CLA-2 OT:RR:CTF:TCM H251140 ALS
Port Director
U.S. Customs and Border Protection
605 W. 4th Avenue, Suite 230
Anchorage, Alaska 99501
Attn.: Karen Beaudin, Import Specialist
RE: Application for Further Review Protest No. 3195-14-100025; Tariff classification of a Stepper Motor
Dear Port Director:
This letter is in reply to an Application for Further Review (“AFR”) of Protest number 3195-14-100025, filed by the importer, HD Medical Electronic Products, Inc. (also referred to herein as “HDMEP” or “Protestant”) on January 30, 2014, amended February 5, 2014. The Protest is against U.S. Customs and Border Protection’s (“CBP’s”) tariff classification of the above-referenced Stepper Motor under subheading 8501.10.4040 of the Harmonized Tariff Schedule of the United States (“HTSUS”).
FACTS:
The subject article is a stepper motor. A stepper motor is generally defined as “a synchronous motor with the magnetic field electronically switched to rotate the armature magnet around,” a “DC [Direct Current] [motor] that move in discrete steps”, and Stepper motors are DC (direct current) electric motors designed for precise motion control… they consist of multiple sets of coils and magnets which are designed to allow rotor movement in angular increments called steps.” See http://www.stepcontrol.com/stepping101/stepping101_Overview_1.html, https://learn.adafruit.com/all-about-stepper-motors/what-is-a-stepper-motor, and http://www.globalspec.com/learnmore/motion_controls/motors/stepper_motors, respectively. The Protestant states the following:
The product in question is the “movement” portion of a speedometer/tachometer that is also known in the industry as a “stepper motor” and/or “stepper motor”, with the sole purpose of guiding a “pointer needle” as in indicator in the instrumentation of a speedometer/tachometer.
The output of the Stepper Motor at issue does not exceed 37.5 watts. It is comprised of a plastic housing with internal gears and a micro motor. The motor is electric and it transforms the electric energy into mechanical power, specifically guiding the pointer needle via case rotary motion. The subject Stepper Motor rotates the pointer needle in discrete steps so as to indicate speed or revolutions per minute (RPM) of the engine.
The Protestant had entered numerous stepper motors under subheading 8708.29.5060, HTSUS, as other parts of the motor vehicles of 8701 to 8705. CBP liquidated the entry on December 20, 2013 under subheading 8501.10.4040, HTSUS, as other electric motors. The Protestant now asserts that the stepper motors are properly classified under subheading 9029.90.8040, HTSUS, as other parts of speedometers and tachometers.
ISSUE:
Are the Stepper Motors, as described above, properly classified under heading 8501, HTSUS, which provides for “Electric motors and generators (excluding generating sets)”, or under heading 9029, HTSUS, which provides for “Revolution counters, production counters, taximeters, odometers, pedometers and the like; speedometers and tachometers, other than those of heading 9014 or 9015; stroboscopes; parts and accessories thereof”?
LAW AND ANALYSIS:
Initially, we note that the Protest was timely filed on January 30, 2014, which is within 180 days of the date of the liquidation of the subject entry, December 20, 2013. See 19 U.S.C. §1514(c)(3)(B). Additionally, CBP’s classification of the merchandise is a protestable matter under 19 U.S.C. §1514(a)(2). Further Review of Protest No. 3195-14-100025 is properly accorded to the Protestant pursuant to 19 CFR 174.24(b). The Protestant amended the Protest on February 5, 2014 pursuant to 19 CFR 174.
Classification under the HTSUS is determined in accordance with the General Rules of Interpretation (“GRI”) and, in the absence of special language or context which otherwise requires, by the Additional U.S. Rules of Interpretation (“ARI”). GRI 1 provides that the classification of goods shall be “determined according to the terms of the headings and any relative section or chapter notes.” In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, GRIs 2 through 6 may be applied in order.
The following headings and subheadings of the HTSUS are under consideration in this case:
8501 Electric motors and generators (excluding generating sets):
8501.10 Motors of an output not exceeding 37.5 W:
8501.10.40 Other…
* * *
9029 Revolution counters, production counters, taximeters, odometers, pedometers and the like; speedometers and tachometers, other than those of heading 9014 or 9015; stroboscopes; parts and accessories thereof:
9029.90 Parts and accessories:
9029.90.80 Other…
* * * * * * * * * * * * *
Note 2 to Chapter 90, HTSUS, provides, in pertinent part, the following:
2. Subject to note 1 above, parts and accessories for machines, apparatus, instruments or articles of this chapter are to be classified according to the following rules:
Parts and accessories which are goods included in any of the headings of this chapter or of chapter 84, 85 or 91 (other than heading 8487, 8548 or 9033) are in all cases to be classified in their respective headings;
(b) Other parts and accessories, if suitable for use solely or principally with a particular kind of machine, instrument or apparatus, or with a number of machines, instruments or apparatus of the same heading (including a machine, instrument or apparatus of heading 9010, 9013 or 9031) are to be classified with the machines, instruments or apparatus of that kind…
The Protestant contends that the Stepper Motors at issue are—
not a “continuous” rotating device, such as a fan motor, so it should not be confused for a conventional motor that produces “work”, as our stepper motor is used as an indicator for a speedometer/tachometer and the unit of measurement is calculated in (mN*m) micro Newtons or torque (1.2 mN*m to be exact), versus a conventional motor’s measurement in (W) watts and/or (hp) Horsepower.
