The tariff classification of a power bank kiosk from China

N334094 August 4, 2023 CLA-2-85:OT:RR:NC:N2:220 CATEGORY: Classification TARIFF NO.: 8504.40.9550; 9903.88.03 Berk Gedikoglu Ion Charging LLC 400 Claremont Ave Jersey City, NJ  07304                                                                                 RE:      The tariff classification of a power bank kiosk from China Dear Mr. Gedikoglu: In your letter dated July 19, 2023, you requested a tariff classification ruling. The merchandise under consideration is identified as the Tapgo CS-S06, which is described as an enclosure having six slots, an 8” LCD display screen, an Android operated electronic controller, static converting and battery charging apparatus, and 4G network connectivity.  The Tapgo CS-06 incorporates electrical and temperature safety features, and each slot supplies 5 Volts/2 Amps to the inserted battery.  We would note that at the time of importation, the Tapgo CS-S06 is not equipped with batteries. In use, the Tapgo CS-S06 is a power bank that charges and dispenses reusable batteries.  Users receive a battery by submitting payment through a number of methods, such as via a phone application, localized credit card, or other NFC payment type.  Additionally, the 8” LCD display screen can output custom messages or advertising as the user chooses.  However, in our view, the principal function of the Tapgo CS-S06 is to convert input electricity and charge batteries. The applicable subheading for the Tapgo CS-S06 will be 8504.40.9550, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Electrical transformers and static converters…: Other: Rectifiers and rectifying apparatus: Other.”  The general rate of duty will be Free. Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8504.40.9550, 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., 9903.88.03, in addition to subheading 8504.40.9550, 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, including information on exclusions and their effective dates, you may refer to the relevant parts of the USTR and CBP websites, which are available at the following addresses: 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 Karl Moosbrugger at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division