N342495
CLA-2-48:OT:RR:NC:N5:130
Mr. Albert Saldana
Mattel, Inc.
333 Continental Blvd.
El Segundo, CA 90245
RE: The tariff classification of paper shopping bags from China
Dear Mr. Saldana:
In your letter, dated September 6, 2024, you requested a binding tariff classification ruling. The ruling was requested for paper shopping bags. Photos and product information were submitted for our review.
The item under consideration is item# JGG82, American Girl Large Shopping Bag. The paper shopping bag is constructed of paper weighing 170 grams per square meter (gsm). The bag measures 22 (55.88 cm) wide by 16 high by 8 deep. There is a paperboard insert to stabilize the bottom of the bag. The two tube handles are constructed of knitted paper yarn. The handles are threaded through the holes near the top of the bag and are secured with a knot at each end. The picture provided shows that the bag is red and printed.
The classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation (GRIs), taken in order. GRI 1 requires that classification be determined according to the terms of the headings and any relative section or chapter notes. In the event that goods cannot be classified solely on the basis of GRI 1 and if the heading and legal notes do not otherwise require, the remaining GRIs will be applied in the order of their appearance. The instant shopping bag with a base of a width over 40 cm is specifically provided for in heading 4819, HTSUS, in accordance with GRI 1.
In your letter, you suggest that the paper shopping bags are classifiable under subheading 4819.40.0040, HTSUS. We disagree. While the instant shopping bag is provided for in heading 4819, HTSUS, the subheading 4819.40.0040, HTSUS, provides for Other (than Sacks and bags, having a base of a width of 40 cm or more) sacks and bags, including cones: Other. Based on the dimensions you provided, this instant shopping bag has a base of a width of 22 inches or 55.88 cm. Sacks and bags having a base of width of 40 cm or more are precluded from classification in 4819.40.0040, HTSUS.
The applicable subheading for the paper shopping bag 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.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4819.30.0040, 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, 9903.88.03, in addition to subheading 4819.30.0040, 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, 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.
The instant bags may be subject to anti-dumping and countervailing duties for paper shopping bags from China, A570-152 and C570-153. Written decisions regarding the scope of AD/CVD orders are issued by the Enforcement and Compliance office in the International Trade Administration of the Department of Commerce (ITA) and are separate from tariff classification and origin rulings issued by Customs and Border Protection (CBP). General information regarding the ITA and AD/CVD can be found at https://www.trade.gov/us-antidumping-and-countervailing-duties. The ITA's Guide on How to File for an Antidumping/Countervailing Duty Scope Ruling Request is available at https://enforcement.trade.gov/scope/Request-Scope-Ruling.pdf
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 at https://hts.usitc.gov/.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Laurel Duvall at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division