Section 301 Investigation: China's Acts, Policies, and Practices Related to Technology 

Transfer, Intellectual Property, and Innovation - Form to Request Exclusion of Product 

When submitting a product exclusion request using this form, enter the specified 

information in the following fields and explain the basis and rationale for your statements. 

By completing this form, you certify that the information provided is complete and 

correct to the best of your knowledge. 

1. Indicate whether the comment contains business confidential information (BCI), is a public 

document, or is a public version of a BCI document. 

Public Document 

2. Please provide a complete and detailed description of the product of concern: 

The Braeburn 5220 Model is a 7 day and 5-2 day wall mounted programnnable thermostat to control heat and air 

conditioning in the home. It can be either hard wired or battery operated. This model is compatible with heat pump 

systems up to 3 heat/2 cool, conventional systems up to 2 heat/2 cool, and 250my — 750my millivolt heating systems. 

The thermostat has a large 5 square inch easy read, bright blue backlight display, indoor or outdoor remote sensing, 

and SpeedBar Multi-Function Button. This model also has adaptive recovery mode ("ARM"), residential or 

commercial modes, multi-level keypad lockout, and temporary override limits. The products dimensions are 3.86" x 

5.11" x 1.42. 

3. 10-digit HTSUS item number* for product you wish to address in this product exclusion request: 

*Use numerical characters only with no special characters (example: 1023456789). For help in finding 

the HTSUS item number associated with your product, see https://hts.usitc.gov/ 

9032100030 

4. Requestor Information 

Requestor Name (Last, First): 

Organization Name: 

Glenn Moore 

Braeburn Systems LLC 

Note: Representatives submitting on behalf of an organization must enter information below. 

Requestor Representative: Adrienne Braumiller, Esq., Braumiller Law Group, PLLC 

5. Requestor's relationship to the product: hnportcr 

6. Does this submission in regulations.govinclude additional attachments? 

YES 

7. Please indicate whether any additional attachment contains business confidential 

information (BCI), is a public document, or is a public version of a BCI document. 

Public Document 

VERSION 1 CONTINUED BELOW 1 
8. Is this product, or a comparable product, available from sources in the United States?: 

NO 

9. Is this product, or a comparable product, available from sources in third countries?: 

YES 

10. Please provide the value and quantity (with units) of the Chinese-origin product of concern 

that you purchased for each calendar year specified. Limit this figure to the products 

purchased by your firm (or by members of your trade association) alone. Please provide 

estimates if precise figures are unavailable. 

2017 Value: $488,864.64 2017 Quantity: 24,408 

2016 Value: $188,540.16 2016 Quantity: 9,600 

2015 Value: $208,192.80 2015 Quantity: 10,704 

11. Please provide information in support your request, taking account of the instructions 

provided in Section B of the Federal Register notice (note: text entered below can extend 

beyond the apparent size of this box). 

The submitter certifies that information provided is complete and correct to the best of his or 

her knowledge. Please see attached letter. 

VERSION 1 END 2 
BRAUMILLER 

LAW GROUP, PLLC 

INT ER NAT I ONA L TRADE LAW 

Submitted Via WWW. Regulations. Gov 

September 26, 2018 

Ambassador Robert Lighthizer, U.S. Trade Representative 

Office of the United States Trade Representative 

600 17th Street NW, Room F516 

Washington, DC 20508-0001 

RE: USTR 2018-00025; Request for Exclusion from the Determination of Action Pursuant 

to Section 301: China's Acts, Policies, and Practices Related to Technology Transfer, 

Intellectual Property, and Innovation Tariff Under Harmonized Tariff Code 

(HTS) 9032.10.0030 

Dear Ambassador Lighthizer, 

This request for exclusion is submitted pursuant to Federal Register notice published on July 11, 

20181, establishing the process to submit exclusion requests from tariffs applied to U.S. imports 

pursuant to the Determination of Action Pursuant to Section 301 of the Trade Act of 1974: China's 

Acts, Policies and Practices Related to Technology Transfer, Intellectual Property and Innovation. 

