CLA-2-14:OT:RR:NC:N2:231
Ms. Emma Grose
HAY! Straws
601 Van Ness Avenue
Suite No. 216
San Francisco, CA 94102
RE: The tariff classification of Drinking Straws from China and Ukraine
Dear Ms. Grose:
In your letter dated July 11, 2019, you requested a tariff classification ruling.
The subject merchandise is “Original Hay! Straws” and “Hay! Straws Jumbo”. Per our telephone conversation, the former item is composed of wheat and the latter is made of a reed plant, specifically Phragmites australis. You have stated that both products are manufactured utilizing the same method in the different countries of manufacture, China and Ukraine, respectively. The flow chart submitted indicates that harvested wheat and reed plants, from which both wheat grains and reed grass have been removed, are sorted, bundled, soaked, cut into specific straw lengths (5-inch, 8-inch), washed, rinsed, heated and dried at 60-90 degrees. The products are further treated with ultraviolet light to eliminate pathogens or bacteria. The “Original Hay! Straws” will be packed in cardboard boxes containing 100 and 500 pieces. The “Hay! Straw Jumbo” will be packed in cardboard boxes containing 100 and 250 pieces. Both items which are inedible will be sold to retailers for distribution to restaurants and bars for use as a drinking device.
In your request, you indicated that these straws might be classified under subheading 9602.00.5080, Harmonized Tariff Schedule of the United States (HTSUS), which provides for other molded or carved articles, not elsewhere specified or included. We disagree as these straws are neither molded nor carved. As per your submission, they are simply cut to length. This would preclude classification under this subheading.
Further, they are also excluded from consideration under this subheading as they are more specifically provided elsewhere in the tariff.
The applicable subheading for the “Hay! Straws” will be 1404.90.9090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Vegetable products not elsewhere specified or included: Other: Other.” The rate of duty will be Free.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheading 1404.90.9090, HTSUS, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.02, in addition to subheading 1404.90.9090, HTSUS, listed above.
The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.
Articles classifiable under subheading 1404.90.9090, HTSUS, which are products of Ukraine, may be entitled to duty-free treatment under the Generalized System of Preferences (GSP) upon compliance with all applicable regulations. The GSP is subject to modification and periodic suspension, which may affect the status of your transaction at the time of entry for consumption or withdrawal from warehouse. To obtain current information on GSP, check our Web site at www.cbp.gov and search for the term “GSP”.
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 the 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 Ekeng Manczuk at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division