CLA-2-85:OT:RR:NC:N2:212
Frederick Poole
Peavey Electronics
5022 Hartley Peavey Drive
Meridian, MS 39305
RE: The tariff classification of a portable column array from China
Dear Mr. Poole:
In your letter dated December 17, 2019, you requested a tariff classification ruling.
The merchandise under consideration is identified as the Peavey LN 1263 Column Array and is described as a portable, self-contained public address (PA) system. The unit consists of an audio mixer, subwoofer, two speakers, and LCD screen. These items are joined together into a standalone and self-contained system. The array also incorporates Bluetooth connectivity, which allows the user to remotely control audio features as well as to stream custom audio. The system is designed to operate at a maximum of 1200 Watts. The mixer has six total channels, graphics equalizer, multiple audio effects, and connections for guitars and other external media.
In your request, you state that the correct classification for the subject column array is subheading 8543.70.9100, Harmonized Tariff Schedule of the United States (HTSUS). We agree.
The subject column array consists of two or more articles with functions that are, prima facie, classifiable in different headings. As such, we consider the array a composite machine. In this case, the classification of a composite machine would be governed by Note 3 to Section 16, HTSUS, which states, in pertinent part, that classification is determinant upon the principal function of the good. It is the opinion of this office that the mixer imparts the principal function of the system.
The applicable subheading for the Peavey LN 1263 Column Array will be 8543.70.9100, HTSUS, which provides for “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other machines and apparatus: Other: Other: Other: Digital signal processing apparatus capable of connecting to a wired or wireless network for the mixing of sound.” The general rate of duty will be free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8543.70.9100, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 8543.70.9100, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the Section 301 trade remedy, you may refer to the relevant parts of the USTR and CBP websites, which are available at:
https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions https://www.cbp.gov/trade/remedies/301-certain-products-china
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 Luke LePage at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division