We hereby respectfully request that the wall mounted thermostats imported by Braebum Systems 

LLC (Braeburn or the Company), under HTS code 9032.10.0030 be excluded from the additional 

25% tariff imposed on this HTS code pursuant to Section 301. 

Explained below are the reasons why the thermostats meet the elements in the Federal Register 

notice to be excluded from the additional tariff under Section 301. 

1. Distinguished from other products in the 8-digit HTS code 

The subject thermostats are classified under HTS 9032.10.0030, "Thermostats; for air 

conditioning, refrigeration or heating systems; wall-mounted". The 8-digit code is only for 

"Thermostats; for air conditioning, refrigeration or heating systems". Accordingly, the subject 

thermostats, Braeburn Premier Series Model 5220, differ from other thermostats in this general 

8-digit classification as these thermostats may only be mounted on walls. The product is 

distinguished from the 8-digit tariff description as it is a 7 day and 5-2 day wall mounted 

programmable thermostat to control heat and air conditioning in the home. It can be either hard 

wired or battery operated. This model is compatible with heat pump systems up to 3 heat/2 cool, 

conventional systems up to 2 heat/2 cool, and 250my — 750my millivolt heating systems. The 

thermostat has a large 5 square inch easy read, bright blue backlight display, indoor or outdoor 

remote sensing, and SpeedBar Multi-Function Button. This model also has adaptive recovery 

mode ("ARM"), residential or commercial modes, multi-level keypad lockout, and temporary 

override limits. The products dimensions are 3.86" x 5.11" x 1.42. See Attachment A for a 

description of the thermostat. 

2. The thermostats are currently only available from China 

Braeburn Systems LLC has established a strong relationship with its manufacturer in China. The 

manufacturer produces the thermostats according to Braeburn's strict specifications and quality 

1 83 Fed. Reg. 32181 — 32184 (July 11, 2018). 

..1P1 1tP . =1.1ÎTI ?I'Y) DAI 1 AC TEXAS 75)54 Oft (714) 348 91(k IAX (114) /1 /1103 IOU-FREE: (877) 277 S,987 

WWW.BRAUMILLERLAW.COM 
control measures. Braeburn has now created a long standing, dependable relationship with this 

supplier as it has been working with this Chinese manufacturer for 17 years. In fact, the Chinese 

supplier, Computime Group Limited, is a 27% member of Braeburn Systems LLC. However, all 

products manufactured are under Braeburn's protected intellectual property. Generally, only 10% 

of the north American thermostat market is produced in the U.S., Canada, and countries other 

than China and Mexico. Accordingly, there are very few U.S. producers available that could 

produce Braeburn's thermostats and the cost would be much higher, in addition to the cost of 

changing sourcing. Although the thermostats could be made by entities in Mexico, to suddenly 

change Braeburn's sourcing to another country would take at least 9-12 months to establish the 

process and educate the new manufacturer on Braeburn's strict standards. Braebum has over 40 

different room thermostat variations. The Company can only move 5 to 8 models at a time due to 

constraints on engineering and rnanufacturing resources. This would require the entire effort of 

the Company to initiate and bring to a successful conclusion. Costs associated with moving 

production could be as high as $500,000 depending on need for new tooling, test fixtures or other 

related equipment to facilitating production at the new facility. 

In the meantime, Braeburn would be paying an additional 25% to import the thermostats thereby 

adding immensely to the company's cost. In total, Braeburn only imports from $398,000 to 

$747,000 per year of the subject thermostats from China. This imported value represents an 

insignificant amount of the $50 billion in imported goods from China that the Section 301 tariffs 

are intended to address. Further, Braeburn is a small sized business, employing directly about 23 

people. The additional burden of paying these tariffs for its imports is disproportionate to the size 

of the Company. The additional duties represent a heavy burden on Braeburn's ability to absorb 

the additional financial impact and still retain its level of economic viability. 

