CLA-2-76:OT:RR:NC:N5:113
Gary A. Lenhoff
Encore Hartco
3550 Woodhead Drive
Northbrook, IL 60062
RE: The tariff classification of aluminum fastening clips from China
Dear Mr. Lenhoff:
In your letter dated January 7, 2025, you requested a tariff classification ruling.
The merchandise under consideration is Aluminum Aquaculture Fastening Clips described as product numbers 71A16SAL, 88F23SAL, 94F23SALEX, 101F23SALEX, 101H23SALEX, 110H25SALEX, 113F23SALEX, 113F23SALEX, 120A20SALEX, and 123F25SALEX. You state in your request that the clips are designed specifically for use in aquaculture applications for assembling lobster traps. The clips are available in multiple sizes. Each clip is made from 5052-H36 aluminum alloy and constructed via a cutting and stamping process. The clips are collated into strips using polyethylene cord. When in use the collated strips are loaded into a pneumatic tool which is used to attach the clips by bending each clip around the edges of individual wire trap sections, holding the section together, to form the lobster trap.
You suggested classification of the subject aluminum fastening clips under subheading 7616.10.3000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other articles of aluminum: Nails, tacks, staples (other than those of heading 8305) … and similar articles: Rivets.” This office disagrees with your proposed classification. These clips would not be classified under 7616.10.3000 because they are not rivets. Nor would they be classified under 7616.10.1000 which provides for Nails, tacks and staples because while they may look similar to staples these clips do not function like staples, nails or tacks and are therefore not akin to the items of the subheading.
The applicable subheading for the Aluminum Aquaculture Fastening Clips, product numbers 71A16SAL, 88F23SAL, 94F23SALEX, 101F23SALEX, 101H23SALEX, 110H25SALEX, 113F23SALEX, 113F23SALEX, 120A20SALEX, and 123F25SALEX, 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.
Regarding the applicability of Section 232 duties, noting that the correct provision under the HTSUS for the subject aluminum fastening clips under consideration is subheading 7616.99.5190, Section 232 duties are not applicable.
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, 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, 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