CLA-2 CO:R:C:T 952221 jb
Mr. J.R. Caballero
Phoss Company
1125 La Porte Dr.
Waco, TX 76710
RE: Request for reconsideration of merchandise entered and
ordered redelivered at the port of Dallas; novelty carrying
bag; properly classified in heading 4202, HTSUSA
Dear Mr. Caballero:
This is in reply to your letter dated July 6, 1992, in which
you requested reconsideration of a decision which classified
products as handbags under the Harmonized Tariff Schedule of the
United States Annotated (HTSUSA), which you originally entered as
toys. A sample was submitted to this office for examination.
FACTS:
The article in question consists of a combination "doll-
handbag" manufactured in Taiwan and originally entered as "toys"
at the port of Dallas. At that time it was detained due to lack
of textiles visa and reclassified as "handbags".
The sample submitted, referred to as "Yantle Girl", is a
small novelty carrying bag manufactured of an exterior man-made
textile fabric with a lining of man-made textile materials and a
batting of polyester non-woven fibers. The bag has a top
carrying handle and a top zipper closure.
The body of the bag has been printed with a caricature
consisting of crossed eyes and a broken smile. There are
appendages on the bottom and the sides which simulate arms and
feet. The feet are fitted with simulated sneakers of molded
plastic.
ISSUE:
Whether the article in question may be classified as
handbags in heading 4202, HTSUSA, or as toys in heading 9503,
HTSUSA?
LAW AND ANALYSIS:
Classification of merchandise under the HTSUSA is governed
according to the General Rules of Interpretation (GRI). GRI 1
requires that classification be determined according to the terms
of the headings and any relative section or chapter notes, taken
in order. Where goods cannot be classified solely on the basis
of GRI 1, the remaining GRI will be applied, in the order of
their appearance.
The competing provisions in this case are heading 4202,
HTSUSA, which provides for, inter alia, handbags, and heading
9503, HTSUSA, which provides for other toys.
Customs has ruled on similar items in the past. Those
decisions have been consistent in determining that a crucial
factor for classification purposes is the function of the article
in question. That is to say, does the role of the submitted
sample function as a handbag or as a toy?
In HQ 950752, dated January 9, 1992, classifying a stuffed
toy with a backpack feature, Customs ruled:
Although the whimsical characters are designed to appeal to
children, the presence of a functional compartment, shoulder
straps and hook and loop closures indicate an intent for use
as a carrying case, a use which characterizes the article at
issue. The compartment which forms the animal body is
functionally relevant and capable of use by a small child
for the storing of small toys or supplies. Despite the
proportions of this item, it is nonetheless recognizable as
a backpack- the detachable shoulder straps do not detract
form the items' carrying ability, since conventional
backpacks also have straps which may be adjusted or
removed... We therefore find that heading 9503 does not
adequately provide for the present merchandise and may not
be classified therein.
(See also HQ 081729, dated February 16, 1990)
Similarly, HQ 087792, dated December 18, 1990, in
classifying novelty "pumpkin" and "reindeer" handbags, stated:
The only absolute requirement of a handbag is that it be
held in the hand or hung by an arm/shoulder strap. This is
true of the merchandise at issue. The size and sturdiness
of these bags is more than sufficient for daily transport of
personal effects.... It is true that the novel design will
attract the consumer's attention to the article; it is our
determination, however, that the utilitarian function of
these items will provide the primary sales appeal and use of
the product.
The submitted sample is similar to the novelty carrying
bags described in the supra noted Headquarters Rulings. It is
essentially a novelty bag within which a child can place personal
effects. Though it is true that the features of the article are
specifically designed to appeal to a child, it is the use of the
article, i.e., as a carrying bag, which characterizes the
article.
The article was properly classified in heading 4202, HTSUSA,
which provides for, in part, handbags.
HOLDING:
The "Yantle Girl" is classifiable in subheading
4202.92.3030, HTSUSA, which provides for, inter alia, handbags,
with outer surface of textile materials, of man-made fibers,
other. The applicable rate of duty is 20 percent ad valorem and
the textile category is 670.
The designated textile and apparel category may be
subdivided into parts. If so, the visa and quota requirements
applicable to the subject merchandise may be affected. Since
part categories are the result of international bilateral
agreements which are subject to frequent renegotiations and
changes, to obtain the most current information available we
suggest your check, close to the time of shipment, the Status
Report on Current Import Quotas (Restraint Levels), an issuance
of the U.S. Customs Service which is updated weekly and is
available for inspection at its local Customs office.
Due to the changeable nature of the statistical annotation
(the ninth and tenth digits of the classification) and the
restraint (quota/visa) categories, you should contact the local
Customs office prior to importation of this merchandise to
determine the current status of any import restraints or
requirements.
Sincerely,
John Durant, Director