CLA-2-94:OT:RR:NC:N4:433
Julie Vair
Senior Consultant
Expeditors Tradewin, LLC.
1015 Third Avenue, 12th Floor
Seattle, WA 98104
RE: The tariff classification of the “Coolest Cooler” from China.
Dear Ms. Vair:
In your letter dated March 24, 2015, on behalf of “The Coolest,” you requested a tariff classification ruling. You state in your ruling letter that the cooler is an ice-chest not equipped or designed to contain an active refrigerating element, but rather is simply insulated with polyurethane foam. Illustrative and descriptive literature were provided.
The merchandise concerned is identified as the Coolest Cooler. The body of the Coolest Cooler has an outer case of high-density polyethylene, a liner made of polyethylene and an insulated area made of polyurethane foam. The Coolest Cooler measures 25-inches by 18-inches by 20-inches, and has 55 quarts of volume inside. The Coolest Cooler is floor or ground standing, and is capable of movement on its two extra-wide wheels with telescoping handle bar. The Coolest Cooler features: 20v battery-powered rechargeable blender (pitcher is made of hardened plastic and attaches to the cooler); custom outdoor Bluetooth speaker; USB charger; LED lid light; accessory deck; cooler divider/cutting board; integrated storage for plates and knife (four color-matched reusable plates and a super sharp ceramic rustproof knife included); Done-in-Onetm tie-down straps; magnetic bottle opener; 20v and 4v rechargeable lithium battery (4v battery contained within the speaker); stainless steel hinges; and big grip handles.
Company provided information further indicates that: (1) the outdoor speaker is removable and can stream music from any Bluetooth phone or device, and that the built-in water resistant USB charger located on the side of the cooler can be used to re-charge various items; (2) there are two separate removable, lithium polymer rechargeable batteries, a 20 volt battery that powers the blender, USB port and lid lights and a 4 volt battery that powers the speaker; (3) there is a protected accessory deck and bottle opener with magnetic cap-catcher built into the cooler; and (4) the LED lights imbedded into the inside lid takes the guesswork out of nighttime refreshments.
When interpreting and implementing the Harmonized Tariff Schedule of the United States (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).
We note that the General ENs to Chapter 94 of the HTSUS, state, in relevant part, 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.
Further provided, the ENs to the HTSUS, heading 9403, states in pertinent part: This heading covers furniture and parts thereof, not covered by the previous headings. It includes furniture for general use (e.g., cupboards, show cases, tables, telephone stands, writing desks, escritoires, book cases, and other shelved furniture (including single shelves presented with supports for fixing them to the wall), etc.), and also furniture for special uses. A further review of the ENs to heading 9403 indicates in pertinent part that ice-boxes, ice-chests and the like, and also insulated cabinets not equipped or designed to contain an active refrigerating element but insulated simply by glass fibre, cork, wool, etc., remain classified within this heading. Emphasis must be placed to the aforementioned paragraph, in that the Coolest Cooler cannot be classified in a more specific heading of the HTSUS, otherwise the good is not classified within Chapter 94 with its heading of 9403, HTSUS.
The Coolest Cooler is a combination article composed of different components, and is therefore considered a composite good. Consequently, the General Rules of Interpretation (GRIs) to the HTSUS, at GRI 3 (b), govern the classification of the merchandise concerned. Regarding the essential character of the Coolest Cooler, the Explanatory Notes (ENs) to the HTSUS, at GRI 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.
Review of the illustrative and descriptive literature indicate additional functionality provided to the Coolest Cooler by means of its components, such as the blender, the speaker, the USB charger, the LED lid, the accessory deck, the divider/cutting board, the plates and knife storage holder, the tie-down cords, the bottle opener, and the 20v and 4v lithium batteries, yet it still does not change the fact that we have a fully functioning insulated cooler, not equipped or designed to contain an active refrigerating element. None of the components that provide additional functionality to the Coolest Cooler define its essential character, nor are there any other headings in the HTSUS that would be more specific in regard to this combination article. It is the entire cooler body made of plastic and insulated with foam that is indispensable to the identity of the good as an ice-chest and to the keeping of refreshments chilled. As such, the Coolest Cooler is classified in heading 9403, HTSUS.
The applicable subheading for the Coolest Cooler will be 9403.70.4031, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of plastics: Of reinforced or laminated plastics; 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 TSUS 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 ruling, contact National Import Specialist Neil H. Levy at E-mail address: [email protected].
Sincerely,
Gwenn Klein Kirschner
Director
National Commodity Specialist Division