OT:RR:CTF: CPMM H284371 KSG
Tonya Davenport
Dollar General Corporation
100 Mission Ridge
Goodlettsville TN 37072
RE: Revocation of NY N248789, dated January 9, 2014; tariff classification of three wood nesting boxes
Dear Ms. Davenport:
This letter is in reference to New York Ruling Letter (NY) N248789, dated January 9, 2014, regarding the classification of three wood nesting boxes in the Harmonized Tariff Schedule of the United States (HTSUS).
In NY N248789, U.S. Customs & Border Protection (CBP) classified the three wood nesting boxes in subheading 4202.12, HTSUS, which provides for “Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; Trunks, suitcases, vanity cases, attache cases, briefcases, school satchel and similar containers: With outer surface of plastics or textile materials: with outer surface of plastics.”
We have reviewed NY N248789 and determined that the ruling is in error. Accordingly, for the reasons set forth below, CBP is revoking NY N248789.
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 proposing to modify NY N248789 was published on December 26, 2019, in Volume 53, Number 47, of the Customs Bulletin. No comments were received in response to this Notice.
FACTS:
This ruling involves three decorative wood nesting boxes that are square-shaped, with the largest box measuring 8” x 8” x 8”, the middle box measuring 6.5” x 6.5” x 6.5” and the smallest box measuring 5” x 5” x 5”. The boxes are sized to fit inside each other. The boxes are made of medium density fiber (MDF) with plastic sheeting exteriors and black textile lining. The largest box is pink, the middle box is purple and the smallest box is teal. No marketing information was submitted by the importer. A sample was provided.
ISSUE:
Whether the three nesting boxes are classified in heading 4202, HTSUS, as trunks or as similar containers, or in heading 4420, HTSUS, as wood boxes.
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.
GRI 6 provides that for legal purposes, 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 the above Rules, on the understanding that only subheadings at the same level are comparable. For the purposes of this Rule the relative Section and Chapter Notes also apply, unless the context otherwise requires.
The HTSUS subheadings under consideration are the following:
4202 Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; traveling bags, insulated food or beverage bags, toiletry bags, knapsacks and backpacks, handbags, shopping bags, wallets, purses, map cases, cigarette cases, tobacco pouches, tool bags, sports bags, bottle cases, jewelry boxes, powder cases, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials of vulcanized fiber or of paperboard, or wholly or mainly covered with such materials or with paper:
4202.12 Trunks, suitcases, vanity cases, attache cases, briefcases, school satchels and similar containers:
With outer surface of plastics or of textile materials:
With outer surface of plastics
***
4420 Wood marquetry and inlaid wood; caskets and cases for jewelry or cutlery and similar articles, of wood; statuettes and other ornaments, of wood: wooden articles of furniture not falling within chapter 94:
4420.90 Other:
Jewelry boxes, silverware chests, cigar and cigarette boxes, microscope cases, tool or utensil cases and similar boxes, cases and chests, all the foregoing of wood:
Other:
4420.90.45 Not lined with textile fabrics.
4420.90.65 Lined with textile fabrics
In understanding the language of the HTSUS, the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System, constitute the official interpretation of the Harmonized System 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. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
Chapter Note 1 (e), Chapter 44, HTSUS, provides that the chapter does not cover articles of heading 4202. The Chapter Notes have the same legal force as the text of the headings. See Roche Vitamins, Inc. v. United States, 772 F.3d 728 at 730 (Fed. Cir. 2014). The EN to heading 4202 states that “this heading covers only the articles specifically named therein and similar containers.” Therefore, the first question presented is whether the above described articles are classified in heading 4202, HTSUS.
The initial question in this case is whether the nesting boxes described above are considered “trunks” which is listed as the first exemplar in heading 4202, HTSUS. Neither the HTSUS nor the ENs define the term “trunk.”
When terms are not defined in the HTSUS or the ENs, they are construed in accordance with their common and commercial meanings, which are presumed to be the same. In determining the common meaning of a term in the tariff, courts may and do consult dictionaries, scientific authorities and other reliable sources of information. Nippon Kogaku (USA), Inc. v. United States, 673 F.2d 380 (C.C.P.A. 1982); Carl Zeiss, Inc. v. United States, 195 F.3d 1375 (Fed. Cir. 1999.)
Heading 4202 is an eo nomine provision for trunks because it covers the article by name. Since we cannot determine the meaning of the word “trunk” based on the HTSUS or the ENs, we examine dictionary definitions of the word “trunk.”
The word “trunk” is defined as: “a large sturdy box or chest for holding or transporting clothes, personal effects, or other articles.” Trunk Definition, DICTIONARY.COM, http: // dictionary.reference.com/browse/trunk (last visited Apr. 17, 2018). Based on the dictionary definition, trunks are containers designed to transport various items of clothing and personal effects; they are rugged containers designed for travel; they may have a lock to secure the items and they likely have compartments, trays or drawers to organize clothing and personal effects.
The three nesting boxes are not designed to transport various items of clothing and personal effects, do not have handles, compartments, trays or drawers, or a lock to provide security and are not rugged or durable to withstand the rigors of travel. The containers involved in this case are primarily decorative articles that might store a few items if not nested, but are not primarily utilitarian. Accordingly, we find that the nesting boxes described in this case are not “trunks.”
