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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.

N324545: The tariff classification and country of origin of Doxepin Hydrochloride Capsules

HTS: 3004.90.9235, free, “Medicaments … consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses … or in forms or packings for retail sale: Other: Other: Other: Medicaments primarily affecting the central nervous system: Antidepressants, tranquilizers, and other psychotherapeutic agents.”
Country of Origin: Italy
Item: Doxepin Hydrochloride, imported in 10 mg, 25 mg, 50 mg, 75 mg, 100 mg, and 150 mg capsules, is a tricyclic antidepressant. It is indicated for the treatment of psychoneurotic patients with depression and/or anxiety, depression and/or anxiety associated with alcoholism, depression and/or anxiety associated with organic disease and psychotic depressive disorders with associated anxiety including involutional depression and manic-depressive disorders.
Reason: The mixing of the active ingredient Doxepin Hydrochloride (made in Italy) with the inactive ingredients into the final dosage Doxepin Hydrochloride Capsules in India does not result in a substantial transformation and the country of origin will be Italy.
Ruling Date: March 24, 2022

N324651: The tariff classification of ferrosilicon zirconium from China

HTS: 7202.99.8040, 5%, "Ferroalloys: Other: Other: Other: Other."
Item: Ferrosilicon zirconium. Imported in lump form and consisting of Zirconium: >30%, Silicon: 44 to 52%, Iron: 15 to 20%, Aluminum: 1.5% max., Carbon: 0.2% max., Phosphorus: 0.03% max., and Sulfur: 0.01% max. The material will be sold to foundries and metallurgical industries for use as an inoculant and preconditioner in gray and ductile iron.
Reason: N/A
Ruling Date: March 24, 2022

N324668: The country of origin of a mobile scissor lift

Country of Origin: Poland
Item: An electric propelled scissor lift with a hydraulic lifting platform. Each scissor lift is manufactured using 21 subassemblies and components sourced from Poland, Germany, Italy, France, India, Vietnam, Mexico, and China. Five major structural subassemblies that are produced in Poland: the arm, platform, chassis, counterweight, and assembly pin. The control system includes electrical components sourced from Germany and Italy. The driving system, which consists of a gear box system, is sourced from India. The hydraulic system contains components sourced from Poland, Italy, and Germany. The electrical system consists of a motor from Germany, sensor from Italy, switch from France, harness cable from Poland, battery from Vietnam, and battery charger from Mexico. Various components including tires, fastening pieces, plastic covers, and fuses are sourced from China. All of the subassemblies and components are sent to Sinoboom’s facility in Poland for final assembly. The production process begins in Poland with the manufacturing of the major structural subassemblies.
Reason: In addition to the final assembly occurring in Poland, all of the major structural subassemblies (i.e., the arm subassembly, chassis subassembly, and platform subassembly) are manufactured from steel material and transformed into integral subassemblies in Poland.
Ruling Date: March 24, 2022

N324705: The tariff classification of the Rear Drive Unit from Mexico

HTS: 8501.52.8040, free, “Electric motors and generators (excluding generating sets): Other AC motors, multi-phase: Of an output exceeding 750 W but not exceeding 75 kW: Other: Other.”
Item: A Rear Drive Unit, which is described as a three-phase permanent magnet synchronous electric motor with a gearbox and a specialized housing. The RDU consists of the rotor and stator assemblies, the output shaft, the gearbox, the housing, and high-voltage connectors, and is intended to be mounted to a vehicle’s rear wheels to provide auxiliary propulsion.
Reason: N/A
Ruling Date: March 24, 2022

N324881: The tariff classification of the Mobile Test Platform from Taiwan

HTS: 9030.40.0000, free, “Oscilloscopes, spectrum analyzers and other instruments and apparatus for measuring or checking electrical quantities, excluding meters of heading 9028; instruments and apparatus for measuring or detecting alpha, beta, gamma, X-ray, cosmic or other ionizing radiations; parts and accessories thereof: Other instruments and apparatus, specially designed for telecommunications (for example, cross-talk meters, gain measuring instruments, distortion factor meters, psophometers).”
Item: A Mobile Test Platform, which is a functional smartphone device with specifically designed hardware modifications used by handset manufacturers, operators and developers to help implement and verify the features available on Qualcomm’s mobile chipset technology. MTP devices provide manufacturers and developers with a primary chipset validation platform which focuses on modem performance and industry-leading radio frequency development. The MTPs provide a multiboard solution that includes separate RF, baseband and connectivity cards that provides flexibility to support different RF configurations and alternate connectivity solutions. These devices are designed to assist internal and external customers with developing products based on Qualcomm chipsets and test telecommunication performance of mobile chips. The MTP devices are intended for use only by engineering/development personnel and are not marketed to general consumers or designed for retail sale.
Reason: The MTP meets the definition of a composite machine. It is CBP's opinion that the ability to measure and test telecommunication performance of mobile chips imparts the principal function of the device.
Ruling Date: March 24, 2022

