CLA-2-84:OT:RR:NC:N1:118
Matthew Clark
Kuehne+Nagel Inc.
20000 Western Ave.
Torrance, CA 90501
RE: The tariff classification of a composting system from China
Dear Mr. Clark:
In your letter dated June 18, 2025, you requested a tariff classification ruling on behalf of Big Dutchman, Inc.
The merchandise under consideration is identified as a CompoTower. You have stated that is a composting
system designed to be used on farms to convert livestock waste into fertilizer. It is comprised primarily of a
stainless-steel roof, fixed input hopper, insulated tank, stainless steel inner walls, loading bucket, mixing
blades, technical room with fans and compressor, and a staircase. Livestock waste is loaded into the tank via
the loading bucket, and it is chopped by the mixing blades. The material is also homogenized and aerated by
a continuous supply of oxygen through an aerated floor. A compressor continuously guides fresh air through
the system and provides the oxygen required for degradation of the material. Sensors continuously measure
the temperature in the compost. After a specific amount of time, the finished compost (i.e. fertilizer) can be
removed from the lower part of the CompoTower via a stainless-steel slide.
You have stated that the CompoTower will be imported disassembled in one shipment. The shipment will
include all the components to construct the system, except for the electrical PLC, wiring system, electric
motors and blower motors. You further state that depending on customer specifications, the shipment may
include an air scrubber system that is connected to the CompoTower via ductwork. The air scrubber system
is used to clean the exhaust air of emissions and particulates generated by the composting system.
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance
with the General Rules of Interpretation (GRIs). GRI 2(a) provides, in pertinent part, that any “reference in a
heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided
that, as entered, the incomplete or unfinished article has the essential character of the complete or finished
article.” The Explanatory Notes (ENs) to GRI 2(a) direct us to the General ENs to Section XVI, HTSUS,
which provide, in pertinent part, as follows:
(IV) INCOMPLETE MACHINES (See General Interpretative Rule 2 (a)) Throughout the Section any
reference to a machine or apparatus covers not only the complete machine, but also an incomplete
machine (i.e., an assembly of parts so far advanced that it already has the main essential features of
the complete machine). Thus a machine lacking only a flywheel, a bed plate, calendar rolls, tool
holders, etc., is classified in the same heading as the machine, and not in any separate heading
providing for parts. Similarly a machine or apparatus normally incorporating an electric motor (e.g.,
electro-mechanical hand tools of heading 84.67) is classified in the same heading as the
corresponding complete machine even if presented without that motor.
In accordance with General Rule of Interpretation 2(a), you suggested classifying the composting system as
an incomplete machine within subheading 8479.89.9599, HTSUS, which provides for “Machines and
mechanical appliances having individual functions, not specified or included elsewhere in this chapter; parts
thereof: Other machines and mechanical appliances: Other: Other: Other.”
Our office agrees that in its imported condition the CompoTower is an incomplete machine classified in
accordance with GRI 2(a). We disagree, however, that it is classified within subheading 8479.89.9599,
HTSUS. You have stated that the CompoTower is a composting system that is designed to be used on farms
to convert livestock waste into fertilizer. The accompanying documentation in your submission, including
advertising materials, supports this statement. The EN to heading 84.36 states, in part, that the “heading
covers machinery, not falling in headings 84.32 to 84.35, which is of the type used on farms (including
agricultural schools, cooperatives or testing stations), in forestry, market gardens, or poultrykeeping or
beekeeping farms or the like.”
Accordingly, the applicable subheading for the CompoTower will be 8436.80.0090, HTSUS, which provides
for “Other agricultural, horticultural, forestry, poultry-keeping or bee-keeping machinery, including
germination plant fitted with mechanical or thermal equipment; poultry incubators and brooders; parts
thereof: Other machinery. Other: Other: Other.” The general rate of duty will be free.
Effective March 4, 2025, pursuant to U.S. Note 2(u) to Subchapter III, Chapter 99, all products of China and
Hong Kong as provided by heading 9903.01.24, HTSUS, other than products classifiable under headings
9903.01.21, 9903.01.22, and 9903.01.23, HTSUS, will be subject to an additional 20 percent ad valorem rate
of duty. At the time of entry, you must report the applicable Chapter 99 heading, i.e. 9903.01.24, in addition
to subheading 8436.80.0090, HTSUS, listed above.
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. At the time of entry, you must report the
Chapter 99 heading applicable to your product classification, i.e. 9903.01.25, in addition to subheading
8436.80.0090, HTSUS, listed above.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under
subheading 9031.80.8085, 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 8436.80.0090 in
addition to subheading 8436.80.0090, 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
(CFR), 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 CFR 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 Anthony Grossi at [email protected].
Sincerely,
(for)
Steven A. Mack
Director
National Commodity Specialist Division