In ruling NY N311614, Customs and Border Protection (CBP) discussed the classification of an electronic smart watch, the Suunto 7. It is a multifunctional electronic wearable device which pairs its bi-directional open wireless Bluetooth and Wi-Fi technology with a smartphone or directly to the internet (using Wi-Fi connectivity).
The Suunto 7 is worn on a person’s wrist and designed to both manage data and to support personal fitness. The Bluetooth/Wi-Fi capability is essential to the use and operation of the device because the Suunto 7 has limited functionality until it has been paired with a smart phone or internet. It displays incoming call notifications and messages. The user can reply to messages and answer calls directly from the smart watch itself. The device also works with contactless payment systems. The fitness functionality includes the ability to download and view maps, record, track and measure fitness levels based upon the information gathered by the incorporated fitness sensors within the device.
The Suunto 7 features the following:
- AMOLED display, Resolution: 454 x 454, touch screen.
- Accelerometer, Gyroscope, Magnetometer, Barometer, Wrist heart rate, Ambient light, Off body sensor, Fused Speed and altitude
- Wi-Fi, BT LE 4.2, NFC, USB
- Battery – 450 mAh
- Operating system – Wear OS
- Voice commands
- Music playback with or without phone
- Online and Offline maps
The applicable subheading for the Suunto 7 GPS sports and smart watch will be 8517.62.0090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Telephone sets, including telephones for cellular networks or for other wireless networks; other apparatus for the transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network), other than transmission or reception apparatus of heading 8443, 8525, 8527 or 8528; parts thereof: Other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network): Machines for the reception, conversion and transmission or regeneration of voice, images or other data, including switching and routing 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 8517.62.00, HTSUS, unless specifically excluded, are subject to an additional 7.5 percent ad valorem rate of duty. At the time of importation, the Chapter 99 subheading, 9903.88.15, in addition to subheading 8517.62.0090, HTSUS, must be reported.