CLA-2 CO:R:C:T 954628 NLP
Mr. James Spangler
Import Manager
H.T. Ardinger & Son Co.
P.O. Box 569360
Dallas, Texas 75356-9360
RE: Revocation of NYRL 874310; warp-knit ribbon with inserted
metalized strips; headings 4601 and 6002; Legal Notes 1 and
3 to Chapter 46; Explanatory Notes to Chapters 46 and 60
Dear Mr. Spangler:
On May 18, 1992, Customs issued to you New York Ruling Letter
(NYRL) 874310, which classified a warp-knit ribbon with inserted
metalized strips under subheading 6002.20.9000, Harmonized Tariff
Schedule of the Unites States (HTSUS). Upon review, we are of the
opinion that the classification of this product was incorrect and
this ruling revokes that classification. Pursuant to section 625,
Tariff Act of 1930 (19 U.S.C. 1625), as amended by section 623 of
Title VI (Customs Modernization) of the North American Free Trade
Agreement Implementation Act, Pub. L. 103-182, 107 Stat. 2057, 2186
(1993) (hereinafter section 625), notice of the proposed revocation
of NYRL 874310 was published on February 16, 1994, in the Customs
Bulletin, Volume 28, Number 7.
FACTS:
The article at issue, sample R-129, is a decorative ribbon-
type material measuring 5.3 centimeters in width. The fiber
content of the ribbon is 80% polyester and 20% polypropylene, which
will be sold in 10 foot rolls. The material is of warp-knit
construction, in which the knitting machine has formed six parallel
tracks of tightly knitted stitches running the length of the
material. Between these six tracks are five parallel areas of
open-work knitting, resembling ties between railroad tracks.
Inserted into these five open-work areas, apparently during
the knitting process, are five metalized extruded strips. We
assume that these strips are of polyester, coated with a fine metal
film. Two of these extruded strips are 5 millimeters wide
and three of them are 11 millimeters wide; they run the length of
the material and completely fill the open-work spaces between the
six tracks.
All of the stitching on the face of the material was done with
metalized yarn, while the stitching on the back of the material was
done with plain monofilament. The metalized and monofilament yarns
wrap around metal wires along each of the two fast edges of the
material.
NYRL 874310 classified this ribbon in subheading 6002.20.9000,
HTSUS, which provides for "[o]ther knitted or crocheted fabrics:
[o]ther, of a width not exceeding 30 cm: [o]ther: [o]ther." The
rate of duty is 7.5% ad valorem and the textile category code is
899.
We submitted the ribbon to the New York Customs Laboratory
for analysis. The lab found that the ribbon has the following
composition, by weight, exclusive of metal wire:
Textile: 75.2% (metallic yarn, monofilament and strips
under 5 mm in width)
Strips over 5 mm in width: 24.8%
ISSUE:
What is the tariff classification of a warp-knit ribbon
with inserted metalized strips under the HTSUS?
LAW AND ANALYSIS:
The classification of goods under the HTSUS is governed by
the General Rules of Interpretation (GRIs), taken in order. GRI
1 provides that classification shall be determined according to
the terms of the headings and any relative section or chapter
notes. In the event that the goods cannot be classified solely on
the basis of GRI 1, and if the headings and legal notes otherwise
require, the remaining GRI's may be applied, taken in order.
There are two competing HTSUS headings under which this ribbon
is potentially classifiable. The first heading we will consider
is heading 4601, HTSUS, which provides for "[p]laits and similar
products of plaiting materials, whether or not assembled into
strips; plaiting materials, plaits and similar products of plaiting
materials, bound together in parallel strands or woven, in sheet
form, whether or not being finished articles (for example, mats,
matting, screens)". Legal Note 1 to Chapter 46, HTSUS, states the
following:
In this chapter the expression "plaiting materials"
means materials in a state or form suitable for plaiting,
interlacing or similar processes; it includes. . .
monofilament and strip and the like of plastics. . . ,
but not. . . monofilament and strip and the like of chapter
54.
In addition, Legal Note 3 to Chapter 46, HTSUS, states the
following: "For the purposes of heading 4601, the expression
'plaiting materials, plaits and similar products of plaiting
materials, bound together in parallel strands' means plaiting
materials, plaits and similar products of plaiting materials,
placed side by side and bound together, in the form of sheets,
whether or not the binding materials are of spun textile
materials."
The Harmonized Commodity Description and Coding System
Explanatory Notes (ENs), although not legally binding, are the
official interpretation of the nomenclature at the international
level. The General EN to Chapter 46 states the following on page
651:
In addition to articles of loofah, this Chapter covers
semi-manufactured products (heading 46.01) and certain
articles (46.01 and 46.02) made by interlacing, weaving or by
similar methods of assembling unspun materials,
particularly:
* * * *
(3) Monofilament and strip and the like of plastics of
Chapter 39 (but not monofilament of which no cross-sectional
dimension exceeds 1 mm nor strip or the like of an apparent
width not exceeding 5 mm, of man-made textile materials, of
Chapter 54).
Moreover, the ENs to heading 4601 state, in pertinent part, on page
653, that goods made by binding parallel strands of plaiting
materials may be bound by plaiting material, textile yarn or some
other material.
