CLA-2-72:OT:RR:NC:N1:117
Ms. Mylene Tan
HJ Lee Company
11099 S. La Cienaga Blvd.
Suite 152
Los Angeles, CA 90045
RE: The tariff classification of iron powder and PVC magnetic receptive banner rolls from South Korea and the Republic of China
Dear Ms. Tan:
In your letter dated November 29, 2016 you requested a tariff classification ruling on behalf of your client Advanced Display Materials, Inc.
The product you plan to import from both South Korea and China is described as a magnetic receptive banner composed of PVC film, iron powder, and ABS resin coating layers. The product will be imported in rolls of composite sheeting and will be cut to size and printed on one side after import. The printed sheet will be used in retail displays, menu boards, office signs, message boards and exhibit graphics. The iron powder will allow the printed cut to size sheet to be attracted and attach to a base magnet or magnetic fixture of a matching size. The imported PVC/ iron powder/ ABS resin coated sheet is not itself a magnet.
The subject product is a composite good and as such would be classified in accordance with GRIs 3 (a), (b), or (c). GRI 3(a) provides that when two or more headings each refer to part only of the materials contained in composite goods, those headings are to be regarded as equally specific in relation to those goods. GRI 3(b) provides that those composite goods consisting of different materials or made up of different components shall be classified as if they consisted of the material or component, giving them their essential character; or, 3(c) which states that when goods cannot be classified by reference to GRI 3(a) or 3(b), they shall be classified under the heading that occurs last in numerical order. Based upon examination of this article, it is the opinion of this office that in accordance with 3(a) the three layers merit equal consideration and that the evidence is inconclusive as to the issue of essential character. All three layers are important to the printing, flexibility and magnetic adherence of the imported product. Therefore, GRI 3(c) is applicable. GRI 3(c) states that when goods cannot be classified by reference to GRI 3(a) or 3(b), they shall be classified under the heading that occurs last in numerical order.
The applicable subheading for the magnetic receptive banner will be 7205.29.0000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for granules and powders, of pig iron, spiegeleisen, iron or steel: powders: other. 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 https://hts.usitc.gov/current.
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 Mary Ellen Laker at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division