CLA-2-85:OT:RR:NC:N1:109
Samar Jallo
Nippon Express USA, Inc.
Chicago Air Cargo Branch
401 East Touhy Avenue
Des Plaines, IL 60018
RE: The tariff classification of a lithium-ion battery pack from Indonesia.
Dear Ms. Jallo:
In your letter dated April 19, 2011, on behalf of Varta Microbattery, you requested a tariff classification ruling. No sample was provided.
The item under consideration is described as a Lithium-Ion Battery Pack, which you indicate is imported for use with the Invacare Portable Oxygen Concentrator. You state that the battery packs are imported under SKU numbers 56626 908 097, 56626 908 098, and 56626 908 099. The battery packs consist of eight rechargeable lithium-ion batteries surrounded by an insulating plate and a shrink sleeve, with wire connectors extending from the pack.
The applicable subheading for the Lithium-Ion Battery Packs will be 8507.80.8010, Harmonized Tariff Schedule of the United States (HTSUS), which provides for "Electric storage batteries, including separators therefore, whether or not rectangular (including square): parts thereof: Other storage batteries: Other: Lithium-ion batteries." The rate of duty will be 3.4% ad valorem.
In your submission you request consideration of a secondary classification for the lithium-ion battery packs under HTSUS 9817.00.96, which applies to articles and parts of articles specially designed or adapted for the use or benefit of the permanently or chronically physically or mentally handicapped. You argue that the battery packs are specially designed to work exclusively with the Invacare Portable Oxygen Concentrator. Based on the information you provided, along with information found on Invacare’s website, the Oxygen Concentrators are intended for use by individuals who suffer from chronic respiratory illnesses who require supplementary oxygen to accomplish their ongoing major life activities.
You provided engineering drawings and specification sheets that show the lithium-ion battery packs are specially designed for use with in Invacare oxygen concentrators. We presume that the battery packs, which bear the Invacare name on their label, could not be used, in a commercially feasible way, with any other apparatus. We also note that Customs has previously found that printed circuit boards specially designed for use in oxygen concentrators to be eligible for a secondary classification in HTSUS 9817.00.96, in New York Ruling Letter A81034, dated March 29, 1996.
On that basis we agree that a secondary classification will apply for these lithium-ion battery packs in HTSUS 9817.00.96, as parts specially designed or adapted for use in articles specially designed or adapted for the use or benefit of the permanently or chronically physically or mentally handicapped (except articles for the blind), free of duty and user fees (if any). Note that the requirement that you prepare and file a U.S. Department of Commerce form ITA-362P has been eliminated via a notice from the International Trade Administration, published in the Federal Register of June 1, 2010. Also note that this classification has no effect on any quota, visa, or restricted merchandise requirements.
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 http://www.usitc.gov/tata/hts/.
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 classification in 9817.00.96 of these items, contact National Import Specialist J. Sheridan at (646) 733-3012. If you have any other questions regarding the ruling, contact National Import Specialist Linda Hackett at (646) 733-3015.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division