Newly Released CBP HQ Rulings for July 31
The Customs Rulings Online Search System (CROSS) was updated July 31 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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H332174: Affirmation of NY N326755; Tariff Classification of Polyurethane Foam Cushions
| Ruling: CBP affirmed NY N326755, which determined that under GRIs 1 and 6, the items in question are classified under subheading 9404.90.20, which provides for “Mattress supports; articles of bedding and similar furnishing (for example, mattresses, quilts, eiderdowns, cushions, pouffes and pillows) fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics, whether or not covered: Other: Pillows, cushions and similar furnishings: Other.” |
| Issue: Applicant LZB Manufacturing agrees with CBP's country of origin determination of all five items in NY N326755, and LZB Manufacturing agrees with the tariff classification of Item 1. However, it disputes the tariff classification of Items 2 to 5. |
| Item: The subject merchandise consists of polyurethane foam pieces that are manufactured into finished upholstered units, such as recliners, loveseats and sofas. The foam cushions are cut in Mexico from large polyurethane foam buns that originate from either the U.S. or Mexico. The applicant asked for tariff classification reconsideration on: "The “Seat Side Filler,” which is cut from a foam bun in Mexico, joined to another foam piece to form part of a chair seat cushion assembly, and subsequently exported to the U.S. where it will be used in the production of a chair; the “Arm Wrap Poly,” 04.000356, a somewhat rectangular piece of polyurethane foam that is cut-to-shape from a foam bun in Mexico and subsequently exported to the U.S. where it will be used in the production of a chair; the “Ottoman Core Poly,” a disc-shaped piece of polyurethane foam cut from a foam bun in Mexico and subsequently exported to the U.S. where it is used in the production of an ottoman poly sub-assembly; and the “Front Seat Wrap,” 04.003685, a rectangular piece of polyurethane foam with two small notches cut into both long edges that is cut from a foam bun in Mexico and subsequently exported to the U.S. where it will be used in the production of a reclining sofa. |
| Reason: The items are (1) cushions (2) made of cellular rubber or plastics and (3) have not been combined with other parts of upholstered seats (i.e., are separately presented). Because the instant polyurethane foam cushions are being imported separately from the other components constituting the seat of which the cushions are a part, per EN 94.01, they cannot be classified in heading 9401. This is because EN 94.01 specifically excludes separately presented parts, even if they are clearly specialized as parts of upholstered seats (e.g., settees, couches, sofas). When merchandise fits the description of the three elements emphasized above, most especially if presented separately, the cushions should be classified in heading 9404, which includes, inter alia, “cushions … of cellular rubber or plastics, whether or not covered.” At the time of importation, the separately presented cushions are not identifiable parts of seats and are not combined with other parts of seats. Under GRI 1, the subject merchandise is provided for in heading 9404. In addition to these considerations, the removability of cushions from the finished furnishings wasn't a factor that led to the classification determinations in each ruling. Rather, whether the merchandise was to be imported alone or with other components constituting the complete unassembled article was the deciding factor which led to the final classification determinations. |
| Ruling Date: July 25, 2024 |
H298174: Protest number 5301-18-100335; Vestas American Wind Technology, Inc., 19 U.S.C. § 1313(j)(1); direct identification unused merchandise drawback
| Ruling: The merchandise is ineligible for drawback. Because the rail shipping brackets have been used, they are ineligible for unused merchandise drawback under Section 1313(j). As such, CBP does not need to reach the issue of whether the documentation provided by Vestas is sufficient for purposes of a drawback claim. |
| Issue: Has the imported merchandise been used for purposes of direct identification unused merchandise drawback under 19 U.S.C. § 1313(j)(1)? |
| Item: The merchandise is rail shipping brackets, also known as tower feet. According to applicant Vestas, rail shipping brackets support wind turbine towers while the towers are transported. The rail shipping brackets that are the subject of the drawback claim were imported and delivered to a job site in Warrensburg, Illinois. When the wind turbine towers were erected at the job site, Vestas stated that “the tower feet were separated from the towers.” After this separation, most of the imported tower feet were then exported to Canada. Vestas filed for drawback on Dec. 11, 2017, under 19 USC Section 1313(j)(1) for direct identification unused merchandise for the rail shipping brackets. |
| Reason: The rail shipping brackets have been employed according to their intended purpose. The rail shipping brackets are meant to support wind turbine towers during transportation, and the rail shipping brackets were in fact attached to wind turbine towers during transportation. Vestas stated in its own words that brackets are exported if they are “re-useable,” further suggesting that the rail shipping brackets have been employed according to their purpose and used. Additionally, the use of the brackets to protect the towers doesn't align with any of the permissible operations contemplated by § 1313(j)(3). |
| Ruling Date: May 31, 2024 |
H336040: Classification of Unfinished Household Metal Cabinets; Applicability of Section 301 Duties
| Ruling: The unfinished household metal cabinets aren't excluded from Section 301 duties. |
| Issue: Are the unfinished household metal cabinets from China excluded from Section 301 duties? |
| Item: Metal modular cabinet sets manufactured in and imported from China. They “are unfinished because they are imported without their countertops.” After importation, certain subunits of the metal cabinet series will have countertops attached. The countertops are either stainless steel or bamboo. There are two items: the “Bold Series,” a group of unequipped, locking, modular, shelved, metal storage lockers and cabinets that are available in different paint finishes, and the “Pro Series,” a group of unequipped, locking, modular, shelved, metal storage lockers and cabinets that are available in different paint finishes. |
| Reason: Applicant NewAge Products argues that the subject unfinished household metal cabinets qualify for the exclusion from Section 301 duties, pursuant to U.S. note 20(ttt)(iii)(178) to Subchapter III of Chapter 99, HTSUS, which provides for “Household furniture of metal and high-pressure laminated bamboo (other than ironing boards, furniture for infants or children or bed frames) (described in statistical reporting number 9403.20.0050).” The exclusion specifically requires the corresponding product of China to be one of the following: (1) household furniture; (2) metal; (3) high-pressure laminated bamboo; (4) not ironing boards, furniture for infants or children, or bed frames; and (5) described in statistical reporting number 9403.20.0050. But based on the facts previously considered and currently before CBP, the products are neither ironing boards, nor furniture for infants or children, nor bed frames. The products aren't “of high-pressure laminated bamboo.” At the time of importation, the metal cabinets are unfinished and made entirely of metal. The finishing, which occurs after importation, includes the addition of a countertop to specific subunits of the modular sets. Some of the added countertops will be of bamboo while others will be of stainless steel. However, the bamboo countertops aren't part of the modular cabinets at the time of importation and not all of the modular sets will be incorporated with the bamboo countertops. The unfinished household metal cabinets aren't described in U.S. note 20(ttt)(iii)(178) to Subchapter III of Chapter 99, and aren't excluded from Section 301 duties. |
| Ruling Date: July 31, 2024 |