CLA-2-48:OT:RR:NC:1:130
Ms. Kelly Price
Infinity Global
501 Bridge Street
Danville, VA 24541
RE: The tariff classification of a retail shopping bag from Vietnam
Dear Ms. Price:
In your letter, dated November 4, 2019, you requested a classification and marking ruling. The ruling was requested for two retail shopping bags. Samples were submitted for our review and will be retained for reference.
The articles are two paperboard shopping bags printed with the name “Rimowa”. The first shopping bag - M19709, Shopper 1 Small - measures approximately 32cm wide by 20.5cm high by 10.5cm deep. The second bag – M19527, Shopper 1.5 – measures approximately 49.5cm wide by 43cm high by 24 cm deep. Both shopping bags are made of sturdy paperboard that is significantly more durable than standard paper shopping bags. Both bags have a sturdy paperboard insert to stabilize the bottom of the bag. Both also have polyester twill textile handles that are held in place with metal rivets. The handles on the smaller bag measure 2.5cm wide, and on the larger bag, 4cm wide. The bags each also have an embossed logo on the front and back. The shopping bags are purchased by the retailer and provided to the ultimate retail consumer at time of merchandise purchase.
The applicable subheading for the smaller M19709 shopping bags will be 4819.40.0040, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Cartons, boxes, cases, bags and other packing containers, of paper, paperboard, cellulose wadding or webs of cellulose fibers; box files, letter trays and similar articles, of paper or paperboard of a kind used in offices, shops or the like: Other sacks and bags, including cones: Other. The rate of duty will be free.
The applicable subheading for the larger M19527 shopping bags will be 4819.30.0040, HTSUS, which provides for Cartons, boxes, cases, bags and other packing containers, of paper, paperboard, cellulose wadding or webs of cellulose fibers; box files, letter trays and similar articles, of paper or paperboard of a kind used in offices, shops or the like: Sacks and bags, having a base of a width of 40 cm or more: Other. The rate of duty will be free.
In your letter, you also request a country of origin marking ruling. You do not indicate any information regarding manufacture of the shopping bags except to state that they are made in Vietnam. Section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article. Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Pursuant to 19 CFR Section 134.1(b), the country of origin is the country of manufacture, production or growth of any article of foreign origin entering the U.S. Section 134.1(d) defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. If the shopping bags are fully manufactured in Vietnam, they are to be marked “Made in Vietnam” or “Product of Vietnam”.
Where the articles imported constitute containers, 19 CFR Part 134 Subpart C is applicable. The country of origin marking requirements applicable to containers imported empty depend, in part, on whether the containers are reusable or disposable in nature. Disposable containers imported by persons or firms who fill them with various products which they sell may be excepted from individual marking pursuant to 19 U.S.C. 1304(a)(3)(D). However, this exception is not applicable if the imported containers are reusable. Thus, the shopping bags may be excepted from individual marking only if they are disposable containers, of the type ordinarily discarded after the contents have been consumed. Under 134.23, containers are considered reusable if they are either designed for or capable of reuse after the contents have been consumed, or impart the essential character to the whole importation. Such containers, whether imported full or empty, must be individually marked to indicate the country of their own origin with a marking such as, "Container Made in (name of country)."
In order to determine whether the shopping bags are excepted from country of origin marking requirements, it is first necessary to establish whether they are disposable or reusable containers, as well as to ascertain the identity of the ultimate purchaser of the shopping bags within the meaning of 19 U.S.C.1304. It has long been Customs’ position that imported shopping bags given by retail stores to their customers with the purchase of items are subject to the country of origin marking requirements of 19 U.S.C. 1304. The ultimate purchaser of the shopping bags is not the retail store, but the customer who is the last to receive the bag in the form in which it is imported. The instant shopping bags are constructed from particularly sturdy paperboard, have substantial textile handles with metal rivets, are durable, and are suitable for reuse. As such, we find that they are reusable containers. Therefore, each shopping bag is required to be marked to indicate the country of origin. Accordingly, the marking provisions of 134.23(a) are applicable and the shopping bags must be individually marked with their own country of origin. An alternative appropriate marking for the bags, so as not to mislead the purchaser about the origin of the contents, would be "Bag made in (name of country).”
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 Laurel Duvall at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division