CLA-2 CO:R:C:G 084626 c
Mr. Joseph A. Rafferty
Import Manager
Mersco Wholesale Co., Inc.
127 West 30th Street
New York, New York 10001
RE: Tariff Classification of beaded glass handbags
Dear Mr. Rafferty:
Your letter dated May 11, 1989, addressed to our New York
office concerning the tariff classification of fully beaded glass
handbags made in Hong Kong, has been referred to this office for
a direct reply to you. Samples were submitted for examination.
FACTS:
The samples designated as styles 20405 and 20523 are
evening bags that are fully covered with glass beads.
ISSUE:
Are the evening bags considered articles of glass beads or
are they handbags for tariff purposes?
LAW AND ANALYSIS:
Classification of goods under the Harmonized Tariff
Schedule of the United States Annotated (HTSUSA) is in accordance
with the General Rules of Interpretation (GRI's), 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, and, provided such heading or notes do not otherwise
require, according to [the remaining GRI's taken in order]."
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Handbags are generally classified under heading 4202,
HTSUSA, which provides for, inter alia, handbags of leather or of
composition leather, of plastic sheeting, of textile materials,
of vulcanized fiber or of paperboard, or wholly or mainly covered
with such materials. The handbags before us, however, are made of
textile material and glass beads.
At first glance, it appears the bags may be classifiable in
heading 4202, HTSUSA, or heading 7018, HTSUSA, which provides
for, inter alia, glass beads and articles thereof other than
imitation jewelry. In order to determine which heading is
applicable, we must look to the Explanatory Notes which are the
official interpretation of the HTSUS at the international level.
The Explanatory Notes for heading 4202, HTSUSA, state that
"[t]his heading covers only the articles specifically named
therein and similar containers." The notes go on to say,"[t]he
articles of the second part of the heading [the part in which
handbags are named] must, . . ., be only of the materials
specified therein or must be wholly or mainly covered with such
materials (the foundation may be of wood, metal, etc.) (underline
added).
It appears clear from the Explanatory Notes that in order
to be classified within the provisions of heading 4202, HTSUSA,
the handbags at issue must be only of textile materials, not
textile materials and glass beads, or must have outer surfaces
which are wholly or mainly covered with textile materials. Since
the handbags are completely covered with glass beads, they cannot
be classified under heading 4202, HTSUSA, because they do not
fall within the terms of the heading.
The Explanatory Notes for heading 7018, HTSUSA, contain an
exclusion for "[h]andbags and similar articles of leather or
fabric, decorated with glass beads, imitation pearls or imitation
precious or semi-precious stones (heading 42.02)." We do not
believe this exclusion precludes classification of the subject
handbags. The glass beads covering the outer surfaces of these
handbags are more than decoration because they cover the entire
outer surfaces. Because of this, as previously discussed, the
handbags cannot be classified in heading 4202..
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HOLDING:
The sample evening bags are classifiable as articles of
glass beads in subheading 7018.90.5000, HTSUSA, and dutiable at
the rate of 6.6 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division
6cc AD NY Seaport
1cc John Durant
1cc Legal Reference
1cc Jake Bunin N.Y. Seaport
1cc Kevin Gorman NY Seaport
Cahill library
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