CLA-2 RR:CR:TE 965230 ttd
TARIFF NO: 5808.10.7000; 5806.32.2000; 5607.50.3500; 6307.90.5020; 5609.00.3000
Mr. Kerry W. Keating
President and CEO
Mitchellace, Inc.
830 Murray Street
P.O. Box 89
Portsmouth, Ohio 45662-0089
RE: Ruling Request on Certain Unfinished Shoe Lacings and Finished Shoelaces.
Dear Mr. Keating:
This is in response to your letter to the Customs National Commodity Specialist Division (NCSD), dated October 11, 2000, requesting a binding ruling classification regarding twenty-four styles of unfinished shoe lacings, in the piece, and finished shoelaces. On November 20, 2000, NCSD issued New York Ruling Letter (NY) G82846 to your company classifying fourteen of the twenty-four styles of lacings and laces. NCSD then forwarded the remaining ten styles to the Office of Regulations & Rulings to determine their proper tariff classification. Samples were submitted.
FACTS:
The articles at issue are ten styles each of unfinished shoe lacing materials, in the piece, and finished shoelaces, referred to as style numbers (nos.): 828, 1668, 1310R, 350R, 736SP, 16-287, 16310, 2152TP, L1200, and L811P. The items are either unfinished lacing materials, shipped in continuous length and cut and tipped to length after importation, or finished lacing materials, cut and tipped to length when imported.
All, except style no. L1200, are constructed of tubular braid and made of either polyester or nylon. Style nos. 828, 350R, 16-287, 16310, and L1200 contain a textile core; the remainder do not. Style no. L1200 is a tubular narrow woven fabric with a textile core.
Style no. L811P is not of a braid or woven construction. This item appears to be made from ten strands of filament yarn assembled or held together with either a lock stitch or crochet yarn (eleventh yarn).
ISSUE:
What is the proper classification of the subject unfinished lacing materials and the finished shoelaces?
LAW AND ANALYSIS:
Classification under the HTSUSA is made in accordance with the General Rules of Interpretation (GRI). GRI 1 provides, in part, that classification decisions are to be “determined according to the terms of the headings and any relative section or chapter notes.” In the event that 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 (EN) constitute 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. While neither legally binding nor dispositive of classification issues, the EN provide commentary on the scope of each heading of the HTSUSA and are generally indicative of the proper interpretation of the headings. See T.D. 89-80, 54 Fed. Reg. 35127-28 (Aug. 23, 1989).
The competing classification provisions for the subject unfinished lacing materials, in the piece, excluding style nos. L811P and L1200 (which will be discussed separately), are heading 5607, HTSUSA, which provides for, among other things, twine, cordage, ropes and cables, and heading 5808, HTSUSA, which provides for, among other things, braids in the piece.
Heading 5607, HTSUSA, provides for "Twine, cordage, ropes and cables, whether or not plaited or braided and whether or not impregnated, coated, covered or sheathed with rubber or plastics." The EN to heading 5607, HTSUSA, provide in pertinent part:
(2) Plaited or braided twine, cordage, ropes and cables.
These are in all cases classified here regardless of their weight per metre. They are usually tubular braids which are generally made of coarser materials than the braids of heading 58.08. However, the plaited goods of this heading differ from those of heading 58.08 less by the nature of the yarn used than by the fact that they are tightly plaited, with a compact structure, making them suitable for use as twine, cordage, ropes or cables. In addition, they are usually uncoloured.
The most important fibres used in the manufacture of twine, cordage, ropes or cables are hemp, jute, sisal, cotton, coir and synthetic fibres.
* * * *
Twine, cordage, ropes and cables are used as binder twine, for tying packages, towing, loading, etc. Their cross-section is usually round but some (e.g., some transmission cables) have a square, trapezoidal or triangular section. They are normally unbleached, but may be dyed, impregnated to make them rot-proof, formed of different coloured strands, or impregnated, coated, covered or sheathed with rubber or plastics.
