CLA-2 OT:RR:CTF:EMAIN H304958 NVF
Port Director
U.S. Customs and Border Protection
Machinery – Center of Excellence and Expertise
1100 Raymond Blvd.
Newark, NJ 07102
Attn: Nathaniel Lewis, Import Specialist
RE: Application for Further Review of Protest No. 4601-19-103285; Classification of TransPro Heat Presses
Dear Port Director:
This letter is in response to the Application for Further Review (“AFR”) of Protest No. 4601-19-103285, timely filed by Barnes Richardson LLP on behalf of protestant, Pro World, Inc. (“Pro World”). The protest contests the classification and liquidation by Customs and Border Protection of certain heat presses under subheading 8451.80 of the Harmonized Tariff Schedule of the United States (“HTSUS”). In reaching this decision we took into consideration the materials submitted with the aforementioned protest, a video submitted by counsel for Pro World on July 24, 2020 along with the substance of our teleconference with Pro World and counsel, held on August 12, 2020 and supplemental materials provided on August 20, 2020.
FACTS:
The imports at issue are identified as TransPro heat presses, model numbers MP 882, MP 885, MP 886, and MP 887. The presses consist of two plates, with the upper one containing a heating element, and are used to transfer ink designs onto a textile, typically a tee shirt, hat, or other garment. The surface to be printed is placed on the lower plate, and the image to be transferred is placed on top of it. When the heat press is closed, the image transfer is accomplished through the application of heat and pressure. The subject heat presses utilize two types of image transfers. A transfer can be produced by heating the ink and then the dye is released into the substrate (fabric) via contact. Or, the sublimation process is used by producing heat to change the dye from a solid state into a gas, which is then absorbed into the fabric via contact.
The subject merchandise was imported from China on July 6, 2018. On March 1, 2019, CBP liquidated the entry under subheading 8451.80, HTSUS. Pro World filed a protest and Application for Further Review (“AFR”) on April 24, 2019.
In its protest, Pro World asserts that the subject merchandise should be classified under subheading 8451.30, HTSUS which provides for: Machinery (other than machines of heading 8450) for washing, cleaning, wringing, drying, ironing, pressing (including fusing presses), bleaching, dyeing, dressing, finishing, coating or impregnating textile yarns, fabrics or made up textile articles and machines for applying the paste to the base fabric or other support used in the manufacture of floor coverings such as linoleum; machines for reeling, unreeling folding, cutting or pinking textile fabrics; parts thereof: Ironing machines and presses (including fusing presses).
ISSUE:
Whether the subject heat presses are classified under sheading 8451.30, HTSUS as ironing machines and presses (including fusing presses), or under subheading 8451.80, HTSUS as other machinery.
LAW AND ANALYSIS:
We observe as an initial matter that the matters protested are protestable under 19 U.S.C. § 1514(a)(2) as decisions on classification and amount of duties chargeable. The subject merchandise was entered by Pro World on July 6, 2018. On March 1, 2019, CBP liquidated the entry. On April 24, 2019, Pro World timely filed a protest and AFR, within 180 days of liquidation of the first entry. Miscellaneous Trade and Technical Corrections Act of 2004, Pub.L. 108-429, § 2103(2) (B) (ii), (iii) (codified as amended at 19 U.S.C. § 1514(c) (3) (2006). Further review of the protest is properly accorded to protestant pursuant to 19 C.F.R. § 174.24(a) because the decision against which the protest was filed is alleged to be inconsistent with a previous CBP decision concerning substantially similar merchandise.
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 classification 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.
In this case, there is no disagreement as to the heading under which the heat presses are classified, i.e. heading 8451, HTSUS. Rather, the issue is which six-digit subheading applies and is thereby controlled by GRI 6, which provides as follows:
For legal purposes, the classification of goods in the subheading 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, chapter and subchapter notes also apply, unless the context otherwise requires.
The HTSUS subheadings under consideration are as follows:
8451 Machinery (other than machines of heading 8450) for washing, cleaning, wringing, drying, ironing, pressing (including fusing presses), bleaching, dyeing, dressing, finishing, coating or impregnating textile yarns, fabrics or made up textile articles and machines for applying the paste to the base fabric or other support used in the manufacture of floor coverings such as linoleum; machines for reeling, unreeling folding, cutting or pinking textile fabrics; parts thereof:
* * *
8451.30.00 Ironing machines and presses (including fusing presses)…
* * *
8451.80.00 Other machinery…
The Harmonized Commodity Description and Coding System Explanatory Notes (“ENs”) constitute the official interpretation of the HTSUS. While not legally binding or 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 (August 23, 1989). EN 84.51(A)(4) states that heading 8451 provides for, in pertinent part: Ironing machines and steam presses for pressing garments (including fusing presses) but excluding smoothing or ironing machines of the calender type, whether or not for domestic use, of heading 84.20.
