CLA-2 CO:R:C:G 082500 DSN
Francis W. Foote, Esquire
Siegel, Mandell & Davidson, P.C.
655 Fifteenth Street, N.W.
Suite 300
Washington, D.C. 20005
RE: Classification of magnetic memo holders
Dear Mr. Foote:
This is in response to your inquiry of June 30, 1988, on
behalf of Avon Products, Inc., regarding the classification of
fruit magnets under the Harmonized Tariff Schedule of the United
States (HTSUSA). Samples produced in either Hong Kong or China
were submitted for examination.
FACTS:
The submitted samples "Shady Bunch Fruit Magnets" are
composed of a circular metal magnet with a textile front
covering. The textile portion is composed of a woven polyester
outer shell with a polyester filling. The samples resemble
different fruits and have short arms and legs attached and also a
printed stylized human-type faces with plastic sunglasses glued
on. The samples submitted represent a strawberry, pineapple and
a orange. The magnets measure approximately 3/4 of an inch in
diameter. The merchandise is designed to be placed on
refrigerator doors or other metal objects in the home.
ISSUE:
Whether the samples at issue are classified under heading
8505 or heading 7323, HTSUSA.
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LAW AND ANALYSIS:
You allege that the samples are classified under heading
8505, HTSUS. We disagree. Heading 8505, HTSUSA, provides for
electro-magnets, permanent magnets and articles intended to
become permanent magnets after magnetisation. The Explanatory
Notes which constitute the official interpretation of the tariff
at the international level, state that heading 8505 does not
cover "electro-magnets, permanent magnets or magnetic devices of
this heading, when presented with machines, apparatus, toys,
games, of which they are designed to form part (classified with
those machines, apparatus, etc.)." With respect to the instant
samples, they are magnets designed to form part of the article.
Since the magnets are presented with and incorporated into a
textile caricature, they are precluded from classification in
this heading.
Since the samples are composed of different components,
i.e. metal, textile and plastic, they are classifiable under two
or more headings pursuant to GRI 3. Heading 6307, HTSUSA,
provides for other made up articles of textiles. Heading 3926,
HTSUSA, provides for other articles of plastics. Heading 7323,
HTSUSA, provides for kitchen or other household articles of iron
or steel. GRI 3(a) states that the heading providing the most
specific description shall be preferred, however when each
heading refers to part only of the materials contained in
composite goods those headings are to be regarded as equally
specific, even if one of them gives a more complete description
of the goods. Each of the headings refers to part only of the
merchandise here. Therefore, the headings are regarded as
equally specific, and the classification of the samples at issue
cannot be determined by relative specificity.
GRI 3(b) provides that composite goods made up of different
components which cannot be classified by reference to GRI 3(a),
are classified by the component which gives them their essential
character. According to the Explanatory Notes, essential
character may be determined by the nature of the component, its
bulk, quantity, weight or value, or by the role of a constituent
material in relation to the use of the goods.
With respect to the merchandise at issue, the magnet is
essential for the intended use of the product. Removal of the
magnet would leave the product totally incapable of functioning
as a magnetic memo holder for refrigerator doors or other metal
objects. The textile portion merely embellishes the product and
acts as a decorative selling feature, but has no effect on the
ability of the magnet to perform its intended function. The same
is true of the plastic portion (the sunglasses) which is
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incidental to the article other than as decoration. If the
sunglasses were removed the product could still function as a
decorative magnet holder. Therefore, the essential character is
imparted by the magnet.
Heading 7323, HTSUSA, provides for kitchen or other
household articles and parts thereof, of iron or steel. The
Explanatory Notes to heading 7323, state that this group
comprises a wide range of iron or steel articles, not more
specifically covered by other headings of the Nomenclature. With
respect to the instant samples, since they are designed to be
used in the kitchen or around the home and have the essential
character of metal, and are not specifically covered by any other
heading, they are classifiable in this heading.
In NYRL 829918 of June 10, 1988, a magnetic memo holder
composed of metal with a textile covering was classified under
heading 6307, which provides for other made up textile articles.
The Explanatory Notes to heading 6307, state that the heading
covers made up articles of any textile material which are not
included more specifically in other headings of Section XI or
elsewhere in the Nomenclature. We believe heading 7323 is a more
specific provision for the magnetic memo holder and the instant
samples. We hereby revoke the above ruling.
HOLDING:
In view of the foregoing, the samples are classified under
subheading 7323.99.9000, HTSUSA, which provides for kitchen or
other household articles of iron or steel, other, not coated or
plated with precious metal, other, other, and dutiable at the
rate of 3.4 percent ad valorem.
New York Ruling 829918 of June 10, 1988 is hereby revoked
in accordance with this ruling.
Sincerely,
John Durant, Director
Commercial Rulings Division