CLA-2-94:OT:RR:NC:N4:433
Joseph Kenny
Geodis USA Inc.
One CVS Drive
Woonsocket, RI 02895
RE: The tariff classification of a hanging closet organizer from China.
Dear Mr. Kenny:
In your letter dated March 21, 2018, on behalf of CVS Pharmacy Inc., you requested a tariff classification ruling. Description and photographs were provided. No material breakdown table was provided by the weight and cost of the composition materials.
CVS item number 298225 is identified as the “Hanging Organizer.” The item has five shelves and is hung by an 8-inch hook and loop closure that fits around a closet bar, and is designed to hold clothing, accessories or other articles. The item is 13 inches wide by 39 inches tall. The organizer is constructed of medium-density fiberboard (MDF) at the top and bottom to provide structure and strength. Cardboard stiffeners are at the front of each shelf opening to help the organizer hold its shape and provide additional strength. Photographs depict that the item is covered over in polypropylene non-woven textile material.
You indicate that there are drawers that fit into the “Hanging Organizer,” and are the subject of a separate ruling request. As such, this ruling will be limited to the classification of the “Hanging Organizer” only.
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule 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 GRIs 2 through 6 may then be applied in order.
A reading of the Legal Note 2, and 2 (a) and 2 (b) to Chapter 94 of the HTSUS, provides: at 2, that the articles (other than parts) referred to in the headings of 9401 to 9403 are to be classified in those headings only if they are designed for placing on the floor or ground; at 2 (a) and 2 (b), the following are, however, to be classified in the above headings even if they are designed to be hung, to be fixed to the wall or to stand one on the other --- 2 (a) Cupboards, bookcases, other shelved furniture (including single shelves presented with supports for fixing them to the wall) and unit furniture, and 2 (b) Seats and beds.
We find that the “Hanging Organizer” falls within category of “other shelved furniture” and as such the merchandise concerned is classified in heading 9403, HTSUS, the heading for “Other Furniture and parts thereof.” At the subheading level the merchandise concerned is composed of different components (MDF {engineered wood}, paper and textile) and is considered a composite good for tariff purposes. GRI 6 in conjunction with GRI 3 (b) is implicated, because of the different competing subheadings, in which the essential character of the good could be classified thereunder.
The Explanatory Notes (ENs) to the HTSUS, GRI 3 (b) (VIII), state that “the factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good.
Even without a complete material breakdown table, this office finds that the polypropylene non-woven textile material imparts the essential character to the “Hanging Organizer.” It is the textile material that covers over all of the MDF and cardboard, and moreover provides the visual that attracts the purchase of the hanging closet organizer.
The applicable subheading for the “Hanging Organizer,” will be 9403.89.6015, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of other materials, including cane, osier, bamboo or similar materials: Other: Other: Other household.” 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 https://hts.usitc.gov/current.
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 Neil H. Levy at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division