CLA-2 OT:RR:CTF:FTM H269055 GaK
TARIFF NO: 7018.90.50
Ms. Melanie Geier
Office Max
263 Shuman Boulevard
Naperville, IL 60563
RE: Modification of NY N034500; Classification of a lanyard of glass beads
Dear Ms. Geier:
This letter is to inform you that U.S. Customs and Border Protection (“CBP”) has reconsidered New York Ruling Letter (“NY”) N034500, which was issued to Office Max on August 25, 2008. In NY N034500, CBP classified, among other items, a glass bead lanyard under subheading 7018.10.50, Harmonized Tariff Schedule of the United States (“HTSUS”), which provides for: “Glass beads…: Glass beads…: Other.” We have reviewed NY N034500 and found it to be incorrect with regard to the classification of the glass bead lanyard. For the reasons set forth below, we are modifying this ruling.
On April 12, 2017, 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, notice of the proposed action was published in the Customs Bulletin Vol. 51, No. 15. No comments were received in response to this notice.
FACTS:
In NY N034500, the merchandise was described as follows:
[A] necklace lanyard with attached plastic identification holder…Item number W-080012400…[is] a glass bead necklace which is pink in color…[It is] 35 inches long and feature a clear PVC name badge holder, measuring 4 inches by 5 inches.
ISSUE:
Is the glass bead lanyard classified under subheading 7018.10.50, HTSUS, as glass beads, or under subheading 7018.90.50, HTSUS, as an article of glass beads?
LAW AND ANALYSIS:
Merchandise imported into the United States is classified under the HTSUS. Tariff classification is governed by the principles set forth in the General Rules of Interpretation (“GRIs”) and, in the absence of special language or context which requires otherwise, by the Additional U.S. Rules of Interpretation. The GRIs and the Additional U.S. Rules of Interpretation are part of the HTSUS and are to be considered statutory provisions of law for all purposes. GRI 1 requires that classification be determined first 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 heading and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order.
The 2017 HTSUS subheadings at issue are as follows:
7018 Glass beads, imitation pearls, imitation precious or semiprecious stones and similar glass smallwares and articles thereof other than imitation jewelry; glass eyes other than prosthetic articles; statuettes and other ornaments of lamp-worked glass, other than imitation jewelry; glass microspheres not exceeding 1 mm in diameter:
7018.10 Glass beads, imitation pearls, imitation precious or semiprecious stones and similar glass smallwares:
7018.10.50 Other.
* * *
7018.90 Other:
7018.90.50 Other.
In NY N034500, CBP classified the glass bead lanyard as “glass beads” under subheading 7018.10.50, HTSUS. However, the instant merchandise does not consist of loose glass beads. Rather, it is a finished lanyard comprised of glass beads.
CBP has consistently classified articles of glass beads in subheading 7018.90.50, HTSUS. In Headquarters Ruling Letter (“HQ”) 966663, dated March 31, 2004, CBP classified plastic grapes covered with glass beads under subheading 7018.90.50, HTSUS. See also NY J87611, dated August 20, 2003 (lanyard article of glass beads with a plastic badge holder attached, classified under subheading 7018.90.50, HTSUS); HQ 966664, dated March 31, 2004 (beaded berry wreath in which the berries were “completely covered” with glass beads, classified under subheading 7018.90.50, HTSUS); HQ 084748, dated August 22, 1989 (“fully glass beaded handbag” classified under subheading 7018.90.50, HTSUS); and NY 888300, dated May 5, 1993 (two trinket boxes, the exterior of which were “completely covered” with glass beads, classified under subheading 7018.90.50, HTSUS).
Therefore, we find that under GRI 1, the glass bead lanyard is classified in subheading 7018.90.50, HTSUS, which provides for articles of glass beads.
HOLDING:
Under the authority of GRI 1, the glass bead lanyard is provided for in heading 7018, HTSUS, specifically in subheading 7018.90.50, HTSUS, which provides for, “Glass beads, imitation pearls, imitation precious or semiprecious stones and similar glass smallwares and articles thereof other than imitation jewelry…:Other: Other.” The 2017 column one general rate of duty is 6.6% ad valorem.
EFFECT ON OTHER RULINGS:
NY N034500, dated August 25, 2008, is hereby MODIFIED with regard to the classification of the glass bead lanyard.
Sincerely,
Myles B. Harmon, Director
Commercial and Trade Facilitation Division