N324486: The tariff classification of disposable male dog wraps from Japan

HTS: 4201.00.6000, 2.8%, "Saddlery and harness for any animal (including traces, leads, knee pads, muzzles, saddle cloths, saddle bags, dog coats and the like), of any material: other."
Item: Disposable male dog wraps constructed of multiple layers but mainly of pulp and absorbent polymer. The dog wraps are used for incontinence, marking, after surgery, excitable urination, and travel. Each package consists of 16 wraps.
Reason: Importer proposed classification of the disposable dog wraps in subheading 9619.00.1100, which provides for sanitary pads (towels) and tampons, diapers (napkins) and diaper liners and similar articles, of paper pulp. However, this provision is only applicable to such products intended for use by humans.
Ruling Date: March 23, 2022

N324519: The country of origin of vacuum cleaners

Country of Origin: Vietnam
Item: An upright vacuum cleaner designed for household use. The vacuum’s power is 1400W, and its dust cup capacity is 2.3L. The vacuum cleaners are packaged for sale to individual consumers to be used as an upright vacuum. Each unit is sold in a single package together with its corresponding accessories. The models within the series vary slightly because they are sold into different markets with different color schemes, different accessories, or slightly different features. However, the models all use the same platform, with only one or two parts that might vary between models in the series.
Reason: The components are imported into Vietnam where they are manufactured into different subassemblies, which are ultimately assembled into the subject vacuum cleaners. The processing performed in Vietnam constitutes a substantial transformation of the imported components and parts into "products of" Vietnam.
Ruling Date: March 23, 2022

N324554: The tariff classification of Shelled Water Lily Seeds from India

HTS: 1212.99.9200, free, "Locust beans, seaweeds and other algae, sugar beet and sugar cane, fresh, chilled, frozen or dried, whether or not ground; fruit stones and kernels and other vegetable products (including unroasted chicory roots of the variety Cichorium intybus sativum) of a kind used primarily for human consumption, not elsewhere specified or included: other: other: other."
Item: Shelled Water Lily Seeds. The water lily seeds were gathered from Euryale Ferox plants, cleaned, sun-dried, heated, roasted, shell separated and packed. The seeds cannot be used for sowing and are not suitable for immediate consumption. The seeds will be shipped to the United States in HDPE bags with a net weight of 8 to 10 kilograms, intended for sale to the wholesale market and food manufacturers.
Reason: The essential character of the “6-Piece Theatre Seating Set” as a whole is imparted by the seating components.
Ruling Date: March 23, 2022

N324595: The tariff classification of an electric hot food dispensing machine from China

HTS: 8419.81.9080; 9903.88.15, free + 7.5%, “Machinery, plant or laboratory equipment, whether or not electrically heated (excluding furnaces, ovens and other equipment of heading 8514), for the treatment of materials by a process involving a change of temperature such as heating, cooking, roasting, distilling, rectifying, sterilizing, pasteurizing, steaming, drying, evaporating, vaporizing, condensing or cooling, other than machinery or plant of a kind used for domestic purposes; instantaneous or storage water heaters, nonelectric; parts thereof: Other machinery, plant or equipment: For making hot drinks or for cooking or heating food: Other: Other.”
Item: An electric hot food dispensing machine, which can store up to 68 prepared food items. The items are moved, one at a time, to the oven element and re-heated before being dispensed. The primary components consist of a microwave oven, a cooling module, an LCD screen, a motherboard, a power supply, and fans. Also included are a lifting motor and coding disk assembly, a geared motor and encoder disk assembly, a microwave breaking motor, and two linear motors. The components are encased within a housing that measures approximately 48 inches wide by 79 inches high by 40 inches deep. In its imported condition, the unit is capable of dispensing hot food but lacks the capability to process credit cards for payment. In the United States, additional components are installed including a payment device, wireless router, quad band antenna, turn lock, and vending software.
Reason: The unit is not used in a hotel or restaurant for commercial food preparation. Instead, it refrigerates and heats food that has been prepared in advance and stages the items at a variety of locations.
Ruling Date: March 23, 2022

N324628: The tariff classification, country of origin, and status under the United States-Mexico-Canada Trade Agreement (USMCA) of a center information display module

HTS: 8543.70.9860, free “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other machines and apparatus: Other: Other: Other: Other.”
Country of Origin: Mexico
USMCA Eligibility: Eligible for USMCA preferential treatment
Item: A center information display module. The unit is comprised of a 12-inch flat panel touchscreen liquid crystal display and a printed circuit board assembly within a housing. The PCBA is populated with various components including a microcontroller, deserializer, voltage generator, and scaler IC, which, when attached to the LCD touchscreen, provides power and controls the LCD commands. The finished device is designed to be incorporated within a vehicle in order to allow the driver to view various information such as audio, climate control, navigation, and backup camera footage. Further, the unit allows the user to control and interact with these various systems. The LCD display portion of the finished item is manufactured in China and sent to Mexico. In Mexico, a bare PCB of Chinese origin is populated with the microcontroller, deserializer, voltage regulator, scaler IC, and various other electronic components via surface mount technology. You state that the electronics that populate the finished PCBA are from various countries. Further in Mexico, the LCD portion and PCBA are combined along with installation brackets, chassis, and top/rear casing from various countries to complete the finished article.
Reason: LCD's are outside the 8543 heading. As such, the finished modules are considered originating goods under the USMCA and eligible for preferential treatment due to meeting tariff shift requirements.
Ruling Date: March 23, 2022