CLA-2 CO:R:C:M 954409 RFA
Mr. Reginald C. Silby
The Barich Group
11300 Sorrento Valley Road
Suite 104
San Diego, CA 92121
RE: Golf Caddie; Golf Carts; Heading 8703; EN 87.09; Heading
8709; HQ 082742; NY 875190; NY 843319
Dear Mr. Silby:
This is in response to your letter dated June 9, 1993,
requesting the tariff classification of the Grasshopper Golf
Caddie under the Harmonized Tariff Schedule of the United States
(HTSUS).
FACTS:
The merchandise, labeled as the Grasshopper Golf Caddie, is
a motorized golf cart manufactured in China. The golf cart is
composed of: a painted tubular steel frame; three wheels with
rubber tires; a 1/4 horsepower (HP) electric motor; a 12-volt, 6-
amp battery; a vinyl covered seat (used for sitting purposes
while the cart is not in motion); and a handlebar. The controls
for operating the golf cart are located on the handlebar. The
controls consist of a throttle, a speed indicator, a chrome grip
handle, and a function (on/off) switch. The golf cart is capable
of carrying one bag of golf clubs.
ISSUE:
Is the Grasshopper Golf Caddie classified as a motor vehicle
designed for the transport of goods or for the transport of
persons under the HTSUS?
LAW AND ANALYSIS:
Classification of merchandise under the HTSUS is in
accordance with the General Rules of Interpretation (GRI's),
taken in order. GRI 1 provides that classification shall be
determined according to the terms of the headings and any
relative section or chapter notes.
In your letter, you state that golf carts are provided for
under subheading 8703.10.50, HTSUS, as ". . .[m]otor vehicles
principally designed for the transport of persons. . .: . . .golf
carts. . .: [o]ther. . . ." However, you note that the subject
golf cart is a variation because it is designed to carry only one
bag of golf clubs.
In HQ 082742, dated August 4, 1989, Customs held, based upon
GRI 1, that an electric motor driven golf cart designed to
transport a golf bag with golf clubs is not classified under
heading 8703, HTSUS, because:
[t]o qualify for classification under 8703, merchandise
must meet two criteria: first, it must be a motor car
or motor vehicle and second, it must be principally
designed for the transport of persons. Although these
golf carts are motor vehicles, they are not principally
designed to transport persons. These carts are
specifically designed to transport only a golf bag with
its clubs. Its size and design make it impractical for
transporting a person.
The Grasshopper Golf Caddie is an electric motor driven golf
cart with a vinyl covered seat. You state that the seat is not
for riding, but for sitting while waiting to make your next shot.
Based upon that information and the holding in HQ 082742, we find
that the Grasshopper Golf Caddie is not classifiable under
heading 8703, HTSUS. We find that these golf carts are motor
vehicles with the primary function of transporting a golf bag and
golf clubs. HQ 082742; See also NY 875190, dated June 23, 1992;
and NY 843319, dated July 25, 1989. The Grasshopper Golf Caddie
is provided for under subheading 8704.90.00, HTSUS as other motor
vehicles for the transport of goods.
It has also been suggested that the merchandise could be
provided for under heading 8709, HTSUS, as a self-propelled work
truck used for short distance transport of goods. The Harmonized
Commodity Description and Coding System Explanatory Notes (EN)
constitute the Customs Cooperation Council's official
interpretation of the HTSUS. While not legally binding, the ENs
provide a commentary on the scope of each heading of the HTSUS
and are generally indicative of the proper interpretation of
these headings. EN 87.09, page 1433, states
[t]his heading covers a group of self-propelled
vehicles of the types used in factories, warehouses,
dock areas or airports for the short distance transport
of various loads (goods or containers) or, on railway
station platforms, to haul small trailers.
In NY 875190, Customs held that a motorized golf cart, which
consisted of an electric motor, an axle, two wheels, and a frame
with a handlebar, is "not of the type used in factories,
warehouses, dock areas or airports for short distance transport
of goods. Therefore, [heading 8709], HTSUS, is not applicable in
this instance."
Based upon EN 87.09 and the holding in NY 875190, we find
that the Grasshopper Golf Caddie is not provided for under
heading 8709, HTSUS, because its sole use is that of a vehicle
used on golf courses for the transport of golf bags.
HOLDING:
The Grasshopper Golf Caddie is classifiable under subheading
8704.90.00, HTSUS, which provides for: other motor vehicles for
the transport of goods. The general, column one rate of duty is
8.5 percent ad valorem. If the Grasshopper Golf Caddie is valued
at $1,000 or more, the rate of duty will be 25.0 percent ad
valorem under subheading 9903.87.00, HTSUS.
Sincerely,
John Durant, Director