CLA-2-94:OT:RR:NC:N4:433
Denise N. Yapp
Customs Classification Specialist
Ashley Furniture Industries, Inc.
One Ashley Way
Arcadia, WI 54612
RE: The tariff classification of bed bases and a sleeper mechanism with mattress from China.
Dear Ms. Yapp:
In your letter dated March 14, 2017, you requested a tariff classification ruling. Illustrative literature and a description were provided. Additional company information was provided by means of material breakdown tables.
Item 77948M is identified as the “67 Sleeper Frame W / Spring Matt.” The item is a metal framed sleeper mechanism and mattress that will be incorporated into a sofa sleeper (bed) unit. The metal framed sleeper mechanism and mattress are folded together as a single unit, palletized and wrapped, and then shipped to the United States. The metal framed sleeper mechanism with mattress pulls out from the sofa bed for purposes of one to sleep upon and then reverts back to a sofa when not used as a bed for purposes of sitting or lounging upon. This item measures 67 inches wide (from side to side) by 83 inches long (from foot to head) by 19 inches high.
Item 81212 is identified as the “Twin Foundation.” The item is a bed base made of a steel frame and six floor standing metal legs, having wood cross slats, onto which a mattress is placed. This item measures 37.50 inches wide (from side to side) by 74.38 inches long (from foot to head) by 16.73 inches high.
Item M86X12 is identified as the “Twin Foundation.” The item is a metal bed base having a nonskid fabric cover which is supported on multiple floor standing risers, onto which a mattress is placed. This item measures 37.99 inches wide (from side to side) by 74.02 inches long (from foot to head) by 13.98 inches high.
Item M9X632 is identified as the “Queen Adjustable Base.” The item is a powered adjustable bed base, which consists of a foam frame that is covered over in non-woven grey mesh and is supported on metal legs. This item measures 59.06 inches wide (from side to side) by 78.74 inches long (from foot to head) by 14.96 inches high.
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods 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.
A reading of the Legal Note 2, and 2 (a) and 2 (b) to Chapter 94 of the HTSUS, provides: at 2, that the articles (other than parts) referred to in the headings of 9401 to 9403 are to be classified in those headings only if they are designed for placing on the floor or ground; at 2 (a) and 2 (b), the following are, however, to be classified in the above headings even if they are designed to be hung, to be fixed to the wall or to stand one on the other --- 2 (a) Cupboards, bookcases, other shelved furniture (including single shelves presented with supports for fixing them to the wall) and unit furniture, and 2 (b) Seats and beds.
When interpreting and implementing the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The General Explanatory Notes (ENs) to Chapter 94 of the HTSUS further elaborate on Legal Note 2, and 2 (a) and 2 (b) to Chapter 94 of the HTSUS, and state with regard to the meaning of furniture at:
(A): For the purposes of this Chapter, the term “furniture” means: Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels, theatres, cinemas, offices, churches, schools, cafés, restaurants, laboratories, hospitals, dentists, surgeries, etc., or ships, aircraft, railway coaches, motor vehicles, caravan-trailers or similar means of transport. (It should be noted that, for purposes of this Chapter, articles are considered to be “movable” furniture even if they are designed for bolting, etc., to the floor, e.g., chairs for use on ships). Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.
(B) The following: (i) Cupboards, bookcases, other shelved furniture and unit furniture designed to be hung, to be fixed to the wall or to stand one on the other or side by side, for holding various objects or articles (books, crockery, kitchen utensils, glassware, linen, medicaments, toilet articles, radio or television receivers, ornaments, etc.) and separately presented elements of unit furniture; and (ii) Seats or beds designed to be hung or to be fixed to the wall.
Even though Legal Note 2, and 2 (a) and 2 (b) to Chapter 94, HTSUS, do not pertain to parts of goods classified in the headings 9401 to 9403, the ENs to Chapter 94, Parts, clarify and elaborate CBP’s position in regards to furniture parts of headings 9401 to 9403, HTSUS.
The ENs to Chapter 94 of the HTSUS, Parts, provide:
“This Chapter covers parts, whether or not in the rough, of goods of heading 9401 to 9403 and 9405, when identifiable by their shape or other specific features as parts designed solely or principally for an article of those headings. They are classified in this Chapter when not more specifically covered elsewhere.”
Consistent with the meaning of “furniture” as provided by the General Explanatory Notes (ENs) to Chapter 94 of the HTSUS, the M81212 and M86X12, both described as a mattress foundation, are considered household pieces of furniture, because they are recognized as “beds” in that they sit directly on the floor of one’s bedroom, and are the underlying structure with frame and legs for sleeping upon. Also consistent with the meaning of “furniture” as provided by the General Explanatory Notes (ENs) to Chapter 94 of the HTSUS, the M9X632 is an adjustable base, a special type of mattress foundation that sits directly on the floor of one’s bedroom and is the underlying structure with frame and legs for sleeping upon. The M9X632, is a queen size, powered adjustable foundation and is considered a household piece of furniture too, insofar as it is recognized as a “bed,” albeit with the enhanced characteristics of allowing users to raise and lower their head and/or feet in a supine or alpine position. With case in point, the M81212, M86X12 and M9X632, all being mattress foundations that are recognized as “beds” are classified in heading 9403, HTSUS. See Headquarters ruling HQ H254127 dated May 15, 2015.
