CLA-2 CO:R:C:M 954862 DFC

Ed Baker
A.N. Deringer, Inc.
30 West Service Road
Champlain, New York 12919-9703

RE: Boards, bulletin; Boards, writing; Composite goods

Dear Mr. Baker;

This is in reply to your letter dated July 15, 1993, to the District Binding Rulings Coordinator in Champlain, on behalf of Delta Products, Ltd., of Victoriaville, Canada, concerning the tariff classification under the Harmonized Tariff Schedule of the United States (HTSUS), of bulletin boards and bulletin/writing boards. Your letter, together with the representative samples submitted, have been referred to this office for a response.

FACTS:

The samples designated as items 16-1612-43 and 16-1824-43 are round-cornered bulletin boards having plastic frames. They consist of an agglomerated cork face sheet (about 1mm thick) laminated to a wood fiberboard backing about 11 mm thick. The samples designated as items 11-1824-43 and 11-2436-43 are basically the same, except that they are perfectly rectangular and have aluminum frames. The sample designated as item 11- 2412-31/43 is a combination bulletin board and writing board. Half the surface area of this 12" x 24" aluminum-framed article is the same type of bulletin board as described above, while the other half has a smooth, hard, reusable writing surface (white "Permo-Delta").

ISSUE:

What material imparts the essential character to the bulletin boards and the bulletin/writing board?

-2-

LAW AND ANALYSIS:

Classification of goods under the HTSUS is governed by the General Rules of Interpretation (GRI's). 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 headings or notes do not otherwise require, according to [the remaining GRI's taken in order]." In other words classification is governed first by the terms of the headings of the tariff and any relative section or chapter notes.

GRI 2(b), HTSUS, provides in part that "[t]he classification of goods consisting of more than one material or substance shall be according to the principles of Rule 3."

GRI 3, HTSUS, provides as follows:

3. When, by application of Rule 2(b) or for any other reason, goods are prima facie classifiable under two or more headings, classification shall be effected as follows:

(a) The heading which provides the most specific description shall be preferred to headings providing a more general description. However, when two or more headings each refer to part only of the materials or substances contained in mixed or composite goods . . . those headings are to be regarded as equally specific in relation to those goods, even if one of them gives a more complete or precise description of the goods.

(b) Mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale, shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.

(c) When goods cannot be classified by reference to 3(a) or 3(b), they shall be classified under the heading which occurs last in numerical order among those which equally merit consideration.

-3-

The round-cornered bulletin boards having plastic frames and the rectangular shaped bulletin boards having aluminum frames are prima facie classifiable under subheading 4421.90.95, HTSUS, which provides for other articles of wood, other. The plastic- framed boards and the aluminum-framed boards are also prima facie classifiable, under subheading 4504.90.40, HTSUS, and subheading 7616.90.00, HTSUS, respectively. Subheading 4504.90.40, HTSUS, provides for agglomerated cork (with or without a binding substance) and articles of agglomerated cork, other, other. Subheading 7616.90.00, HTSUS, provides for other articles of aluminum, other. These bulletin boards are considered composite goods because no HTSUS subheading completely describes them.

The Harmonized Commodity Description and Coding System Explanatory Notes to the HTSUS (EN), although not dispositive, should be looked to for the proper interpretation of the HTSUS . See, 54 FR 35128 (August 23, 1989).

Composite goods are classifiable as if they consisted of the component which gives them their essential character. EN VIII to GRI 3(b), at page 4, reads as follows:

(VIII) The factor which determines essential character will vary as between different kinds of goods. It may, for example, be determined by the nature of the materials or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.

It is our view that the function of the bulletin boards is crucial in determining their essential character. They are "tack boards" for posting messages, announcements, pictures, etc., in the office, school or home. In order to carry out that function, they are designed essentially to be articles capable of holding and displaying loose papers by the use of tacks, push- pins or the like. Consequently, they must be made of materials which will receive such fasteners efficiently, reliably and repeatedly, and hold them securely. Although both the cork and the fiberboard perform that function together, it seems that the fiberboard plays the predominant role. The cork is too thin, in and of itself, to do the job. Its main purpose seems to be to provide an attractive surface and perhaps create the illusion that the boards are solid cork. The frames are superfluous. The articles could carry out their function with the fiberboard alone. Thus, the fiberboard, considering its functional dominance together with the fact that it gives the bulletin boards their structure, stability and most of their weight can be considered as imparting the essential character to the bulletin boards.

-4-

In view of the foregoing, items 16-1612-43, 16-1824-43, 11- 1824-43 and 11-2436-43 are classifiable under subheading 4421.90.95, HTSUS, which provides for other articles of wood, other.

The last article to be considered, item 11-2412-31/43, is a combination bulletin board and writing board. Half the surface area of the 12" x 24" aluminum-framed article is the same type of bulletin board described above, while the other half has a smooth, hard, reusable writing surface (white "Permo-Delta"). This article is also considered a composite good because no HTSUS subheading completely describes it. The bulletin board component of item 11-2412-31/43 is prima facie classifiable under the subheadings described above. The writing board component is prima facie classifiable under subheading 9610.00.00, HTSUS, which provides for slates and boards, with writing or drawing surfaces, whether or not framed.

GRI 3(b) is not viable because the article has a dual purpose (ie., as a bulletin board and as a writing board). Consequently, we are unable to ascertain which component of the article imparts the essential character thereto. Pursuant to GRI 3(c), HTSUS, the combination bulletin board and writing board is classifiable under subheading 9610.00, HTSUS, as "the heading which occurs last in numerical order among those which equally merit consideration."

HOLDING:

Items 16-1612-43, 16-1824-43, 11-1824-43 and 11-2436-43 are classifiable under subheading 4421.90.95, HTSUS, with duty at the rate of 5.1% ad valorem, or at the rate of 2.5% ad valorem under the U.S-Canada Free-Trade Agreement (CFTA), if otherwise qualified.

Item 11-2412-31/43 is classifiable under subheading 9610.00,00, HTSUS, with duty at the rate of 5.1% ad valorem, or 2.5% ad valorem under the CFTA, if otherwise qualified.


Sincerely,

John Durant, Director
Commercial Rulings Division