CLA-2-48:OT:RR:NC:2:234
Mr. Gary Chasser
Morgan® Home
75 Lower Main Street
Aberdeen, N.J. 07747
RE: The tariff classification of a PDQ paperboard display unit (box) from China
Dear Mr. Chasser:
In your letter dated April 31, 2013, you requested a tariff classification ruling.
A sample of a PDQ display unit (box) corrugated paperboard was submitted for our examination. The box is a square shaped paperboard made from one piece assembly and measures approximately 19 ¾” (w) x 19 ¾” (d) x 14 ½” (h). The one piece PDQ display unit is held together on the back panel with glue and further assembled by folding and slotting at the bottom of the box. The PDQ box top and section of the sides and front are cut out so that it can be filled with merchandise. The PDQ display unit is printed with the name of the merchandise and the size of the items it contains. The filled unit is designed to be placed on a table, shelf, countertop or the like in a retail store. You are requesting a ruling as to whether the paperboard display unit will be classified separately from its contents, and, if so, what its proper classification will be.
You stated in your letter that throws, towels, sheets, chair covers, etc. are all packaged for retail sale prior to being put into the PDQ display unit in order to protect the product and the PDQ display box.. The PDQ boxes are put into another carton or a cardboard sleeve is put over the PDQ box prior to being shipped The PDQ box by itself would not be adequate to protect the product during shipping and storage, and is not of a kind normally used to pack towels, sheets and etc.
You note that the PDQ is shipped pre-filled with merchandise so that the latter can be more quickly and efficiently put on display in the retail stores. Citing General Rule of Interpretation 5 of the Harmonized Tariff Schedule of the United States (HTS), you suggest that since the PDQ functions essentially as a display rather than as a “packing container”, and is suitable for repetitive use, it should be classified separately from the imported merchandise held within it. We agree with that reasoning.
The sample is being returned as you requested.
The applicable subheading for the PDQ display units (box) imported without general merchandise will be 4823.90.8600, Harmonized Tariff Schedule of the United States (HTSUS), which provides for HTSUS, which provides for Other paper, paperboard, cellulose wadding and webs of cellulose fibers, cut to size or shape; other articles of paper pulp, paper, paperboard, cellulose wadding or webs of cellulose fibers: Other: Other: Other: Other: Other. The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Albert Gamble at (646) 733-3037.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division