CLA-2-84:RR:NC:1:106 K85483
Ms. Laura Denny
CBT International, Inc.
110 West Ocean Blvd., Suite 728
Long Beach, CA 90802
RE: The tariff classification of a “Garage in a Box” from China or Taiwan
Dear Ms. Denny:
In your letter dated April 8, 2004 on behalf of Alltrade, Inc. you requested a tariff classification ruling.
The “Garage in a Box” Item #410712 is composed of the following items, all packed in a single box:
2T floor jack with 13” lift
Two 2T jack stands with 10 height settings to 16.3”
36” creeper in KD design
Although a sample of the “Garage in a Box” was not submitted, a picture of the retail box was submitted along with your letter.
In your letter you suggest classifying the “Garage in a Box” as a set in subheading 8425.42.0000, Harmonized Tariff Schedule of the United States (HTS), which provides for jacks: other jacks and hoists, hydraulic. In the alternative, you suggest classifying the jack and jack stands in subheading 8425.42.0000, HTS, and the creeper in subheading 8716.80.5090, HTS, which provides for other vehicles, not mechanically propelled. As a basis for your suggested classifications, you cite NY ruling letter J83897 dated May 6, 2003, HQ ruling letter 958882 dated April 25, 1996 and NY ruling letter 834915 dated January 20, 1989. In NY ruling letter J83897, a 2 Ton Lift Kit composed of one 2 ton trolley jack, two jack stands, two anti-skid wheel chocks and one carrying bag were classified as a set in subheading 8425.42.0000, HTS, with the jack representing the essential character of the set. The items were determined to be used in conjunction with each other to carry out a specific activity, i.e., the raising, positioning and supporting of an automobile at a desired height. In HQ ruling letter 958882, it was determined that a floor jack packaged together in a single carton with two jack stands constituted a GRI 3(b) “set” classifiable in subheading 8425.42.00, HTS. In NY ruling letter 834915, a separately imported creeper was classified in subheading 8716.80.50, HTS.
General Rule of Interpretation (GRI) 1, HTS, states in part that for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes and, unless otherwise required, according to the remaining GRIs taken in order. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3, HTS.
GRI 3 applies when goods are put up for sale collectively and are classifiable under two or more headings of the tariff. GRI 3(b) covers goods put up in sets for retail sale. Explanatory Note X to GRI 3(b) defines "goods put up in sets for retail sale". Said note states, in part, that “… for the purposes of this Rule, the term ‘goods put up in sets for retail sale’ shall be taken to mean goods which:
(a) consist of at least two different articles which are, prima facie, classifiable in different headings …;
(b) consist of products or articles put up together to meet a particular need or carry out a specific activity; and
(c) are put up in a manner suitable for sale directly to users without repacking (e.g., in boxes or cases or on boards).”
The “Garage in a Box” satisfies the first and third criteria set forth in the EN to GRI 3(b) for determining whether a collection of articles qualifies as a set. The items are, prima facie, classifiable in different headings, i.e., heading 8425, heading 7326 and heading 8716, HTS, respectively. The items are packaged together in a single box for sale directly to the users without repacking. However, this office believes that the second criteria is not satisfied because the goods are not put up together to meet a particular need or carry out a specific activity. The goods are intended for use in performing various repair and maintenance activities. Since the “Garage in a Box” does not contain products put up together to meet a particular need or carry out a specific activity, it cannot be classified as a set for tariff purposes. In addition, a determination that the collection of goods fails to meet all three criteria negates the possibility that two or more of the items would constitute a separate set within the entire collection of goods. Accordingly, the individual articles in the “Garage in a Box” Item #410712 will be separately classified under GRI 1 in their respective headings. Thus, neither NY ruling letter J83897 nor HQ ruling letter 958882 would be applicable in this instance. Instead, the merchandise in question appears to be more akin to that described in NY ruling letter G84714 dated December 21, 2000 in which a “Garage in a Box” was determined not to be a set for tariff purposes. In that case, the individual articles were separately classified in their respective headings.
The applicable subheading for the floor jack will be 8425.42.0000, HTS, which provides for jacks: other jacks and hoists, hydraulic. The rate of duty will be free.
The applicable subheading for the jack stands will be 7326.90.8587, HTS, which provides for other articles of iron or steel, other. The rate of duty will be 2.9 percent ad valorem.
The applicable subheading for the creeper will be 8716.80.5090, HTS, which provides for other vehicles, not mechanically propelled. The rate of duty will be 3.2 percent ad valorem.
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 Patrick Wholey at 646-733-3013.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division