CLA-2:RR:CR:TE 964790 JFS
Ms. Maria Gallego-Taveras
Patrick Powers Custom Brokers, Inc.
27 Blake Ave.
Lynbrook, NY 11563
Re: Revocation of PD B84557, dated May 19, 1997, and PD B84558, dated May 19, 1997; Travel Document Holders.
Dear Ms. Gallego-Taveras:
This letter is to inform you that Customs has reconsidered Port Decision (PD) B84557, dated May 19, 1997, and PD B84558, dated May 19, 1997, issued to you on behalf of Customcraft, Industries, Inc., concerning the classification of document holders under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA). After review of the rulings, it has been determined that the classification of the document holders in subheading 4202.92.4500, HTSUSA, was incorrect. For the reasons that follow, this ruling revokes PD B84557, and PD B84558.
Pursuant to section 625(c)(1) Tariff Act of 1930 (19 U.S.C. 1625(c)(1)) as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act (Pub. L. 103-82, 107 Stat. 2057, 2186), notice of the proposed revocation of PD B84557 and PD B84558 was published on February 28, 2001, in the Customs Bulletin, Volume 35, Number 9. As explained in the notice, the period within which to submit comments on this proposal was until March 30, 2001. No comments were received in response to this notice.
FACTS:
In PD B84557, style #3375 was under consideration. The document holder was a ticket/passport case for use during travel. It was approximately 10 inches high, 5 ½ inches wide, 1 inch deep (when closed), and had an outer surface of textile backed PVC fabric. The article had an open top pocket on one exterior face and an open top pocket of clear plastic sheeting material on each of the two interior faces. The article had a zippered closure extending around three edges of the case with a wrist strap made of the same material as the body of the case attached to the zipper pull.
In PD B84558, style #3415 was under consideration. The document holder was a ticket/passport case for use during travel. It was approximately 10 inches high, 5 ¼ inches wide, and 1 inch deep (when closed), and had an outer surface of textile backed PVC fabric. The article had an open top pocket on one exterior face, and an open top pocket of clear plastic sheeting material on each of the two interior faces. The case had a zippered closure extending around three edges of the case with a wrist strap made of textile webbing attached to the zipper pull.
ISSUE:
Whether the travel document holders should be classified under subheading 4202.92.4500, HTSUSA, as a travel or similar bag?
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 Harmonized Commodity Description and Coding System, Explanatory Notes (ENs), represent the official interpretation of the Harmonized System at the international level (for the 4 digit headings and the 6 digit subheadings) and facilitate classification under the HTSUSA by offering guidance in understanding the scope of the headings and GRI. The Explanatory Notes, although not dispositive or legally binding, provide a commentary on the scope of each heading of the HTSUS, and are generally indicative of the proper interpretation of these headings. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
Heading 4202, HTSUSA, provides:
Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; traveling bags, toiletry bags, knapsacks and backpacks, handbags, shopping bags, wallets, purses, map cases, cigarette cases, tobacco pouches, tool bags, sports bags, bottle cases, jewelry boxes, powder cases, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanized fiber, or of paperboard, or wholly or mainly covered with such materials or with paper.
The plain language of heading 4202, HTSUSA, includes similar containers. Additionally, the EN to heading 4202, HTSUSA, state that the heading only covers the specifically named containers and similar containers. Applying the principle of statutory construction known as ejusdem generis, which means “of the same kind,” Customs finds that the instant travel document holders are covered by the term “similar containers” contained in the heading.
Under the rule of ejusdem generis, where an enumeration of specific things is followed by a general word or phrase, the general word or phrase is held to refer to things of the same kind as those specified. With respect to the broad reach of the residual provision for “similar containers” in heading 4202, HTSUSA, the courts have found that the rule of ejusdem generis requires that the imported merchandise possess the essential characteristics or purpose that unite the articles enumerated in order to be classified under the general term. Totes, Inc. v. United States, 18 Ct. Int’l Trade 919, 865 F. Supp. 867, 871 (1994), aff’d, 69 F.3d 495 (1995). The Court of International Trade’s determination that the “essential characteristics and purpose of Heading 4202 exemplars are . . . to organize, store, protect and carry various items[,]” was affirmed by the Court of Appeals for the Federal Circuit. Totes, Inc. v. United States, 69 F.3d 495, 498 (1995). Applying the rationale set forth in Totes, Customs finds that the instant travel document holders serve the purposes of organizing, storing, protecting and carrying the various documents that are typically carried during travel. Accordingly, the document holders are classifiable under heading 4202, HTSUSA, as a “similar container.”
With respect to classification at the subheading level, the articles were originally classified under subheading 4202.92.4500, HTSUSA, as a travel or similar bag. The instant document holders have some of the same characteristics as a travel bag, e.g., organizing, storing, protecting, and carrying a person’s documents while traveling. However, application of Additional U.S. Note 1 to Chapter 42, HTSUSA, removes the document holders from the subheading for travel and similar bags. The Additional U.S. Notes become applicable at the eight-digit level or U.S. subdivision of the international subheadings. The provision for travel and similar bags is defined in Additional U.S. Note 1, Chapter 42, HTSUSA, as follows:
For the purposes of heading 4202, the expression “travel, sports and similar bags” means goods, other than those falling in subheadings 4202.11 through 4202.39, of a kind designed for carrying clothing and other personal effects during travel, including backpacks and shopping bags of this heading, but does not include binocular cases, camera cases, musical instrument cases, bottle cases and similar containers.