GRI 6 is implicated at the [sub]heading level, because the contents of the M81212 and M86X12, beds, are composed of different components (i.e., metal and fabric or metal and wood) and are considered composite goods. Under GRI 6 the classification of goods at the subheading level shall be determined according to the terms of those subheadings and any related subheading notes and, mutatis mutandis, to the above rules [GRIs 1 - 5], on the understanding that only subheadings at the same level are comparable. For the M81212, consisting of a metal base frame with wooden cross slats, the competing subheadings are 9403.20 (other metal furniture) and 9403.50 (wooden furniture of a kind used in bedrooms). For the M86X12, consisting of a metal base frame covered over in fabric the competing subheadings are 9403.20 (other metal furniture) and 9403.89 (furniture of other materials)
The ENs to the HTSUS, at GRI, Rule 3 (b) (VIII), state that “The factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good.
In the United States Court of International Trade, The Home Depot, U.S.A., Inc., v. the United States, Slip Op. 06-49, Court No. 00-00061, dated April 7, 2006, the Court considered all factors in evidence to determine essential character and that these factors were to be reviewed as a whole. See Slip Op. 06-49, for a listing of factors reviewed. Consistent with The Home Depot case, we will consider all facts as presented, assign weight to those facts, and if possible decide which of the constituent materials or components impart the essential character to the items referenced above.
Upon review of the illustrative literature and additional company provided information, the following are the essential character determinations for the beds:
For the M81212, bed, the essential character is imparted by the base metal frame, because the frame provides for the weight and volume of the bed, and the support onto which a mattress is placed.
For the M86X12, bed, the essential character is imparted by the base metal frame over that of its fabric covering, because the frame provides for the volume of the bed, the weight and cost of the fabric is marginal as compared against the weight and cost of the frame and the frame provides the support onto which a mattress is placed. See HQ 088432 dated August 15, 1991.
For the M9X632, adjustable bed, the essential character is imparted by the wood slats over that of the base metal frame, fabric covering and foam, because the wood slats provided for the volume of the bed onto which a mattress is placed allowing for the raising and lower of the bed’s positioning. The increased weight and higher cost of the metal frame as compared against the wood slats is marginalized when compared against the functionality of the wood slats to hold a mattress and adjust that mattress accordingly. See HQ 088432 dated August 15, 1991.
The applicable subheading for the M81212, bed, will be 9403.20.0021, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Other metal furniture: Household: Other: Other.” The rate of duty will be free.
The applicable subheading for the M86X12, bed, will be 9403.20.0019, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Other metal furniture: Household: Other: Mechanically adjustable bed or mattress base, having the characteristics of a bed or bed frame, of a width exceeding 91.44 cm, of a length exceeding 184.15 cm, and of a depth exceeding 8.89 cm, whether or not motorized.” The rate of duty will be free.
The applicable subheading for the M9X632, adjustable bed, will be 9403.50.9045, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Wooden furniture of a kind used in the bedroom: Other: Other: Beds: Other.” The rate of duty will be free.
Wooden bedroom furniture from [China] is subject to Antidumping Duties (AD) under the Department of Commerce case number A-570-890. Written decisions regarding the scope of AD and Countervailing Duty (CVD) orders are issued by the Enforcement and Compliance office in the International Trade Administration of the Department of Commerce and are separate from tariff classification and origin rulings issued by Customs and Border Protection (CBP). It would be prudent for your company to obtain a scope ruling from the Department of Commerce, as the written description of the AD order is dispositive over that of the classification number assigned to the good.
You can contact the International Trade Administration at http://trade.gov/enforcement/ (click on “Contact Us”). For your information, you can view a list of current AD/CVD cases at the United States International Trade Commission website at http://www.usitc.gov (click on “Antidumping and Countervailing Duty” under “Popular Topics” at the top of the screen), and you can search AD/CVD deposit and liquidation messages using CBP’s AD/CVD Search tool at http://addcvd.cbp.gov/.
It is our opinion that item 77948M, the “67 Sleeper Frame W / Spring Matt” is not a “bed” classifiable in heading 9403, HTSUS. The metal framed sleeper mechanism with mattress is not part of any article of furniture covered by the heading of 9403, HTSUS. The pull out mechanism with mattress is provided for in the heading of 9401, HTSUS, as parts for seats convertible into beds. GRI 6 is implicated at the [sub]heading level, because the 77948M, is a mixed/composite good composed of different components (i.e., metal framed sleeper mechanism and mattress) and is considered a composite good.
We find that the metal framed sleeper mechanism imparts the essential character to the good, because the weight and cost of the metal framed sleep mechanism exceeds that of the mattress, the metal framed sleeper mechanism allows for the conversion from a sofa to a bed, and the metal framed sleeper mechanism allows for the placement of the mattress within the sofa sleeper (bed) unit.
The applicable subheading for item 77948M, the “67 Sleeper Frame W / Spring Matt,” will be 9401.90.5081, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Seats (other than those of heading 9402) whether or not convertible into beds, and parts thereof: Parts: Other: Other; Other.” The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at https://hts.usitc.gov/current.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Neil H. Levy at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division