HDMEP also states that the “definition of a ‘motor’ is quite ambiguous”, and cites to the 2013 edition of the Merriam-Webster dictionary’s definition, which reads “a motor whose driveshaft rotates in small steps rather than continuously—called also stepping motors.” We find that definition to be consistent with the definitions cited above. The Protestant also cites to a CBP ruling to support the claim that “a similar low torque stepper motor in an automotive instrument cluster” was classified under heading 9029. CBP Ruling NY 853595 (July 2, 1990).
While the Protestant distinguishes the stepping motion of stepper motors from the continuous motion of other motors, we do not find any relevance here in such distinction. In understanding the language of the HTSUS, the Harmonized Commodity Description and Coding System Explanatory Notes (ENs) may be utilized. The ENs, though not dispositive or legally binding, may provide commentary on the scope of each heading of the HTSUS, and are the official interpretation of the Harmonized System at the international level. CBP believes the ENs should always be consulted. See T.D. 89-
80, 54 Fed. Reg. 35127, 35128 (Aug. 23, 1989).
The EN for heading 8501, HTSUS, defines electric motors as “machines for transforming electrical energy into mechanical power. This group includes rotary motors and linear motors.” The EN for heading 8501 states the following:
(A) Rotary motors produce mechanical power in the form of a rotary motion. They are of many types and sizes according to whether they operate on DC or AC, and according to the use or purpose for which they are designed. The motor housing may be adapted to the circumstances in which the motor will operate (e.g., dust proof, drip proof or flame proof motors; non rigid mountings for belt driven motors, or for motors which will be subject to much vibration).
Many motors may incorporate a fan or other device for keeping the motor cool during running.
With the exception of starter motors for internal combustion engines (heading 85.11), the heading covers electric motors of all types from low power motors for use in instruments, clocks, time switches, sewing machines, toys, etc., up to large powerful motors for rolling mills, etc.
Motors remain classified here even when they are equipped with pulleys, with gears or gear boxes, or with a flexible shaft for operating hand tools.
The heading includes “outboard motors”, for the propulsion of boats, in the form of a unit comprising an electric motor, shaft, propeller and a rudder.
Synchronous motors for clock movements are classified here even if equipped with gears; however such synchronous motors also associated with a clock train are excluded (heading 91.09). [Emphasis in original]
Nothing in heading 8501 indicates that there is a distinction to be made between electric motors of stepped rotary motion and those of continuous rotary motion. Heading 8501 also does not distinguish between motors whose output is measured in micro Newtons and those whose output is measured in watts. Even if such distinction is relevant here, there is no dispute that the subject Stepper Motors are motors of stepped rotary motion. Furthermore, while the Protestant argues that CBP Ruling NY 853595, supra, is applicable here, that case concerned the classification of “two types of speedometer/odometer circuit board assemblies.” Circuit board assemblies are clearly distinguishable from stepper motors, thus NY 853595 is inapplicable here.
Finally, we note that Note 2(a) of Chapter 90, HTSUS, states that “parts and accessories which are goods included in any of the headings of this chapter or of chapter 84, 85 or 91 (other than heading 8487, 8548 or 9033) are in all cases to be classified in their respective headings.” Consequently, heading 9029 is inapplicable given the foregoing. Therefore, given our findings herein, we conclude that the subject Stepper Motors are properly classified under heading 8501, HTSUS, as “Electric motors and generators (excluding generating sets).” Specifically, the Stepper Motors are properly classified under subheading 8501.10.40, HTSUS, as “Electric motors and generators (excluding generating sets): Motors of an output not exceeding 37.5 W: Other…”
HOLDING:
By application of GRI 1 and Note 2(a) to Chapter 90, HTSUS, the Stepper Motors are properly classified under heading 8501, HTSUS, which provides for “Electric motors and generators (excluding generating sets).” Specifically, the Stepper Motors are properly classified under subheading 8501.10.40, HTSUS, which provides for “Electric motors and generators (excluding generating sets): Motors of an output not exceeding 37.5 W: Other…” The general column one rate of duty, for merchandise classified in this subheading is 4.4%.
Duty rates are provided for your convenience and subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the World Wide Web at www.usitc.gov.
The Protest should be DENIED in accordance with the LAW AND ANALYSIS section above. A copy of this ruling should be attached to the CBP Form 19 or equivalent document and provided to the protestant as part of the notice of action on the protest.
Sixty days from the date of the decision the Office of International Trade, Regulations and Rulings, will make the decision available to CBP personnel, and to the public on www.cbp.gov, by means of the Freedom of Information Act, and other methods of public distribution.
Sincerely,
Myles B. Harmon, Director
Commercial and Trade Facilitation Division