CLA-2-91:OT:RR:NC:N1:113
Mr. Pierre Halimi Lacharlotte
Montres Journe America
4330 N.E. 2nd Avenue
Miami, FL 33137
RE: The tariff classification of strap buckles from Switzerland
Dear Mr. Lacharlotte:
In your letter dated January 5, 2018, you requested a tariff classification ruling on strap buckles. Product descriptions and photographs of the watches, the watch cases, watch straps and strap buckles were submitted with the ruling request. Views of the open gift box, which is designed to display and store the watch, complete with the watch strap and buckle were also provided for our review.
You stated in your letter that “We are writing to seek a tariff classification determination for watches that for security reasons are not packaged 100% complete at the time of importation. The issue at hand is the classification of the strap buckles…We are not seeking a ruling on the actual straps at this time.” In condition as imported into the United States, each package includes the watch and the buckle. The watch strap is shipped in a separate package on a separate Airway Bill. The watches imported with their strap buckles are identified as Item 1, the Octa Automatique Lune automatic (self) winding wrist watch with the case and buckle in platinum, Item 2, the Octa Automatique Reserve automatic (self) winding wrist watch with the case and buckle in gold, Item 3, the Chronometre Souverain manual winding watch with the case and buckle in gold, and Item 4, the Chronometre Bleu manual winding watch with the case and buckle in tantalum.
In your letter you asked if for the purpose of classification the watches imported with the strap buckles should be considered complete. Classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is in accordance with the General Rules of Interpretation GRIs), taken in order. GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes. GRI 2(a) provides guidance for the classification of incomplete and unfinished articles. GRI 2(a) states that “Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article. It shall also include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), entered unassembled or disassembled.”
Part V of the Explanatory Notes to GRI 2(a) explains that “The second part of Rule 2 (a) provides that complete or finished articles presented unassembled or disassembled are to be classified in the same heading as the assembled article. When goods are so presented, it is usually for reasons such as requirements or convenience of packing, handling or transport.”
In the opinion of our office, the imported watch and strap buckle by themselves do not possess the essential character of a complete wrist watch, due to the significance of the missing part, the watch strap. The watch is designed to be attached to the strap and worn around the wrist. In this case, the strap is shipped in a separate shipment. Therefore, the imported watch and buckle that arrive in the United States in a gift box are not classifiable under the provision for a wrist watch using GRI 2(a). Since the watch strap is not imported in the same shipment, the buckle must be classified separately.
The applicable subheading for the gold strap buckles will be 7115.90.3000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for other articles of precious metal or of metal clad with precious metal; other; of gold, including metal clad with gold. The rate of duty will be 3.9 percent ad valorem.
The applicable subheading for the platinum strap buckles will be 7115.90.6000, HTSUS, which provides for other articles of precious metal or of metal clad with precious metal, other, other, other. The rate of duty will be 4 percent ad valorem.
The applicable subheading for the tantalum strap buckles will be 8308.90.6000, HTSUS, which provides for clasps, frames with clasps, buckles, buckle clasps, hooks, eyes, eyelets and the like and parts thereof, of base metal, of a kind used in clothing, footwear, awnings, handbags, travel goods or other made up articles; tubular or bifurcated rivets of base metal; beads and spangles of base metal: other including parts: buckles and buckle clasps, and parts thereof. The rate of duty will be 3.9 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 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 Ann Taub at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division