In ruling NY N313554 (August 4, 2020), Customs and Border Protection (CBP) discussed the classification of a Bluetooth-enabled speaker. The item is the Drips Wireless Speaker, which incorporates a single 3 watt speaker and microphone.  It is compatible with any Bluetooth-enabled device, such as a smartphone.  It can answer/reject incoming telephone calls, redial the last number dialed and incorporates a talking caller ID.  It also incorporates a 3.5 mm auxiliary input jack used to connect the speaker to an audio source using an audio cable. This speaker is powered by a 500 mAh USB rechargeable lithium-ion battery.

CBP determined that the applicable subheading for the speaker is 8518.21.0000, HTSUS, which provides for “Microphones and stands therefor; loudspeakers, whether or not mounted in their enclosures…: Loudspeakers, whether or not mounted in their enclosures: Single loudspeakers, mounted in their enclosures.”  The rate of duty will be Free.

Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, CBP stated that products of China classified under subheading 8518.21.0000, 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 8518.21.0000, HTSUS, must be reported.

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Photo of Frances P. Hadfield Frances P. Hadfield

Frances P. Hadfield is a counsel in Crowell & Moring’s International Trade Group in the firm’s New York office. Her practice focuses on forced labor and withhold release orders (WRO), import regulatory compliance, and customs litigation. She regularly advises corporations on matters involving…

Frances P. Hadfield is a counsel in Crowell & Moring’s International Trade Group in the firm’s New York office. Her practice focuses on forced labor and withhold release orders (WRO), import regulatory compliance, and customs litigation. She regularly advises corporations on matters involving customs compliance, audits, customs enforcement, as well as import penalties.

Frances represents clients before the U.S. Court of International Trade and the U.S. Court of Appeals for the Federal Circuit, as well as in proceedings at the administrative level. She advises corporations on both substantive federal and state regulatory issues that involve U.S. Customs and Border Protection, the Federal Trade Commission, Food and Drug Administration, and U.S. Fish & Wildlife in matters pertaining to product admissibility, audits, classification, import restrictions, investigations, marking, licenses, origin, penalties, and tariff preference programs.