CLA-2-39:OT:RR:NC:N4:433
Kathy Trotta
Administrative Assistant
Conair Corporation
150 Milford Road
East Windsor, NJ 08520
RE: The tariff classification of beads and polybands from China.
Dear Ms. Trotta:
In your letter dated December 21, 2015 you requested a tariff classification ruling. The sample submitted will be returned to you as requested.
Item number 30282-G is described as the “Scunci® Girl Beads and Polybands.” The item is a pack of 75 pieces of combined beads and polybands in assorted colors. The beads have large holes for threading hair and the polybands are miniature in size. The beads are made of 100% Acrylonitrile Butadiene Styrene (ABS) and the polybands are made of 100% thermoplastic polyurethane (TPU). The beads and polybands are packaged together in compartments, separating each of them on a blister card. This item is used to ornament one’s hair.
Classification of goods 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.
When interpreting and implementing the Harmonized Tariff Schedule of the United States (HTSUS), the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The EN to the HTSUS, General Rules of Interpretation, at GRI 3 (b), X, provides that the term “goods put up in sets for retail sale” means goods that: (a) consist of at least two different articles which are, prima facie, classifiable in different headings; (b) consist of articles put up together to meet a particular need or carry out a specific activity; and (c) are put up in a manner suitable for sale directly to users without repacking. Goods classifiable as “sets” under GRI 3 (b) of the HTSUS are classified as if they consisted of the component or components taken together, which can be regarded as conferring on the set as a whole its essential character – see EN X to the General Rules of Interpretation.
Since both the beads and polybands are classified in heading 3926, HTSUS, the issue becomes the proper ten-digit [sub]heading classification for the items. Accordingly, GRI 6, HTSUS, is implicated. GRI 6 provides that the classification of goods at the subheading level shall be determined according to the terms of those subheadings and any related subheading notes and, mutatis mutandis, to the above rules [GRIs 1 - 5], on the understanding that only subheadings at the same level are comparable. Using GRI 6, the beads of plastic are classified in subheading 3926.90.35, HTSUS, and the polybands of plastic are classified in subheading 3926.90.99, HTSUS. By using, GRI 6 in conjunction with GRI 3 (b): we have two different [sub]headings of the tariff; both the beads and polybands are put up together for purposes of adorning hair with strings of individual or multiple beads; and both goods are packaged together directly for sale to consumers without repacking. With case in point the “Scunci® Girl Beads and Polybands” are a “set” for tariff purposes.
Even with recognizing that the merchandise concerned meets the “set” requirements for tariff purposes, we cannot make an essential character determination in favor of subheading 3926.90.3500 (beads), as the terms of the subheading excludes beads, bugles and spangles put up in sets. The essential character of the “set” is not imparted by the polybands. Consequently, the beads and polybands are classified separately.
The applicable subheading for the beads will be 3926.90.3500, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other articles of plastic and articles of other materials of headings 3901 to 3914: Other: Beads, bugles and spangles, not strung (except temporarily) and not set; articles thereof, not elsewhere specified or included: Other.” The rate of duty will be 6.5% ad valorem.
The applicable subheading for the polybands will be 3926.90.9905, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other articles of plastics and articles of other materials of headings 3901 to 3914: Other: Other: Elastic bands made wholly of plastics”. 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 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 Neil H. Levy at [email protected].
Sincerely,
Deborah Marinucci
Acting Director
National Commodity Specialist Division