CLA-2-85:OT:RR:NC:N1:103
Nicole Ramsey
William Sonoma Inc.
6300 Fallwater Trail, Suite 100 The Colony, TX 75056
RE: The tariff classification of a hat clip from China
Dear Ms. Ramsey:
In your letter dated November 1, 2024, you requested a tariff classification ruling.
The merchandise under consideration is referred to as a hat clip, item number 2757747, and uses two circular neodymium magnets and magnetic attraction to grasp the brim of a hat. Each magnet is enclosed within a polyurethane material and forms half of the clip. The two halves are secured to a zinc alloy ring buckle so that a user can attach the hat to a bag, backpack, or luggage. The clip weighs 50 grams and measures approximately 2 inches in length, 0.5 inches in width, and 5.5 inches in height.
General Rule of Interpretation (GRI) 1, Harmonized Tariff Schedule of the United States (HTSUS), states in part that for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes. Goods that are, prima facie, classifiable under two or more headings, are classifiable in accordance with GRI 3, HTSUS. GRI 3(a) states in part that when two or more headings each refer to part only of the materials or substances contained in mixed or composite goods, those headings are to be regarded as equally specific in relation to those goods, even if one of them gives a more complete or precise description of the goods. GRI 3(b) states in part that composite goods consisting of different materials or made up of different components, which cannot be classified by reference to 3(a), shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.
In understanding the language of the HTSUS, the Harmonized Commodity Description and Coding System Explanatory Notes may be utilized. The Explanatory Notes (ENs), although not dispositive nor legally binding, provide a commentary on the scope of each heading of the HTSUS, and are the official interpretation of the Harmonized System at the international level. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The ENs to the HTSUS, at GRI 3(b) (VII), state that the factor which determines essential character will vary between different kinds of goods. It may, for example, be determined by the nature of the material or component, its bulk, quantity, weight, or value, or by the role of a constituent material in relation to the use of the goods. It is the opinion of this office that the magnets provide the essential character of the hat clip as they are the components that hold the hat or article during use.
In your submission, you suggest that the hat clip is classified under subheading 8505.19.3000, HTSUS. While we agree the item is classified in heading 8505, we disagree at the subheading level. Neodymium magnets are specifically provided under subheading 8505.11.
As such, the applicable subheading for the hat clip, item number 2757747, will be 8505.11.0070, HTSUS, which provides for Electromagnets; permanent magnets and articles intended to become permanent magnets after magnetization; electromagnetic or permanent magnet chucks, clamps and similar holding devices; electromagnetic couplings, clutches and brakes; electromagnetic lifting heads; parts thereof: Permanent magnets and articles intended to become permanent magnets after magnetization: Of metal: Sintered neodymium-iron-boron. The rate of duty will be 2.1 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 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 Paul Huang at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division