OT:RR:CTF:EMAIN HQ H305589 NVF
U.S. Customs and Border Protection
Port of Los Angeles/Long Beach
301 E. Ocean Blvd.
Suite 1400
Long Beach, CA 90802
Attn: Scott Niemczewski, Import Specialist
RE: Request for Internal Advice on Tariff Classification of Certain Angular Contact Ball Bearings
Dear Port Director:
This is in response to a request for internal advice concerning the proper classification of certain angular contact ball bearings. The request was filed by Stein Shostak Shostak Pollack & O’Hara, LLP on behalf of Yamaha Motor Corp., USA (“Yamaha”). In reaching our conclusion, we have relied on information submitted by Yamaha in their request for internal advice, supplemental information provided by Yamaha via email on June 5, 2020, and a sample provided by Yamaha.
FACTS:
On September 27, 2018, Yamaha requested internal advice from HQ concerning the classification of angular contact ball bearings that it imported from Japan. Yamaha initially asserted that the bearings are classified under subheading 8482.10.5028, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), as other angular contact bearings, but now contends that they are classified under subheading 8482.10.5024, HTSUSA as other wheel hub bearing units. A Customs auditor is of the opinion that bearings are properly classified under 8482.10.5060, HTSUSA as double row radial ball bearings.
The ball bearings at issue are used in motorized vehicles and support axial and radial loads. They are described as double-row, angular contact ball bearings with an outside diameter of 55 millimeters. The raceways of the inner and outer rings have a raised shoulder. The inner diameter of the bearings is 30 millimeters and the outer diameter is 55 millimeters. Illustrations and explanations provided by Yamaha indicate that during assembly, the subject bearings are mounted in the steering knuckle. The drive shaft passes through the bearing before it attaches to a flanged hub.
ISSUE:
Whether the angular ball bearings are classified as other wheel hub bearing units of subheading 8482.10.5024, HTSUSA, as other angular contact bearings of subheading 8482.10.5028, HTSUSA, or as double row radial ball bearings of subheading 8482.10.5060, HTSUSA.
LAW AND ANALYSIS:
Classification of goods under the HTSUS is governed by the General Rules of Interpretation (GRI). GRI 1 provides that classification shall be determined according to the terms of the headings of the tariff schedule 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, the remaining GRIs 2 through 6 may then be applied in order.
In this case, there is no disagreement as to the 8-digit subheading under which the subject bearings are classified (i.e. subheading 8482.10.50, HTSUS). Rather, the issue is which 10-digit statistical reporting number applies. Thus, the HTSUSA 10-digit subheadings under consideration are as follows:
8482 Ball or roller bearings, and parts thereof:
8482.10 Ball bearings:
8482.10.50 Other...
* * *
Angular contact bearings:
Wheel hub bearing units:
8482.10.5024 Other.
* * *
8482.10.5028 Other.
* * *
Radial bearings:
8482.10.5060 Double row ball bearings.
Yamaha states that the ball bearings at issue are intended for use in wheel hub units but that as imported, the bearings are not in the wheel hub units. Nonetheless, Yamaha asserts that the subject bearings are classified as other wheel hub bearing units of subheading 8482.10.5024, HTSUS.
The bearings at issue are angular contact bearings. We have previously stated that angular contact bearings are distinct from radial bearings due to their ability to support both radial and axial loads. NY R04120 (June 26, 2006) (split ring angular contact bearing). Because the bearings at issue are angular contact bearings, they therefore cannot be classified under subheading 8482.10.5060, HTSUSA, which covers certain radial ball bearings (i.e. double row ball bearings).
Although Yamaha states that the subject bearings are intended for use in wheel hub units, it also states that the imported product consists solely of the bearing. Examination of the submitted sample confirms this as the sample consists solely of the raceways and the ball bearings. When questioned about wheel hub units, a Yamaha representative stated that “{M}ost of our bearings that start with DAC (double angular contact) are made to be pressed into a wheel hub. Sometimes they are shipped already in the hub…which we call ‘hub units.’” However, Yamaha also stated that the subject bearings are mounted into the steering knuckle, as opposed to in the wheel hub unit. Given that the record indicates that the subject bearings are not imported already in the wheel hub nor intended to be pressed into a wheel hub during assembly, we conclude that the subject bearings cannot be considered wheel hub bearings units of subheading 8482.10.5024, HTSUSA.
In light of the foregoing, we conclude that the subject angular contact ball bearings are classified under subheading 8482.10.5028, HTSUSA as other angular contact bearings.
HOLDING:
By application of GRIs 1 and 6, the subject angular ball bearings are classified under subheading 8482.10.5028, HTSUSA which provides for: Ball or roller bearings, and parts thereof: Ball bearings: Other: Other: Angular contact bearings: Other. The column one, general rate of duty is 9% ad valorem.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 Fed. Reg. 28710), August 16, 2018 (83 Fed. Reg. 40823), and September 21, 2018 (83 Fed. Reg. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheading 8482.10.5028, HTSUSA, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty. At the time of importation, the importer must report the Chapter 99 subheading, i.e., 9903.88.14, in addition to subheading 8482.10.5028, HTSUSA, listed above.
Duty rates are provided for convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the internet at www.usitc.gov/tata/hts/.
Sixty days from the date of this decision, the Office of Trade, Regulations and Rulings, will make this decision available for CBP personnel, and to the public on the CBP Home Page at http://www.cbp.gov by means of the Freedom of Information Act, and other methods of publication.
Sincerely,
Craig T. Clark, Director
Commercial and Trade Facilitation Division