CLA-2:CO:R:C:G 084075 SR
Ms. Debbie DeEsposito
American Shipping Company
600 Sylvan Avenue
P.O. Box 1486
Englewood Cliffs, N.J. 07632
RE: Classification of evening bags
Dear Ms. DeEsposito:
This is in reference to your letter dated March 16, 1989,
requesting the tariff classification of evening bags under the
Harmonized Tariff Schedule of the United States Annotated
(HTSUSA). Samples produced in Hong Kong were submitted.
FACTS:
The merchandise at issue consists of five evening bags. The
bags are made of a rayon satin that has been partially covered
with glass beads. They all have a braided shoulder strap. The
outer surface is considered to be essentially of textile
materials.
ISSUE:
Whether the evening bags at issue are considered to be in
part of braid.
LAW AND ANALYSIS:
Subheading 4202.22.40, HTSUSA, provides for handbags of
textile materials, wholly or in part of braid. General Note
7(e)(ii), HTSUSA, defines "in part of" as goods that contain a
significant quantity of the named material. This note also
states that with regard to the application of the quantitative
concepts specified, it is intended that the de minimis rule
apply. The de minimis rule as applied under the Tariff Schedules
of the United States (TSUS), emphasizes the necessity of
-2-
determining whether the amount of braid used has really changed
or affected the nature of the article. HRL 073592 dated June 12,
1984. If an article contains a significant quantity of braid,
and if that portion or quantity of braid served a useful purpose
or affected the nature of the article or increased the salability
of the item, it would be considered in part of braid. HRL 085617
dated March 4, 1988.
HRL 083632 dated April 27, 1989, dealt with evening bags
that have a braided shoulder strap as well as braided overlay
trim. This ruling found that there is not a significant quantity
of braided material on the evening bags to change or affect the
nature of the article. It was determined that the braid did not
increase the utility or the potential salability of the handbags.
The braid on the handbags at issue does not increase the
utility or the potential salability of the handbags. The
shoulder strap would serve the same function whether or not it is
braided. One of the styles of the handbags at issue can also be
used as a clutch and the strap would not be necessary at all.
Heading 4202, HTSUSA, provides for handbags of leather or of
composition leather, of plastic sheeting, of textile materials,
of vulcanized fiber or of paperboard, or wholly or mainly covered
with such materials. The appropriate subheading for goods under
this heading is determined by the material of the outer surface.
The bags are classifiable under subheading 4202.22.8050, HTSUSA,
which provides for handbags of textile material. Although the
bags have glass beads on the exterior surface the beads do not
provide the essential character of the bag so as to cause the
handbag to be classified as having an outer surface of glass
under the appropriate subheading in Chapter 70, HTSUSA. This is
in accordance with General Rules of Interpretation 2(b) and 3(b),
which provide that when goods are classifiable under two or more
headings they shall be classified as if they consisted of the
material or component which gives them their essential character.
Moreover, the Explanatory Notes to heading 7018, HTSUSA, exclude
from that heading handbags and similar articles of leather or
fabric decorated with glass beads.
The essential character of the bags is imparted by the
textile. The textile material provides more of the external
surface area, even on bags that have bead designs scattered
throughout the bag. The textile provides the shape of the bag
and provides more bulk.
HOLDING:
The merchandise at issue is classifiable under subheading
4202.22.8050, HTSUSA, which provides for handbags, of textile
material, whether or not with shoulder strap, with outer surface
of textile material, other, other, other, of man-made fiber. The
textile category number is 670, the rate of duty is 20 percent ad
valorem.
-3-
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
6 cc A.D. New York Seaport
1 cc Durant
1 cc legal reference