3. Severe economic burden to Braeburn and U.S. interests 

These thermostats represent one of the Company's most promising lines. To levy this large of an 

additional cost to the product translates to an additional cost of $2.5 million for every $10 million 

in material purchases on Chinese manufactured room thermostats. This would basically eliminate 

Braeburn's net income on the entire product offering for the entire period the tariffs are in effect. 

Further, the additional tariffs would severely curtail the Company's ability to develop new 

products, generate new proprietary intellectual property, source new customers, and maintain 

existing large volume customers. Eventually this would lead to reduction of the Company's SG&A 

budgets, elimination of numerous jobs, and reduction in its overall company footprint to offset the 

tariff impact. A truly "American made" company would suffer due to imposition of the additional 

tariffs. 

4. Relevance to "Made in China 2025" program 

The thermostats manufactured by the Chinese factory are made according to Braeburn's own 

proprietary specifications and patented technology. The patent for this thermostat was approved 

in 2006 and is attached to this request. See Attachment B. Braeburn has experienced no breach 

of its intellectual property rights from this factory in its history of operation, and the Company 

would instantly lodge a complaint if such violation were identified. As the intellectual property is 

owned exclusively by Braeburn, it is not transferring any IP to the Chinese factory. There is no 

forced transfer of technology, which transfer is the focus of the Section 301 tariffs as discussed 

Page 2 

i y i ,0,1 'MI LAS. XAS /S254 MC. I)14) 348 934)16 FAX (714) 211? 9. )4 Tilt I Fiff: oun )77 ,911/ 

WWW.BRAUMILLERLAW.COM 
in the Section 301 report from the USTR.2. Further, the thermostats are not one of the ten 

industries which are the focus of the "2025" program. Rather, these industries include: 

(1) advanced information technology; (2) robotics and automated machine tools; 

(3) aircraft and aircraft components; (4) maritime vessels and marine engineering equipment; (5) 

advanced rail equipment; (6) new energy vehicles; (7) electrical generation and transmission 

equipment; (8) agricultural machinery and equipment; (9) new materials; and (10) 

pharmaceuticals and advanced medical devices. 

There is accordingly no direct link between these relatively low volume imports of the thermostats, 

and the goals of the Section 301 tariffs to address the targeted industries in the "China 2025" 

program. 

Additionally, there is no joint venture between the two companies, and all intellectual rights are 

owned by Braeburn Systems LLC, a U.S. company. Braeburn's business relationship is not 

subject to any Chinese administrative policies which require the transfer of its intellectual property 

in any manner. Thus, penalizing a U.S. company whose intellectual rights are already protected 

by forcing it to pay additional duties does not further the U.S. government's policy regarding the 

"Made in China" initiative. In fact, the relationship between the Section 301 tariff goals and the 

actual impact in this instance is nonexistent. Applying the Section 301 tariff to the imports of the 

thermostats by Braeburn does not serve the purpose of the Section 301 goals but in fact 

contravenes the goals. 

In light of the above, Braeburn sincerely requests that its thermostat Braeburn Premier Series 

Model 5220 be granted an exclusion of the 25% Section 301 tariff. Importation of this product 

does not undermine the U.S. government policy toward the "Made in China 2025" program and 

would only be detrimental to the economic viability of this small sized U.S. company. Braeburn 

certifies that information provided is complete and correct to the best of his or her knowledge. 

Best regards, 

Adrienne Digitally signed by Adrienne Braumiller 

ON:<nnAdrienne Braumiller, 

onBraumiller Law Group, PLLC, ou, 

ernailnadrienne@braurnillerlaw.corn, 

Braurniller cnUS 

Date: 201609,26 16:0639 -0500' 

Adrienne Braumiller, Partner. 

Trade Counsel for Braeburn Systems LLC 

2 United States Officer of the Trade Representative "Findings of the Investigation into China's Acts, Policies, 

and Practices Related to Technology Transfer, Intellectual Property, and Innovation Under Section 301 of 

the Trade Act of 1974, (Mar. 22, 2018); also found at: 

https://ustr.cov/sites/default/files/Section%20301%20FINALPDF. 

