CLA-2-18:S:N:N7:232-881787
Mr. Bruce E. Benedict
John V. Carr & Son Inc.
3680 44th St., Suite 200
Grand Rapids, Michigan 49512
RE: The tariff classification of various chocolate products from
Canada.
Dear Mr. Benedict:
In your letter dated January 4, 1993, on behalf of Kraft
General Foods, you requested a tariff classification ruling.
Samples were included with your request. The samples were
examined and disposed of. Unsweetened Bars are stated to contain
100 percent chocolate liquor. Semi-Sweet Bars contain 49 percent
chocolate liquor, 6 percent cocoa butter and 44.1 percent sugar.
German's Bars contain 36 percent chocolate liquor, 10 percent
cocoa butter and 54.2 percent sugar. Real Semi-Sweet Chips
contain 37 percent chocolate liquor, 5 percent cocoa butter, 57.4
percent sugar and 3 percent butterfat. Real Milk Chocolate Chips
contain 13 percent chocolate liquor, 15 percent cocoa butter, 55
percent sugar and 17 percent whole and non-fat milk. Flavored
Chips are stated to contain 11 percent cocoa powder, 58.8 percent
sugar and 9.3 percent whey. The packaging of the above products
indicates that all of the items, except for the Unsweetened Bars,
also contain flavoring and/or lecithin. All of the merchandise
will be packaged for retail sale.
The applicable subheading for the Unsweetened Bars will be
1803.10.0000, Harmonized Tariff Schedule of the United States
(HTS), which provides for cocoa paste, whether or not defatted:
not defatted. The duty rate will be free.
The applicable subheading for the Semi-Sweet Bars and the
German's Bars will be 1806.32.2098, Harmonized Tariff Schedule of
the United States (HTS), which provides for chocolate and other
food preparations containing cocoa: other, in blocks, slabs or
bars...Not filled: preparations consisting wholly of ground
cocoa beans, with or without added cocoa fat, flavoring or
emulsifying agents, and containing not more than 32 percent by
weight of butterfat or other milk solids and not more than 60
percent by weight of sugar...other...other. The duty rate will
be 5 percent ad valorem.
The applicable subheading for the Real Semi-Sweet Chips will
be 1806.90.0020, Harmonized Tariff Schedule of the United States
(HTS), which provides for chocolate and other food preparations
containing cocoa: other...subject to quotas established pursuant
to section 22 of the Agricultural Adjustment Act, as
amended...provided for in subheading 9904.10.66. The duty rate
will be 7 percent ad valorem.
Goods classifiable under subheadings 1806.32.2098 and
1806.90.0020, HTS, which have originated in the territory of
Canada, will be entitled to a 2.5, 3.5 percent ad valorem rate of
duty, respectively, under the United States-Canada Free Trade
Agreement (FTA) upon compliance with all applicable regulations.
Your inquiry does not provide enough information for us to
give a classification ruling on the Real Milk Chocolate Chips and
the Flavored Chips. Your request for a classification ruling
should include the amount of butterfat in the Real Milk Chocolate
Chips and the balance of the ingredients in the Flavored Chips.
This ruling is being issued under the provisions of Section
177 of the Customs Regulations (19 C.F.R. 177).
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.
Sincerely,
Jean F. Maguire
Area Director
New York Seaport