In ruling NY N316541 (January 13, 2021), Customs and Broker Protection (CBP) discussed the classification of the . The ruling indicates that the system consists of a wristband, satellite, and hub, which are used/installed in a user’s home. Together, they gather user activity/movement data and user location data. The data generated/gathered is forwarded via the satellite and hub to the Nectarine cloud/Nectarine SmartApp. The three components are all sold as individual products. Communication between all three components is via Bluetooth.
The wristband is an electronic wearable device, worn on a person’s wrist. As described in the ruling, its primary function is to gather data about the movement of the wearer, and transmit it over Bluetooth via the Nectarine hub and satellite to the cloud. The satellite is an electrical radio network device that plugs into a wall power socket. The satellite’s primary function is to increase the Bluetooth coverage of the Nectarine Remote – Tracking network. It receives data from the wristband and relays the data to the Hub. It also enables positioning of the wristband. The ruling goes on to explain that the hub is an electrical radio network device that plugs into a wall power socket. It receives data from the wristband or the satellite and relays the data to a Wi-Fi router. Both the satellite and the hub have call capability via inbuilt microphone and speaker.
CBP determined that the applicable subheading for the wristband is 9031.80.8085, HTSUS, which provides for “Measuring or checking instruments, appliances and machines, not specified or included elsewhere in this chapter; profile projectors; parts and accessories thereof: Other instruments, appliances and machines: Other: Other.” The general rate of duty is Free.
Furthermore, CBP determined that the applicable subheading for the satellite unit and the hub unit is 8517.62.0090, 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…: 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 is Free.