CLA-2-84:OT:RR:NC:N1:102
Mr. Thomas M. Keating
Hodes, Keating & Pilon
Attorneys at Law
134 North La Salle Street
Suite 1300
Chicago, Illinois 60602
RE: The tariff classification of a water timer, nozzles, and sprinkler system
Dear Mr. Keating:
In your letter dated October 1, 2018, you requested a tariff classification ruling on behalf of your client Fiskars Brands Inc. Samples were provided and are being returned to you.
The merchandise under consideration is a programmable water timer, watering nozzles, and a garden watering sprinkler system. The items are said to be used for watering fruits, vegetables, flowers and plants.
The programmable water timer, model number 830134, consists of a timing device and a plastic valve. The timing device, which primarily consists of an LCD screen and a knob like feature that rotates, signals the valve to open at a designated start time. Once the allotted time expires, the timing devices signals the valve to close and the magnetic action of a metal pin wrapped in copper wire causes a valve’s stopper to close, stopping the flow of water flow to the hose.
The watering nozzles, model numbers 838102 and 843122, are designed to be attached to a water hose and are used for watering plants and vegetables. Each nozzle features a hand held grip and a rose type head that can generate eight different spray patterns. Both nozzles include a valve that controls the flow of water. The valve for model number 838102 is described as an aluminum plug type valve, while the valve for model number 843122 is described as a stainless steel, ball type valve.
The garden watering sprinkler system, model number 851801, consists of a polyvinyl chloride (PVC) tubing with an end, five plastic spikes, caps, nozzles and nozzle adaptors, eight plastic plugs, five metal tubing stakes, and ten plastic risers. You state in your letter that the system is used as an irrigation method that offers the ultimate purchaser precise water saturation directly to plants, while preventing water waste. It is designed to deliver water from the spout to the end of the hose, where other implements are connected to enable specific activity. The system sprays out the water from the sprinklers included within the kit.
In your request, you suggest that the applicable subheading for the programmable water timer, model number 830134, is 8481.80.5090, Harmonized Tariff Schedule of the United States (HTSUS) ,which provides for Taps, cocks, valves and similar appliances, for pipes, boiler shells, tanks,vats or the like, including pressure-reducing valves and thermostatically controlled valves: Hand-operated material: Other other materials: Other. While we agree that the water timer is classified in HTSUS heading 8481, the valve that controls the flow of water is a solenoid valve that is specifically provided for elsewhere.
As such, the applicable subheading for programmable water timer, model number 830134, will be 8481.80.9005, HTSUS, which provides for Taps, cocks, valves and similar appliances, for pipes,…Solenoid valves. The general rate of duty will be 2 percent ad valorem.
In regards to the water nozzle, model number 843122, you suggest that the applicable subheading, is 8481.80.5090, Harmonized Tariff Schedule of the United States (HTSUS) ,which provides for Taps, cocks, valves and similar appliances, for pipes, boiler shells, tanks,vats or the like, including pressure-reducing valves and thermostatically controlled valves: Hand-operated material: Other other materials: Other. We disagree because although the water nozzle is a manually operated valve, it consists of a stainless steel, ball type valve, which is specifically provided for elsewhere.
Based on the description of the valve, the applicable subheading for the water nozzle, model number 843122, will be 8481.80.3070, which provides for Taps, cocks, valves and similar appliances, for pipes, boiler shells, tanks,vats or the like, including pressure-reducing valves and thermostatically controlled valves: Hand-operated material: Of steel: Ball type. The general rate of duty will be 5.6 percent ad valorem.
The applicable subheading for the watering nozzle, model number 838102, will be 8481.80.5090, HTSUS, which provides for Taps, cocks, valves and similar appliances, for pipes, boiler shells, tanks,vats or the like, including pressure-reducing valves and thermostatically controlled valves: Hand-operated: Other other materials: Other. The general rate of duty will be 3 percent ad valorem.
The applicable subheading for the garden watering system, model number 851801, will be 8424.82.0090, HTSUS, which provides for Mechanical appliances (whether or not hand operated) for projecting, dispersing or spraying liquids or powders; fire extinguishers, whether or not charged; spray guns and similar appliances; steam or sand blasting machines and similar jet projecting machines; parts thereof: Other appliances: Agricultural or horticultural: Other. The general duty rate will be 2.4 percent ad valorem.
The country of origin for the merchandise is not stated in your letter. However, it should be noted that effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheadings 8481.80.9005, 8481.80.3070, and 8481.80.5090, HTSUS, unless specifically excluded, are subject to the additional 10 percent ad valorem rate of duty. If the merchandise is from China, you must report the Chapter 99 subheading, i.e., 9903.88.03 in addition to subheadings 8481.80.9005, 8481.80.3070, and 8481.80.5090, HTSUS, listed above at the time of importation.
Products of China classified under subheading 8424.82.0090, HTSUS, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty. If the merchandise is from China, you must report the Chapter 99 subheading, i.e., 9903.88.02 in addition to the corresponding subheading 8424.82.0090, HTSUS, listed above at the time of importation.
The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.
In your submission, you also request that the programmable water timer, the watering nozzles, and the garden watering sprinkler system be considered for duty-free treatment as agricultural or horticultural machinery under subheading 9817.00.50, HTSUS, which provides for Machinery, equipment and implements to be used for agricultural or horticultural purposes.
Subheading 9817.00.50, HTSUS, is an actual use provision. To fall within a special classification, a three-part test must be met. First, the subject merchandise must not be excluded from the heading under Section XXII, Chapter 98, Subchapter XVII, U.S. Note 2, HTSUS. Secondly, the terms of the headings must be met in accordance with GRI 1, which provides that classification is determined according to the terms of the headings and any relative section or chapter notes. Thirdly, the article must comply with the actual use regulations under Section 10.131 through 10.139, Customs Regulations (19 CFR 10.131 through 10.139).
In regards to subheadings 9817.00.50, HTSUS, the subject merchandise is classifiable under the subheading 8424 or 8481, HTSUS. These subheadings are not excluded from classification in either 9817 subheading by operation of Section XXII, chapter 98, Subchapter XVII, U.S. Note 2, HTSUS.
The second part of the test calls for the unit to be included within the terms of the subheadings. Subheading 9817.00.50, HTSUS, as required by GRI 1, states the unit must be "machinery”, “equipment" or "implements" used for "agricultural or horticultural purposes". It is this office’s opinion that the subject merchandise is "machinery" which fulfills the requirement of a horticultural pursuit.
Based on the information provided, the programmable water timer, watering nozzles, and garden watering sprinkler system are classifiable in subheading 9817.00.50, HTSUS, if the actual use conditions and requirements of Sections 10.131 through and including 10.139, Customs Regulations, are met.
Please note that the additional duties imposed by headings 9903.88.01, 9903.88.02, 9903.88.03, and 9903.88.04 do not apply to goods for which entry is properly claimed under a provision of chapter 98 of the HTSUS, except for goods entered under headings 9802.00.40, 9802.00.50, 9802.00.60, and 9802.00.80. For headings 9802.00.40, 9802.00.50, and 9802.00.60, the additional duties apply to the value of repairs, alterations, or processing performed abroad, as described in the applicable heading. For heading 9802.00.80, the additional duties apply to the value of the article less the cost or value of such products of the United States, as described in heading 9802.00.80.
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 the 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 Sandra Martinez at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division