The Additional U.S. Note clarifies what characteristics will be considered to determine if a bag is a travel or similar bag. Significantly, it lists travel and similar bags as bags that are designed for carrying clothing and personal effects. In order to hold and carry clothing and personal effects, a bag must have a generic or general carrying capacity. The exemplars, backpacks and shopping bags, both have a general or generic carrying capacity suitable for holding clothing and personal effects. Because the document holders do not have a generic carrying capacity, they do not meet the definition of travel and similar bags in Additional U.S. Note 1, Chapter 42, HTSUSA.
In HQ 954298, dated October 27, 1993, Customs considered three pouches. The first pouch was described as a travel pouch and measured 6” by 9”, had one main compartment with two pockets on the front, and attached to a person’s belt. The second pouch also attached to a person’s belt, but it was shaped to hold and carry a hand weapon or pistol. The third pouch was designed to hold and carry an ammunition clip and it too attached to a person’s belt.
The travel pouch was deemed to be classifiable as a travel, sports and similar bag because of its ability to carry personal items. However, the weapon and clip pouches were excluded from classification as travel, sports and similar bags because they were similar to those bags excluded by U.S. Additional Note 1 to Chapter 42.
HQ 954298 provides guidance as to the proper classification of the document holders that are the subject of this ruling. The pouch that had the generic or general carrying capacity was the only pouch that was classified as a travel, sports and similar bag. The two other pouches, which were somewhat specially fitted and had no generic carrying capacity, were excluded from the provision for travel, sports and similar bags. The document holders, due to (1) their lack of general or generic carrying capacity and (2) the fact that they are partially fitted, are more similar to the weapon and clip pouch, than they are to the travel pouch. See also HQ 954288, dated October 27, 1993.
Similarly, the document holders have characteristics and functions that are similar to other fitted or compartmentalized cases such as trucker’s wallets, camera tripod cases, palmtop pocket cases, and compact disk (CD) carrying cases. Like the document holders, these cases are somewhat fitted to carry, protect, and organize a general class of goods. They, like the document holders, do not have a generic or general carrying capacity. See, HQ 084931, dated August 14, 1989 (trucker’s wallet classified in subheading 4202.99.0000, HTSUSA, as “Other”); HQ 087113, dated July 26, 1990 (carrying case for scope, tripod and photo adapter eyepiece classified in subheading 4202.92.9000, HTSUSA, as “Other”); HQ 962341, dated November 23, 1998 (“Palmtop Pocket Case” classified in subheading 4202.92.9026, HTSUSA, as “Other”). HQ 960527, dated April 11, 2000 (CD-ROM storage folios classified in subheading 4202.92.9026, HTSUSA, as “Other”); HQ 960983, dated September 25, 1998 (diskette storage case classified in subheading 4202.99.9000, HTSUSA, as “Other”); HQ 953175, dated February 17, 1993 (compact disc holder classified in subheading 4202.92.9020, HTSUSA, as “Other”).
There are several other potential subheadings under which the document holders could possibly be classified. The document holders serve to organize and protect flat items, and has many of the same characteristics as the attache cases and briefcases that are covered in subheadings 4202.11, HTSUSA, through 4202.19, HTSUSA. However, the document holders are not designed to store protect, and carry items such as newspapers, small umbrellas, and/or other objects normally carried in an attache case or briefcase. See, HQ 962757, dated June 21, 2000; and HQ 962030, dated May 13, 1999.
Additionally, the document holders are not classifiable as “articles of a kind normally carried in the pocket or in the handbag,” subheadings 4202.31, HTSUSA, through 4202.39, HTSUSA. Their large size renders them too large to fit into a pocket or handbag. The wrist strap also indicates that the cases are to be carried in the hand as opposed to in a handbag or pocket.
For a similar ruling, see HQs 963320, 964788, and 964790 of this date.
HOLDING:
Accordingly, for the reasons stated above, Customs finds that the document holders are classified under subheading 4202.92.9060, HTSUSA, as “Trunks, suitcases, vanity cases, . . .: Other: With outer surface of sheeting of plastic or of textile materials: Other: Other: Other: Other.” The duty, at the general one column rate, is 18.3 percent ad valorem.
Due to the changeable nature of the statistical annotation (the ninth and tenth digits of the classification) and the restraint (quota/visa) categories, the importer should contact the local Customs office prior to importing the merchandise to determine the current status of any import restraints or requirements.
EFFECT ON OTHER RULINGS:
PD B84557, dated May 19, 1997 is hereby REVOKED. In accordance with 19 U.S.C. §1625(c), this ruling will become effective 60 days after its publication in the Customs Bulletin.
Sincerely,
John Durant, Director
Commercial Rulings Division