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Recent CBP NY Rulings

The following are short summaries of recent CBP NY rulings issued by the agency's National Commodity Specialist Division in New York:

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Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

N321416: The country of origin, marking, and applicability of Section 301 remedies of a Car Charger set

Origin: Vietnam, not subject to Section 301 tariffs
Marking: Each article in the set must be individually marked with their country of origin, provided such marking is visible through the retail packaging, or the packaging must identify the origin of each of these items.
Item: A 45W Car Charger Set (Car Charger Set) which consists of a retail package containing a 5 A universal car power adapter with a single USB female Type-C connector on one side and 12V vehicle electrical plug on the other; and a 6-foot insulated electric cable that has a male USB Type-C connector on one end and a C94 connector on the other end. The assembly process begins with the manufacturing of a printed circuit board assembly (PCBA) that occurs in Vietnam by soldering multiple components, such as resistors, capacitors, integrated circuits, fuses, diodes, and an LED onto a bare printed circuit board (PCB). The female USB connector and anode head are then glued onto the case assembly along with the PCBA, which is then encapsulated in a plastic housing by means of ultrasonic welding. The parts and final product undergo testing throughout the assembly process and are retail packaged with a 6-foot electrical cable of Chinese origin.
Reason: The article that provides the essence of the Car Charger Set is the plug-in adapter that rectifies the electricity and provides the USB connection.
Ruling Date: Oct. 5, 2021

N319785: The tariff classification and eligibility under the Dominican Republic-Central America-United States Free Trade Agreement (DR-CAFTA) Short Supply Provision for two polyester knit fabrics

HTS: 6001.22.0000, 17.2%, "Pile fabrics, including “long pile” fabrics and terry fabrics, knitted or crocheted: Looped pile fabrics: Of man-made fibers."
FTA: Not eligible for DR-CAFTA treatment
Item: Two fabrics intended for the manufacture of sleepwear, composed wholly of polyester of weft knit sinker loop pile construction. The fabric is both printed and brushed.
Reason: Based on the lab analysis, the fabric is constructed of weft knit sinker loop pile construction. Additionally, the lab was unable to determine if the fabric was of circular knit construction. Since the fabric does not conform to all the specifications of DR-CAFTA short supply number 16, the fabric would not be eligible for DR-CAFTA preferential duty treatment. Therefore, the goods will not be entitled to a free rate of duty under the DR-CAFTA upon compliance with all applicable laws, regulations, and agreements specified in GN 29.
Ruling Date: Oct. 7, 2021

N321495: The country of origin of a fiber optic patch panel and the applicability of certain trade remedies under Section 301

Origin: The country of origin of the adaptors, either the U.S., Japan, Taiwan or Thailand
Item: Fiber optic patch panels, one with 16 MTP/MPO adaptors and another with 72 LC adaptors, that are mounted onto a pre-cut steel sheet faceplate. Both panels are assembled in the same manner, which consists of removing the dust cap for each adaptor, inserting the individual adaptors into a pre-cut hole, securing with two screws, visual inspection, and packaging. The adaptors will be sourced from either the U.S., Japan, Taiwan or Thailand. The faceplate and the fasteners are sourced from China. In China, the adaptors are secured to the faceplate and the panel is packaged for export.
Reason: The assembly process for the patch panels does not result in a substantial transformation of the fiber optic adaptors into a new and different article of commerce with a name, character, and use distinct from the individual components. Attaching connectors onto a steel sheet is a basic assembly operation, and one that does not transform the connectors into something other than a fiber optic connector.
Ruling Date: Oct. 7, 2021

N321696: The tariff classification of a manure spreader truck from Canada

HTS: 8705.90.0080, free, “Special purpose motor vehicles, other than those principally designed for the transport of persons or goods (for example, wreckers, mobile cranes, fire fighting vehicles, concrete mixers, road sweepers, spraying vehicles, mobile workshops, mobile radiological units): Other: Other."
Item: A Manure Spreader Truck, which consists of a truck and truck mounted hydraulic manure spreader. They will be permanently conjoined in Canada to become a complete specialized vehicle prior to import into the United States.
Reason: Where the country of origin of a textile or apparel product cannot be determined under paragraph 19 CFR 102.21(c)(1), (2), (3) or (4), the country of origin of the good is the last country, territory or insular possession in which an important assembly or manufacturing process occurred.” Accordingly, in the case of the subject face mask, country of origin is conferred by the last country in which an important assembly or manufacturing process occurred, that is, Argentina. CBP ruled that in order to meet the marking requirements 19 U.S.C. 1304 and 19 CFR Part 134, an abbreviation must unmistakably identify the country of origin to the ultimate purchaser.
Ruling Date: Oct. 7, 2021

N321717: The tariff classification of the M-EBS oil and water treatment system from Portugal

HTS: 8421.29.0015, free, “Centrifuges, including centrifugal dryers; filtering or purifying machinery and apparatus, for liquids or gases; parts thereof: Filtering or purifying machinery and apparatus for liquids: Other: Other: Oil-separation equipment.”
Item: The Modular Emulsion Breaker System (M-EBS), which is a system designed to treat oil and water emulsions from waste collection or waste streams. The system is housed in a twenty-foot or forty-foot container, depending on the needs of the customer, and includes a heat exchanger, pump, filter, and chemical tank. The system automatically treats hydrocarbon emulsions with up to eighty percent water down to roughly two percent water. The M-EBS works in combination with two process tanks, where the emulsion can be treated and where the segregation of water and oil is performed.
Reason: N/A
Ruling Date: Oct. 7, 2021

