CLA-2-76:OT:RR:NC:N5:113
Mr. Adam Kowalski
Freight On Board International Services Pty Ltd.
100 Paisley Street Footscray 3015 Australia
RE: The tariff classification of BALLMATE Pickup Baskets and a BALLMATE Trolley from China
Dear Mr. Kowalski:
In your letter dated December 15, 2024, on behalf of your client Top Serve Tennis Pty Ltd., you requested a tariff classification ruling. Descriptions and pictures of the baskets and trolley were submitted for our review.
The merchandise is identified as the BALLMATE All-In-One set, SKU 0726436187008. You stated that “We have two SKUs; one is the All-In-One which includes two baskets and one trolley; the other is just the basket itself. Additionally, the baskets (which are individually packed) are bulk packed in a box of 10 units. The BALLMATE Pickup Baskets and Trolley combination will be sold to the consumer as a complete set.”
Each BALLMATE Pickup Basket is comprised of polyester rope, polyester net, small plastic balls, a plastic and nylon base, aluminum rods/bars in the base, steel spring coil, and a fabric exterior. Each basket weighs 1.25 kg and has the capacity to hold up to eighty tennis balls. The base of the basket allows it to pick up balls without requiring any downward force to be applied, therefore, allowing the basket to be collapsible and the handles to be soft. You indicated that “Aluminum V bars sit at the bottom of V-shaped openings in the base of the basket. The distance of the V bars is less than the diameter of a tennis ball. Using only gravity and the weight of the basket, the basket is lowered over a tennis ball. The round shape of the ball interacting with the angled sides of the V bars forces the V bars upwards and apart. The gap between the bars widens sufficiently to allow a tennis ball to pass up between the V bars. Once the center of the tennis ball passes the top surface of the V bars, the V bars return to their resting position. The gap between the V bars returns to being smaller than the tennis ball diameter so the tennis ball cannot fall back out.” The total size of the BALLMATE Pickup Basket when compressed down is 320 mm x 80 mm. When fully upright the basket measures 320 mm x 330 mm. The function of the BALLMATE Pickup Basket is to collect and store tennis balls.
The BALLMATE Trolley is comprised of an aluminum extruded frame and contains fold down aluminum trays and nylon joining components. When folded it measures 700 mm x 500 mm x 200 mm and fits into a tennis bag. When unfolded the trolley measures 1035 mm x 420 mm x 505 mm. You indicated that “the trolley merely provides a method of transporting the BALLMATE Pickup Baskets to and from the place at which they are used.”
You stated that “The actual use and function of the BALLMATE Pickup Baskets is not determined or influenced by the BALLMATE Trolley in any way. The trolley merely provides a method of transporting the BALLMATE Pickup Baskets to and from the place at which they are used. The performance of the product and the principle use is not limited or determined by the location in which they may be used nor is it determined by the portability of the product, but rather by the functionality of the product which is to collect and store tennis balls.”
In your submission, you suggested classifying the BALLMATE Pickup Baskets imported with the trolley under 9506.99.3000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Articles and equipment for general physical exercise, gymnastics, athletics, other sports (including table-tennis) or outdoor games, not specified or included elsewhere in this chapter…Lawn-tennis articles and equipment, except balls and rackets, and parts and accessories thereof.” We disagree. The BALLMATE All-In-One is used to pick up and store tennis balls, and to transport the baskets. It is not an apparatus used in the interest of actively playing tennis and therefore, would not be classifiable under 9506, HTSUS.
The BALLMATE All-In-One consists of baskets and a trolley that are classified in different headings. Classification of merchandise under the HTSUS is in accordance with the General Rules of Interpretation (GRIs), taken in order. GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes. Since no one heading in the tariff schedules covers the items that comprise the BALLMATE All-In-One in combination, GRI 1 cannot be used as a basis for classification.