These products are classified here whether or not cut to length.
The EN goes on to state that the heading excludes, among other things, milanaise and similar cords and other gimped textile products of heading 5808, HTSUSA and articles of 5609, HTSUSA.
Heading 5808, HTSUSA, provides for, inter alia, braids in the piece. The EN to heading 5808, HTSUSA, provide in pertinent part:
(1) Flat or tubular braids.
* * * *
Braid is made on special machines known as braiding or spindle machines.
Varieties of braid include lacing (e.g., for boot or shoe laces), piping, soutache, ornamental cords, braided galloons, etc. Tubular braid may have a textile core.
Braid is used for edging or ornamenting certain articles of apparel (e.g., decorative trim and piping) or furnishing articles (e.g., tiebacks for curtains), as sheathing for electrical wiring, for the manufacture of certain shoe laces, anorak or track suit cords, cord belts for dressing gowns, etc.
Such braid differs from the plaited or braided articles of heading 56.07 on account of its looser plaiting and less compact structure.
Proper classification of the merchandise at issue is based on whether the unfinished shoe lacing material fits within the physical descriptions set forth in either heading 5607 or heading 5808, HTSUSA. In a recent informed compliance publication (ICP), Customs provided guidance on whether yarns are classified in heading 5607 versus heading 5808. See, U.S. Customs Service, What Every Member of the Trade Community Should Know About: Fibers & Yarns Construction and Classification Under the HTSUS, 34 Cust. B. & Dec. 52 (Dec. 27, 2000). The information provided in the ICP is not intended to be definitive but rather to provide a basic guideline for classification purposes. The ICP explains that the distinction between braid of heading 5607 and the braid of heading 5808 is primarily the structure of the braid. Braid that is tightly plaited and has a compact structure is to be classified in heading 5607, while the less compact, not tightly plaited braid is to be classified in heading 5808. While this distinction leaves room for interpretation, generally, flat braids (such as certain types of shoelace material) have generally been considered as not having a compact structure and therefore, they have been classified in heading 5808. Braids for which it is difficult to say whether they are tight and compact, but which are primarily decorative in nature have been classified in heading 5808, which is viewed to cover materials that are more decorative in nature.
In HQ 962604, dated September 24, 1999, Customs found that the compact structure in heading 5607, HTSUSA, lends itself to heavier or industrial applications, as indicated by the exemplars cited in the EN for that heading. The items considered in HQ 962604 (100 percent cotton and 100 percent nylon yarns) were used for purposes such as making fish nets or tying packages and drawstrings. Notwithstanding these applications, the material at issue did not "adequately meet the compact structure that is called for in heading 5607." In HQ 962604, we noted that the exemplars cited in the EN include "binder twine, for tying packages, towing, loading, etc." Accordingly, we determined that braids, which have a more tightly plaited and compact structure, are customarily used for heavier and industrial activities. See e.g., HQ 957661, dated June 7, 1995, (wherein Customs ruled that cords used in power transmission belts are properly classified in heading 5607); HQ 959848, dated November 5, 1997, (wherein Customs ruled that a composite rope of 70 percent polyester and 30 percent cotton is classified in heading 5607); and HQ 865711, dated August 19, 1991, (wherein Customs classified synthetic braid used for suspension lines for parachutes in heading 5607). See also NY 883898, dated March 29, 1993; NY 817778, dated January 4, 1996; and NY 809945, dated May 4, 1995.
