ruling’s issuance. 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,

(for)
Steven A. Mack
Director
National Commodity Specialist Division