N321897: The tariff classification of women’s swimwear from Vietnam

HTS: 6113.00.9086, 7.1%, "Garments, made up of knitted or crocheted fabrics of heading 5903, 5906 or 5907: Other: Other: Other: Women’s or girls’."
Item: Women's bikini tops and bottoms, constructed from 88% polyester, 12% spandex knit fabric lined with 92% polyester, 8% spandex knit fabric. The garment’s outer surface is visibly printed with a foil coating of PVC plastic, which produces a glitter effect. The coating is not applied in a pattern.
Reason: N/A
Ruling Date: Oct. 7, 2021

N318207: The tariff classification and country of origin marking of glove parts from China

HTS: 6116.93.8800, 18.6%, "Gloves, mittens and mitts, knitted or crocheted: other: of synthetic fibers: other: other: without fourchettes."
Marking: Exempt
Item: A knit glove composed of 45.2% polyethylene, 40.4% polyester, 9.5% metal thread, 4.2% rubber, and .7 elastomeric. The glove features some coating on the fingertips and thumb crotch. The glove is knit using two yarns, which are not twisted together. The first yarn is one-ply yarn made of polyester wrapped around an elastomeric core. It is composed of 95.2% polyester, 4.8% elastomeric. The second yarn is two-ply. The first ply is composed of polyethylene and is twisted with a second ply of polyester and a metal thread. This yarn is composed of 59.8% polyethylene, 27.6% polyester and 12.6% metal thread. There is a third yarn inserted into the cuff which is made of polyester wrapped around a rubber core. The yarn is composed of 59.6% polyester and 40.4% rubber. A 100% nylon knit glove imported with the knit glove serves as a glove liner for the finished glove.
Reason: The globe parts meet the marking exemption for “articles to be processed in the United States by the importer or for his account otherwise than for the purpose of concealing the origin of such articles and in such manner that any mark contemplated by this part would necessarily be obliterated, destroyed, or permanently concealed,” under 19 CFR 134.32(g).
Ruling Date: Oct. 6, 2021

N321514: The tariff classification of an energy spray from Canada

HTS: 2106.90.9898, 6.4%, "Food preparations not elsewhere specified or included ... other ... other ... other."
Item: A pocket-sized, multi-use liquid energy spray that is used to provide caffeine to individuals for energy on the go. The energy spray is said to contain caffeine (1,3,7 – trimethylxanthine), NALT (n-acetyl-tyrosine), l-theanine, xylitol, sucralose, acesulfame potassium, clear-taste natural flavor essential (flavor modulator derived from mushroom extract), vegetable glycerin, maltodextrin, treattsweet extra 9856 (flavor modulator, non-caloric blend of all-natural essences), optify taste modifier flavor (flavor modulator), flavor, purified water, potassium sorbate and sodium benzoate. The product is packaged for retail sale in 4ml spray bottles and is marketed as a dietary supplement.
Reason: N/A
Ruling Date: Oct. 6, 2021

N321590: The tariff classification of the Aurora V2 from Taiwan

HTS: 9031.49.9000, free, “Measuring or checking instruments, appliances and machines, not specified or included elsewhere in this chapter; profile projectors; parts and accessories thereof: Other optical instruments and appliances: Other: Other.”
Item: A composite machine referred to as the Aurora V2. The device contains a proximity image sensor, memory storage card, wireless and communication units, integrated WiFi and artificial intelligence (AI) camera. The advanced human activity recognition software and 3D analytics collect and measure shopper behavior and shopper-associate interactions, and analyzes key metrics such as visit duration, unique traffic, pass-by traffic, visit frequency, and new versus repeat visit rate. On board deep learning further analyzes behaviors to determine shopper product selection, considerations, and purchases. The Aurora V2 performs all analytics onboard and then transmits data in real-time to the RetailNext cloud to provide analytics across multiple stores. Users may access live video stream remotely or view recorded data, as the Aurora V2 is capable of storing up to 30 days of recorded video.
Reason: This merchandise is considered to be a composite machine, which uses the camera to provide video, the onboard analytics to provide measurements and Bluetooth to transmit data. Since, a principal function cannot be determined for this composite machine, General Explanatory Note (VI) to Section XVI directs us to apply General Interpretative Rule 3 (c). General Interpretative Rule 3 (c) provides that goods shall be classified under the heading which occurs last in numerical order among those (heading 8517, transmit data, heading 8525, video, and heading 9031, providing measurements) which equally merit consideration. Based on the above, classification of this device will be under heading 9031.
Ruling Date: Oct. 6, 2021

N321709: The tariff classification and country of origin of unassembled wood pallets from Mexico

HTS: 9506.99.6080, 4%, "Articles and equipment for general physical exercise, gymnastics, athletics, other sports…or outdoor games…; swimming pools and wading pools; parts and accessories thereof: Other: Other: Other…Other."
Item: A knee/shin impact protector designed for the off-road motorcycle and bicycle rider, composed of 54.9% polypropylene, 16.7% polyester, 14.5% EVA, 12% polyethylene and 1.9% polyamide. It contains a hard-shell plastic outer layer and an inner layer lined with soft absorbing foam, as well as adjustable straps for a secure fit.
Reason: Heading 9506 covers protective equipment for sports or games e.g., fencing masks and breast plates, elbow and knee pads cricket pads and shin guards. In this instance the knee/shin guard has the primary function of protecting the user from injury.
Ruling Date: Oct. 4, 2021