CLA-2-48:OT:RR:NC:1:130
Mr. Joseph Kenny
Geodis USA, Inc.
One CVS Drive
Woonsocket, RI 02895
RE: The tariff classification of paper plates from China
Dear Mr. Kenny:
In your letter, dated April 13, 2021, you requested a tariff classification ruling on behalf of your client, CVS Pharmacy, Inc. The ruling was requested for Item 498395, Christmas Paper Plates. Photos and product information were submitted for our review.
The item in question is six paperboard plates that are packaged together. The plates are round and measure 9 inches in diameter. They are printed with Christmas-theme images, such as Christmas trees, gifts, and ornaments. The plates are contoured and stacked together in plastic film packaging.
In your letter, you ask whether the plates are considered to be “round, nested containers”. We do not believe that the plates qualify as such. While the plates are contoured and nest somewhat, we do not find them to be containers, as they do not enclose contents in any manner. Furthermore, subheading 4823.6, Harmonized Tariff Schedule of the United States (HTSUS), specifically names both plates and cups, and subheading 4823.69.0020, HTSUS, specifies only cups with other round nested containers. We believe that if plates were considered to be round nesting containers, they would have been specifically named and distinguished from “other containers”, as cups are.
The applicable subheading for item 498395, Christmas Paper Plates will be 4823.69.0040, HTSUS, which provides for Other paper, paperboard, cellulose wadding and webs of cellulose fibers, cut to size or shape; other articles of paper pulp, paper, paperboard, cellulose wadding or webs of cellulose fibers: Trays, dishes, plates, cups and the like, of paper or paperboard: Other: Other. The rate of duty will be free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4823.69.0040, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 4823.69.0040, HTSUS, listed above.
The HTSUS is subject to periodic amendment, so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, including information on exclusions and their effective dates, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively.
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