Newly Released CBP HQ Rulings for Dec. 1
The Customs Rulings Online Search System (CROSS) was updated Dec. 1 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):
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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.
H321302: Affirmation of HQ H320380; Tariff classification of “Frequencies of Living Flowers”
| Ruling: HQ H320380, dated October 6, 2021, which classified the “Frequencies of Living Flowers” under subheading 2208.90.7500, is affirmed. |
| Issue: The importer contends in a request for reconsideration that the item is not an alcoholic beverage of heading 2208 because the alcohol in the product is used merely as a necessary food-grade preservative/stabilizer to prolong shelf life, not as part of the active ingredient, and that the quantity of alcohol is so small in relation to dosage that when it is added to water (1.5 drops per 4 oz. water), there is no taste or evidence of alcohol. |
| Item: "Frequencies of living flowers" captured in spring water, preserved with 5% grain alcohol (ethanol). The product is said to be created by capturing light photons emitted from living flowers in spring water with 5% grain alcohol. The stated purpose of the product is “restoring emotional and soul balance.” |
| Reason: As a general rule, merchandise is classified in its condition as imported. Although the “Frequencies of Living Flowers” is intended to be diluted prior to ingestion, the tangible ingredients of the product in its imported condition are water and 5% grain alcohol. The Harmonized Commodity Description and Coding System Explanatory Note (“EN”) to heading 2208, HTSUS, clearly states that the heading covers undenatured spirits with less than 80% alcoholic strength by volume and which lack secondary constituents that provide a flavor or aroma |
| Ruling Date: Nov. 30, 2021 |
H320969: Tariff classification, country of origin marking, and eligibility for preferential tariff treatment under the United States-Mexico-Canada Agreement (“USMCA”) of certain sugar/vanillin blends
| HTS: 1701.91.4800, 33.9¢/kg + 5.1%, “Cane or beet sugar and chemically pure sucrose, in solid form: Other: Containing added flavoring or coloring matter: Containing added flavoring matter whether or not containing added coloring: Articles containing over 65 percent by dry weight of sugar described in additional U.S. note 2 to Chapter 17: Other.” |
| Marking: Brazil, Guatemala or Costa Rica, depending on the origin of the raw cane sugar. |
| FTA: Eligible for preferential tariff treatment under the USMCA under subheading 9823.10.02, provided they meet the quantitative limits set forth in U.S. Note 10(b)(1). |
| Issue: What is the tariff classification, country of origin marking, and status under the USMCA of the sugar/vanillin products at issue? |
| Item: Sugar and vanillin blends containing a mixture of 99-99.99% raw cane sugar and 0.01-1% artificial vanillin powder. The raw cane sugar, produced in Brazil, Guatemala, or Costa Rica, is refined in Canada. The vanillin powder is produced in the United States. The refined sugar and vanillin powder are blended in Canada and shipped to the United States in 2200-pound supersacks. The sugar and vanillin products will be further mixed with other ingredients in the United States in manufacture of confectionery products. |
| Reason: Cane sugar is classified under heading 1701, which provides in relevant part for “Cane or beet sugar …, in solid form.” Consistent with EN 17.01, cane sugar containing “added flavouring or colouring matter” is also classified under heading 1701. The sugar/vanillin products at issue are described by Additional Note 2 to Chapter 17. The sugar does not undergo the required tariff shift under Part 102 marking rules, and imparts the essential character of the sugar/vanillin product. All five sugar/vanillin products at issue are not originating pursuant to USMCA GN 11. However, U.S. Note 10(b)(3) specifically provides that for the purposes of subheading 9823.10.02 goods classified under subheading 1701.91.48 may be made from sugar refined in Canada (i.e. from non-originating raw cane sugar).. |
| Ruling Date: Nov. 17, 2021 |
H315444: Request for Internal Advice; Classification of Wi-Fi enabled digital photo frames
| HTS: 8528.59.15, free, "Monitors and projectors, not incorporating television reception apparatus; reception apparatus for television, whether or not incorporating radio-broadcast receivers or sound or video recording or reproducing apparatus: Other monitors: Other: Color: With a flat panel screen: Incorporating video recording or reproducing apparatus.” |
| Item: A Wi-Fi enabled digital photo frame that displays video in a slideshow view. The subject device incorporates a motion detector, infra-red receiver (for remote control), speakers and LCD display panel. In its condition as imported, it is packaged together for retail sale with a power adapter, remote control, wall-mount screw kit, and quick start guide. The device is operated by connecting it to a Wi-Fi network and then pairing the device to the user’s Nixplay account either via a mobile software application (app) or website. The subject frame requires Wi-Fi to receive photos, but has internal cache memory for offline photo viewing when there is no Wi-Fi available. |
| Reason: The subject devices cannot connect directly to an ADP machine via Wi-Fi and must first connect through multiple apparatus of heading 8517 (i.e., a router (85.17) and Ethernet switch (85.17)). Accordingly, the subject frames are not classified under subheading 8528.52, HTSUS. As the subject monitors can reproduce video from internal storage, classification is proper under subheading 8528.59.15. |
| Ruling Date: Sept. 28, 2021 |
H303403: Application for Further Review of Protest Numbers 3001-2018-100017 and 3001-2018-100018; Wooden Bedroom Furniture from the People’s Republic of China under Antidumping Order 570-890
| Ruling: CBP properly liquidated the entries at a rate of 216.01%. |
| Issue: Whether the entries were subject to AD/CVD, and whether the entries deemed liquidated. |
| Item: Furniture entered in 2014 as type 03, subject to 6.68% antidumping duties at time of entry on wooden bedroom furniture from China. The Commerce Department in the relevant administrative review raised the rate of the supplier to 216.01%. The entry was subsequently under injunction issued by the Court of International Trade. |
| Reason: The merchandise was entered with the production description of wooden bedroom furniture. Additionally, the invoices describe the merchandise as: dressers, nightstands, cabinets, and armoires.” CBP properly liquidated the subject entries of wooden bedroom furniture within the statutory six-month period after receiving notice of the removal of a court-ordered suspension of liquidation. |
| Ruling Date: Sept. 27, 2021 |
H305297: Application for Further Review of Protest Number 2704-19-103104 Concerning Passenger Vehicle and Light Truck Tires under Antidumping Order A-570-016 and Countervailing Order C-570-017
| Ruling: CBP properly liquidated the entries at an AD rate of 76.46%. |
| Issue: Whether the entries were subject to AD/CVD, and whether the entries deemed liquidated. |
| Item: An entry of merchandise subject to the antidumping and countervailing duty orders on passenger vehicle and light truck tires from China, produced and exported by Shandong Yongtai Chemical Co., Ltd. (Yongtai Chemical). The importer paid the 8.72% AD duty cash deposit rate applicable to Yongtai Chemical. CBP subsequently liquidated the entry at the 76.46% China-wide rate, because it determined the ires were instead produced and exported by Habilead. |
| Reason: CBP found Habilead was directed by the Chinese government to take over manufacturing from Yongtai to prevent a shutdown. The importer also paid for the goods directly to Habliead. |
| Ruling Date: Sept. 23, 2021 |