The tariff classification of musical lights from China

N310178 March 10, 2020 CLA-2-85:OT:RR:NC:N2:212 CATEGORY: Classification TARIFF NO.: 8543.70.9960; 9903.88.02 Maya Kessler Costco Wholesale 999 Lake Drive Issaquah, WA 98027 RE: The tariff classification of musical lights from China Dear Ms. Kessler: In your letter dated February 26, 2020, you requested a tariff classification ruling. The product at issue, identified by item number 2006139, is described as LED musical lights with a conductor. You state that the item is imported as a set, which contains one Giant Snowflake light, 40 C12 Faceted LED lights, 6 Snowflake pathway marker LED lights, and one music conductor speaker. The giant snowflake light contains 60 individual LED lights, a power cord and electrical controller. The C12 Faceted LED lights resemble traditional Christmas light bulbs strung together with electrical cable in two groups of 20 bulbs. Each group is terminated on each end with an add-on connector that can be used to connect the groups together or attach to the control unit and electrical plug. The snowflake pathway markers each contain 10 individual LED lights and are strung together with electrical cable in two groups of three lights. Each light has a stake at the bottom meant to be driven into the ground to hold the lights in place. Each group has add-on connectors at each end that are used to connect the groups together or attach to the control unit and electrical plug. The music conductor is encased in plastic and has multiple control buttons on the top, such as volume and song selection. It is designed to function either indoors or outdoors. In use, the light strings are attached through the conductor and plugged into a traditional wall electrical outlet. The strings can be used on their own, or connected all together throughout the home. The user programs the conductor to play a select number of songs and the lights will change color according to the song playing. In your request, you suggest that the correct classification for the subject LED musical lights should be 8543.70.9960, Harmonized Tariff Schedule of the United States (HTSUS). We agree. As the subject items would be considered a set, classification is governed pursuant to the General Rules of Interpretation (GRI) 3(b). This rule states, in pertinent part, that the set will be classified according to the good that imparts the essential character. In our view, the electrically controlled, color-changing LED lights impart the essential character. As this function is not provided for elsewhere in the tariff, we find classification under heading 8543 appropriate in this case. The applicable subheading for the LED Musical lights, item number 2006139, will be 8543.70.9960, HTSUS, which provides for “Electrical machines and apparatus, having individual functions, not specified or included elsewhere in this chapter; parts thereof: Other machines and apparatus: Other: Other: Other: Other.” The general rate of duty will be 2.6% ad valorem. Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8543.70.9960, 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., 9903.88.02, in addition to subheading 8543.70.9960, HTSUS, listed above. See U.S. Note 20 to Subchapter III, Chapter 99, HTSUS. 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 Section 301 trade remedy, 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 https://www.cbp.gov/trade/remedies/301-certain-products-china 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 on the World Wide Web at https://hts.usitc.gov/current. This ruling is being issued under the provisions of Part 177 of the Customs 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, contact National Import Specialist Luke LePage at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division