The tariff classification of magnetic wearable Bluetooth speakers from China

N321587 September 27, 2021 CLA-2-85:OT:RR:NC:N2:209 CATEGORY: Classification TARIFF NO.: 8518.21.0000, 9903.88.15 Drew Quint Allan Mark LLC (dba Zulu Audio) 4100 E 8th Ave Denver, CO 80220 RE: The tariff classification of magnetic wearable Bluetooth speakers from China Dear Quint: In your letter dated September 15, 2021, you requested a tariff classification ruling. The item concerned is referred to as the Zulu Alpha – Magnetic Wearable Bluetooth Speakers. This commodity consists of two lightweight Bluetooth speakers that are interconnected to each other via a length of electric cable/wire. In use, the cable is draped around the back of the user’s neck and the speakers are attached to the upper chest/front of shoulder area. Each speaker uses small magnets to clip to user’s clothing which allows them to stay firmly in place while running, biking, etc. This commodity is marketed to individuals who do not like closed-ear audio devices such as headphones or earbuds. The speakers provide portable surround sound. They pair with Bluetooth enabled devices for wireless audio streaming and incorporate a microphone, which allows the user to answer phone calls. This item utilizes a rechargeable lithium-ion battery with a 4-hour life span. You have proposed classification of the item concerned under subheading 8518.30 which provides for headphones and earphones, whether or not combined with a microphone. Since these devices do not have a mechanism to attach them directly to or within the user’s ears (i.e., headphones have a head bracket and ear buds go within the ear) and based on their unique design which intentionally keeps them away from the user’s ears, it is the opinion of this office that subheading 8518.30 is not applicable. The applicable subheading for the Zulu Alpha – Magnetic Wearable Bluetooth Speakers will be 8518.21.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Microphones and stands therefor; loudspeakers, whether or not mounted in their enclosures…: Loudspeakers, whether or not mounted in their enclosures: Single loudspeakers, mounted in their enclosures.” The rate of duty will be Free. Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8518.21.0000, HTSUS, unless specifically excluded, are subject to an additional 7.5 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheading 8518.21.0000, HTSUS, listed above. 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 trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, 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 and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively. 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 Steven Pollichino at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division