GRI 3(b) provides that mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale shall be classified as if they consisted of the material or component which gives them their essential character. GRI 3(b) applies when goods are put up for sale collectively and are classifiable under two or more headings of the tariff. Explanatory Note (EN) X to GRI 3(b) defines goods put up in sets for retail sale. This note states that the term goods put up in sets for retail sale shall be taken to mean goods which:
(a) consist of at least two different articles which are, prima facie, classifiable in different headings;
(b) consist of products or articles put up together to meet a particular need or carry out a specific
activity; and
(b) are put up in a manner suitable for sale directly to users without repacking (e.g., in boxes or
cases or on boards).
Each BALLMATE All-In-One consists of at least two different articles that are classifiable in different headings. The principle use of the BALLMATE Pickup Baskets is to collect and hold tennis balls during practice and training. The function of the baskets is not determined or influenced by the BALLMATE Trolley in any way. The trolley provides a method of transporting the BALLMATE Pickup Baskets in and around the tennis court and to and from the court.
In the opinion of our office, the BALLMATE All-In-One satisfies the first and third criteria set forth in the ENs to GRI 3(b) for determining whether a collection of articles qualifies as a set. The baskets and trolley are classifiable in different headings and the items are packaged together in a single box for sale directly to the users without repacking. However, this office believes that the second criteria is not satisfied because the baskets and trolley are not put up together to meet a particular need or carry out a specific activity. The function of the baskets is to collect and store tennis balls and the trolley provides a means for transporting the baskets. Since the BALLMATE All-In-One does not contain products put up together to meet a particular need or carry out a specific activity, it cannot be classified as a set for tariff purposes. Accordingly, the baskets and trolley that comprise the All-In-One will be separately classified under GRI 1 in their respective headings.
Each BALLMATE Pickup Basket is a composite article that is comprised of different materials including a polyester rope and net, a plastic and nylon base, plastic balls, aluminum rods/bars, steel springs, and a fabric exterior. The polyester, plastic, nylon, aluminum, steel, and fabric components are classified in different headings. Since no one heading in the tariff schedules covers the polyester, plastic, nylon, aluminum, steel, and fabric components of the basket in combination, GRI 1 cannot be used as a basis for classification.
As the pickup baskets are composite goods, we must apply rule GRI 3(b), which provides that composite goods are to be classified according to the component that gives the goods their essential character. EN VIII to GRI 3(b) explains that “the factor which determines essential character will vary as between different kinds of goods. It may, for example, be determined by the nature of the material or component, its bulk, quantity, weight or the use of the goods.” We must determine whether the polyester, plastic, nylon, aluminum, steel or fabric component imparts the essential character to the pickup basket. It is the role of the constituent materials or components in relation to the use of the good that imparts the essential character. In this case, the function of the aluminum and steel components is to pick up and collect the balls. Therefore, it is the opinion of this office that the metal components impart the essential character to the baskets. In accordance with GRI 3(b), the pickup baskets will be classified as other articles of metal.
Since the BALLMATE Pickup Baskets contain aluminum and steel components, the article is composed of more than one base metal. Section XV Note 7 of the HTSUS, states that the classification of composite articles of base metal containing two or more base metals are to be treated as articles of the base metal that predominates by weight over each of the other metals. Based on the information provided to our office, the metal in the composite article that predominates by weight is aluminum. Therefore, the pickup baskets are classifiable in heading 7616, HTSUS, which provides for other articles of aluminum.
The applicable subheading for the BALLMATE Pickup Baskets will be 7616.99.5190, HTSUS, which provides for Other articles of aluminum: Other…Other. The rate of duty will be 2.5 percent ad valorem.
The applicable subheading for the BALLMATE Trolley will be 8716.80.5090, HTSUS, which provides for Trailers and semi-trailers; other vehicles, not mechanically propelled; and parts thereof: Other vehicles: Other: Other: Other. The rate of duty will be 3.2 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 at https://hts.usitc.gov/.
Pursuant to U.S. Note 31 (b) to Subchapter III, Chapter 99, HTSUS, effective September 27, 2024, products of China classified under subheading 7616.99.5190 and 8716.80.5090, 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 7616.99.5190 and 8716.80.5090, 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 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/programs-administration/trade-remedies, respectively.
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 Ann Taub at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division