CLA-2 CO:R:C:G 086104 DRR
M. J.L. de la Fuente
Americas-Far East Connections, Inc.
P.O. Box 440
Mt. Arlington, New Jersey 07856
Re: Semiprecious stone beads; revocation of HRL 082569, dated
November 17, 1989
Dear Mr. or Ms. de la Fuente:
This is in further response to your letter dated April 4,
1988, requesting the classification of various semiprecious stone
beads under the Harmonized Tariff Schedule of the United States
Annotated (HTSUSA). In a decision letter dated November 17,
1989, Headquarters Ruling Letter (HRL) 082569, the stone beads
were classified under subheading 9902.71.16, HTSUSA. We
subsequently learned that we were erroneously informed that
Subchapter II of Chapter 99 had been amended to create subheading
9902.71.16, HTSUSA. Since subheading 9902.71.16, HTSUSA, does
not exist, HRL 082569 must be revoked.
FACTS:
The merchandise at issue consists of temporarily strung,
graded, semiprecious stone beads which will be used in the
manufacture of jewelry in the United States. The beads are
amethyst, black onyx, coral, hematite, jade, leopard skin jasper,
red flower/puppy jasper, lapis, malachite, rose quartz, tiger
eye, and white agate. The beads are temporarily strung on a 16
inch strand without a clasp. They will be imported from Hong
Kong and Taiwan.
ISSUE:
Whether the semiprecious stones at issue are classifiable
under subheading 7103.99.1000, HTSUSA, or 7116.20.2000, HTSUSA.
-2-
LAW AND ANALYSIS:
Classification of merchandise is in accordance with the
General Rules of Interpretation (GRI), taken in order. GRI 1
provides that classification shall be determined according to the
terms of the headings and any relative section or chapter notes.
Heading 7103, HTSUSA, provides for precious stones (other
than diamonds) and semiprecious stones, whether or not worked or
graded but not strung, mounted or set; ungraded precious stones
(other than diamonds) and semiprecious stones, temporarily strung
for convenience of transport. Subheading 7116.20.2000, HTSUSA,
provides for articles of semiprecious stones (natural, synthetic
or reconstructed), other, of semiprecious stones.
The Explanatory Notes to the HTSUSA may be consulted for
guidance as to the correct interpretation of the various HTSUSA
provisions. The Explanatory Notes for subheading 7103 state that
"The stones of this heading may be strung for convenience of
transport, provided this method of assembly is temporary and that
the stones have not been graded and are not directly suitable for
use as jewelry." In light of the fact that the stones at issue
are graded, they are excluded from this heading.
HOLDING:
The stones at issue are classifiable under subheading
7116.20.2000, HTSUSA, as articles of semiprecious stones (except
rock crystal), with a duty rate of 21 percent ad valorem.
HRL 082569 is hereby revoked in accordance with the
foregoing.
Sincerely,
John Durant, Director
Commercial Rulings Division
6 cc: A.D., Dir., N.Y. Seaport
rimmer library/peh
name 086104