Pro World argues that the subject presses are classified under subheading 8451.30 as ironing machines and presses and fusing presses. It asserts that the subject presses iron or press the surface to be printed and “provide the heat and pressure necessary to impregnate the textile item with inks and adhesives.” Pro World further argues that these functions are consistent with the reference to “presses” in subheading 8451.30 and contends that the subject presses function in a similar manner to fusing presses. As support for its position, Pro World provides three statements from members of the industry and cites to New York Ruling (“NY”) 803435 (Nov. 10, 1994) and HQ 957102 (Oct. 6, 1994).
As an initial matter, we note that subheading 8451.30 is an eo nomine provision. Eo nomine provisions are those that describe articles by specific names and not by use. Absent limiting language or contrary legislative intent, eo nomine provisions cover all forms of the named article. Nidec Corporation v. United States, 68 F.3d 1333, 1336 (Fed. Cir. 1995). See Lon-Ron Mft. Co. v. United States, 334 F.3d 1304, 1309 (Fed. Cir. 2003). The ironing machines and presses of subheading 8451.30, HTSUS, are designed to remove wrinkles from a garment by applying heat and pressure to garments. Headquarters Ruling (“HQ”) 950628 (Feb. 19, 1992). A fusing press is designed to join two or more fabrics, also using heat and pressure. The process of fabric joining via fusing press consists of a base cloth containing thermoplastic resin in the form of dots, which subsequently melt when heated to a specific temperature and pressure and flow into the fabrics to make a bond. Therefore, while the items classified under subheading 8451.30 achieve different goals, they all impart heat and pressure.
In this case, the subject heat presses are designed to apply heat and pressure to imprint a design or graphic on articles. While they are purchased by users for the purpose of transferring ink onto textiles, the subject presses do not themselves have any ink-transferring abilities. Rather, any ink that is transferred is achieved by virtue of the transfer paper and ink that is placed on top of the fabric and between the plates of the press; the heat presses at issue provide heat and pressure to facilitate the ink transferring process. In that regard, we find that in their condition as imported, the heat presses, like “fusing presses”, are covered by the provision for “ironing machines and presses” and are therefore classified under subheading 8451.30.
HOLDING:
By application of GRIs 1 and 6, the subject heat presses are classified in subheading 8451.30.00 of the 2018 HTSUS, which provides for: Machinery (other than machines of heading 8450) for washing, cleaning, wringing, drying, ironing, pressing (including fusing presses), bleaching, dyeing, dressing, finishing, coating or impregnating textile yarns, fabrics or made up textile articles and machines for applying the paste to the base fabric or other support used in the manufacture of floor coverings such as linoleum; machines for reeling, unreeling folding, cutting or pinking textile fabrics; parts thereof: Ironing machines and presses (including fusing presses). The general column one rate of duty is free.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 Fed. Reg. 28710), August 16, 2018 (83 Fed. Reg. 40823), and September 21, 2018 (83 Fed. Reg. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheading 8451.30.00, HTSUS, unless specifically excluded, are subject to the additional 25 percent ad valorem rate of duty. At the time of importation, the importer must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 8451.30.00, HTSUS, listed above.
You are instructed to GRANT the protest.
In accordance with Sections IV and VI of the CBP Protest/Petition Processing Handbook (HB 3500-08A, December 2007, pp. 24 and 26), you are to mail this decision, together with the CBP Form 19, to the Protestant no later than 60 days from the date of this letter. Any reliquidation of the entry or entries in accordance with the decision must be accomplished prior to mailing the decision.
Sixty days from the date of the decision, the Office of Trade, Regulations and Rulings, will make the decision available to CBP personnel, and to the public on the Customs Rulings Online Search System (“CROSS”) at https://rulings.cbp.gov/, which can be found on the CBP website at http://www.cbp.gov and other methods of public distribution.
Sincerely,
Craig T. Clark, Director
Commercial and Trade Facilitation Division