CLA-2 CO:R:C:G 087013 RFC

Mr. Al Sherman
Jack R. Huls & Co.
61 - 12th Street
P.O. Box 1599
Blaine, Washington 98230

RE: Flat-surface, uncoated kraft paper and embossed, uncoated kraft paper used in the manufacture of napkins and industrial wipes

Dear Mr. Sherman:

This ruling letter is in response to your request of April 2, 1990, on behalf of Merfin Hygienic Products Ltd., concerning the tariff classification under the Harmonized Tariff Schedule of the United States (HTSUSA) of certain flat-surface, uncoated kraft paper and embossed, uncoated kraft paper which are both used in the manufacture of napkins and industrial wipes.

FACTS:

In Headquarters Ruling Letter (HRL) 086348, dated March 14, 1990, you were issued a tariff classification ruling on an air- laid processed paper imported in parent rolls exceeding 36 cm in width for use in the manufacture of paper wipes, table cloths, napkins and the like. In the instant request, you are requesting a tariff classification ruling on this same paper but imported in parent rolls of between 28 cm to 33 cm in width for use in the manufacture of napkins and industrial wipes.

You submitted two (2) different samples of white sheets of paper with your request in HRL 086348. One sheet has a flat or uniform surface whereas the other sheet has an embossed surface. Both sheets consist of 100 percent chemical-bleached pulp fibers, an ash of 0.1 percent, and are not coated. The pulp fibers, in turn, are kraft fibers. For purposes of classification of paper in chapter 48, both of these sheets of paper are considered to be "kraft paper." See chapter note 6 to chapter 48 ("kraft paper and paperboard" means paper and paperboard of which not less than 80 percent by weight of the total fiber content consists of fibers obtained by the chemical sulfate or soda processes" (emphasis in original)).

ISSUES:

(1) What is the proper tariff classification under the HTSUSA of flat- or uniform-surface, uncoated kraft paper imported in rolls exceeding 15 cm in width but less than 36 cm in width?

(2) What is the proper tariff classification under the HTSUSA of an embossed, uncoated kraft paper imported in rolls exceeding 15 cm in width but less than 36 cm in width?

LAW AND ANALYSIS:

Classification of merchandise under the HTSUSA is governed by the General Rules of Interpretation (GRIs). GRI 1 requires that classification be determined first according to the terms or the headings of the tariff and any relative section or chapter notes and, unless otherwise required, then according to the remaining GRIs, taken in order.

In the instant classification analysis, the most relevant chapter under which the goods may be classified is chapter 48, which covers, among other things, paper. Within this chapter, there exist two headings under which the goods may be potentially classified: headings 4804 and 4808. Of great significance to these two headings is chapter note 7 to chapter 48, which states, in part, that "[h]eadings...4804 to 4808...apply only to paper [and] paperboard...[i]n strips or rolls of a width exceeding 15 cm...." (Heading 4803 is not a heading in which the goods may be potentially classified because it is restricted to paper that if imported in rolls must be of a width that exceeds 36 cm.)

Heading 4804 provides for uncoated kraft paper and paperboard, in rolls or sheets, other than that of heading 4802 or 4803. Chapter note 2 to chapter 48, however, states, in part, that headings 4801 to 4805 include "paper...which...[has]...been subjected to calendering, super-calendering, glazing or similar finishing, false water-marking or surface sizing...[or paper] colored or marbled throughout the mass by any method...but which...[has not]...been otherwise processed, for example, by coating or impregnation." Moreover, the Explanatory Notes to heading 4804 reaffirm this restrictive language by stating, in part, that "paper...of...[heading 4804]...may be subjected to processes specified in [chapter note] 2 to...[chapter 48]...[but paper] which...[has]...been otherwise processed...[is]...excluded [from heading 4804] (generally heading...[4808])" (emphasis in original). Clearly, then, flat- or uniform-surface, uncoated kraft paper in rolls exceeding 15 cm in width but less than 36 cm in width for use in the manufacture of napkins and industrial wipes would be classified within heading 4808. On the other hand, a paper similar in all respects except that it is "otherwise processed" as described in note 2 (e.g., embossed) would be classified elsewhere within chapter 48.

The other potential heading within chapter 48 in which the goods may be classified is heading 4808. This heading provides for, in part, embossed paper in rolls, other than that of heading 4803. The Explanatory Notes to heading 4808 state, in part, that "[t]his heading covers a variety of papers...in rolls...having the common characteristic of having been worked during or after manufacture in such a way that they are no longer flat or of uniform surface." Moreover, the Notes also state that embossed paper is included under heading 4808, and describe it, in part, as paper "on which a perceptible unevenness of surface has been obtained...[that varies] considerably in quality and appearance...." Under heading 4808, then, should be classified embossed, uncoated kraft paper in rolls exceeding 15 cm in width but less than 36 cm in width for use in the manufacture of napkins and industrial wipes.

In light of the above, the product described above as consisting of flat-surface, uncoated kraft paper is properly classified under heading 4804 as rolls of uncoated kraft paper. On the other hand, the product described above as consisting of embossed, uncoated kraft paper is properly classified under heading 4808 as rolls of embossed paper.

HOLDING:

The product identified above as consisting of flat- surface, uncoated kraft paper and imported in rolls exceeding 15 cm in width but less than 36 cm in width is properly classified under subheading 4804.39.6040, HTSUSA, which provides for, among other things, uncoated kraft paper, in rolls or sheets, other than that of heading 4802 or 4803. The rate of duty for goods imported under this subheading and receiving special tariff treatment under the United States-Canada Free-Trade Agreement is 2.4 percent ad valorem. The general rate of duty is 4 percent ad valorem.

The product identified above as consisting of an embossed, uncoated kraft paper and imported in rolls exceeding 15 cm in width but less than 36 cm in width is properly classified under subheading 4808.90.4000, HTSUSA, which provides for, among other things, embossed paper, in rolls or sheets, other than that of heading 4803 or 4818. The rate of duty for goods imported under

this subheading and receiving special tariff treatment under the United States-Canada Free-Trade Agreement is 1.2 percent ad valorem. The general rate of duty is 2 percent ad valorem.

Sincerely,

John Durant, Director
Commercial Rulings Division