CIT Rules on Classification of Various Decorative Home Lighting Fixtures
In Home Depot, U.S.A., Inc. v. U.S., the Court of International Trade (CIT) ruled on the classification of various decorative home lighting fixtures imported by Home Depot in 2001 and 2002. This case consolidates nine court numbers and the common issue is whether the lighting fixtures' metal or non-metal (e.g. glass) components impart the essential character.
Sign up for a free preview to unlock the rest of this article
Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.
U.S. Customs and Border Protection (CBP) had classified all of the lighting fixtures under HTS 9405.10.60 (7.6%) which provides for other electric ceiling or wall lighting fittings of base metal other than brass, etc. Home Depot contends that the lighting fixtures should all be classified in HTS 9405.10.80 (3.9%) which provides for other electric ceiling or wall lighting fittings other than of base metal, etc.
CIT rejects both parties' request for single factor classification test. Both parties urge the CIT to adopt a single factor objective test for the essential character analysis. Home Depot advocates that the visible surface area of the fixture should determine the essential character, whereas the defendant focuses on the "structural framework" as the essential character.
Despite the appeal of a single factor, bright line test in terms of predictability and uniformity, the CIT rejects both parties' suggestions. According to the CIT, an essential character inquiry must be conducted that considers all of the evidence presented, assigning weight to each piece of evidence and deciding whether the metal or non-metal components impart the essential character of the subject fixture.
The CIT considered 20 categories of interior lighting fixtures, mostly grouped based on the shape or style of the glass components, as well as 3 categories of exterior lighting, also grouped according to their shape or style. The lighting fixtures are discussed individually or in small groups according to their Home Depot SKU numbers.
Interior fixtures. With regard to the interior lighting fixtures, CBP classified the majority of lighting fixtures using General Rule of Interpretation (GRI) 3(b), ruling that the majority of interior lighting fixtures were classifiable under HTS 9405.10.80 with their essential character imparted by the glass component. In a few cases, the CIT ruled that the metal components imparted the GRI 3(b) essential character and classified these items in HTS 9405.10.60. Also, in several cases, the CIT could not determine whether the metal or non-metal portion determined the essential character, and under GRI 3(c) classified the items in HTS 9405.10.80, the heading that occurs last in numerical order among those meriting consideration.
The below table identifies how the various groups of lighting fixtures were classified:
| Restoration Bath Bar | Brass End Bath Bar |
Exterior fixtures. The CIT classified all of the exterior lighting fixtures, the Jelly Jar, Bulkhead, and Lantern, under HTS 9405.10.80 (3.9%), either pursuant to GRI 3(b) or GRI 3(c).
(CIT Slip Op. 06-49, dated 04/07/06, available at http://www.cit.uscourts.gov/slip_op/Slip_op06/06-49.pdf)