CLA-2 CO:R:C:F 950644 ALS
Mr. Bruce Hannough
Bonar Plastics Ltd.
1 Valleywood Drive
Markham, Ontario, Canada L3R 5L9
RE: Wheeled Refuse/Trash/Garbage Carts Used for Residential
Purposes; Modification of Headquarters Rulings Letter
(HRL) 083441
Dear Mr. Hannough:
In Headquarters Ruling Letter (HRL) 083441, dated
October 23, 1989, we advised you that certain "Caddie" 90 (U.S.)
gallon refuse carts manufactured by Bonar Plastics Ltd. were
classifiable under subheading 3926.90.9050, Harmonized Tariff
Schedules of the United States Annotated (HTSUSA). We have
recently had occasion to review that ruling in connection with a
request for a ruling on a similar product and have concluded that
our prior classification was incorrect. Our decision follows:
FACTS:
The article under consideration is a molded wheeled plastic
cart used for the storage of refuse, trash and garbage and its
collection by automated or semi-automated mechanical collection
systems. The cart has a hinged top which fully covers the opening,
and it has two wheels to facilitate the movements of the container.
It is approximately 42 inches high and 30 inches wide. It weighs
approximately 36 pounds and has a load capacity of approximately
200 pounds. The cart is designed for residential use.
ISSUE: What is the classification of plastic refuse carts designed
for residential use?
- 2 -
LAW AND ANALYSIS:
Classification of merchandise under the HTSUSA is governed by
the General Rules of Interpretation (GRI's) taken in order.
GRI 1 provides that the classification is determined first in
accordance with the terms of the headings and any relative section
and chapter notes. If GRI 1 fails to classify the goods and if the
heading and legal notes do not otherwise require the remaining
GRI's are applied, taken in order.
In considering the classification of the article, we noted 3
possible subheadings of Chapter 39, HTSUSA, which might be
applicable. We noted subheading 3923.10, HTSUSA, which provides
for articles for the conveyance or packing of goods, of
plastic...boxes, cases, crates and similar articles. We also noted
subheading 3924.90, HTSUSA, which provides for other household
articles of plastics, and subheading 3926.90, HTSUSA, which
provides for other articles of plastics. In HRL 084064, dated June
13, 1989, we held that the subject article was classifiable under
subheading 3923.10.00, HTSUSA. In HRL 083441 we held that the
subject article was classifiable under subheading 3926.90.90,
HTSUSA. We have, in connection with the issuance of HRL 089757,
dated October 1, 1991, had occasion to review this matter and
concluded these wheeled trash carts designed for residential use
should be classified as household articles.
The subject articles, because of their size, capacity and
oversized integrated wheels, were previously felt to be designed
for a use other than as a garbage cans, or, because of their large
size and wheels, for the movement of garbage from it storage point
to a pick up point. In 1989, when the prior rulings were issued,
we understood that residential trash collection systems were
usually limited to loaded containers weighing no more than 50-60
pounds which were manually carried to a curbside point where the
containers were manually lifted and their contents dumped into a
trash collection vehicle. Since that time and in connection with
the issuance of HRL 089757, we have received information which
shows that with the use of mechanized equipment to lift the carts
and wheels by which the homeowner may move the cart to its curbside
collection point, the use of larger residential trash system
containers is practicable despite their considerably larger
dimensions, their weight and their load capacity. That literature
shows that wheeled carts make trash collection easier and more
efficient, save storage space, and guard against the scattering of
the trash by animals. Such literature provides both narrative and
photographic documentation that the article is intended for
residential purposes and semi-automated trash collection.
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In considering the applicability of the aforementioned
subheadings, we noted that the conveyance of trash to a curbside
collection by utilization of the cart is a minor function of such
cart. In this regard the cart must be distinguished from plastic
trash bags which are utilized to both store trash and to convey it
to the dump. We considered the Explanatory Notes to the Harmonized
Commodity Description and Coding System (EN's) which constitutes
the official interpretation of the Harmonized System at the
international level. We noted that the last paragraph to EN 39.23,
which specifically excludes household articles such as dustbins,
and EN 39.24(C), which specifically includes dustbins.
According to the American Heritage Dictionary, Second College
Edition, the term dustbin is chiefly a British term for a can for
trash or garbage. Recognizing that the English used in the EN's
is British English, we believe that the term dustbin therein is
synonymous with the American terms trash can, refuse can, garbage
can, and cart, as herein applicable. Accordingly, in view of the
specific exclusion of dustbins from Heading 3923, HTSUSA, we
believe that classification of the subject article under subheading
3923.10, HTSUSA, is inappropriate.
We next considered the applicability of Headings 3924 and
3926, HTSUSA, which respectively cover household articles of
plastic and other articles of plastic. While EN 39.24(C)
specifically states that dustbins are covered by Heading 3924,
HTSUSA, that presumes that the article is a household article.
Although the large size, weight, load capacity and the presence of
wheels raises some question whether the carts are intended for
residential use, the previously noted literature and other
available information clearly shows that these carts are intended
for such use. We note that relatively new mechanical technology
permits the use of such carts for the same purposes as the
traditional smaller trash cans which require manual manipulation.
Thus, while the carts have previously been considered as other
articles of plastic and classifiable under subheading 3926.90.90,
HTSUSA, we believe that it is now clear that the carts are intended
for residential use and are, therefore, covered by the provisions
of Heading 3924, HTSUSA, regarding articles of plastic for
household use.
HOLDING:
Wheeled trash/wheeled/garbage carts of plastic with a large
load capacity are classifiable under subheading 3924.90.50, - 4 -
HTSUSA. The general rate of duty for such articles is 3.4 per cent
ad valorem.
Such carts, the product of Canada, are, in accordance with
General Note 3(c)(vii)(B), HTSUSA, eligible for a reduced rate of
duty, upon compliance with the provisions of the United States -
Canada Free Trade Agreement and section 10.301 et seq., Customs
Regulations (19 CFR 10.301 et seq.).
HRL 083441 is accordingly modified.
Sincerely,
John Durant, Director
Commercial Rulings Division