CLA-2-94:OT:RR:NC:N5:433
Aaron Hatfield
ASF Inc.
17 Park of Commerce Blvd., Suite 302 Savannah, GA 31405
RE: The tariff classification of seats from China.
Dear Mr. Hatfield:
In your letter dated November 8, 2023, you request a binding ruling on behalf of Synergy Home Furnishings. In lieu of samples, illustrative literature and product descriptions were provided.
Item 1, model 2266-11/96, the “Queen Armless Sleeper with 2pk Wide Track Arms,” is an unassembled sofa that converts into a bed. When assembled, the seat dimensions are 82½” in length, 37” in depth, and 34½” in height. Item 2, model 2278-11/96, the “Queen Armless Sleeper with 2pk Roll Arms,” is an unassembled sofa that converts into a bed. When assembled, the seat dimensions are 821/4” in length, 37” in depth, and 34½” in height. Item 3, model 2328-11/96, the “Queen Armless Sleeper with 2pk Welted Arms,” is an unassembled sofa that converts into a bed. When assembled, the seat dimensions are 82½” in length, 37” in depth, and 34½” in height. Item 4, model 2329-11/96, the “Queen Armless Sleeper with 2pk Skinny Track Arms,” is an unassembled sofa that converts into a bed. When assembled, the seat dimensions are 821/4” in length, 37” in depth, and 34½” in height.
Each sleeper sofa model will be identical in materials and construction with exception of the pair of armrest components. Each sleeper sofa model will be assembled with a specific pair of armrests. Product information for each sleeper sofa model identifies a Japanese origin fold-away mattress that will be stowed within the seat sleeper mechanism. At the time of U.S. importation, each sleeper sofa component (box 1) and the corresponding armrest components (box 2) will be presented unassembled and sold collectively as one unit.
The binding ruling request seeks verification that the subject merchandise will be classified in subheading 9401.61.6011, Harmonized Tariff Schedule of the United States (HTSUS), and the applicability of a Section 301 trade remedy exclusion.
The Explanatory Notes (ENs) to the HTSUS constitute the official interpretation of the tariff at the international level.
EN I to General Rule of Interpretation (GRI) 2(a) provides: “the first part of Rule 2(a) extends the scope of any heading which refers to a particular article to cover not only the complete article but also that article incomplete or unfinished, provided that, as presented, it has the essential character of the complete or finished article.”
EN V to GRI 2(a) provides: “the complete or finished articles presented unassembled or disassembled are to be classified in the same heading as the assembled article. When goods are presented, it is usually for reasons such as requirements or convenience of packing, handling or transport.”
Further, Chapter 94 ENs provides: “articles of furniture presented disassembled or unassembled are to be treated as assembled articles of furniture, provided the parts are presented together.”
For items 1 thru 4, the separately presented sleeper sofas and armrests, though incomplete and unassembled, are nevertheless dedicated components. At the time of U.S. importation, each unassembled sleeper sofa will accompany a pair of armrest components. Upon final assembly, each model will be a unified sleeper sofa. The sleeper sofa components and the armrest components do not have any commercial reality apart from being presented as a complete sleeper sofa. The documentation provided depicts mounting brackets that will allow the sleeper sofa component and the armrest components to be securely affixed after assembly. Furthermore, all the sections needed to make a complete sleeper sofa will be imported together, in this case, in equal quantities. For the convenience of packing, handling or transport, each component will be packaged separately. Nonetheless, the sleeper sofa components are treated as a single assembled article of furniture and are classified together.
The applicable subheading for items 1 thru 4 will be 9401.49.0000 HTSUS, which provides for “Seats (other than those of heading 9402), whether or not convertible into beds, and parts thereof: Seats other than garden seats or camping equipment, convertible into beds: Other.” The rate of duty will be free.
Section 301 Trade Remedy:
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 9401.49.0000, 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 9401.49.0000, HTSUS, listed above.
The articles in question may be eligible for an exclusion from the Section 301 tariffs, however, that determination will be made independently of this prospective tariff classification ruling. For further information regarding specific entry issues, please contact your assigned CBP Center of Excellence & Expertise office prior to importation of the goods.
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-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively.
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.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
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 Dharmendra Lilia at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division