Page 3 

; P! , of! lAS. TLXAS 75254 OK: (214) 348 9306 FAX: (214) 21/-9403 Tcli •FREI (8/1) 2/7 WO 

WWW.BRAUMILLERLAW,COM 
ATTACHMENT A 
TIMM ROOM 

AUTO 

HEAT 

n

DM 

Ili uu 

FAN 

AUTO 

Braeburn 

Up to 3 Heat / 2 Cool Heat Pump 5220 Up to 2 Heat / 2 Cool Conventional 

Universal Programmable Thermostat 

Braeburn 

on. 

SYSTEM DAY/TIME PROG HOLD RETURN FAN 

• 

5YEAR LIMITED 

WARRANTY 

ACTUAL SIZE 

Features 

• 7 Day, 5-2 Day or Non-Programmable 

• Large 5 sq. in. Display with Bright 

Blue Backlight 

• Auto or Manual Changeover 

• SpeedBar• Multi-Function Button 

• Adjustable Temperature Limits 

• indoor or Outdoor Remote Sensing 

• Meets Energy Aware® Guidelines* 

• SpeedSet° Programming Mode 

• Separate User and Installer Reset Buttons 

• Auxiliary Heat Fossil Fuel Option 

• Hardwire or Battery Powered 

• Multi-Level Keypad Lockout 

• Adaptive Recovery Mode (ARM') 

• Programmable and Circulating Fan Modes 

• Temporary Override Limits 

• Residential or Commercial Modes 

• Compatible with 2 or 3 Wire Hydronic 

Zone Systems 

• Trilingual Packaging and Instruction 

Card with FREE Contractor Branding 

PREMIER FREE Contractor Branding! Visit braeburnonline.com 

SERIES *As a licensee in the Energy Aware Programmable Thermostat Program, Braeburn Systems LLC has determined 

that this product meets the NEMA Energy Aware efficiency specifications for programmable thermostats. Visit 

www.getenergyaware.comfor more information. 

Toll-Free 866.268.5599 (U.S.) +1.630.844.1968 (Outside the U.S.) 
2nd Stage Conventional 

Heat/ Auxiliary Heat 1st Stage 

Compressor Output 

1st Stage Conventenal 

Heat / Emergency / 

3rd Stage Heat 

Heat Pump 

Check Input 

Cooling 

Transformer 

Fan Output Heating 

Transformer 

Reversing Va ve or 

Zone Valve Power Close 

2nd Stage 

Compressor Output 

Transformer 

Common 

Remote Sensor 

(Indoor or Outdoor) 

Architectural Specifications 

The universal auto changeover thermostat shall be a Braeburn® model number 5220, 3.86" high x 5.11" wide x 1.42" deep, powered with either 24 Volt AC or with two 

"AV Alkaline batteries (3.0 Volt DC). In the event of a power failure, the unit shall retain all user, installer and program settings. The thermostat shall be cornpatible with 

low voltage single stage or multi-stage gas, oil, or electric conventional heating or cooling systems with up to two stages of heating and two stages of cooling, and heat 

pump systems with up to three stages of heating and two stages of cooling. Also compatible with 250mv — 750mv millivolt heating only systems and 2 or 3 wire hydronic 

zone systems. The thermostat shall have a bright blue backlight display, SpeedBare, separate sub-base and multi-level keypad lockout. Temperature control range shall 

be between 45° and 90° F (7° and 32° C), accuracy of +/- 1° F (+/- .5° C). Operating humidity range between 5% and 95% relative humidity. The thermostat shall include 

separate installer and user setup modes, residential or commercial setup modes, permanent non-volatile memory to retain user settings, filter, UV and humidifier pad 

check monitor, adaptive recovery mode (ARM"), programmable fan mode, residual cooling fan delay, indoor or outdoor remote sensor capability, auxiliary heat fossil fuel 

programming, and compressor power outage protection. A front reset button will return user settings to default values when pressed. Meets Energy Awaree Guidelines. 

