CLA-2-85:OT:RR:NC:N2:220
Dahui Choi
Hyundai Transys
11 Dongtan-daero 24-gil
Gyeonggi-do, Hwaseong 18643
South Korea
RE: The tariff classification of an electric motor assembly from South Korea
Dear Mr. Choi:
In your letter dated August 22, 2024, you requested a tariff classification ruling.
The merchandise under consideration is identified as the Transmission Mounted Electrical Device (TMED), Part Number 45000-TTP210, which is described as an electric drive motor assembly used in passenger automobiles. The TMED is comprised of two AC electric motors that are referred to as the P1 Motor and the P2 Motor, gears, an oil module, a clutch, and a housing. The P1 Motor is a multi-phased AC motor with a maximum output of 13 kW, while the P2 Motor is a multi-phased AC motor that has a maximum output of 54 kW. The TMED primarily functions to provide propulsion to the vehicle and supplying regenerative braking.
As described, the TMED consists of multiple apparatus and/or machines that are combined into a single electric motor assembly. The additional components that are incorporated into/onto the TMED, such as the gearing, which adjusts the rotational speed and torque of the motors, and the oil module, which lubricates and cools the gearbox and motor, etc., all complement the function of the motors or serve to transmit the power that the motors produce.
Classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRIs). GRI 1 provides that classification is determined first in accordance with the terms of the headings of the tariff and any relative section or chapter notes. Although not dispositive, the Explanatory Notes (ENs) to the Harmonized Commodity Description and Coding System represent the official interpretation of the tariff at the international level and facilitate classification under the HTSUS by offering guidance in understanding the scope of the headings and the GRIs.
EN 85.01 states, in pertinent part, that Motors remain classified here even when they are equipped with pulleys, with gears or gear boxes
While the TMED under consideration here consists of two electric motors, gearing, a cooling module, etc., it is the opinion of this office that the TMED still functions as an electric motor. In longstanding precedence, CBP has concluded that the intent of EN 85.01 concerning electric motors having additional components that merely complement the function of the motor were intended to remain classifiable in heading 8501, HTSUS.
In HQ 086832 (1990) Customs stated, a motor remains a motor for tariff purposes despite having other articles attached to it while noting that [t]hese other articles can be quite substantial. Likewise, in HQ 955037 (1994) concerning the classification of an electric actuator, Customs explained that:
[A]n electric motor is classifiable under heading 8501, HTSUS, even when imported with additional components other than those listed in EN 85.01 if:
Based on the aforementioned, the TMED has two functions: to provide propulsion to the vehicle (electric motor) and to generate electricity during braking (regenerative braking), where the principal function of propulsion is established by the electric motor. As the additional components contribute to the operation of the electric motor, the TMED is classifiable under heading 8501, HTSUS.
We would note that the classification of electric motors is dependent upon many factors, such as the type of electricity applied to the motor to produce rotation and/or the maximum power output, which is measured in horsepower or Watts. In our view, the motor's maximum output is the highest achievable output for a short period of time before mechanical failure occurs. Furthermore, when an assembly or machine is fitted with multiple motors, such as the TMED where both motors contribute to its principal function, the maximum output of each motor is combined to produce the total maximum mechanical output. As a result, the TMED under consideration here has a maximum power output where P1 and P2 are summed to produce a total maximum output power of 67 kW.
The applicable subheading for the Transmission Mounted Electrical Device, Part Number 45000-TTP210, will be 8501.52.8040, HTSUS, which provides for Electric motors: Other AC motors, multi-phase: Of an output exceeding 750 W but not exceeding 75 kW: Other: Other. The general rate of duty will be Free.
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.
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 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 Karl Moosbrugger at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division