CLA-2 CO:R:C:T 953175 NLP
Ms. Lydia Cheng
Starite Industries, Inc.
P.O. Box 1852
Taipei, Taiwan, R.O.C.
RE: Compact disc holder; cases used for storing, protecting and
transporting; Legal Note 2(h) to Chapter 39; heading 3923;
heading 4202; Explanatory Notes to heading 4202; HRLs
952487, 952700, 951080, 085519, 951218, 950397 and 083441;
NYRL 868933
Dear Ms. Cheng:
This is in response to your letter dated December 7, 1992,
to our New York office, in which you requested a tariff
classification for a compact disc holder under the Harmonized
Tariff Schedule of the United States (HTSUS). Two samples of the
compact disc holders were submitted for our examination.
FACTS:
The compact disc holders are bi-fold style with zipper
closures on three sides. The exterior of the articles is made of
a nylon woven fabric. The next layer is foamed plastic padding,
followed by a layer of cardboard. The innermost layer appears to
be plastic. Model WM-650 measures approximately 6-1/4 inches by
6-1/4 inches by 3/4 inch. Model WM-651 measures approximately 6-
1/4 inches by 11-3/4 inches by 1-3/4 inches.
The compact disc holders feature a sheath-like pocket on
each inside cover. The interior spine of each holder is
reinforced with an imitation leather material. Each article has
an insert of clear plastic pages ("wings"), which are bound and
covered by heavy gauge plastic. The plastic tabs of the cover
are inserted into the left and right sheaths and this forms the
CD organizer. Model WM-650 is designed to contain 12 discs and
model WM-651 has capacity for 24 discs.
ISSUE:
Whether the compact disc holders at issue are classifiable
as containers and cases similar to those enumerated in heading
4202, HTSUS?
LAW AND ANALYSIS:
The classification of goods under the HTSUS is governed by
the General Rules of Interpretation (GRI's), 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. In the event that the 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's may be applied, taken in
order.
Heading 3923, HTSUS, provides for "[a]rticles for the
conveyance or packing of goods, of plastics,...". Legal Note
2(h) to Chapter 39, HTSUS, precludes from classification therein
"...trunks, suitcases, handbags or other containers of heading
4202." Therefore, if the compact disc holders are items
classifiable in heading 4202, HTSUS, then they are precluded from
classification in heading 3923, HTSUS.
Heading 4202, HTSUS, provides for the following:
Trunks, suitcases, vanity cases, attache cases,
briefcases, school satchels, spectacle cases, binocular
cases, camera cases, musical instrument cases, gun
cases, holsters and similar containers; traveling bags,
toiletry bags, knapsacks and backpacks, handbags,
shopping bags, wallets, purses, map cases, cigarette
cases, tobacco pouches, tool bags, sports bags, bottle
cases, jewelry boxes, powder cases, cutlery cases and
similar containers, of leather or of composition
leather, of sheeting of plastics, of textile materials,
of vulcanized fiber or of paperboard, or wholly or
mainly covered with such materials or with paper.
The Harmonized Commodity Description and Coding System
Explanatory Notes (EN) to heading 4202 state, on page 613, that
this heading does not cover "[a]rticles which, although they may
have the character of containers, are not similar to those
enumerated in the heading..." It is our position that the
compact disc holders are similar to several items enumerated in
heading 4202, HTSUS. We note that there is no prerequisite that
cases of heading 4202, HTSUS, be specially fitted to accommodate
particular articles or have handles or straps to facilitate
carrying. In addition, the containers of heading 4202, HTSUS,
also may have hard or soft exteriors. For example, one of the
listed exemplars is a camera case. Many camera cases are not
specially fitted, do not have straps and may have soft exterior
surfaces. The function of the case is to provide protection so
that a camera may be stored or transported until the time it is
used. Similarly, the compact disc holders protect, store and
provide a means of transport for compact discs. The fact that
they do not have handles or shoulder straps does not remove them
from classification in this heading.
Furthermore, Customs has recently classified a similarly
constructed compact disc storage unit in heading 4202, HTSUS. In
Headquarters Ruling Letter (HRL) 952487, dated December 29, 1992,
we held that a compact disc holder with a snap closure that was
designed to store and protect compact discs was a container
similar to those enumerated in heading 4202, HTSUS. Customs
classified this article in subheading 4202.92.9040, HTSUS. See
also, HRL 952700, dated December 23, 1992, which classified a
computer storage disc organizer in subheading 4202.92.9020,
HTSUS; HRL 951080, dated May 14, 1992, which classified a
cassette tape and compact disk carrying case in subheading
4202.92.90, HTSUS; HRL 085519, dated September 27, 1989, which
also classified a cassette carrying case made of burlap and
having an adjustable shoulder strap in subheading 4202.92.90,
HTSUS; New York Ruling Letter 868933, dated December 18, 1991,
which classified a 100% cotton textile compact disc case with a
snap closure in subheading 4202.92.6000, HTSUS.
Moreover, it is our position that the subject compact disc
holders are not similar to other types of protective covers often
referred to as "organizers" or "portfolios". See, HRL 951218,
dated July 28, 1992 and HRL 950397, dated January 23, 1992, which
classify and describe various types of organizers and portfolios.
The organizers and portfolios are usually fitted with special
design features, such as interior slits into which note pads are
held in place, loops which accommodate pens and pencils, and
means by which such items as calculators or day planners are
affixed. These items, by design, actively organize their
internal contents and form an integral unit with them. That is
not the case with the compact disc holders at issue, whose
primary purpose is not organizational, but to protect, store and
enable the convenient transport of the compact discs.
In addition, even if the compact disc holders were not
classified in heading 4202, HTSUS, Chapter 39, HTSUS, would still
not provide for these articles. The subject articles are
primarily used to store and protect compact discs. Customs has
ruled that articles primarily used to protect or store goods are
not classifiable in heading 3923, HTSUS, as that heading provides
for articles for "packing" and "conveying". See, HRL 083441,
dated October 23, 1989.
The compact disc holders have an outer surface of textile
material, which is one of the specified materials included in
heading 4202, HTSUS, and they are similar to articles enumerated
in heading 4202, HTSUS. Accordingly, the compact disc holders
fall clearly within the purview of the term "similar containers"
as set forth in heading 4202, HTSUS. Specifically, the compact
disc holders are classified in subheading 4202.92.9020, HTSUS.
HOLDING:
The compact disc holders are classified in subheading
4202.92.9020, HTSUS, which provides for "[t]runks, suitcases...
binocular cases, camera cases, musical instrument cases... and
similar containers;...[o]ther: [w]ith outer surface of plastic
sheeting or of textile materials: [o]ther: [o]ther: [o]ther: of
man-made fibers." The rate of duty is 20% ad valorem and the
applicable textile quota category is 670.
The designated textile and apparel categories 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 the importer 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.
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