Dimensions: 

Electric Rating: 

AC Power: 

3.86" x 5.11" x 1.42" 

24 Volt AC (18-30 Volt AC) 

1 amp maximum load per terminal 

5 amp total maximum load (all terminals) 

18-30 Volt AC 

Shipping Information 

INDIVIDUAL CARTON 

Dimensions: 5.0" x 6.3" x 2.0" 

Weight: .92 lbs. 

MASTER CARTON 

Quantity: 6 

Dimensions: 6.4" x 13" x 5.6" 

Cubic Feet: .27 

Weight: 6 lbs. 

Product Specifications 

DC Power: 3.0 Volts DC 

(2 "AV Alkaline batteries included) 

Compatibility: Heat pump systems up to 3 heat/2 cool, 

Conventional systems up to 2 heat/2 cool 

250mv — 750mv millivolt heating systems 

Control Range: 45° to 90° F (7° to 32° C) 

Display Range: 40° to 99° F (5° to 37° C) 

Accuracy: +/- 1° F (+/- .5° C) 

Temperature 

Differential: 1st Stage - .5°, 1°, or 2° F (0.2°, 0.5°, or 1° C) 

2nd and 3rd Stage - 1°, 2°, 3°, 4°, 5°, or 6° F 

(.5°, 1°, 1.5°, 2°, 2.5°, or 3° C) 

Storage Temperature: 14° to 140° F (-10° to 60° C) 

Operating Humidity: 5% to 95% Relative Humidity 

Terminations: G, Rc, Rh, W2, 0/BN3, Y1, Y2, W1/E/W3, 

C, L, S1, S2 

Braeburn 5220 Replaces* 

Honeywell° TH6220D, TH6220U, TH6320D 

Emerson' 1F85-0477, 1F85U-421PR, 1F95-0671, 1F95EZ-0671 

'Verify specific application requirements 

All trademarks are the property of their respective owners. 

Accessories 

2920 Vertical J-Box Adapter Wall Plate 5390 Remote Indoor Sensor 

2950 Universal Wall Plate (6.5" x 6.5" x .125) 5490 Remote Outdoor Sensor 

5970 Universal Thermostat Guard 

FREE Contractor Branding Available! 

Visit our website (www.braeburnonline.com) for more information, contact your 

local distributor or call our sales department toll-free at 866.268.5599 (U.S.), 

+1.630.844.1968 (Outside the U.S.). 

Braeburn 

Terminal G Re Rh W2 0/13/1/3 Y1 Y2 W1 /E /W3 C L S1 S2 

Designations 49 ti 40 49 49 to 74P 

Date: 

Job Name: 

Location: 

Contractor: 

Engineer: 

Model No.: 

Submitted By: 

Submitted For Approval: Record: 

Braeburn Systems LLC • 2215 Cornell Avenue • Montgomery, IL 60538 • Toll-Free 866.268.5599 (U.S.) +1.630.844.1968 (Outside the U.S.) 

02017 Braehurn Systems LLC • All Rights Reserved • 5220-300-07 
ATTACHMENT B 
11111111111111 1111,!p1,11,1111Ap

11 I111 11 11111111 111 

vffi eft Stats PfAr•-,71•1' • Pi•acril 1-S 1)531,528 

Moore 14f., Date of Pateni: ** *Nov. 7, 2006 

(54 OPENED N1ODEI. 50110 Tiiiutuos-rvr 

(75) 1 nt effior: (acorn A. \loom Moingoni.:1-11. US1 

17:1 1ssinnee: Brat:intro Spoons LTA'. Montuomory. 

II II:50 

t Notice: 1 his palenl Iti a terminal disclaimer 

i Fenn: .14 'S'ears 

1211 Appi No.: 29/240,21n 

1.22) riled: Oct. 4. 2005 

iSIj LOC (8) 1044 

52 U.S. 1:1. D111/511 

Stir Field nf Chnisitication Search . I )10r4N 50: 

2.36.46 12. 47. 44.3. 51. 84. 1.1 41400f485 

See application file for complete sezio:h history. 