Legal Note 1 to Chapter 46, HTSUS, when read in conjunction
with the General EN to Chapter 46 cited above makes it clear that
Chapter 46 encompasses strips of plastics with apparent widths
above 5 mm, suitable for plaiting and interlacing. The ribbon at
issue here is described by the above notes. It is made of plaiting
material consisting of the metalized plastic strips over 5
millimeters in width and they are bound together in parallel
strands, in the form of sheets, using a monofilament.
The second possible heading to consider is heading 6002,
HTSUS, which provides for "[o]ther knitted or crocheted fabrics".
While the subject ribbon has clearly been manufactured on a
knitting machine, the question is whether this fabric meets the
definition of "other knitted or crocheted fabrics" as intended
under heading 6002, HTSUS.
The ENs to Chapter 60, page 826, state that "[t]he headings
of this Chapter cover knitted or crocheted fabrics, regardless of
which of the textiles of Section XI are used to make the goods..."
The fabric in question is a warp-knit fabric and subheading
6002.43.0000, HTSUS, provides for warp knit fabrics of man-made
fibers. In addition, the filament yarn, which is one of the
components of this fabric, is provided for under either heading
5402 or 5404 and is therefore a textile component. The strips not
exceeding 5 mm in width would be classified under heading 5404,
HTSUS, if imported separately, and would also be considered a
textile component. The only components that could be in question
are the 11 millimeter strips. See, Legal Note 1(g) to Section XI.
Moreover, General Explanatory Note (A)(II) to Chapter 60, page
825, states that "[w]arp knits consist of a number of threads
running in the direction of the warp (i.e., along the length of the
fabric) each thread forming loops interlocking alternatively with
loops in rows to left and right." This also describes the ribbon
at hand. Thus, because the fabric is made on a knitting machine
and some of the component materials (the monofilament and the 5
millimeter strips) are textiles, the fabric could be classified
under heading 6002 as other knitted fabric.
The ribbon in question is a good consisting partly of plaiting
material and partly of knitted textile material. Therefore, it is
prima facie classifiable under heading 4601, HTSUS, and heading
6002, HTSUS, respectively. GRI 2(b) states that:
(b) . . . Any reference to goods of a given
material or substance shall be taken to
include a reference to goods consisting wholly
or partly of such material or substance. The
classification of goods consisting of more than
one material or substance shall be according
to the principles of rule 3.
As the ribbon consists of more than one material, the principles
set forth in GRI 3 are to be utilized to render a final
classification determination.
GRI 3(a) states the following:
When, by application of rule 2(b) or for any other
reason, goods are, prima facie, classifiable under two or
more headings, classification shall be effected as follows:
(a) The heading which provides the most specific
description shall be preferred to headings
providing a more general description. However,
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 the
goods, even if one of them gives a more complete or
precise description of the goods.
In heading 6002, HTSUS, the term "knitted fabrics", since it
names a particular type of construction and a particular type of
article would appear to provide a specific description. Similarly,
under heading 4601, HTSUS, the term "plaiting materials. . . bound
together in parallel strands" describes both a type of construction
and a type of article and is a specific description of this
product. Therefore, as both headings specifically describe the
type of construction (knitted or bound together) and the type of
article (fabric or material) they are equally specific in
describing this ribbon. Therefore, we cannot resort to GRI 3(a)
in classifying this ribbon. We look to GRI 3(b), which provides
the following:
(b) Mixtures, composite goods consisting of different
materials or made up of different components, and
goods put up in sets for retail sale, 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.
Regarding "essential character", EN VIII to GRI 3(b), page 4,
states that:
(VIII) The factor which determines essential
character will vary as 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.
In making the essential character determination, we can ignore the
textile filaments and metalized yarns as they can be considered
either part of the plaiting (since they serve to bind the plaiting
substance as per the EN to Chapter 46) or part of the knitted
fabric. The three wide strips constitute 33 millimeters in total
width, while the two 5 millimeter strips constitute 10 millimeters
in total width. Since the ribbon is primarily decorative in use,
its appearance is the primary factor in determining its essential
character. The dominant visual
impression is provided by the wide strips, since they constitute
significantly more of the surface area of the ribbon than do the
narrower strips. Therefore, the plaiting material provides the
essential character and this ribbon is classifiable under
subheading 4601.99.0000, HTSUS.
HOLDING:
The ribbon is classifiable under subheading 4601.99.0000,
HTSUS, which provides for "[p]laits and similar products of
plaiting materials, whether or not assembled into strips; plaiting
materials, plaits and similar products of plaiting materials, bound
together in parallel strands or woven, in sheet form, whether or
not being finished articles (for example, mats, matting, screens):
[o]ther: [o]ther. The rate of duty is 3.36% ad valorem.
NYRL 874310 hereby is revoked.
In accordance with section 625, this ruling will become
effective 60 days from it publication in the Customs Bulletin.
Publication of rulings or decisions pursuant to section 625 does
not constitute a change of practice or position in accordance with
section 177.10(c)(1), Customs Regulations (19 CFR 177.10(c)(1)).
Sincerely,
John Durant, Director
Commercial Rulings Division