CLA-2 RR:CR:TE 962229 GGD
Ms. Saralee Antrim-Saizan
Carmichael International Service
533 Glendale Boulevard
Los Angeles, California 90026-5097
RE: Classification of "Pad Holders" with and without Pads;
Articles of Stationery; Other Made Up Textile Articles;
Letter Pads; Memorandum Pads; Portfolio; Not Attache Case,
Briefcase, School Satchel; Headings 4820, 6307, 4202;
Avenues in Leather v. United States, 11 F. Supp. 2d 719,
Slip Op. 98-54, Decided April 24, 1998
Dear Ms. Antrim-Saizan:
This letter is in response to your request of August 20,
1998, on behalf of your client, Zekel, Inc., concerning the
classification under the Harmonized Tariff Schedule of the United
States Annotated (HTSUSA) of two styles of portfolios imported
with and without writing pad. The merchandise will be
manufactured in Indonesia, Thailand, Sri Lanka, or Hong Kong.
Samples were submitted with your request.
FACTS:
The goods at issue are described as "Pad Holders." They are
identified by two different style numbers - 6303 and 6303B -
which essentially differ only in color and in the composition of
their outer surface material. Style 6303 is black in color and
has an outer surface composed of woven polyester fabric that is
backed with polyvinyl chloride (PVC) plastic. Style 6303B is
brown in color with an imitation suede outer layer composed of
fabric-backed PVC plastic that has been coated on its exterior
surface with a textile flocking of man-made fibers. The interior
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surfaces of each style are constructed of woven polyester fabric
and PVC trim. There is plastic foam and cardboard between the
outer and inner surfaces of each article.
Each of the articles consists of a jacket or case which is
zippered on 3 sides and which measures approximately 13-3/4
inches in height by 10-1/2 inches in width by 1 inch in depth (in
the closed position). The right interior side of each case
features a sleeve to accommodate the insertion of a lined
memorandum or writing pad. The interior left side of each case
features 3 full-width pockets for papers. One pocket has gussets
(allowing for some expansion) and measures approximately 8-1/2
inches in height. Another full-width pocket is flat, is in front
of the gusseted pocket, and measures approximately 4-1/4 inches
in height. The third full-width pocket has a zippered closure.
There are two small, flat pockets (one of which has a transparent
plastic window for an identification card), six slots for
business or credit cards, and one pen holder. There also is a
flat, full-width pocket on each article's exterior front. Either
of the styles may be imported with a lined memorandum pad or
writing pad (which measures approximately 8-1/4 inches in width
by 11 inches in height by 1/4 inch in thickness) with a cardboard
backing that slips into the slot or sleeve in the right interior
side of each jacket or case.
ISSUE:
Whether the articles are classified under heading 4202,
HTSUSA, which covers, in part, attache cases, briefcases, school
satchels, and similar containers; under heading 4820, HTSUSA,
which among other items, covers letter pads, memorandum pads, and
other articles of stationery, including jackets; or under heading
6307, HTSUSA, which covers other made up (textile) articles.
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with
the General Rules of Interpretation (GRI). GRI 1 provides that
the classification of goods shall be determined according to the
terms of the headings of the tariff schedule and any relative
Section or Chapter Notes. In the event that the goods cannot be
classified solely on the basis of GRI 1, and if the headings and
legal notes do not otherwise require, the remaining GRI may then
be applied. The Explanatory Notes (EN) to the Harmonized
Commodity Description and Coding System, which represent the
official interpretation of the tariff at the international level,
facilitate classification under the HTSUS by offering guidance in
understanding the scope of the headings and GRI.
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We first consider classification of the "Pad Holders" when
imported with the paper pad each is designed to contain. Among
other merchandise, chapter 48, HTSUSA, covers articles of paper
or of paperboard. Note 1(h) to chapter 48, HTSUSA, states that
"[t]his chapter does not cover: Articles of heading 4202 (for
example, travel goods)." Among the items covered by heading
4820, are notebooks, letter pads, memorandum pads, diaries and
similar articles, binders (looseleaf or other), folders...and
other articles of stationery...including cover boards and book
jackets.... The EN to heading 4820 indicate that the heading
covers various articles of stationery including (in addition to
the examples noted above) notebooks of all kinds, file covers,
files (other than box files), and portfolios. The EN also
suggest that the goods of the heading may be bound with materials
other than paper (e.g., leather, plastics or textile material)
and have reinforcements or fittings of metal, plastics, etc.
Among other goods, heading 4202, HTSUSA, provides for
attache cases, briefcases, and similar containers. The exemplars
named in heading 4202 have in common the purpose of organizing,
storing, protecting, and carrying various items. EN (c) to
heading 4202 indicates that the heading does not cover articles
which, although they may have the character of containers, are
not similar to those enumerated in the heading, for example, book
covers and reading jackets, file-covers, document-jackets...and
which are wholly or mainly covered with leather, sheeting of
plastics, etc. Such articles fall in heading 4205 if made of (or
covered with) leather or composition leather, and in other
chapters if made of (or covered with) other materials.
