CLA-2:CO:R:C:G 083441 SER
Mr. Bruce Hannough
Bonar Plastics Ltd.
1 Valleywood Drive
Markham, Ontario L3R 5L9
RE: Plastic refuse cart
Dear Mr. Hannough:
This is in reference to your letter received by Customs on
December 5, 1988, requesting a classification under the
Harmonized Tariff Schedule of the United States Annotated
(HTSUSA), of a plastic refuse cart.
FACTS:
The merchandise to be classified is a plastic refuse cart to
be used in residential waste management. It is made of sturdy
polyethylene plastic. It is approximately 42 inches high and 30
inches wide. The container has a hinged top which fully covers
the opening, and it has two wheels to facilitate the movement of
the container. It weighs 16.5 kilograms fully assembled and it
has a load capacity of approximately 200 pounds. It is
compatible with both semi and fully automated collection systems.
ISSUE:
Is the plastic refuse container used primarily as storage or
for the conveyance of goods?
LAW AND ANALYSIS:
Classification of goods under the HTSUSA is governed by the
General Rules of Interpretation (GRI), taken in order. GRI 1
provides that classification shall be determined according to the
terms of the headings and any relative Section or Chapter notes.
Goods made of plastics are covered in Chapter 39 of the
HTSUSA. There are several competing provisions within this
chapter: heading 3923, HTSUSA, which provides for articles for
the conveyance or packing of goods, of plastics; and heading
3926, HTSUSA, which provides for other articles of plastics.
-2-
The Explanatory Notes constitute the official interpretation
of the tariff at the international level. The Explanatory Notes
for heading 3923, HTSUSA, state that the heading covers all
articles of plastic commonly used for the packing or conveyance
of goods. The Notes also state that the provision covers refuse
sacks. It has been the position of Customs that refuse bags are
used to convey "goods", this is based on the primary function and
use of trash bags.
It is the position of Customs that the primary use of the
merchandise at issue is for storage. Though it has similar
functions in relation to trash bags, it does not convey goods as
does the trash bags. Trash bags are utilized to transfer
garbage from the home to the curb and then to the final disposal
point of the garbage. The plastic refuse carts, though they are
used to convey trash from the home to the curb, are primarily
are used in a manner of storage. Since the bags are used
primarily for storage and not for conveyance of goods, they would
be classified in subheading 3926.90.9050, HTSUSA.
HOLDING:
The merchandise at issue is classified in subheading
3926.90.9050 HTSUSA, which provides for other articles of
plastics. The rate of duty, if this merchandise is considered
"goods origination in the territory of Canada", is 4.7 percent ad
valorem. Otherwise the rate of duty is 5.3 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division