The subject unfinished shoelace materials, with the exception of style nos. L811P and L1200 (to be addressed separately), do not adequately satisfy the compact structure requirement of heading 5607, HTSUSA. Like the merchandise in HQ 962604, the subject merchandise is not suitable for the heavier or industrial applications of twine, cordage, ropes or cables. Whereas the EN indicate that items under heading 5607 are usually uncolored and generally made of coarse materials (hemp, jute, sisal, cotton, coir, and synthetic fibers), the subject materials are both colored and made of even filament yarns. In contrast to the exemplars cited in the EN (binder twine, for tying packages, towing, loading, etc), the subject materials are designed and intended for use as shoe and boot laces. Moreover, as the subject lacing materials are not tightly plaited with a compact structure, they are unsuitable for use as twine, cordage, ropes or cables. Accordingly, the merchandise under consideration is neither like the descriptions of merchandise stated in heading 5607, HTSUSA, nor like the examples cited in the EN. Therefore, the subject lacing materials are not properly classified in heading 5607, HTSUSA.
The samples at issue more closely resemble the descriptions of merchandise covered in heading 5808, HTSUSA. Like the braid of heading 5808, which the EN explain is made on special braiding or spindle machines, you indicate, in your letter, dated October 11, 2000, that the subject braided products are all braided on machines with either 8, 16 or 44 carriers. Moreover, among the uses listed for items classified under heading 5808, the EN name "lacing for boot or shoe", which the subject materials are intended to be, when finished after importation. Based on their construction and ultimate use, the subject samples, excluding style nos. L811P and L1200, are correctly classified under heading 5808, HTSUSA, as braid in the piece. See HQ 957751, dated June 6, 1995 (wherein Customs classified tubular braided metallic yarn in heading 5808, HTSUSA). See also HQ 957169, dated February 24, 1995; NY C89666, dated July 9, 1998; and NY C88890, dated June 17, 1998.
Style L1200, unlike the other styles under consideration, is a tubular narrow woven fabric with a textile core. Assuming the "L" in the style number denotes "loom", style L1200 is distinguished from being made on a braiding machine. As a result, this style is not properly classified in heading 5808, HTSUSA, as braids, in the piece. Rather, style no. L1200, in the piece, is properly classified in heading 5806, HTSUSA, which provides for narrow woven fabrics other than goods of heading 5807.
The competing headings under consideration for the subject finished shoelaces, excluding style no. L811P, which will be discussed separately, are heading 5609, HTSUSA, which covers, inter alia, articles of yarn, strip or the like of heading 5404 or 5405, twine, cordage, rope or cables, not elsewhere specified or included and heading 6307, HTSUSA, as other made up articles.
Heading 5609, HTSUSA, covers, inter alia, articles of twine, cordage, rope or cables, not elsewhere specified or included. The EN to heading 5609 provides that the heading includes:
…articles of twine, cordage, rope or cables of heading 56.07, other than those covered by a more specific heading in the Nomenclature.
It includes yarns, cordage, rope, etc., cut to length and looped at one or both ends, or fitted with tags, rings, hooks, etc., (e.g. shoe laces, clothes lines, towing ropes), ships' fenders, unloading cushions, rope ladders, loading slings, dish "cloths" made of a bundle of yarns folded in two and bound together at the folded end, etc.
The EN also explain that the heading does not cover, among other things, textile fabrics and articles made from such fabrics, which are classified in their appropriate headings. Moreover, the EN to heading 5609, HTSUSA, specifically state that shoe laces made from braids are classified in heading 6307, HTSUSA.
In HQ 088320, dated March 15, 1991, Customs declined to classify shoelaces of woven man-made fabrics with plastic fitted ends in heading 5609, HTSUSA, as articles of twine, cordage, rope or cable. See also HQ 088759, dated June 18, 1991, (wherein Customs classified a flat braid fabric with rubber core and cut to length in heading 6307, HTSUSA, not heading 5609, HTSUSA). Like the merchandise in HQ 088320 and HQ 088759, the subject finished shoelaces are not articles of twine, cordage, rope or cable, and as a result, not properly classified in heading 5609, HTSUSA.
