CLA-2 RR:CR:TE 962343 MBG
Mr. James W. Lawless
C.H. Powell Company
1 Intercontinental Way
Peabody, MA 01960
RE: Reconsideration of PC 878021, Insulated Baby Bottle Holder
for Single Bottled Beverage
Dear Mr. Lawless:
On October 6, 1992, Customs issued Pre-Classification Ruling
PC 878021 to your client The First Years, of Avon Massachusetts,
regarding the tariff classification of an insulated baby bottle
carrier. The merchandise was classified within tariff number
4202.92.4500, Harmonized Tariff Schedule of the United States
Annotated (HTSUSA). Based on your request for reconsideration,
our New York Office has asked us to modify that ruling to reflect
classification of the bottle carrier under subheading
4202.92.9060, HTSUSA.
FACTS:
The sample under reconsideration is identified as style
1013. It is an insulate baby bottle carrier designed to contain
one bottle. The carrier is cylindrical in shape and has a top
zipper closure ands carrying handle. The carrier is manufactured
of three layers of unsupported polyvinyl chloride (PVC) sheeting
and an inner layer of 1/16th inch thick polylurethane foam.
ISSUE:
Whether the bottle bag designed to carry a single baby
bottle is classified under heading 3924, HTSUSA, as a container
with an outer surface of plastics to which the principles of the
decision in SGI, Incorporated v. United States (SGI) apply, or
under heading 4202, HTSUSA, as a container used to organize,
store, protect, and carry various items?
LAW AND ANALYSIS:
Classification under the HTSUSA 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 HTSUSA by offering guidance
in understanding the scope of the headings and GRI.
The merchandise under reconsideration is substantially
similar to the merchandise previously considered by Customs in HQ
961047, dated September 25, 1998. Consistent with the holding in
HQ 961047, it is Customs position that the subject insulated baby
bottle carrier can be distinguished from the goods ruled on by
the Court of Appeals for the Federal Circuit (CAFC) in SGI,
Incorporated v. United States, 122 F.3d 1468 (Fed. Cir. 1997).
In SGI, the CAFC examined the classification of certain
portable, soft-sided, insulated cooler bags with outer surface of
plastics. The CAFC focused on whether food or beverages were
involved with the eo nomine exemplars set forth in the tariff
provisions at issue and, without discussion of heading 4202
exemplars that organize, store, protect, and/or carry food or
beverages, the CAFC held that the appropriate classification for
the cooler bags was subheading 3924.10.50, HTSUSA, the provision
for "Tableware, kitchenware, other household articles. . . of
plastics: Tableware and kitchenware: Other." The Court stated
that this classification "does encompass exemplars that are
ejusdem generis with the coolers because their purpose is to
contain food and beverages." The exemplars (specifically
enumerated in subheading 3924.10.10) which the Court noted in
particular were the "various household containers for foodstuffs
such as salt, pepper, mustard, and ketchup dispensers and serving
pieces for food."
This office concluded that the CAFC's decision in SGI should
be implemented. Instructions were issued to Customs field
personnel on March 19, 1998, and September 10, 1998 (and approved
for dissemination to members of the importing community), by
which the principles of the CAFC's decision were expressly
extended to portable, hard or soft-sided, insulated coolers and
similar insulated containers (whose primary purpose is to store
and preserve food and/or beverages), with outer surface of
plastics, with outer surface of textile materials (classified in
subheading 6307.90.9905, 6307.90.9907, or 6307.90.9909, HTSUSA,
depending upon whether the outer surface is composed of cotton,
man-made fibers, or other textile materials, respectively), and
with an exterior layer composed of a textile fabric that is
coated, covered or laminated with compact plastics, with the
plastic surface facing outward (classified in subheading
6307.90.9989, HTSUSA).
The instructions issued in March 1998 also stated, however,
that the classification of bottle cases, insulated bottle bags,
and similar containers (if designed to contain only one bottle or
similar single unit of a beverage, regardless of the unit's
capacity) was unaffected by SGI. It was noted that a bottle case
is an exemplar container of heading 4202 and (unlike the articles
before the Court in SGI) is not designed to contain food or
multiple beverages.
The subject insulated baby bottle holder is not similar to
the soft-sided, insulated cooler bags at issue in SGI. The
bottle holder is designed to transport a single baby bottle and
is thus similar to the exemplar bottle cases properly classified
under heading 4202, HTSUSA. In light of the principles of the
SGI decision and the instructions noted above, the insulated baby
bottle holder is classified in subheading 4202.92.9060, HTSUSA.
HOLDING:
The insulated baby bottle holder identified by style no.
1013 is classified in subheading 4202.92.9060, HTSUSA, the
provision for "trunks. . . holsters. . . bottle cases. . . and
similar containers. . . : Other: With outer surface of sheeting
of plastic or of textile materials: Other: Other, Other: Other."
The general column one duty rate is 19 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division