CLA-2 RR:CTF:TCM H253887 EGJ
Jenny Fu
Brokerage Manager
Hecyny Brokerage Services, Inc.
19550 South Dominguez Hills Drive
Rancho Dominguez, CA 90220
Re: Modification of NY G82337; Classification of Certain Medical Alert Bracelets
Dear Ms. Fu:
This is in reference to New York Ruling Letter (NY) G82337, dated October 6, 2000, issued to you concerning the tariff classification of two styles of bracelets under the Harmonized Tariff Schedule of the United States (HTSUS). You submitted two styles of bracelets to U.S. Customs and Border Protection (CBP), one textile and rubber bracelet (Item 1), and one textile bracelet (Item 2).
We have reviewed NY G82337 and find it to be in error with regard to the classification of the Item 1 bracelet and the Item 2 bracelet with the metal piece. For the reasons set forth below, we hereby modify NY G82337 with regard to the classification of the Item 1 bracelet and the Item 2 bracelet with the metal piece.
Pursuant to section 625(c)(1), Tariff Act of 1930 (19 U.S.C. 1625(c)(1)), as amended by section 623 of Title VI, a notice of proposed action was published on July 15, 2015, in the Customs Bulletin, Vol. 49, No. 28. One comment was received in opposition to the proposed modification.
FACTS:
In NY G82337, your ruling request included samples of the two different styles of bracelets. The Item 1 bracelet consists of neoprene rubber covered on both sides with knit nylon fabric. The Item 1 bracelet also includes a plastic buckle.
Item 2, composed of woven 100% nylon fabric, is a bracelet with a plastic buckle. Your ruling request stated that the bracelets are designed as medical alerts, and that depending on the order, some bracelets will be imported with a small metal piece attached to them.
ISSUES:
Is the Item 1 bracelet classified under heading 4015, HTSUS, as a rubber accessory, under heading 6117, HTSUS, as a knitted textile accessory, or under heading 7117, HTSUS, as imitation jewelry?
Is the Item 2 bracelet with the metal piece classified under heading 6217, HTSUS, as a woven textile accessory, or under heading 7117, HTSUS, as imitation jewelry?
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with the General Rules of Interpretation (GRIs). 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 GRIs 2 through 6 may then be applied in order. Under GRI 6, the classification of goods in the subheadings of a heading shall be determined according to the terms of those subheadings and any related subheading notes and, mutatis mutandis, to GRIs 1 through 5.
The HTSUS provisions at issue are as follows:
4015 Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber:
4015.90.00 Other:
* * *
6117 Other made up clothing accessories, knitted or crocheted; knitted or crocheted parts of garments or of clothing accessories:
6117.80 Other accessories:
Other:
6117.80.95 Other:
* * *
6217 Other made up clothing accessories; parts of garments or of clothing accessories, other than those of heading 6212:
6217.10 Accessories:
Other:
6217.10.95 Other:
* * *
7117 Imitation jewelry:
Of base metal, whether or not plated with precious metal:
7117.19 Other:
Other:
7117.19.90 Other:
* * *
7117.90 Other:
Other:
Valued over twenty cents per dozen pieces or parts:
Other:
7117.90.90 Other:
* * *
Note 2(a) to Chapter 40 states as follows:
2. This Chapter does not cover:
(a) Goods of section XI (textiles and textile articles)
* * *
Note 1 to Chapter 61 states as follows:
This chapter applies only to made up knitted or crocheted articles.
* * *
Note 1 to Chapter 62 states as follows:
This chapter applies only to made up articles of any textile fabric other than wadding, excluding knitted or crocheted articles (other than those of heading 6212).
* * *
Note 3(g) to Chapter 71 states as follows:
3. This Chapter does not cover:
(g) Goods of section XI (textiles and textile articles)
* * *
Note 9 to Chapter 71 states as follows:
9. For the purposes of heading 7113, the expression "articles of jewelry" means:
(a) Any small objects of personal adornment (for example, rings, bracelets, necklaces, brooches, earrings, watch chains, fobs, pendants, tie pins, cuff links, dress studs, religious or other medals and insignia); and
(b) Articles of personal use of a kind normally carried in the pocket, in the handbag or on the person (for example, cigar or cigarette cases, snuff boxes, cachou or pill boxes, powder boxes, chain purses or prayer beads).
These articles may be combined or set, for example, with natural or cultured pearls, precious or semiprecious stones, synthetic or reconstructed precious or semiprecious stones, tortoise shell, mother-of-pearl, ivory, natural or reconstituted amber, jet or coral.
