CLA-2 CO:R:C:T 957632 ch
David Krakauer
RGA Accessories, Inc.
4 West
33 Street
New York, New York 10001-3386
RE: Tariff classification of "wallets on a string";
handbag; articles of a kind normally carried in the
pocket or in the handbag; wallet.
Dear Mr. Krakauer:
This is in response to your letter, dated January 23, 1995,
requesting tariff classification under the Harmonized Tariff
Schedule of the United States (HTSUS) for two articles described
as "wallets on a string." Samples were sent to this office for
examination.
FACTS:
The first sample, style R1224, is a bifold container with a
three-sided zipper closure. It features a detachable shoulder
strap and measures approximately 7.25 inches in length, 4 inches
in width and .5 inches thick in its closed position. A spectacle
pouch secured by means of a snap flap has been affixed to the
front exterior of the article. The opposite exterior wall
features a zippered coin/utility pocket measuring approximately
2.25 inches by 5.5 inches. The interior possesses a total of ten
credit card slots, an identification card window, a billfold
section for paper currency and a removable checkbook cover. The
exterior surface is composed of man-made textile materials, with
a decorative suede leather patch on the front flap of the
spectacle case holder.
The second sample, style R1225, is a container with a
detachable shoulder strap measuring approximately 7.25 inches in
length and 4.25 inches in width. It possesses a center zippered
compartment which has two gusseted sections. A trifold
compartment with a decorative leather flap and snap closure has
been affixed to the front of the article. The trifold opens to
reveal a small mirror, three open pockets for paper currency and
the like, three credit card slots, an identification card holder
with clear window, a pen holder and a checkbook cover. In
addition, the exterior of the trifold incorporates an open
pocket. A spectacle case holder secured by means of hook and
loop fasteners has been affixed to the rear the article. Style
R1225 possesses an exterior surface composed mainly of man-made
textile materials.
ISSUE:
What is the proper tariff classification for the subject
merchandise?
LAW AND ANALYSIS:
Heading 4202, HTSUS, provides inter alia for handbags and
wallets. Subheadings 4202.22 through 4202.29, HTSUS, encompass
handbags; subheadings 4202.31 through 4202.39, HTSUS, describe
articles of a kind normally carried in the pocket or handbag.
The subheading Explanatory Note to heading 4202, at page 613,
indicates that wallets are classified as an article of a kind
normally carried in the pocket or in the handbag. Pursuant to
General Rule of Interpretation 6, classification of goods at the
subheading level shall be effected mutatis mutandis with General
Rules of Interpretation 1 through 5.
The term "wallet" is not defined in the HTSUS or in the
applicable Explanatory Note to heading 4202, HTSUS. However, we
note the following definitions of the term "wallet" from
lexicographic sources:
Essential Terms of Fashion: A Collection of
Definitions, Charlotte M. Calasibetta, Fairchild
Publications, 1986: An item used to carry paper money,
credit cards, photographs and sometimes with a change
purse or space for a check book or pad.
The Fashion Dictionary, Mary Brooks Picken, Funk &
Wagnalls, 1973: 1. Flat purse or pocketbook, for
carrying either paper money or coins.
Webster's New Collegiate Dictionary, G. & C. Merriam
Co., 1977: 1. a bag for carrying miscellaneous
articles while traveling; 2 a: billfold b: a
pocketbook with compartments for change, photographs,
cards, and keys.
Webster's New World Dictionary, Third College Edition,
Simon & Schuster, Inc., 1988: 1. [Archaic] a
knapsack; 2. a flat pocketbook, as of leather, with
compartments for paper money, cards, etc.; billfold.
We also recognize that the term "handbag" has been defined
as follows:
Essential Terms of Fashion: A Collection of
Definitions: Accessory carried primarily by women and
girls to hold such items as money, credit cards, and
cosmetics.
The Fashion Dictionary: Soft or rigid bag carried in
hand or on arm. Size, shape, handle, etc., depend on
fashion. Used by women as container for money and
pocket-sized accessories.
