CLA-2-84:OT:RR:NC:N2:220
Frank Mildner
Workaround GmbH
Friedenstrasse 4
Munich. 81671
Germany
RE: The tariff classification of the ProGlove Mark One S from Germany
Dear Mr. Mildner:
In your letter dated June 8, 2018 you requested a tariff classification ruling.
The merchandise under consideration is referred to as the ProGlove Mark One S which consists of a 1D/2D barcode scanner, a data access point, a charging station, and a glove or overwrap. The subject ProGlove system is said to capture data from barcodes with the scanner and inputs the data into an automatic data processing (ADP) machine for use with WMS (Warehouse Management System) or ERP (Enterprise Resource Planning) systems.
In use, the scanner is inserted into a cradle which is physically mounted to the back side of the glove or overwrap. The user would actuate a momentary contact switch that is located inside the glove or overwrap to begin the scanning process. Once a barcode is successfully scanned, the unit wirelessly transmits the barcode data to the access point which is connected to an ADP system. You state that the contents of the ProGlove Mark One S are imported in a retail container as a complete set.
General Rule of Interpretation (GRI) 1, Harmonized Tariff Schedule of the United States (HTSUS), states in part that for legal purposes, classification shall be determined according to the terms of the headings, any relative section or chapter notes and, unless otherwise required, according to the remaining GRI’s taken in order. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3.
GRI 3 (a) states that the heading that provides the most specific description shall be preferred to headings providing a more general description. However, when two or more headings refer to only part of the items in a composite good, those headings are to be regarded as equally specific in relation to the goods, even if one of them gives a more complete or precise description of the good. As such, they are regarded as equally specific and classification of the composite good is to be determined by GRI 3(b) or GRI 3(c) taken in the appropriate order in which they are set out in GRI 3. GRI 3(b) states in part that composite goods, which cannot be classified by reference to GRI 3(a), are to be classified as if they consisted of the component that gives them their essential character
The Explanatory Notes to the Harmonized Tariff System, although not legally binding, provide guidance in the interpretation of the Harmonized Commodity Description and Coding System at the international level. Explanatory Note X to GRI 3 (b) provides that the term "goods put up in sets for retail sale" means goods that: (a) consist of at least two different articles which are, prima facie, classifiable in different headings; (b) consist of 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 re-packing. Goods classifiable under GRI 3 (b) are classified as if they consisted of the material or component which gives them their essential character, which may be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the article.
The ProGlove Mark One S consists of two or more articles that are, prima facie, classifiable in different headings. The ProGlove Mark One S also consists of articles put up together to carry out a specific activity (i.e., barcode scanning for data input into an ADP system). Finally, the articles are put up in a manner suitable for sale directly to users without repacking. Therefore, the set in question is described within the meaning of "goods put up in sets for retail sale."
In accordance with GRI 3 (b), which states in part that goods put up in sets for retail sale, that cannot be classified by reference to GRI 3 (a), are to be classified as if they consisted of the component which gives them their essential character. It is the opinion of this office that the barcode scanner imparts the essential character of the ProGlove Mark One S set.
The applicable subheading for the ProGlove Mark One S will be 8471.60.8000, HTSUS, which provides for “Automatic data processing machines and units thereof; . . . : Input or output units, whether or not containing storage units in the same housing: Other: Optical scanners and magnetic ink recognition devices”. 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 Karl Moosbrugger at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division