* * *
Note 11 to Chapter 71 states as follows:
11. For the purposes of heading 7117, the expression "imitation jewelry" means articles of jewelry within the meaning of paragraph (a) of note 9 above (but not including buttons or other articles of heading 9606, or dress combs, hair slides or the like, or hairpins, of heading 9615), not incorporating natural or cultured pearls, precious or semiprecious stones (natural, synthetic or reconstructed) nor (except as plating or as minor constituents) precious metal or metal clad with precious metal.
* * *
GRI 3 provides as follows:
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 or to part only of the items in a set put up for retail sale, 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.
(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.
(c) When goods cannot be classified by reference to 3(a) or 3(b), they shall be classified under the heading which occurs last in numerical order among those which equally merit consideration.
* * *
The Explanatory Notes (EN) to the Harmonized Commodity Description and Coding System represent the official interpretation of the tariff at the international level. While neither legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the HTSUS and are generally indicative of the proper interpretation of these headings at the international level. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The ENs to GRI 3(b) provide, in pertinent part, that:
In all these cases the goods are to be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.
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.
* * *
EN 61.17 provides, in pertinent part, as follows:
This heading covers made up knitted or crocheted clothing accessories, not specified or included in the preceding headings of this Chapter or elsewhere in the Nomenclature. The heading also covers knitted or crocheted parts of garments or of clothing accessories, (other than parts of articles of heading 62.12).
The heading covers, inter alia :
(1) Shawls, scarves, mufflers, mantillas, veils and the like.
(2) Ties, bow ties and cravats.
(3) Dress shields, shoulder or other pads.
(4) Belts of all kinds (including bandoliers) and sashes (e.g., military or ecclesiastical), whether or not elastic. These articles are included here even if they incorporate buckles or other fittings of precious metal or are decorated with pearls, precious or semi precious stones (natural, synthetic or reconstructed).
(5) Muffs, including muffs with mere trimmings of furskin or artificial fur on the outside …
* * *
Note 2(a) to Chapter 40 states that goods of Section XI (Chapters 50-63) are excluded from classification in Chapter 40. Similarly, Note 3(g) to Chapter 71 states that goods of Section XI are excluded from classification in Chapter 71. If the Item 1 bracelet is prima facie classifiable as a textile accessory of heading 6117, HTSUS, then it is excluded from Chapters 40 and 71.
In NY G82337, CBP determined that the Item 1 bracelet was classified under heading 6117, HTSUS. As stated above, the Item 1 bracelet consists of neoprene rubber covered with knit nylon fabric. The bracelet also has a plastic buckle. According to the ruling request, some of these bracelets will be imported together with a base metal piece. The base metal piece will include medical alert information.
Note 1 to Chapter 61 states that the Chapter only applies to knitted or crocheted articles. Thus, this Note limits the goods classified in this chapter to goods which are almost entirely comprised of knitted or crocheted fabric. According to the ENs, the goods of Chapter 61 may include minor components other than knitted or crocheted textiles. For example, EN 61.17 states that knitted or crocheted belts remain classified in that heading, even if they incorporate metal buckles or fittings. EN 61.17 also states that knit muffs with mere trimmings of fur remain classified in that heading.
If the instant bracelet consists almost entirely of knitted fabric, but has some minor components of other materials, then it is classifiable under heading 6117, HTSUS. However, the Item 1 bracelet consists of knitted fabric, a plastic buckle, a neoprene rubber core and sometimes a base metal piece. The rubber core is an important component because it forms the structure of the bracelet. As the rubber core is an important component of the bracelet, the Item 1 bracelet is not prima facie classifiable as a textile accessory under heading 6117, HTSUS. Therefore, Note 2(a) to Chapter 40 and Note 3(g) to Chapter 71 do not exclude the bracelet from classification in those chapters.
Applying GRI 1, we note that heading 4015, HTSUS, provides for rubber accessories, while heading 6117, HTSUS, provides for knitted or crocheted textile accessories. Heading 7117, HTSUS, provides for imitation jewelry. Heading 4015, HTSUS, only covers the rubber portion of the bracelet, while heading 6117, HTSUS, only covers the textile portion of the bracelet. Unlike the other two headings, heading 7117, HTSUS, is not limited in scope by a named constituent material.
Note 11 to Chapter 71 defines imitation jewelry as articles of jewelry which do not incorporate natural or cultured pearls, precious or semiprecious stones, precious metal, or metal clad with precious metal. Note 9(a) to Chapter 71 states that “articles of jewelry” means small objects of personal adornment, such as necklaces, bracelets and rings. As the instant merchandise is a bracelet which does not incorporate pearls, precious stones or precious metal, it is classified as imitation jewelry of heading 7117, HTSUS.
Applying GRI 6, we note that subheading 7117.19.90, HTSUS, provides for imitation jewelry of base metal. Subheading 7117.90.90, HTSUS, provides for imitation jewelry of other materials. As the instant bracelet consists of rubber, textile and base metal, it is a composite good. Therefore, we must apply GRI 3(b) to classify the bracelet at the subheading level.