Heading 6307, HTSUSA, provides for other made up articles of textile materials. The EN to heading 6307 state that the heading covers made up articles of any textile material which are not included more specifically elsewhere in the tariff schedule. Moreover, the EN to heading 6307 provide that the heading covers boot and shoe laces with fitted ends. In HQ 088320 (cited above), Customs classified shoelaces of woven man-made fabrics with plastic fitted ends in heading 6307, HTSUSA. See also HQ 088759 (cited above).
The finished laces under consideration, like the ones in HQ 088320, are made of man-made material (either polyester or nylon) and are for use as footwear lacings. Like the laces in HQ 088320, the subject laces are not more specifically provided for elsewhere in the tariff, and therefore, are properly classified in heading 6307, HTSUSA. The finished shoelaces of all the above styles (excluding style no. L811P), being of textile fabric, are properly classifiable in heading 6307, as other made up articles.
Finally, regarding style no. L811P, this item, unlike the other samples, is not of a braid or woven construction and as a result, is excluded from classification in heading 5808, HTSUSA. The NCSD inquired specifically about the construction of Style L811P but did not receive a definitive answer other than the "L" stands for "loom" and the "P" stands for "polyester." However, after visual examination, the sample appears to be made of ten strands of filament yarn assembled or held together with either a lock stitch or crochet stitch yarn (an eleventh yarn). As such, style L811P is more suitable for binding and tying purposes, as twine or cordage. Accordingly, style L811P, in the piece, is properly classifiable in heading 5607, HTSUSA, which provides for twine, cordage, ropes and cables. As finished shoelaces, style L811P is properly classifiable in heading 5609, as articles of cordage.
HOLDING:
Based on the foregoing, the unfinished shoe lacing materials, known as style nos. 828, 1668, 1310R, 350R, 736SP, 16-287, 16310, and 2152TP are properly classified in subheading 5808.10.7000, HTSUSA, which provides for "Braids in the piece; … Braids in the piece: Other: Of cotton or man-made fibers." The General Column 1 Rate of Duty is 7.6 percent ad valorem and the textile restraint category is 229.
Style L1200, in the piece, is classified in subheading 5806.32.2000, HTSUSA, which provides for "Narrow woven fabrics, other than goods of heading 5807; … Other woven fabrics: Of man-made fibers: Other." The current rate of duty is 6.4 percent ad valorem and the textile restraint category is 229.
Style L811P, in the piece, is classified in subheading 5607.50.3500, HTUSUSA, which provides for "Twine, cordage, ropes and cables, whether or not plaited or braided and whether or not impregnated, coated, covered or sheathed with rubber or plastics: Of other synthetic fibers: Not braided or plaited: Other." The General Column 1 Rate of Duty is 21.4 cents per kilogram plus 11.6 percent ad valorem. The textile restraint category is 201.
Style nos. 828, 1668, 1310R, 350R, 736SP, 16-287, 16310, 2152TP and L1200, as finished laces, are classified in subheading 6307.90.5020, HTSUSA, which provides for "Other made up articles, … Other: Corset lacings, footwear lacings or similar lacings … Other." The General Column 1 Rate of Duty is 1.6 percent ad valorem and the textile restraint category is 669.
Style L811P, as finished laces, are classified in subheading 5609.00.3000, HTSUSA, which provides for "Articles of yarn, strip or the like of heading 5404 or 5405, twine, cordage, rope or cables, not elsewhere specified or included: Of man-made fibers." The General Column 1 Rate of Duty is 5.4 percent ad valorem.
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 you check, close to the time of shipment, the Status Report On Current Import Quotas (Restraint Levels), an internal issuance of the U.S. Customs Service which is updated weekly and is available for inspection at your local Customs office. The Status Report on Current Import Quotas (Restraint Levels) is also available on the Customs Electronic Bulletin Board (CEBB) which can be found on the U.S. Customs Service Website at www.customs.gov.
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 your local Customs office prior to importation of this merchandise to determine the current status of any import restraints or requirements.
Sincerely,
John Durant, Director
Commercial Rulings Division