Further, the articles described above are not “similar containers” to the list of exemplars in heading 4202, HTSUS. The Court of International Trade held in Totes, Inc. v. United States, 865 F. Supp. 867 (Ct. Int’l Trade 1994), that containers that organized an automobile trunk were classified in heading 4202, HTSUS, as “similar containers” by application of ejusdem generis (which means of the same kind). The court noted that the individual exemplars are “disparate in their physical characteristics, purposes and uses ranging from such small containers as spectacle and cigarette cases, wallets, and tobacco pouches to such large containers as trunks and suitcases.” The court then concluded that the listed exemplers in heading 4202 possess four essential characteristics or common purposes that unite them: to organize, store, protect and carry various items. Since the automobile trunk organizers shared the four essential characteristics of the exemplars, the court concluded that they were properly classified in heading 4202, HTSUS.
In Otter Products, LLC v. United States, 70 F. Supp. 3d 1281 (Ct. Int’l Trade 2015), aff’d in 834 F.3d 1369 (Fed. Cir. 2016), Otterbox cellphone cases of the Commuter and Defender series (cellphone cases comprised of either a rigid outer plastic shell and a silicone mid-layer or a clear protective plastic membrane, a high-impact polycarbonate shell, a plastic belt clip holster and a durable outer silicone cover) were classified in subheading 3926.90.99, HTSUS and not in heading 4202, HTSUS. Of the four essential characteristics of “similar containers” in heading 4202, HTSUS, the court found that only one, “protecting” was clearly shared with the subject cases and the Otterbox products. Accordingly, the court concluded that the Otterbox products were not classified in heading 4202, HTSUS.
The following cases are distinguishable. In accordance with Otter Products, the nesting boxes, which possess at most one or none of the characteristics of the containers classified in heading 4202 as “similar containers,” are not properly classified as “similar containers.” Accordingly, we find that the nesting boxes are not classified in heading 4202 as “similar containers.”
Since we have concluded that the nesting boxes are not classified in heading 4202, HTSUS, and the nesting boxes are made of wood (MDF), we look at heading 4420, HTSUS. The EN for heading 4420 states that “articles of this heading may be made of ordinary wood or particle board or similar board, fiberboard, laminated wood or densified wood.”
Because the nesting boxes are made of wood, we conclude that the nesting boxes are classified in heading 4420, HTSUS. Having determined that the subject merchandise is classified in heading 4420, HTSUS, we apply GRI 6 to determine the proper subheading classification.
Heading 4420, HTSUS, covers among other things, “cases for jewelry or cutlery and similar articles, of wood….” Subheading 4420.90 lists jewelry boxes, silverware chests, cigar and cigarette boxes, microscope cases, tool or utensil cases and similar boxes….The EN to heading 4420 states that the heading covers a wide variety of articles of wood…such as… small furnishing goods. The list of exemplars set forth above are all small wood boxes or containers designed to hold specific small objects (and, except for microscope cases, contain small household goods) that would be placed on a table, desk or other piece of furniture. The wooden nesting boxes are articles of wood that are small furnishing goods; they are of the size and design that they would be placed on furniture and used to contain small household objects.
In comparable cases, CBP has classified wooden nesting containers in subheading 4420.90, HTSUS. For instance, in NY R04221, dated June 27, 2006, in which CBP classified hand painted floral designed plywood nesting containers lined in velvet in subheading 4420.90.65, HTSUS (there were three (3) sizes: 17.3” L x 7.5” W x 8.7” H; 20.5” L x 10.2” W x 12.2” H; and 25.2” L x 13.4” W x 15.4” H).
In NY N032230, dated July 18, 2008, small unlined containers made of wood, with a PVC handle, an iron clasp closure, and with iron rivets were classified in subheading 4420.90.45, HTSUS. They measured 4” in length x 2 ¾” in width x 2 3/4” in height.
In NY R01495, dated March 3, 2005, CBP classified three sizes of decorative spruce wood and plywood containers placed on top of each other in subheading 4420.90.45, HTSUS. The rectangular-shaped containers have hinged lids, metal clasp closures and unlined interiors. The three sizes are: 17.25” x 9.5” x 7.75”; 22.5” x 12.5” x 11.5”; and 30.5” x 19.75” x 15”.
Similarly, in NY R01546, dated March 3, 2005, CBP classified three sizes of hand painted floral nesting containers made of plywood with hinged lids and metal clasp closures lined with a “velvety paper” in subheading 4420.90.45, HTSUS.
In NY N238344, dated March 12, 2013, two wooden nesting containers made of MDF covered with a woven textile, trimmed with polyurethane strips and metal hardware, and lined with non-woven textile were classified by CBP in subheading 4420.90.80, HTSUS.
Lastly, in NY I89663, dated January 30, 2003, unlined nesting rectangular-shaped containers made of wood and covered on the outside with decorative leather straps were classified by CBP in subheading 4420.90.80, HTSUS.
Like the exemplars listed in subheading 4420.90, HTSUS, the goods in the instant case are small wood boxes or containers designed to hold small household goods that would be placed on a table, desk or other piece of furniture. Further, like the merchandise in NY L82942, where plastic sheeting covers the MDF and there is a metal clasp, the essential character of the good is determined by the MDF as it exceeds the weight of other components and contributes more to the storage role of the good.
Based on the above, we find that the three wooden nesting boxes are classified in subheading 4420.90, HTSUS. Since the three nesting boxes have a textile lining, they are classified in subheading 4420.90.65, HTSUS.
HOLDING:
Pursuant to GRIs 1 and 6, the three nesting boxes are classified in subheading 4420.90.65, HTSUS. The column one, general rate of duty is free.
Duty rates are provided for your convenience and subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided for at www.usitc.gov.
EFFECT ON OTHER RULINGS:
NY N248789 is revoked in accordance with the above analysis.
In accordance with 19 U.S.C. 1625(c), this ruling will become effective 60 days after publication in the CUSTOMS BULLETIN.
Sincerely,
Craig T. Clark, Director
Commercial and Trade Facilitation Division