According to GRI 3(b), a composite good is classified according to the component which imparts the good’s essential character. In order to identify a composite good’s essential character, the U.S. Court of International Trade (CIT) has applied the factors listed in EN VIII to GRI 3(b) which are “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.” The Home Depot v. United States, 427 F. Supp. 2d 1278, 1293 (Ct. Int’l Trade 2006). With regard to the component which imparts the essential character, the CIT has stated it is “that which is indispensable to the structure, core or condition of the article, i.e. what it is.” Id. citing A.N. Deringer, Inc. v. United States, 66 Cust. Ct. 378, 383 (1971).
The Item 1 bracelet consists of knitted fabric, a neoprene rubber core and sometimes a base metal piece. The rubber core creates the form and structure of the bracelet; it also comprises most of the bracelet’s mass and weight. The knitted fabric covers the entire surface area of the bracelet and creates visual interest. The base metal piece is only included with some of the Item 1 bracelets, but it does include important medical alert information.
As each of the three components play an important role with regard to the Item 1 medical alert bracelet, we cannot determine which component imparts the essential character. Therefore, we shall apply GRI 3(c), which states that the subject merchandise shall be classified under the heading or subheading which occurs last in the HTSUS. The two applicable subheadings are 7117.19.90 and 7117.90.90, HTSUS. Therefore, the Item 1 bracelet shall be classified under subheading 7117.90.90, HTSUS, which provides for imitation jewelry of “other” materials.
Like the Item 1 bracelet, the Item 2 bracelet with the metal piece consists of both textile and another constituent material. Heading 6217, HTSUS, provides for woven textile accessories. If the Item 2 bracelet with the metal piece is prima facie classifiable under heading 6217, HTSUS, then Note 3(g) to Chapter 71 precludes the bracelet from classification in heading 7117, HTSUS.
However, like the Item 1 bracelet, the metal component of the Item 2 bracelet plays too large a role in relation to the use of a medical alert bracelet to be covered by heading 6217, HTSUS. The bracelet is sold as a medical alert bracelet. The metal piece will be engraved at a later date with important medical information related to the bracelet’s purchaser. The metal piece is the reason that the bracelet is being purchased. Therefore, the Item 2 bracelet with the metal piece is not prima facie classifiable as a woven textile accessory under heading 6217, HTSUS. Therefore, Note 3(g) to Chapter 71 does not exclude it from classification in Chapter 71.
Like Item 1, the Item 2 bracelet is a composite good. Both the textile and the base metal piece play important roles. The textile provides the form and structure to the necklace, and has a larger visible surface area. The metal piece includes important medical information. Therefore, we cannot determined the essential character of the Item 2 bracelet with the metal piece. As such, it falls to be classified in subheading 7117.90.90, HTSUS, which provides for imitation jewelry of “other” materials by application of GRI 3(c).
We received one comment in opposition to the proposed modification. The commenter objected to classifying medical alert bracelets as “jewelry” because they are utilitarian articles; they are not for “personal adornment” as required by Note 9 to Chapter 71. Note 9 states, in relevant part, as follows: “For the purposes of heading 7113, the expression ‘articles of jewelry’ means: (a) Any small objects of personal adornment (for example, rings, bracelets, necklaces …)…”
We disagree with the commenter. Note 9(a) to Chapter 71 specifically names “bracelets” as an example of jewelry. We do not need to reach the question of utility as bracelets are specifically named in the Note. We are of the view that medical alert bracelets are bracelets, and thus are described as articles of jewelry.
HOLDING:
By application of GRI 1, GRI 3(c) and GRI 6, the Item 1 bracelet is classified under subheading 7117.90.90, HTSUS, as “Imitation jewelry: Other: Other: Valued over twenty cents per dozen pieces or parts: Other: Other.” The 2016 column one, general rate of duty is 11 percent ad valorem.
By application of GRI 1, GRI 3(c) and GRI 6, the Item 2 bracelet with the base metal piece is classified under subheading 7117.90.90, HTSUS, as “Imitation jewelry: Of base metal, whether or not plated with precious metal: Other: Other.” The 2016 column one, general rate of duty is 11 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 on the World Wide Web at www.usitc.gov.
EFFECT ON OTHER RULINGS:
NY G82337, dated October 6, 2000, is hereby modified with regard to the Item 1 bracelet and the Item 2 bracelet with the metal piece.
In accordance with 19 U.S.C. 1625(c), this ruling will become effective 60 days after publication in the Customs Bulletin.
Sincerely,
Myles B. Harmon, Director
Commercial and Trade Facilitation Division