U.S. trade court: Customs tariff classification | KPMG | US

U.S. trade court: Tariff classification of entry locks, door-knobs

U.S. trade court: Customs tariff classification

The U.S. Court of International Trade today granted summary judgment for the government in a case concerning the appropriate tariff classification of certain key-operated locking hardware articles (“entry locks” or “entry door-knobs”). The trade court agreed with the government on classifying the imported merchandise under HTSUS subheading 8301.40.6030, subject to a customs duty rate of 5.7% ad valorem.

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The case is: Home Depot U.S.A., Inc. v. United States, Slip Op. 17-127 (CIT September 21, 2017). Read the trade court’s opinion [PDF 544 KB]

Summary

At issue was the classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS). The importer (a retailer) challenged the HTSUS classification of certain key-operated locking hardware articles (“entry locks” or “entry door-knobs”) by U.S. Customs and Border Protection (CBP). 

CBP classified the imported merchandise under HTSUS subheading 8301.40.6030, subject to a customs duty rate of 5.7% ad valorem. The importer asserted the proper classification was under HTSUS subheading 8302.41.6045, at a customs duty rate of 3.9% ad valorem. 

The trade court agreed with CBP and found the items were appropriately classified within HTSUS heading 8301 pursuant to a General Rules of Interpretation 1 (GRI 1) analysis. Thus, the court denied the importer’s motion for summary judgment, and granted the government’s cross-motion for summary judgment.

 

For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich | +1 (312) 665-1022 | dzuvich@kpmg.com

Andrew Siciliano | +1 (631) 425-6057 | asiciliano@kpmg.com

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