CLA-2 RR:CR:TE 960880 GGD
Ari L. Kaplan, Esquire
Graham & James
885 Third Avenue
New York, New York 10022
RE: Traveling Bag Made From Plaiting Materials
Dear Mr. Kaplan:
This letter is in response to your request of June 3, 1997, on behalf of your client, Liz Claiborne Accessories, Inc., concerning the classification under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA) of a carrying bag manufactured in China. A sample was submitted with your request.
FACTS:
The sample article, identified by style number HB752610, consists of two components - a drawstring purse or handbag that is contained within an open top tote bag. The handbag component measures approximately 11-1/2 inches in height by 9-1/2 inches in width by 3-3/4 inches in depth. It has an outer surface composed of 100 percent woven polyester fabric and an inner lining of 100 percent woven nylon fabric. The bag has a reinforced base which is oval in shape. The interior of the bag features one central compartment and a flat, zippered pocket near the top which measures approximately 4-1/4 inches in height by 4-3/4 inches in width. A user may close the bag by pulling two polyvinyl chloride (PVC) straps in opposite directions. The handbag component has no other straps or handle.
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The shape and dimensions of the tote bag component correspond to, but are slightly larger than, those of the handbag. The bag has a reinforced base and a detachable shoulder strap, each composed of PVC plastic. The bag’s front, back, and sides are constructed of a knotted, open mesh, imitation leather. Customs laboratory report number 2-97-10870-001, dated June 9, 1997, concerns the imitation leather material and states:
The sample, a black strip having an apparent width of 4.6 mm, is composed of a polyester/cotton woven fabric which has been coated, covered or laminated on it’s [sic] exterior surface with a cellular polyvinyl chloride type plastic material. The width of the strip in it’s [sic] unfolded condition measures 8.5 mm.
Because the sides of each strip are folded over and the strip is flattened (with the PVC surface facing out), the textile fabric is not readily visible without cutting and/or pulling the strip apart. No individual folded strip exceeds 5 millimeters (mm) in width. The bag also has two carrying handles that are constructed of braided strips. The handbag component is said to comprise approximately one third of the weight, and approximately two fifths of the value, of the complete article.
ISSUE:
1) Whether the handbag and tote bag components are classified together as a composite article and, if so, which of the components imparts the essential character.
2) Whether the merchandise is classified in subheading 4202.22, HTSUSA, as a handbag; in subheading 4202.92, HTSUSA, as a traveling (or “tote”) bag; and/or in subheading 4602.90, HTSUSA, as an article made directly to shape from plaiting materials.
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (GRI). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule 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 do not otherwise require, the remaining GRI may then
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be applied. The Explanatory Notes (EN) to the Harmonized Commodity Description and Coding System, which represent the official interpretation of the tariff at the international level, facilitate classification under the HTSUS by offering guidance in understanding the scope of the headings and GRI.
Among other goods, heading 4202, HTSUS, provides for handbags, traveling bags, and similar containers. Subheading 4202.22, HTSUSA, provides for handbags. Subheading 4202.92, HTSUSA, provides in part for travel, sports and similar bags. Additional U.S. Note 1 to chapter 42, HTSUS, states:
For the purposes of heading 4202, the expression “travel, sports and similar bags” means goods, other than those falling in subheadings 4202.11 through 4202.39, of a kind designed for carrying clothing and other personal effects during travel, including backpacks and shopping bags of this heading....
Customs has classified shopping type “tote” bags in subheading 4202.92, HTSUSA, but also in subheading 4602.90, HTSUSA, depending upon the materials which comprise the bag’s outer surface. Note 2(A)(b) to chapter 42, HTSUSA, states that “[i]n addition to the provisions of note 1, above, heading 4202 does not cover: Articles of plaiting materials (heading 4602).”
The first issue to be determined is whether the handbag and the tote bag constitute a composite article so that the complete article may be classified under the provision applicable to the component which imparts the article’s essential character.
Applying the GRI, we note that, since the handbag is described by subheading 4202.22, HTSUSA, and the tote bag is described by either subheading 4202.92, or subheading 4602.90, HTSUSA, the two components cannot be classified solely by reference to GRI 1. We therefore look to GRI 2(b), which in pertinent part states:
The classification of goods consisting of more than one material or substance shall be according to the principles of rule 3.
GRI 3(a) directs that the headings are regarded as equally specific when each heading refers to part only of the materials contained in composite goods. Therefore, we next look to GRI 3(b), which in pertinent part states:
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Composite goods...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.
To determine whether the handbag and tote bag components constitute a composite article, we look to Explanatory Note IX to GRI 3(b), which in pertinent part states:
For purposes of this Rule, composite goods made up of different components shall be taken to mean not only those in which the components are attached to each other to form a practically inseparable whole but also those with separable components, provided these components are adapted one to the
other and are mutually complementary and that together they form a whole which would not normally be offered for sale in separate parts.
