CLA-2-84:OT:RR:NC:N1:102
Meagan Seeley
Athena Ag, Inc.
1300 Marsh Landing Pkwy, Suite 106 Jacksonville Beach, FL 32250
RE: The tariff classification of motorized ball valves from China
Dear Ms. Seeley:
In your letter dated January 5, 2023, you requested a tariff classification ruling.
The merchandise at issue is referred to as 24 V Imperium Motorized Ball Valves. The five models of the ball valves, IC-75NC-24V, IC-100NC-24V, IC-125NC-24V, IC-150NC-24Vo, and IC-200NC-24V, are assemblies that primarily consist of a motor that actuates the valve and a valve that opens and closes to control the flow of fertilizer solution and water to plants. The ball valves are primarily constructed of PVC material.
In your letter, you suggest the ball valve assemblies are classified within subheading 8481.10.0090, 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; parts thereof: Pressure-reducing valves: Other. While we agree the assemblies are classified within heading 8481, we disagree at the subheading level, as the valves, once actuated, open and close to control the flow of fluid.
The applicable subheading for the five models of 24 V Imperium Motorized Ball Valves, IC-75NC-24V, IC-100NC-24V, IC-125NC-24V, IC-150NC-24Vo, and IC-200NC-24V will be 8481.80.9025, 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; parts thereof: Other appliances: Other: Other: With electrical or electro-hydraulic actuators: Other. The rate of duty will be 2 percent ad valorem.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under
subheading 8481.80.9025, 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 8481.80.9025, 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 trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, including information on the exclusions and their effective dates, 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 and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively.
In your submission, you also requested that the 24 V Imperium motorized ball valves be considered for duty-free treatment under subheading 9817.00.60, HTSUS. 19 C.F.R. Part 177.7 provides that rulings will not be issued in certain circumstances. Specifically, Part 177.7(b) reads, in pertinent part: No ruling letter will be issued with respect to any issue which is pending before the United States Court of International Trade, the United States Court of Appeals for the Federal Circuit or any court of appeal therefrom. As such, CBP will not issue a ruling regarding the eligibility of the 24 V Imperium motorized ball valves under subheading 9817.00.60, HTSUS, at this time. The classification determination may be impacted by the court case currently pending in the Court of International Trade.
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 at https://hts.usitc.gov/current.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Sandra Martinez at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division