CLA-2-22:S:N:N7:232 898045
Ms. Mary Jo Muoio
Barthco International, Inc.
90 West Street
New York, NY 10006
RE: The tariff classification of a cedar box containing port
wine from Portugal and three cigars from the Dominican
Republic.
Dear Ms. Muoio:
In your letter received on May 19, 1994 you requested a tariff
classification ruling on behalf of Kobrand Corporation, 134 East
40th Street, New York, NY 10016.
Your query concerns the classification of a cedar box
containing a 375 ml bottle of port wine (containing 20 percent of
alcohol by volume) from Portugal as well as three cigars from the
Dominican Republic. You state that the wine will be shipped from
Portugal to a foreign trade zone in the Dominican Republic, where
it will be packed with the three cigars into the cedar box which
is then shrink-wrapped. A sample of the item was included with
your request. The sample was opened, examined and disposed of.
The applicable subheading for the port wine will be
2204.21.8060, Harmonized Tariff Schedule of the United States
(HTS), which provides for wine of fresh grapes, including fortified
wines...other wine...in containers holding 2 liters or less...other
...of an alcoholic strength by volume over 14 percent vol....other
...other. The duty rate will be 26.4 cents per liter. Imports
under this subheading are also subject to Federal Excise Tax (26
U.S.C. 5001 and 5041) of $1.57 per wine gallon on still wines
containing more than 14 percent and not exceeding 21 percent of
alcohol by volume.
The applicable subheading for the cigars will be 2402.10.8000,
HTS, which provides for cigars, cheroots, cigarillos and
cigarettes, of tobacco or of tobacco substitutes...cigars, cheroots
and cigarillos, containing tobacco...each valued 23 cents or over.
The rate of duty will be 2
$1.26 per kilogram plus 3 percent ad valorem. Imports under this
provision are subject to Federal Excise Tax (26 U.S.C. 5701) of:
1) $1.125 per 1,000 on cigars weighing not more than 3 pounds per
1,000;
2) 12.75 percent of the price for which sold but not more than
$30 per 1,000.
Articles classifiable under subheading 2402.10.8000, HTS,
which are products of the Dominican Republic are entitled to duty
free treatment under the Caribbean Basin Economic Recovery Act
(CBERA) upon compliance with all applicable regulations.
The cedar box is considered packing for the port wine and the
cigars. Its value should be pro-rated between these two products.
Section 304 of the Tariff Act of 1930, as amended (19 U.S.C.
1304), provides, in general, that all articles of foreign origin
imported into the United States must be legibly, conspicuously,
and permanently marked to indicate the English name of the country
of origin to an ultimate purchaser in the United States. The
implementing regulations to 19 U.S.C. 1304 are set forth in Part
134, Customs Regulations (19 CFR Part 134). Accordingly, the
outside of the cedar box should be marked to show that the port is
a product of Portugal, the cigars are products of the Dominican
Republic, and the item is packaged in the Dominican Republic.
Additionally, the inside face lid of the box must show the country
of origin of the cigars.
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