CLA-2-44:OT:RR:NC:N2:230
Mr. Don Luther
19 CFR Trade Consulting, LLC
P.O. Box 3093
Cumberland, MD 21504
RE: The tariff classification of “Kirei” boards from China
Dear Mr. Luther:
In your letter dated June 16, 2008 on behalf of Celebration Products, dba Kirei U.S.A., you requested a tariff classification ruling.
The products in question are described as “Kirei” boards. “Kirei” boards are composed of layers of sorghum strips (stalks) and poplar veneers. “Kirei” boards, in the condition as imported, have multiple uses, such as for wall covering, cabinetry, and furniture. A specification sheet and a sample measuring approximately 20 mm in thickness and 7.5 cm x 10 cm were submitted.
The submitted 20 mm thick “Kirei” sample consists of seven (7) plies, which form 5 wood layers. The outer two layers are made of sorghum stalks, which have been glued together horizontally and vertically and sawn into 5 mm thick sheets. The core consists of two plies of glued sorghum stalks (each approximately 3 mm thick and with the grain running in the same direction and forming one layer) sandwiched between two (each approximately 1 mm thick) poplar veneer plies. The grains of each layer are at an angle (right angle) to each other. The subject panel will be imported, in various rectangular sizes (e.g., 910 mm x 1820 mm) with square cut and open edges and in various thicknesses from 6 mm to 30 mm. One outer surface has been coated with a clear material which does not obscure the grain, texture or markings. You state that “Kirei” boards are also referred to as “Koryo Boards” or “sorghum plywood.” You also state that the subject boards are described on the commercial invoice as “plywood.”
You propose that the subject “Kirei” boards should be classified in subheading 4412.99.5710, HTSUS, as other plywood, veneered panels and similar laminated wood, other (than with at least one outer ply of nonconiferous wood), other: containing at least one layer of particle board. On the alternative, you propose the subject “Kirei” board should be classified in subheading 4410.90.0000, HTSUS, as particle board of other (than wood) ligneous materials.
Based on your proposed classification and the arguments presented, it appears that you believe that the sorghum layers in the boards in question should be considered particle board. We do not agree for the reasons that follow.
The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System at the international level (for the 4 digit headings and the 6 digit subheadings) and facilitate classification under the HTSUS by offering guidance in understanding the scope of the headings and the General Rules of Interpretation. While neither legally binding nor dispositive of classification issues, the ENs provide commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of the headings. See T.D. 89-80, 54 Fed. Reg. 35127-28 (Aug. 23, 1989).
The ENs to heading 44.10 define the term “particle board” as follows:
Particle board is a flat product manufactured in various lengths, widths and thicknesses by pressing or extrusion. It is usually made from wood chips or particles obtained by the mechanical reduction of roundwood or wood residues. It may also be produced from other ligneous materials such as fragments obtained from bagasse, bamboo, cereal straw or from flax or hemp shives. Particle board is normally agglomerated by means of an added organic binder, usually a thermosetting resin, which generally does not exceed 15 % of the weight of the board.
The chips, particles or other fragments constituting the particle boards of this heading are usually recognisable at the edges of the board with the naked eye. However, in some cases, microscopic examination may be required to distinguish the particles and fragments from the ligno cellulosic fibres characterising the fibreboard of heading 44.11. (Emphasis added.)
Sorghum belongs to the nonconiferous botanical family Gramineae (Poaceae) which includes bamboos and grasses. The sorghum layers in the subject boards consist of the stalks of the plant. The sorghum stalks have not been reduced to chips or particles, but rather they are present in their long strip form, laminated together, and sawn to the required thickness to become the layer(s) of the subject “Kirei” boards. In this respect, the sorghum layers of the subject boards have the same construction as that of bamboo boards, which are made of strips of bamboo. Thus, the subject “Kirei” boards are laminated boards of heading 4412, HTSUS and not boards of agglomerated chips, particles, or other fragments of heading 4410, HTSUS. (See Rulings NY K89493 and N019422.)
You propose that if the “Kirei” boards are classified under heading 4412, HTSUS, they should not be considered “plywood” because “Kirei” boards do not consist solely of sheets of “wood.” However, you cite and agree that according to Chapter 44, Note 6, the term “wood” includes bamboo and other material of a woody nature, which sorghum is one. Clearly, your conclusion that sorghum is not wood for tariff purposes is contrary to Chapter 44, Note 6.
The ENs to heading 44.12 define the term plywood as follows:
Plywood consisting of three or more sheets of wood glued and pressed one on the other and generally disposed so that the grains of successive layers are at an angle; this gives the panels greater strength and, by compensating shrinkage, reduces warping. Each component sheet is known as a “ply” and plywood is usually formed of an odd number of plies, the middle ply being called the “core”.
The American National Standard for Hardwood and Decorative Plywood (ANSI/HPVA HP-1-2004) defines plywood as follows:
A panel composed of an assembly of layers or plies of veneer or veneers in combination with lumber core, particleboard core, MDF core, hardboard core, or special core or special back material joined with an adhesive. Except for special construction, the grain of alternate plies is at right angles and the face veneer is a hardwood or decorative softwood species.
The classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRIs), taken in order. GRI 1 requires that classification be determined according to the terms of the headings and any relative section or chapter notes. In the event that goods cannot be classified solely on the basis of GRI 1, and if the heading and legal notes do not otherwise require the remaining GRI will be applied, in the order of their appearance.
The “Kirei” boards in question are made of five layers of wood with the grains of each layer at right angle to each other. Thus, “Kirei” boards have the construction of plywood and meet the terms of heading 4412, HTSUS. More specifically, since the “Kirei” boards are composed of plies not exceeding 6 mm in thickness and have at least one outer ply of nonconiferous wood (sorghum), they meet the term of subheading 4412.32, HTSUS.
The applicable subheading for the “Kirei” boards will be 4412.32.3170, Harmonized Tariff Schedule of the United States, which provides for plywood, veneered panels and similar laminated wood: other plywood consisting solely of sheets of wood, each ply not exceeding 6 mm in thickness: other, with at least one outer ply of nonconiferous wood: other, other. The rate of duty will be 8 percent ad valorem.
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 Paul Garretto at 646-733-3035.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division