CLA-2-85:OT:RR:NC:N1:103
Alex Krason
Nissan North America
One Nissan Way
Franklin, TN 37067
RE: The tariff classification of a shift lock solenoid from Japan
Dear Mr. Krason:
In your letter dated January 14, 2021 you requested a tariff classification ruling.
The item under consideration is a shift interlock solenoid assembly, part number 349503HM0A. The assembly consists of a solenoid, harness, release rod, stopper lever, bracket, key cable joint, indicator switch, and springs. Located near the transmission shift lever in a vehicle, the function of the shift interlock solenoid assembly is to release a mechanical lock on the shift lever. Once released, the lever is able to move into neutral, drive, reverse, etc.
You suggested classifying the shift interlock solenoid assembly in subheading 8708.99.6890, Harmonized Tariff Schedule of the United States (“HTSUS”), as parts of vehicles’ power trains. We disagree.
Classification of merchandise under the HTSUS is governed by the General Rules of Interpretation (GRIs) taken in order. GRI 1 provides that the classification is determined first in accordance with the terms of the headings and any relative section and chapter notes.
You state that since this assembly does not contain the solenoid alone but has components including a bracket, switch, release rod, springs, harness, etc., it cannot be excluded by Section XVII Note 2(f), which excludes articles of chapter 85. However, the shift interlock solenoid assembly is a composite good, which consists of components classifiable in different headings of the HTSUS. As a result, we must invoke GRI 3(b), which discusses composite goods. It states, “Mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale which cannot be classified by reference to 3(a), shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.”
Based on the information you provided, the essential character of the shift interlock solenoid assembly is the solenoid component. When the brake pedal is not applied, the shift interlock solenoid assembly acts as a safety mechanism to ensure a transmission shift lever cannot move from park to drive mode without first applying the brake. When the brake pedal is applied, a signal is sent to the solenoid causing the release rod to release the mechanical lock on the shifter, allowing it to move. The component of the shift interlock solenoid assembly that powers this operation is the solenoid. Therefore, the solenoid provides the essential character of the assembly. As a result, classification of the entire assembly in heading 8708, HTSUS, is precluded.
The applicable subheading for the shift interlock solenoid assembly will be 8505.90.7501, HTSUS, which provides for “Electromagnets; permanent magnets and articles intended to become permanent magnets after magnetization; electromagnetic or permanent magnet chucks, clamps and similar holding devices; electromagnetic couplings, clutches and brakes; electromagnetic lifting heads; parts thereof: Other, including parts: Other.” The rate of duty will be 1.3 percent ad valorem.
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 Paul Huang at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division