The tariff classification of a backpack with battery charger from China

N168480 June 24, 2011 CLA-2-42:OT:RR:NC:N4:441 CATEGORY: Classification TARIFF NO.: 4202.92.3020 Adrienne Braumiller Braumiller Schulz, LLP 5220 Spring Valley Road, Suite 200 Dallas, TX 75254 RE: The tariff classification of a backpack with battery charger from China Dear Ms. Braumiller: In your letter dated May 12, 2011, on behalf of Homedics, Inc., you requested a tariff classification ruling. Your sample will be returned to you. Your ruling request concerns a line of merchandise known as Powerbags. You state that each product in the Powerbag line consists of a portable charging station incorporated into a travel bag. The Powerbag will come in different configurations, namely different types of bags (such as messenger bags, briefcases, backpacks, etc.), each incorporating a removable lithium polymer battery and battery charger, a non-removable electrical system (wiring and connectors), and a plastic housing for the electrical system. This ruling is only applicable to the submitted sample. A sample of the Powerbag backpack was provided. The backpack is constructed with an outer surface of man-made textile material and has a textile lined main compartment with two open pockets on the sidewall. There are two additional zippered compartments and a zippered pocket at the side. The backpack has two adjustable padded straps and measures approximately 11" (W) x 16" (H) x 8" (D). Within one of the backpack’s secondary compartments is the battery charger and removable rechargeable battery. The charger can be plugged into a standard electrical outlet by means of a removable power cord, which in turn charges the battery inside the backpack. Once charged, a user can recharge their small electronic devices, such as iPods and cell phones, by connecting them to charging cords installed in one of the pockets of the backpack. The backpack and battery charger are considered a composite good for tariff purposes (General Rule of Interpretation 3(b) noted). The essential character is imparted by the backpack. In your submission you suggest that the backpack should be classified as either a battery charger of Heading 8504 or a rechargeable battery of Heading 8507 rather than a container of Heading 4202. To support this contention you state that nearly two-thirds of the imported value of the Powerbag is imparted by the battery charger system, and that you find the battery charging function of the Powerbag to be of greater importance than its function as a container. Customs and Border Protection (CBP) has previously held that containers of Heading 4202 that incorporate electrical devices in their design are to be classified in 4202. This can be seen in Headquarters Ruling Letter H026521, dated March 30, 2010. In that ruling CBP determined that the essential character of a carrying case with a built-in amplifying speaker was imparted by the case itself. The ruling stated that while the amplified speaker might make the case more distinctive and more attractive to some, it was unlikely that anyone would purchase the case primarily for use as a speaker. That same line of reasoning holds true for the backpack and its battery charging feature. While the charging feature may be appealing to a potential buyer, it is unlikely that they would buy that bag solely for use as a battery charger. As a result, the Powerbag backpack is not classifiable in Headings 8504 or 8507. The applicable subheading for the Powerbag backpack will be 4202.92.3020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for travel, sports, and similar bags, with outer surface of textile materials, other, other, of man-made fibers, backpacks. The rate of duty will be 17.6% ad valorem.To accurately classify the remaining styles of the Powerbag we would need samples of the styles in question. When a sample can be provided, and you decide to resubmit your request, please include all of the material that we have returned to you and mail your request to U.S. Customs and Border Protection, Customs Information Exchange, 10th Floor, One Penn Plaza, New York, NY 10119, attn: Binding Rulings Section 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 World Wide Web at http://www.usitc.gov/tata/hts/. 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 Vikki Lazaro at (646) 733-3041. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division