H328731

HQ H328731 June 6, 2023 OT:RR:CTF:EMAIN H328731 PF/AMW CATEGORY: Classification TARIFF NO.: 8476.89.00 Ruta Riley Lyft, Inc. 441 9th Ave., 2nd Floor New York, NY 10023 RE: Tariff classification and Country of Origin of Monolith Station Dear Ms. Riley: This is in reply to your request for a prospective ruling on the tariff classification and country of origin, under the Harmonized Tariff Schedule of the United States (HTSUS), of a Monolith Station. Your request was forwarded by the National Commodity Specialist Division to this office for a response. Our decision follows. FACTS: The subject merchandise, entitled the Monolith Docking station (the Monolith) is a street mounted locking platform for the securing and dispensing of E-bikes or E-scooters. This rack system is used mainly for the locking/securing, docking and rental of compatible vehicles (bikes and scooters). The docking station functions as a type of vending machine in that it allows riders to rent shared bikes and scooters. It has the ability to electronically transmit operational information such as bike availability information at a particular station to remote cloud-based servers running service operator programs. This docking/vending machine uses an internal cellular transceiver to connect to Lyft’s server back-end, which in turn communicates with the end-user’s mobile application to enable use of the shared service. The cloud-based server provides a user with access information and allows a user to verify payment and billing information prior to dispensing the E-bike to a potential user. A rider is charged for the ride when they return the vehicle into any compatible docking station. Lyft app users are required to connect a credit card to their Lyft account for payment. Each Monolith docking station is composed of a fixed number of bollards capable of docking/undocking compatible vehicles which are attached to a baseplate assembly. The station may also include optional modules such as an advertisement panel (optional modules will be imported separately into the U.S. and attached to Monolith in the local market). When the user pushes the vehicles into the bollard it activates the lock. The bollard checks bike/scooter ID and relays docking information to Lyft back-end users. The user receives updates in the Lyft mobile app and their account is charged for the ride. Payment is processed by charging the rider’s credit card connected to the Lyft’s app or as part of an annual subscription fee. The Monolith will consist of approximately seven main subassemblies: the bollard metal structure; cassette module; receiver subassembly; lock module; electronic components and printed circuit board assemblies (“PCBAs”); solar components (in the solar SKU only); and street infrastructure (e.g., base plates, optional ad panels). The bollard is constructed of steel, and serves as the main structural component of the docking station, onto which all other modules (subassemblies) and parts are attached to create the final product. The cassette module consists of a housing that contains all of the core electronic components, namely: the LTE antenna, Main PCBA, battery, speaker, and triangle PCBA. The main PCBA is said to communicate with the other active modules (e.g., User Interface (“UI”) near-field communication (“NFC”) module, UI flipdot module) and provides a connection to Lyft back-end services via its LTE antenna. The triangle PCBA incorporates an NFC antenna to identify vehicles during docking and relays this information to the main PCBA. The receiver subassembly “accepts” or receives and releases the vehicles from Monolith during docking and undocking. The receiver subassembly consists of the receiver, the NFC module, the UI module, and detents. The receiver is a metal part that interacts with bicycles and scooters while docking and is the structure to which the NFC module and UI module are attached. The NFC module houses the NFC PCBA with integrated NFC antenna. The NFC PCBA relays collected NFC information to the main PCBA, which can include commands sent from operators/technicians in addition to rider-provided information such as transit card ID. The NFC module also provides an indicator LED as a visual indicator for riders and service technicians. The bollard provides visual feedback to users via a UI module enabled by a UI PCB and flip dot display. The UI module receives input from the main PCBA to determine the status of visual, physical indicators (flipdots) to communicate bollard status to users and operators. A flip dot display consists of painted discs that can be rotated electronically to display information. Lyft has not yet selected a final assembly process or location for the Monolith. Instead, Lyft proposes four sourcing and production scenarios, which are outlined in the following table: MONOLITH MODULE Sourcing Scenario One Sourcing Scenario Two Sourcing Scenario Three Sourcing Scenario Four  Bollard metal structure (material source & Mfg. location) China China Mexico China  Cassette Module assembly site China China Mexico Vietnam  Cassette- Main PCBA PCB: China PCB population (“pop.”): China Electronics: China/Asia PCB: China PCB pop.: Vietnam Electronics: China/Asia PCB: China PCB pop.: Mexico Electronics: China/Asia PCB: China PCB pop.: Vietnam Electronics: China/Asia  Cassette- NFC Triangle PCBA PCB: China PCB population: China Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: China/Asia PCB: China PCB pop.: Mexico; Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: Asia  Battery China China China China  Receiver assembly site China China Mexico Vietnam  User interface NFC module assembly site China China Mexico Vietnam  User Interface – NFC PCBA PCB: China PCB pop.: China; Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: China/Asia PCB: China PCB pop: Mexico; Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: China/Asia  Flipdot display module assembly China China Mexico Vietnam  Flipdot PCBA PCB: China PCB pop.: China Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: China/Asia PCB: China PCB pop.: Mexico; Electronics: China/Asia PCB: China PCB pop.: Vietnam; Electronics: China/Asia  Lock Module Metal: China PCB: China PCB pop.: China Metal: China PCB: China PCB pop.: China Metal: China PCB: China PCB pop.: China Metal: China PCB: China PCB pop.: China  Solar Assembly site (only Solar SKU) China China Mexico Vietnam  Solar cell origin Thailand Thailand Thailand Thailand  Cell incorporated into panel India India India India  [DC-DC charger (only Static SKU)] Thailand Thailand Thailand Thailand  Final Monolith Assembly Site China China Mexico Vietnam   ISSUES: Whether the Monolith is classified in heading 8476, HTSUS as an automatic goods-vending machine, heading 8479, HTSUS, as a machine having an individual function not specified or included elsewhere, or in heading 8517, HTSUS, as other apparatus for the transmission or reception of data? What is the country of origin for the Monolith? LAW AND ANALYSIS: Merchandise Classification Merchandise imported into the United States is classified under the HTSUS. Tariff classification is governed by the principles set forth in the General Rules of Interpretation (“GRIs”) and, in the absence of special language or context which requires otherwise, by the Additional U.S. Rules of Interpretation. The GRIs and the Additional U.S. Rules of Interpretation are part of the HTSUS and are to be considered statutory provisions of law for all purposes. GRI 1 requires that classification be determined first according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the heading and legal notes do not otherwise require, the remaining GRI

Merchandise ClassificationMerchandise imported into the United States is classified under the HTSUS. Tariff classification is governed by the principles set forth in the General Rules of Interpretation (“GRIs”) and, in the absence of special language or context which requires otherwise, by the Additional U.S. Rules of Interpretation. The GRIs and the Additional U.S. Rules of Interpretation are part of the HTSUS and are to be considered statutory provisions of law for all purposes.GRI 1 requires that classification be determined first according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the heading and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order. The HTSUS provisions under consideration are as follows:8476 Automatic goods-vending machines (for example, postage stamp, cigarette, food or beverage machines), including money-changing machines; parts thereof:8479 Machines and mechanical appliances having individual functions, not specified or included elsewhere in this chapter; parts thereof:8517 Telephone sets, including smartphones and other 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:In understanding the language of the HTSUS, the Explanatory Notes (“Ens”) of the Harmonized Commodity Description and Coding System, which constitute the official interpretation of the HTSUS at the international level, may be utilized. The ENs, although not dispositive or legally binding, provide a commentary on the scope of each heading, and are generally indicative of the proper interpretation o