CLA-2 CO:R:C:F 951142 LPF
Mr. Michael Betette
Armbee Corp.
390 Selby Street
San Francisco, CA 94124
RE: Modification of NYRL 849777; "Valentine Bear" textile heart
with stuffed bear in 9503 HTSUSA; Other toys (representing
animals); Not 9505 festive article
Dear Mr. Betette:
In New York Ruling Letter (NYRL) 849777, a textile heart
with a stuffed bear was classified in subheading 9505.90.6000,
Harmonized Tariff Schedule of the United States Annotated
(HTSUSA), as "Festive, carnival or other entertainment
articles,...: Other: Other." We have reviewed that ruling and
have found it to be partially in error. The correct
classification is as follows.
FACTS:
The article at issue, "Valentine Bear," item #10864, is a
textile heart with a stuffed bear. The article consists of a
five inch, stuffed, red and white bear superimposed within the
hollow of a heart. The heart, composed of two tubes of stuffed,
red, man-made satin textile, is trimmed with lace and forms an
open "Valentine" heart shape. A man-made satin textile hanging
loop attaches at the point where the two arcs of the heart
connect.
ISSUE:
Whether the textile heart with stuffed bear is classifiable
in heading 9505 as festive articles, in heading 6307 as other
made up (textile) articles, or in heading 9503 as other toys
(representing animals).
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LAW AND ANALYSIS:
The General Rules of Interpretation (GRI's) taken in their
appropriate order provide a framework for classification of
merchandise under the HTSUSA. Most imported goods are classified
by application of GRI 1, that is, according to the terms of the
headings of the tariff schedule and any relative section or
chapter notes. In the event that the good cannot be classified
solely on the basis of GRI 1, and if the headings and legal notes
do not otherwise require, the remaining GRI's may then be
applied. The Explanatory Notes (EN's) to the Harmonized
Commodity Description and Coding System, which represent the
official interpretation of the tariff at the international level,
facilitate classification under the HTSUSA by offering guidance
in understanding the scope of the headings and GRI's.
Heading 9505 provides for, inter alia, festive, carnival and
other entertainment articles. The EN's to 9505 indicate that the
heading covers:
(A) Festive, carnival or other entertainment articles,
which in view of their intended use are generally
made of non-durable material. They include:
(1) Decorations such as festoons, garlands,
Chinese lanterns, etc., as well as various
decorative articles made of paper, metal foil,
glass fibre, etc., for Christmas trees (e.g.,
tinsel, stars, icicles), artificial snow, coloured
balls, bells, lanterns, etc. Cake and other
decorations (e.g., animals, flags) which
are traditionally associated with a particular
festival are also classified here.
* * *
In general, merchandise is classifiable in heading 9505,
HTSUSA, as a festive article when the article, as a whole:
1. is of non-durable material or, generally, is not
purchased because of its extreme worth, or intrinsic
value (e.g., paper, cardboard, metal foil, glass fiber,
plastic, wood);
2. functions primarily as a decoration (e.g., its primary
function is not utilitarian); and
3. is traditionally associated or used with a particular
festival (e.g., stockings and tree ornaments for
Christmas, decorative eggs for Easter).
-3-
An article's satisfaction of these three criteria is
indicative of classification as a festive article. The motif of
an article is not dispositive of its classification and,
consequently, does not transform an item into a festive article.
When examining the "Valentine Bear," as a whole, it is
evident that the article is not traditionally associated or used
with a particular festival. It is not ejusdem generis with those
articles cited in the EN's to 9505, as exemplars of traditional,
festive articles. On the contrary, such heart-shaped articles
may serve to express love or affection not only on Valentine's
Day, but also on other occasions, such as anniversaries,
birthdays, etc. The subject article must be classified
elsewhere.
The textile heart with a stuffed bear consists of two
components which are classifiable as follows. The textile heart
is classifiable in heading 6307 which provides for other made up
textile articles. The stuffed bear is classifiable in heading
9503 which provides for other toys. The EN's to 9503 indicate
that the heading covers, inter alia, "toys representing
animals...." Since separate HTSUSA headings provide for each of
these components, the article is classified by applying GRI 3(a)
which explains, in pertinent part, that articles which are
classifiable under two or more headings are classified under the
heading which provides the most specific description of the
article. However, all such headings are regarded as equally
specific when each refers to only part of the article.
Each of the possible headings, in this case, refers to only
part of the article. Since the headings are, thus, regarded as
equally specific, we do not classify the article by GRI 3(a) but
next turn to GRI 3(b).
GRI 3(b) provides that articles made up of different
components, that is, composite goods, shall be classified as if
they consisted of the component which gives them their essential
character. "Essential character" is the attribute which strongly
marks or serves to distinguish what an article is. EN VIII to
GRI 3(b) explains that bulk, quantity, weight, value or the role
of a constituent material in relation to the use of the article
are indicia of essential character. Both the textile heart and
stuffed bear contribute significantly to the bulk and weight of
the article. Furthermore, based on use, neither component of the
article imparts essential character; rather both components
equally contribute to the design of the article.
Accordingly, GRI 3(c) explains that goods which cannot be
classified by reference to 3(a) or 3(b) are classified under the
heading which occurs last in numerical order among those which
equally merit consideration. The article, therefore, is
classifiable in heading 9503, the provision which occurs last in
numerical order. The applicable subheading is 9503.41.1000.
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HOLDING:
The textile heart with a stuffed bear is classifiable in
subheading 9503.41.1000, HTSUSA, as "Other toys...: Toys
representing animals or non-human creatures...and parts and
accessories thereof: Stuffed toys and parts and accessories
thereof: Stuffed toys." The general column one rate of duty is
6.8 percent ad valorem. However, any duty on the article is
temporary suspended under subheading 9902.95.02, HTSUSA. At the
present time, the duty suspension is scheduled to expire on
December 31, 1992.
This notice should be considered a modification of NYRL
849777 pursuant to 19 CFR 177.9(d)(1). It is not to be applied
retroactively to NYRL 849777 (19 CFR 177.9(d)(2)) and will not,
therefore, affect past transactions for the importation of your
merchandise under that ruling. However, for the purposes of
future transactions in merchandise of this type, NYRL 849777 will
not be valid precedent. We recognize that pending transactions
may be adversely affected by this modification, in that current
contracts for importations arriving at a port subsequent to this
decision will be classified pursuant to it. If such a situation
arises, you may notify this office and apply for relief from the
binding effects of this decision as may be warranted by the
circumstances.
Sincerely,
John Durant, Director
Commercial Rulings Division