The tariff classification of a beverage display stand from China.

N300806 October 22, 2018 CLA-2-94:OT:RR:NC:N4:433 CATEGORY: Classification TARIFF NO.: 9403.20.0080, 9903.88.03 Mark C. Schaefer iSee Store Innovations LLC 139 West Monroe Avenue Kirkwood, MO 63122 RE: The tariff classification of a beverage display stand from China. Dear Mr. Schaefer: In your letter dated September 26, 2018, you requested a tariff classification ruling. Illustrative literature, a product description, and assembly instructions were provided. The item under consideration identified as the “Beverage Case Stacker with Sign Display” is a display stand designed for the purpose of stacking beverages. The stand allows for a case of beverages to be stacked side-by-side and then one on top of another. Review of the depicted photographs indicate a floor standing injection mold base, sign frames and sign wings made of aluminum extrusion, and printed signage made from coated paper materials. The item measures approximately 61.5 inches in length, 17.5 inches in width, and 11.675 inches in depth. The “Beverage Case Stacker with Sign Display” consist of the following parts: Injection Molded Plastic Base (x1) Mounting Screws for Side Wings (x4) Pole Extrusions (x2) Back Graphic Panels (x2) Top Sign (x1) Wing Graphic Panels (x2) Side Wing Signs (x2) Top Sign Panel (x1) Assembly from the ground up consist of connecting the injection molded plastic base to two vertical aluminum extrusion poles. The poles will lock into the base once downward pressure is applied. Facing forward, the two back graphic panels are then inserted into the vertical pole channels. Moving upward, the aluminum extrusion top sign is inserted into the vertical aluminum extrusion pole channels and will lock once downward pressure is applied. A top sign panel is then inserted into the sign holder. One rectangular side wing aluminum extrusion frame is then mounted to each vertical aluminum extrusion pole and secured with two mounting screws. Assembly is complete after a graphic panel is inserted into each side wing frame. The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System. While not legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the Harmonized Tariff Schedule of the United States (HTSUS) and are generally indicative of the proper interpretation of these headings. See T.D. 89-80. The ENs to Chapter 94 of the HTSUS, “General” state, in relevant part, with regard to the meaning of furniture, at (A): [For the purposes of this Chapter, the term “furniture” means: Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels, theatres, cinemas, offices, churches, schools, cafés, restaurants, laboratories, hospitals, dentists, surgeries, etc., or ships, aircraft, railway coaches, motor vehicles, caravan-trailers or similar means of transport. (It should be noted that, for purposes of this Chapter, articles are considered to be “movable” furniture even if they are designed for bolting, etc., to the floor, e.g., chairs for use on ships). Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category.] Further, the ENs to heading 9403 under the category of [shops, stores, workshops, etc.,] lists counters; dress racks; shelving units; compartment or drawer cupboards; cupboards for tools, etc.; special furniture (with cases or drawers) for printing-works as falling under the list of exemplars for other furniture classified under 9403, HTSUS. It is the opinion of this office that the beverage display stand falls within the meaning of general-purpose furniture. Accordingly, the beverage display stand is classified in heading 9403, HTSUS, the heading for (“Other Furniture and parts thereof”). At the subheading level the beverage display stand is composed of different components (i.e., metal, plastic, and paper), and is considered a composite good for tariff purposes. GRI 3 (b) in conjunction with GRI 6 is implicated. The Explanatory Notes (ENs) to the HTSUS, GRI 3 (b) (VIII), state: “the factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good. The metal component imparts the essential character of the “Beverage Case Stacker with Sign Display.” It provides the display stand its primary structure and allows it to function as a stand. The applicable subheading for the “Beverage Case Stacker with Sign Display” will be 9403.20.0080, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Other metal furniture: Other: Counters, lockers, racks, display cases, shelves, partitions and similar fixtures.” The rate of duty will be free. Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS.  The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS.  Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974).  Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings. Products of China classified under subheading 9403.20.0080, HTSUS, unless specifically excluded, are subject to the additional 10 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 9403.20.0080, HTSUS, listed above The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading. 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 Dharmendra Lilia at dharmendra.lilia@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division