CLA-2-85:OT:RR:NC:N1:102
Robert J. Leo
Meeks, Sheppard, Leo & Pillsbury
570 Lexington Avenue
24th Floor
New York, New York 10022
RE: The tariff classification of battery packs from China
Dear Mr. Leo:
In your letter dated January 22, 2020 you requested a tariff classification ruling on behalf of your client, Respironics, Inc.
The battery packs, part numbers 1124009 and 1126942, are exclusively used with Respironics DreamStation bilevel positive airway pressure (BiPAP) or continuous positive airway pressure (CPAP) machines that are used in the treatment of certain chronic respiratory diseases. The rectangular shaped battery packs, which are labeled as Respironics products, have lithium-ion cells that store and provide power and five LED lights to indicate the charge levels of the battery packs. The battery packs connect to the direct current (DC) receptacle (power inlet) of the BiPAP and CPAP machines via an output DC connector plug that has an ID pin that is only usable by the BiPAP and CPAP machines.
The applicable subheading for the battery packs, part numbers 1124009 and 1126942, will be 8507.60.0020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Electric storage batteries, including separators therefor, whether or not rectangular (including square); parts thereof: Lithium-ion batteries: Other. The general rate of duty will be 3.4 percent ad valorem.
In your submission you request consideration of a secondary classification for the subject battery packs under 9817.00.96, HTSUS, 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. Chapter 98, Subchapter XVII, U.S. Note 4(a), HTSUS, defines the term “blind or other physically or mentally handicapped persons” as including “any person suffering from a permanent or chronic physical or mental impairment which substantially limits one or more major life activities, such as caring for one’s self, performing manual tasks, walking, seeing, hearing, speaking, breathing, learning, or working.” In this instance, it is stated that the subject battery packs are designed to work exclusively with Respironics BiPAP or CPAP machines. CBP has previously determined that the BiPAP and CPAP machines, with which the subject battery packs are used, are eligible for the secondary classification of HTSUS 9817.00.96, e.g., New York Rulings N308133, dated December 18, 2019, and N172236, dated July 22, 2011. In these rulings, CBP determined that BiPAP and CPAP machines used to treat individuals with respiratory afflictions were specifically designed and adapted for the benefit of persons suffering from a chronic physical impairment and as such, eligible for the secondary classification under HTSUS 9817.00.96, as chronic respiratory illnesses satisfy the description set forth in Chapter 98, Subchapter XVII, U.S. Note 4(a). Therefore, being that the subject battery packs are exclusively used with BiPAP or CPAP machines, we find the secondary classification of 9817.00.96 will apply to the battery packs, part numbers 1124009 and 1126942.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8507.60.0020, HTSUS, unless specifically excluded, are subject to an additional 15 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheading 8507.60.0020, HTSUS, listed above.
Please note the additional duties imposed by subheading 9903.88.15 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 subheadings 9802.00.40, 9802.00.50, and 9802.00.60, and subheading 9802.00.80. For subheadings 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 subheading. For subheading 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 subheading 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