The tariff classification of drop wire clamps from China

N304322 May 31, 2019 CLA-2-73:OT:RR:NC:N1:113 CATEGORY: Classification TARIFF NO.: 7326.90.8688; 9903.88.03 Mr. Michael Palmer Allied Bolt Products 3000 Marcus Avenue, Suite 3E09 Lake Success, NY 11042 RE: The tariff classification of drop wire clamps from China Dear Mr. Palmer: In your letter dated May 13, 2019, you requested a tariff classification ruling for drop wire clamps. Pictures, technical data and assembly instructions were submitted for our review. The article under consideration is identified in your ruling request as an Integrated Drop Wire Clamp for Fiber and 1-2 Pair Flat Drop Cable (Metal Mouth™). The subject article is described as “A one piece drop wire clamp to bring telecommunication fiber or copper cable from a utility line to a home. The body of the clamp is produced from nylon with a stainless steel bail wire and integrated shims.” You indicated that stainless steel teeth are stamped into stainless steel inserts to provide a strong hold on the cable jackets. The inserts are molded directly into the nylon wedges to secure the hold and prevent disassembly. The stainless steel bail wire provided can be used with common drop attachments. The maximum width thickness accommodated is .35” and 13”, and the minimum width thickness accommodates .25” to 12”. The subject drop wire clamps are rated to hold Fiber Drop Cable (500 lbs.), 1 Pair Drop Wire (550 lbs.) and 2 Pair Drop Wire (550 lbs.). The drop wire clamp in question consists of a nylon clamp body, and stainless steel teeth, integrated shims, inserts and bail wire. The stainless steel and nylon components are classified in different headings. Classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is in accordance with the General Rules of Interpretation GRIs), taken in order. GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes. Since no one heading in the tariff schedules covers the stainless steel and nylon components of the drop wire clamp in combination, GRI 1 cannot be used as a basis for classification. GRI 3(b) provides that mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale shall be classified as if they consisted of the material or component which gives them their essential character.As the drop wire clamp is a composite good, we must apply rule GRI 3(b), which provides that composite goods are to be classified according to the component that gives the goods their essential character. EN VIII to GRI 3(b) explains that “the factor which determines essential character will vary as between different kinds of goods. It may, for example, be determined by the nature of the material or component, its bulk, quantity, weight or the use of the goods.” We must determine whether the stainless steel or nylon component imparts the essential character to the clamp under consideration. It is the role of the constituent materials or components in relation to the use of the good that imparts the essential character. In this case, the function of the subject clamp is to bring telecommunication fiber or copper cable from a utility line to a home, and the stainless steel teeth inserts ensure a strong hold. Therefore, it is the opinion of this office that the stainless steel component imparts the essential character to the drop wire clamps. In accordance with GRI 3 (b), the drop wire clamp under consideration will be classified as an other article of steel. Therefore, the subject clamp is classifiable in heading 7326, HTSUS, which provides for other articles of iron or steel. The applicable subheading for the Integrated Drop Wire Clamp for Fiber and 1-2 Pair Flat Drop Cable (Metal Mouth™) will be 7326.90.8688, HTSUS, which provides for other articles of iron or steel, other, other…other. The rate of duty will be 2.9 percent ad valorem. 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. 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). See also “Notice of Action and Request for Public Comment Concerning Proposed Determination of Action Pursuant to Section 301: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation” (June 20, 2018, 83 F.R. 28710).  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 7326.90.8688, HTSUS, unless specifically excluded, are subject to the 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 7326.90.8688, 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. 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 Ann Taub at ann.taub@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division