In this case, the components are separable and adapted to be used together. Each component has features which minimize the other’s shortcomings and enhance the usefulness of the whole article. The handbag fits snugly within the tote bag, providing the article with a secure top closure and the ability to conceal and retain small personal effects that would otherwise be visible and slip through the tote bag’s open mesh. On the other hand, the tote component’s knotted, open mesh, imitation leather provides the article’s visual impact and aesthetic appeal. The tote component also provides the complete article with the two practical options by which it may be carried (shoulder strap or braided handles). Although handbags may be designed with or without straps or handles, it appears that the subject handbag component was designed with the strap and handles of its complementary tote bag component in mind. Standing alone, the handbag is unbalanced and difficult to carry when the straps are used to transport the bag rather than only to draw it closed. We find that the handbag component would not normally be sold separately from the tote bag, and that the two components form a composite article.
In order to determine the essential character of the composite article, we look to Explanatory Note VIII to GRI 3(b), which provides the following guidance:
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
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bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.
As noted in the FACTS section above, the weight and value of the tote bag component are greater, respectively, than the weight and value of the handbag component. Since the tote is also the primary provider of both the means to carry the article and the article’s aesthetic appeal, we find that the tote bag is the component which imparts the article’s essential character.
With respect to whether the complete article is classified under subheading 4202.92 or under subheading 4602.90, HTSUSA, we note that the tote bag is essentially composed of narrow widths or strips of fabric-backed cellular plastics. To determine for classification purposes, whether this particular plastics/textile combination constitutes plastics or a textile material, we first look to chapter 39, HTSUSA, which covers plastics and articles thereof. In pertinent part, the EN to chapter 39 state that (except for certain wall or ceiling coverings):
the classification of plastics and textile combinations is essentially governed by Note 1(h) to Section XI, Note 3 to Chapter 56 and Note 2 to Chapter 59.
Note 1(h) to section XI (which covers textiles and textile articles), HTSUSA, states:
This section does not cover:
Woven, knitted or crocheted fabrics, felt or nonwovens, impregnated, coated, covered or laminated with plastics, or articles thereof, of chapter 39
Among other goods, chapter 59, HTSUSA, covers impregnated, coated, covered or laminated textile fabrics. In pertinent part, note 2(a) to chapter 59, HTSUSA, states that heading 5903 applies to:
Textile fabrics, impregnated, coated, covered or laminated with plastics, whatever the weight per square meter and whatever the nature of the plastic material (compact or cellular), other than:
(5) Plates, sheets or strip of cellular plastics, combined with textile fabric, where the textile fabric is present merely for reinforcing purposes (chapter 39)
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With regard to whether the textile fabric (with which the cellular plastics are combined) is present merely for reinforcing purposes, the EN to chapter 39 further state:
In this respect, unfigured, unbleached, bleached or uniformly dyed textile fabrics, when applied to one face only of these plates, sheets or strip, are regarded as serving merely for reinforcing purposes. Figured, printed or more elaborately worked textiles (e.g., by raising) and special products, such as pile fabrics, tulle and lace and textile products of heading 58.11, are regarded as having a function beyond that of mere reinforcement.
The plain, woven textile fabric is applied to only one face of the plastics and serves merely for reinforcing purposes. Based on the legal and explanatory notes above, this material is classifiable under heading 3921, HTSUSA, not as a textile material, but as “Other plates, sheets, film, foil and strip, of plastics.” In pertinent part, the EN to heading 3921 state that the heading covers only cellular products or those which have been reinforced, laminated, supported or similarly combined with other materials.
Although the material which comprises the subject tote/handbag composite article would, by itself, be classifiable under heading 3921, HTSUSA, the subject article is not classifiable thereunder. Among other goods, chapter 46, HTSUSA, covers “Manufactures of...other plaiting materials....” In pertinent part, note 1 to chapter 46, HTSUSA, states:
In this chapter the expression “plaiting materials” means materials in a state or form suitable for plaiting, interlacing or similar processes; it includes...strip and the like of plastics...but not...strip and the like of chapter 54.
Since the strip of cellular plastics which comprises the tote bag is classifiable under heading 3921, HTSUSA, it is not “strip and the like of chapter 54,” which is a textile of section XI, HTSUSA. The subject strip of plastics is a plaiting material. In pertinent part, the General EN to chapter 46 state that “this Chapter covers...certain articles (headings 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....”
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Among other goods, heading 4602, HTSUSA, provides for “Basketwork...and other articles, made directly to shape from plaiting materials....” In pertinent part, the EN to heading 4602 indicate that the heading covers “Travelling-bags and suitcases....Handbags, shopping-bags and the like.” The tote bag which imparts the subject article’s essential character is an article made by interlacing (or by a similar method of assembling) strip of plastics of chapter 39, and is therefore an article of plaiting materials classifiable under heading 4602, HTSUSA. Since note 2(A)(b) to chapter 42, HTSUSA, precludes articles of plaiting materials from classification under heading 4202, we find that the tote bag component (and thus the composite article) is classified under heading 4602, specifically in subheading 4602.90.0000, HTSUSA. See also New York Ruling Letter (NY) D81902, issued September 23, 1998.
HOLDING:
The composite travel bag identified by style number HB752610 is classified in subheading 4602.90.0000, HTSUSA, the provision for “Basketwork, wickerwork and other articles, made directly to shape from plaiting materials or made up from articles of heading 4601; articles of loofah: Other.” The general column one duty rate is 3.5 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division