CLA-2 CO:R:C:G 087193 JMH

Mr. James L. Gregory
President
C.F. Liebert, Inc.
P.O. Box L
Blaine, Washington 98230

RE: Furniture, panels for workstations, parts of panels

Dear Mr. Gregory:

Your January 24, 1990, request for a classification ruling under the Harmonized Tariff Schedule of the United States Annotated ("HTSUSA") for workstation panels has been referred to this office for a reply.

FACTS:

The articles in question are panels designed for use as office workstation dividers. There are three lines of panels, the Access Series, the Budget Series, and the Designer Series.

The Access Series panels consist of anodized aluminum frames, T-bases for freestanding applications, fabric covered honeycombed cardboard panels, and various metal fasteners. This line was not designed to accommodate any attached units.

The Budget and Designer Series have steel frames which are either painted or covered with wood veneer. The frames surround perforated hardboard that is covered with fabric. Both the Budget and Designer Series panels are components of complete modular office units. The Budget panels have plastic panel connectors that allow pieces to slide together. The Designer panels attach to other components by bolt-on steel connectors. We understand from the product literature that both the Budget and Designer Series panels have the ability to be free standing.

ISSUE:

Whether the workstation panels are furniture, within heading 9403, HTSUSA. -2-

LAW AND ANALYSIS:

The classification of merchandise under the HTSUSA is governed by the General Rules of Interpretation (GRI's). GRI 1, HTSUSA, states in part that "for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes and...according ..to the following provisions."

You believe that the panels are furniture within heading 9403, HTSUSA. Under the prior Tariff Schedules of the United States ("TSUS"), similar panels were classified as furniture only if imported with other modular furniture components. When imported alone, the panels were determined to not be furniture and were classified as screens. A TSUS provision specifically excluded screens from the furniture classification. See Headquarters Ruling Letter 080045 ("HQ 080045"), dated August 8, 1988.

Under the HTSUSA, heading 9403 describes "Other furniture and parts thereof..." There is no provision which specifically excludes panels, screens or other types of dividers from Chapter 94 under Chapter 94, Note 1, HTSUSA. To determine what is meant by "furniture" under the HTSUSA the Explanatory Notes to the HTSUSA must be examined. The Explanatory Notes, although not dispositive, are to be looked to for the proper interpretation of the HTSUSA. 54 Fed. Reg. 35127, 35128 (August 23, 1989).

The General Explanatory Note (A) to Chapter 94 states the term "furniture" means:

Any "movable" articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels, theatres, cinemas, offices, churches, schools, cafes, restaurants, laboratories, hospitals, dentists' surgeries...(It should be noted that, for the purposes of this Chapter, articles are considered to be "movable" furniture even if they are designed for bolting, etc., to the floor... Chapter 94, General Explanatory Note (A), Harmonized Commodity and Coding Service, Vol. 4, p. 1574.

The panels in question are movable, are freestanding, and therefore, constructed to be placed on the floor and are designed for use in an office. The panels are within the meaning of the term "furniture" as utilized by the HTSUSA. The only other classification possibilities are within headings for other articles of the constituent materials of the panels. These -3-

"other articles..." headings describe the panels less specifically than the heading for furniture. Therefore, it is the opinion of this office that the panels are furniture within the meaning of the heading 9403.

GRI 6, HTSUSA, one of the "following provisions" mentioned in GRI 1, requires that the GRIs be utilized for subheadings as they are for headings. The panels are classifiable within two subheadings of heading 9403 because of the various components included in each panel. These subheadings are:

9403.10.00 Metal furniture of a kind used in offices...Other...

9403.30.80 Wood furniture of a kind used in offices...Other...

9403.80.60 Furniture of other materials...Other...

When two or more subheadings are applicable, GRI 3, HTSUSA, is invoked. GRI 3(a), HTSUSA, requires that the most specific subheading is preferred. Since neither subheading provides a more specific description, GRI 3(b) must be used. GRI 3(b) requires that composite goods consisting of different materials be classified according to the material which gives the good its essential character. It is the opinion of this office that the divider or screen portion of the panel gives the panel its essential character. The material of the divider or screen portion of the panel will determine the classification.

The Access Series uses cardboard for its divider or screen. Cardboard is a paper product, not a wood or a metal. Therefore, the appropriate classification for the Access panels is in subheading 9403.80.60, HTSUSA, as "Other furniture and parts thereof...Furniture of other materials...Other..."

The perforated hardboard portion of the Budget and Designer Series panels is wood. The wood gives the panels their essential character. Therefore, the panels are properly classified in subheading 9403.30.80, HTSUSA, as "Other furniture and parts thereof...Wood furniture of a kind used in offices...Other..."

HOLDING:

The panels for use as office workstation dividers are furniture within heading 9803, HTSUSA. The divider or screen portion of the panels gives the panels their essential character, in accordance with GRI 6 and GRI 3(b), HTSUSA.

-4-

The Access Series panels derive their essential character from their cardboard divider. They are properly classified in subheading 9403.80.60, HTSUSA, as "Other furniture and parts thereof...Furniture of other materials...Other..."

The essential character of the Budget and Designer Series panels is derived from wood. They are properly classified in subheading 9403.30.80, HTSUSA, as "Other furniture and parts thereof...Wood furniture of a kind used in offices...Other..."

Sincerely,

John Durant, Director
Commercial Rulings Division