1561 Referrnces Cited 

1?.S. P.VIT41- iMliN vs; 

1)1S6.,t,./(1 5 12 0)7 (ivc. 11 i)1() 5r.) 

0451.N2 I S 3 2002 vithAtri et al ...... 49 

1)470.114 S 21111:1 1011,.90 , ........ . 1)10 49 

" ciied h.,. examiner 

Pr:mutt:I. Ennithwr Anliiino k Ihvis 

(74) Arrrawey Ag,vor, (.,/ m Allco. NA! 

C57) AIM 

The ornamental design for an Opened model 3ti0n therm-

-11. as shown. 

DESCRIPTION 

rici. 1 is a perbpeethe vie if the present upened model 

5000 thermostat design: 

1:1( i. 2 is a front vieu or the present opened model 5000 

thermostat design: 

I:1(i 3 is a uight side iow 0) the pre.:;ent t,poned model 5000 

iijcrniusitii clenign: 

NU. 4 iS a len .side %lett uFtw proem opened model 50011 

thamosiat design: 

FRI 5 is a top vim 0 Our pres,al oponed model SON) 

111mm-sr:it cicipy, 

1-11.i. 6 is a hollom vkrrc ol the prk.-bela opened maid 

thermostat design: and. 

FIG. 7 ri rear view of the preseni opened modd 5000 

then»ostm design 

I Claim. 2 Drawin2 Sheets 
11111 111111111 1111111111111#11,111

,i

191 1111111 II NI 1111 

Vir-qtf-ct Stp,f-e; Ete,r-iprt r:„„ D525:154 S 

Nioore (4:i Dale cif PRIen!: Jul. 18, 2006 

15.4 i (11.051A) N10111;11. (111111 THLIZNIOSTAf rlafltifier øliJii. i). 1):1‘ 

(7-1) .fri,iwo) Firm Oink Allon 1;1'41 

175) inverthir: (.;li/un Moore. Motonwr.

i. 11 f 115) 

1731 tissignee: F)niuhrirn Systi:Ins 111.C. kliongoinery. 

n.ILS) 

1**, . 14 N'enrs 

(21 i Appl. No.: 29/240.204 

(22) l'iled: Oel. 6, 21015 

(5)) ) 111414 

152) LI.S. ................... ..... 1/111/50 

151'1 i Field lif Search . 1)1046 50: 

26,46 R. 47. 49.3. 51. 84. 94: 401)4/(5 

Sec lile Ihr eompleic senrch history. 

12.eferviices Cited 

1:.5. lilFNf 1.)0(-1:N1FNIS 

1)3s0.990 1,1 12 1‘.197 II ............... ........ 1)11150 

1)-15,7.:,;21 i 4 4.20112. .1mbnrn cl ;1.( ........... 1)111 ,19 

1)470.11-1 1-1 '4 2 2000 111111,m el a1 . 1711(1 -19 

eiled by examiner 

(57 ) CLAIM 

Inc orndinenliil dusign kir a clustd model 50011 

nr, skroAn 

D1:S(1111'1102 

perspef.rtir c vit1V t-ir the prosonl closed lekalcl 

500/ Ikv-rninmal design: 

HO. 2 Is a flour vies% of the present closed model 5000 

lhennostio design: 

M( ¡.) righl sick VIC11 i, l IlIc prc.or r ulirsud no del SOW 

ihermostill design: 

l'1( i. 4 is a loll side view iii Iho SON) 

thermosla i design. 

I - 10. 5 is n top cie).% of Ille preseni closed niod,..1 Soon 

111,:rninsint derinfr. 

FIG. 6 is bottom ICA\ Oleprem,r,i closed miidel 5000 

them-lost:1i design: :ind. 

1:1(..i 7 is a rear vi,s, rrr the present closed infldcl 5000 

therinumzn design 

1 (=laiin, 2 Di-awing Sheets