CLA-2-84:OT:RR:NC:N1:102
James Burritt
DSV Air & Sea Inc
1425 Corporate Center Drive
San Diego, California 92154
RE: The tariff classification of a pump assembly from various countries
Dear Mr. Burritt:
In your letter dated December 23, 2020, you requested a tariff classification of a pump assembly on behalf of your client ResMed Corporation. Descriptive information was provided with your request.
The item under consideration is referred to as a pump assembly, part number 122-424. The pump assembly primarily consists of a diaphragm pump and a connector that attaches to the main printed circuit board assembly of a ResMed Activox oxygen concentrator. The pump subassembly is uniquely shaped to be placed into a pump holder box assembly, and the pump holder box assembly is subsequently installed into a portable oxygen concentrator. In operation, the pump assembly provides positive air pressure within the oxygen concentrator.
In your letter, you suggest the applicable subheading for the pump assembly, part number 122-424, is 8414.59.6560, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Air or vacuum pumps, air or other gas compressors and fans; ventilating or recycling hoods incorporating a fan, whether or not fitted with filters; parts thereof: Fans: Other: Other: Other: Other: Centrifugal. While we agree the assembly is classified within heading 8414, we disagree at the subheading level, as the assembly includes a pump rather than a fan.
Therefore, in accordance with GRI 1 and 6, the applicable subheading for the pump assembly, part number 122-424, will be 8414.80.9000, HTSUS, which provides for: Air or vacuum pumps, air or other gas compressors and fans; ventilating or recycling hoods incorporating a fan, whether or not fitted with filters; parts thereof: Other, except parts: Other. The rate of duty is 3.7 percent ad valorem.
In your submission you request consideration of a secondary classification for the subject pump assembly 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.” Based on the information you provided, oxygen concentrators are intended for use by individuals who suffer from chronic respiratory illnesses and require supplementary oxygen to accomplish their ongoing major life activities. As such, a chronic respiratory illness satisfies the description set forth in Chapter 98, Subchapter XVII, U.S. Note 4(a). Accordingly, the secondary classification will apply to the pump assembly, part number 122-424.
It is also mentioned that the pump assembly will be manufactured in various countries. The countries listed are Australia, Hong Kong, India, New Zealand, Singapore, and China. If the pump assembly is manufactured in China, please note that pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8414.80.9000, 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 8414.80.9000, HTSUS, listed above.
Section XXII, Chapter 99, Subchapter III U.S Note 20(r), HTSUS, states the additional duties imposed by heading 9903.88.03 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 heading 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 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.
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 trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, 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-actionshttps://www.cbp.gov/trade/remedies/301-certain-products-china
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