In several Headquarters Ruling Letters (HQ), Customs has
considered the classification of goods featuring certain
characteristics common to the enumerated exemplars of headings
4202 and 4820, HTSUSA. In HQ 957618, issued March 1, 1995, this
office classified a stationery kit consisting not only of a
zippered case and memorandum pad, but also numerous other
articles - e.g., a scissors, pen, pencil, ruler, tape dispenser,
pencil sharpener, stapler, staples, staple remover, highlight
marker, paper clips, and an eraser. We noted that in prior
decisions involving similar cases imported only with paper pads,
the goods had been classified in heading 4820, with the cases
characterized as jackets or covers which merely emphasized the
purpose of the complete article to provide a means to take notes.
In light of the twelve additional components with which it was
imported, we found that the case was a specially shaped or fitted
container which imparted the kit's essential character. The
complete article was classified in subheading 4202.91.0090,
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HTSUSA. We also noted that containers for stationery kits that
were outside the scope of heading 4202 had been classified
according to their constituent materials.
In HQ 959791 and HQ 959792, dated February 11, 1997, and
issued to modify HQ 955655 and HQ 955656 (dated July 14, 1995),
respectively, this office found that competition between headings
4202 and 4820 was resolved by note 1(g) to chapter 48 (now note
1(h) to chapter 48), which excludes articles of heading 4202 from
Chapter 48. We noted the requirement of GRI 1, that
"classification shall be determined according to the terms of the
headings and any relative section or chapter notes," and that
other GRI may be used "provided such headings or notes do not
otherwise require."
Since the exclusionary note to chapter 48, HTSUSA, did
require that other GRI not be used to determine classification,
the fact that certain of the articles subject to HQ 955655 and HQ
955656 were prima facie classifiable in heading 4202, precluded
classification of those goods under heading 4820, HTSUSA.
Analysis pursuant to any GRI other than GRI 1 was therefore
inappropriate. On that basis, HQ 955655 and HQ 955656 were
modified by HQ 959791 and HQ 959792, respectively. The
above analysis was reiterated and fully supported in a decision
by the Court of International Trade in Avenues in Leather v.
United States, 11 F. Supp. 2d 719, Slip Op. 98-54, decided April
24, 1998.
With regard to whether the "Pad Holders" are prima facie
classifiable under heading 4202, HTSUSA, it must be determined
whether the articles merely have the character of 4202
containers, or whether their primary purpose is to organize,
store, protect, and carry various items. The article is designed
to organize and perhaps protect, small and/or flat items in
addition to a writing pad. The pad holder's depth of only one
inch, however, and its lack of handles or straps, indicate that
the article is not designed to easily store, protect, and carry
additional items such as a newspaper, a book, and/or other
objects normally carried in an attache case or briefcase.
Although the case has the character of a container, with perhaps
more features than a simple jacket or cover, it does not have the
requisite physical attributes Customs has found common to the
containers of heading 4202. We find that the case's added
features serve to enhance its primary purpose, which is to
provide a convenient and organized method by which to take notes
in a variety of locations and circumstances. The case with pad
is not prima facie classifiable under heading 4202, and is
therefore not precluded from classification under heading 4820.
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In HQ 956940, issued November 25, 1994, this office
classified in subheading 4820.10.2020, HTSUSA, two styles of
portfolios whose dimensions (13-1/2 inches by 10 inches by 1
inch), features (zippered closure, pockets, slots, and pen
holder), and contents (an 8-1/2 inch by 11 inch writing pad) were
substantially similar to those of the "Pad Holders." Although
those cases also possessed some features that might be found in
an attache case, it was noted that the pockets of the exterior
and interior were essentially flat and suitable only for loose
papers, business cards, and other small, flat items. We
concluded that those cases functioned primarily as organizational
aids for note taking and that they retained the character of
jackets and covers that are not covered by heading 4202. Since
heading 4820 covers letter pads, memorandum pads, and other
articles of stationery with jackets or covers, the writing pad
and its case, as a whole, constitute an article of stationery.
When imported with a writing pad, each "Pad Holder" is classified
in subheading 4820.10.2020, HTSUSA. See also, HQ 960889, issued
July 20, 1998, and HQ 961418, issued August 4, 1998.
In order to classify the "Pad Holder" when imported without
a writing pad, we note that, although the case's primary purpose
remains tied to the organization and use of stationary, standing
alone, the case is not an article of stationery covered under
heading 4820. Further, although the case has the character of a
container and may have more features than a simple jacket or
cover, it does not have the physical attributes common to the
containers of heading 4202. As previously noted, EN (c) to
heading 4202 indicates that such articles fall in heading 4205 if
made of (or covered with) leather or composition leather, and in
other chapters if made of (or covered with) other materials.
Since the articles are essentially made of textile materials,
they fall in heading 6307. Imported without memorandum or
writing pads, the "Pad Holders" are classified in subheading
6307.90.9989, HTSUSA. See also HQ 959328, issued April 3, 1997.
HOLDING:
When imported with a lined memorandum or writing pad, the
zippered portfolios described as a "Pad Holders" and identified
by style numbers 6303 and 6303B, are classified in subheading
4820.10.2020, HTSUSA, the provision for "Registers...diaries and
similar articles: Diaries...and similar articles, Memorandum
pads, letter pads and similar articles." The general column one
duty rate is 2.4 percent ad valorem.
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When imported without a lined memorandum or writing pad, the
zippered portfolios described as a "Pad Holders" and identified
by style numbers 6303 and 6303B, are classified in subheading
6307.90.9989, HTSUSA, the provision for "Other made up articles,
including dress patterns: Other: Other: Other, Other: Other."
The general column one duty rate is 7 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division