Webster's New Collegiate Dictionary: 1. traveling bag;
2. a woman's bag held in the hand or hung from a
shoulder strap and used for carrying small personal
articles and money.
Webster's New World Dictionary: A bag, usually of
leather or cloth, held in the hand or hung by a strap
from the arm or shoulder and used, by women, to carry
money, keys, and personal effects.
The submitted samples possess attributes of both wallets and
handbags. For example, they feature credit card slots, pockets
for paper currency/coins and identification card windows, which
are associated with wallets. On the other hand, these articles
possess a shoulder strap and combine the features of more than a
single flatgood (e.g., wallet, spectacle case). As the samples
are described by two subheadings within heading 4202, HTSUS, we
must resort to General Rule of Interpretation 3, in conjunction
with General Rule of Interpretation 6, to determine their proper
classification.
Although the presence of a carrying strap permits the
articles to be worn on the shoulder in a manner consistent with a
handbag, we conclude that a strap in and of itself should not
affect their classification. In this regard, we note that the
provision for handbags specifies that handbags may or may not
have a shoulder strap. Moreover, in this instance the straps are
detachable, suggesting a dual use for the merchandise as articles
to be carried in a handbag. It should also be noted that as a
class of merchandise wallets are normally carried in the pocket
or in the handbag, notwithstanding the fact that it has recently
become popular to carry these items by means of a shoulder strap.
Furthermore, we are of the opinion that the determinative
feature of a handbag is its ability to hold several objects not
associated with a wallet. In this instance, style R1224 is
fitted to hold objects associated with a wallet. It is flat and
possesses slots and pockets to hold credit cards, identification
cards, paper currency and coins. In addition, it is of a size
suitable for carrying in a handbag. We note that the addition of
the spectacle case is a step in the direction of a handbag, as
the article begins to take the character of a carry-all
container. In addition, the zipper closure is not characteristic
of a wallet. However, the article does not possess sufficient
capacity to hold small personal effects which are typically
carried in the handbag (e.g., hairbrush, cosmetics, keys on a
chain). Moreover, the zipper closure merely prevents the
contents from falling out and is not an indication that the
article possesses extraneous carrying capacity. Consequently, we
conclude that style R1224 is most specifically described by the
provision for articles of a kind normally carried in the pocket
or in the handbag.
By way of contrast, we regard style R1225 as a handbag.
Although this item incorporates the features of a wallet, the
center gusseted section provides ample room for holding keys on a
chain, cosmetics and other miscellaneous effects. The trifold
and the spectacle case augment the function of the article as a
carry-all container. For these reasons, style R1225 is
classifiable as a handbag of subheading 4202.22, HTSUS.
At the six-digit classification level, articles of heading
4202, HTSUS, are segregated according to the material composition
of their outer surface. Heading 4202 indicates that handbags and
wallets are classified therein if they are wholly or mainly
covered with textile materials. Styles R1224 and R1225 are
mainly covered with textile materials. We regard the decorative
leather flaps as akin to trimming. Consequently, the articles
possess an outer surface of textile materials for classification
purposes.
HOLDING:
Style R1224 is classifiable under subheading 4202.32.9550,
HTSUS, which provides for articles of a kind normally carried in
the pocket or in the handbag, of man-made textile fibers. The
applicable rate of duty is 19.8 ad valorem. The textile visa
category is 670.
Style R1225 is classifiable under subheading 4202.22.8050,
HTSUS, which provides for handbags, of man-made textile fibers.
The applicable rate of duty is 19.8 ad valorem. The textile visa
category is 670.
The designated textile and apparel category may be
subdivided into parts. If so, visa and quota requirements
applicable to the subject merchandise may be affected. Since
part categories are the result of international bilateral
agreements which are the subject of frequent negotiations and
changes, to obtain the most current information available, we
suggest that you check, close to the time of shipment, the Status
Report on Current Import Quotas (Restraint Levels), an issuance
of the U.S. Customs Service, which is updated weekly and is
available at the 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 the local
Customs office prior to importing the merchandise to determine
the current status of any import restraints or requirements.
Sincerely,
John Durant, Director
Commercial Rulings Division