Nov. 6 CBP Bulletin Proposes to Modify, Revoke Ruling Letters on Lithium-ion Battery Cells
In the Nov. 6 Customs Bulletin (Vol. 58, No. 44), CBP published proposals to revoke ruling letters concerning lithium-ion battery cells.
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Comments on Proposal Due Dec. 6
CBP said consideration will be given to any written comments received by Dec. 6 before taking these actions. In addition, any party that has received a ruling or decision on the merchandise that is subject to the proposed revocations or modifications, or any party involved with a substantially identical transaction, should advise CBP by the date that written comments on the proposed ruling are due. (An importer's failure to advise CBP of such rulings, decisions or substantially identical transactions may raise issues of reasonable care on the part of the importer or its agents for importations after the effective date of the final decision in this notice.)
Proposal
CBP is proposing to revoke or modify the rulings below, and any rulings on these products that may exist but have not been specifically identified. CBP also is proposing to revoke any treatment it has previously accorded to substantially identical transactions.
Lithium-Ion Battery Cells
| Items: Rechargeable lithium nickel cobalt-manganese batteries, rechargeable lithium-ion battery pouch cells and a battery management system comprised of lithium-ion cells, two printed circuit board assemblies and a plastic housing |
| Current: 8507.90.80, which covers “Electric storage batteries, including separators therefor, whether or not rectangular (including square); parts thereof: Parts: Other.” |
| Proposed: 8507.60.00, which covers “Electric storage batteries, including separators therefor, whether or not rectangular (including square); parts thereof: Lithium-ion batteries.” |
| Reason: Notwithstanding the fact that the lithium-ion cells described in the aforementioned rulings are intended to be incorporated into other energy storage devices or systems, they are nevertheless rechargeable devices that convert chemical energy into voltaic electrical energy for distribution to another device. As such, they are in their condition as imported electric storage batteries of heading 8507, and “lithium-ion batteries” of subheading 8507.60. This comports with the description of the legal text found in EN 85.07, which states, in relevant part: “each subdivision (cell) . . . [is] an [electric storage battery] in itself.” The EN also provides that “a number of cells so connected is called a battery,” both statements are reconcilable because the term “battery” is used for both single-cell and multicell batteries. As such, the subject lithium-ion battery cells are themselves electronic storage batteries under heading 8507, specifically a lithium-ion battery of subheading 8507.60.00. |
| Proposed for revocation: NY N335569, dated Oct. 12, 2023; NY N335325, dated Sept. 28, 2023; NY N335323, dated Sept. 28, 2023; NY N319771, dated June 22, 2021; and HQ H155376, dated June 22, 2021 |
| Proposed new ruling: HQ H341085 |