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 General Filters 9804 Humidistat automatically adjusts the humidity to the outdoor air temperature. It has a large 

bright blue backlight and includes non-volatile memory settings. This model also has a free outdoor sensor, built-in 

test mode, adjustable offset, and can be wall-mounted or plenum mounted with air stream sensing. The products 

dimensions are 3 63" x 3.38" x 1.75. 

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/ 

9032896070 

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: Int porter 

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: N/A - Did not import 2017 Quantity: N/A - Did not import 

2016 Value: N/A - Did not import 2016 Quantity: N/A - Did not import 

2015 Value: N/A - Did not import 2015 Quantity: N/A - Did not import 

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. The above information is currently unavailable. Additional information available upon 

request. 

VERSION 1 END 2 
BRAUMILLER 

LAW GROUP, PLLC 

no, INTERNATIONAL TRADE LAW 

Submitted Via WWW.Requlations.Gov 

October 1, 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) 9032.89.6070 

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 humidistats imported by Braeburn Systems LLC 

(Braeburn or the Company), under HTS code 9032.89.6070 be excluded from the additional 25% 

tariff imposed on this HTS code pursuant to Section 301. 

Explained below are the reasons why the humidistats 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 humidistats are classified under HTS 9032.89.6070, "Automatic regulating or 

controlling instruments and apparatus; parts and accessories thereof; other; humidity control 

instruments ". The 8-digit code is only for "Automatic regulating or controlling instruments and 

apparatus; parts and accessories thereof; other. Accordingly, the subject humidistats, General 

Filters (privately-owned brand of Braeburn) Model 9804 Automatic Digital Humidistat, differ from 

other instruments in this general 8-digit classification as these are humidity control instruments. 

The product is distinguished from the 8-digit tariff description, as it automatically adjusts the 

humidity to the outdoor air temperature. It has a large bright blue backlight and includes nonvolatile memory settings. This model also has a free outdoor sensor, built-in test mode, adjustable 

offset, and can be wall-mounted or plenum mounted with air stream sensing. The products 

dimensions are 3.63" x 3.38" x 1.75. 

2, The humidistats are currently only available from China 

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

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

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 

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

' ,11, itIti 93416 i-AX: (114) /1.1-93113 ! (XL-FREE: (877)777 5987 

WWW.BRAUMILLERLAW.COM 
products manufactured are developed by Braeburn. Further, there are very few U.S. producers 

available that could produce Braeburn's humidistats and the cost would be much higher, in 

addition to the cost of changing sourcing. Although the humidistats 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 multiple humidistat model variations. The Company can only move so 

many at a time due to constraints on engineering and manufacturing 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 humidistats thereby 

adding immensely to the company's cost. The subject humidistats represent 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 humidistats represent one of the Company's popular lines. To levy this large of an 

additional cost to the product translates to additional costs on Chinese manufactured room 

humidistats. 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" proqram 

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

developed specification. Braebum 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 developed 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 in the Section 301 report from the 

USTR.2. Further, the humidistats 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; 

2United 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: 

httns://ustrgov/sites/default/files/Section%20301%20FINALPDF. 

Page 2 

1.P111 11ff S' WI ' 1111 t I. AS, 11XAS /5254 CM( (214) 3-48 9306 FAX (714) 111 9 3 Tritt-fit4 (8)1) 1 I I WHI 

www.BRAUMILLERLAW.COM 
(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 humidistats, 

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 not in danger 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 

humidistats 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 General Filters Model 9804 Automatic 

Digital Humidistat 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, 

Digitally signed by Adrienne Adrienne Braumilier DK On=Adrienne Braurniller, 

o=Braumiller Law Group, PLLC, ou, 

Braurniller, 

en7iIr

j

a

s

drienne@braumillerlaw.co 

Date 2018.10.01 17:20,18 

Adrienne Braumiller, Partner. 

Trade Counsel for Braeburn Systems LLC 

Page 3 

CFR:1114) 348 9306 FAX. (114) )1/-4303 !On .1411-I. (8 /01 21/-598i 

www.BRAUMILLERLAW.COM