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E-Bicycles Should Be Excluded From China Tariffs, Importer Argues in CIT Complaint

Imported electronic bicycles were improperly classified by CBP and would have been excluded from Section 301 duties, Washington-based e-bike importer Arba International (doing business as Ariel Rider E-Bikes) said in its Oct. 13 complaint at the Court of International Trade (Arba International v. U.S., CIT # 23-00215).

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Ariel said that its e-bikes met the Section 301 exclusion for "Motorcycles with electric power for propulsion, each of a power not exceeding 1,000 W" and so should have been classified under the secondary subheading 9903.88.67 and excluded from 25% additional duties as items of China.

The importer cited Note 20(ttt)(ii)(31) of Subchapter III, Chapter 99, which it said lays out the requirements for e-bike exclusion. The subject item must be classified under either 8711.60.0090 or 8711.60.0050; it must rely on electric power for propulsion; and its power output must not exceed 1,000 watts, the note says. The importer said its e-bikes met all three exclusions but that CBP still refused to add the secondary classification and exempt the e-bikes from the additional duties.

The e-bikes at issue are equipped with an integrated electric motor and battery system designed to provide electric power assistance for the e-bike’s propulsion and include “controllers” that limit power output to 1,000 W for propulsion, Ariel said. When Ariel entered the e-bikes in 2022, it used subheading 8711.60.0090 as “Motorcycles (including mopeds) and cycles fitted with an auxiliary motor, with or without side-cars; side-cars: With electric motor for propulsion: Other.” When CBP denied the exclusion, Ariel filed a protest, which CBP then denied in September.