CLA-2-18:S:N:N7:232 810011
Mr. Robert V. Tinkham
Chicago Sweeteners Incorporated
1700 Higgins Road
Suite 610
Des Plaines, Illinois 60018
RE: The tariff classification and status under the North
American Free Trade Agreement (NAFTA), of sweetened coca
powder from Mexico; Article 509
Dear Mr. Tinkham:
In your letter dated May 3, 1995 you requested a ruling on
the status of sweetened cocoa powder from Mexico under the NAFTA.
The subject merchandise is stated to contain 95 percent
sugar and 5 percent cocoa powder. The sugar will be grown and
refined in either the United States or Mexico. The cocoa powder
will be manufactured in the United States from cocoa beans grown
in non-Nafta countries. The sugar and cocoa powder will be
measured, proportioned and blended in Mexico. The sweetened
cocoa powder will be imported into the United States in 50, 100
or 2000 pound containers. It will be used as an intermediate
ingredient in the manufacture of confections.
The applicable tariff provision for the sweetened cocoa
powder will be 1806.10.5500, Harmonized Tariff Schedule of the
United States Annotated (HTSUSA), which provides for cocoa
powder, containing added sugar or other sweetening matter:
containing 90 percent or more by dry weight of sugar...articles
containing over 65 percent by dry weight of sugar described in
additional U.S. note 2 to chapter 17...other. The general rate
of duty will be 38.5 cents per kilogram.
Each of the non-originating materials used to make the
sweetened cocoa powder has satisfied the changes in tariff
classification required under HTSUSA General Note 12(t)/18. The
sweetened cocoa powder will be entitled to a free rate of duty
under subheading 9906.18.51, HTS, subject to the quantitative
limits specified in U.S. note 18 to subchapter VI. If the
quantitative limits of U.S. note 18 to subchapter VI have been
reached, and the product is valued not over 31.2 cents per
kilogram, the rate of duty will be 30 cents per kilogram under
subheading 9906.18.5200, HTS. If the quantitative limits
specified in U.S. note 18 to subchapter VI have been reached, and
the product is valued over 31.2 cents per kilogram, the rate of
duty will be 96.2 percent ad valorem under subheading
9906.18.5300, HTS, under the NAFTA upon compliance with all
applicable laws, regulations, and agreements.
This ruling is being issued under the provisions of Part 181
of the Customs Regulations (19 C.F.R. 181).
A copy of this ruling letter should be attached to the entry
documents filed at the time this merchandise is imported. If the
documents have been filed without a copy, this ruling should be
brought to the attention of the Customs officer handling the
transaction.
This ruling letter is binding only as to the party to whom
it is issued and may be relied on only by that party.
Sincerely,
Jean F. Maguire
Area Director
New York Seaport