HQ 954147
SEPTEMBER 1 1993
CLA-2:CO:R:C:M 954147 JAS
District Director of Customs
Area/Port of Blaine
1000 Second Ave., Suite 2200
Seattle, WA. 98174
RE: PRD 3004-92-100168; Cardboard Display Stand; Predator
Display; Stand-Alone Beverage Display, Motor Operated;
Furniture, Movable Articles of Utility; Printed Matter,
Subheading 4911.91.30; Electrical Machines and Apparatus,
Subheading 8543.80.90; GRI 3(a), HTSUS; NY 868233
Dear Sir:
This is our decision on Application for Further Review of
Protest No. 3004-2-100168, filed against your action in
classifying certain cardboard displays from Canada. The entry
was liquidated on October 16, 1992, and this protest timely filed
on October 27, 1992.
FACTS:
The article in issue, designated the Predator Display, is a
cardboard cutout designed to be folded into a three-dimensional
stand. Cardboard shapes of fruits and a bottled drink designated
"Clearly Canadian" are attached to the front. A battery-operated
motor causes the fruit shapes to revolve around the bottle and to
create the visual illusion of water pouring into the bottle.
These stands are displayed in stores that sell the bottled
beverage.
The cardboard display was entered under a duty-free
provision for other printed matter, in subheading 4911.91.30,
HTSUS. You determined that the presence of the motor indicates
these novelty items are electrical in nature and liquidated the
entry under the provision for electrical machines and apparatus,
in subheading 8543.80.90.
A ruling issued to the protestant by the Area Director of
Customs, New York Seaport, stated, in part, that the merchandise
in issue was classifiable under the provision for other - 2 -
furniture, in subheading 9403.80.60. NY 868233, dated November
13, 1991.
The provisions under consideration are as follows:
4911.91.30 Other printed matter, including printed
pictures and photographs: Other: Over
0.51 mm in thickness...Free
* * * * *
8543.80.90 Electrical machines and apparatus, having
individual functions, not specified or
included elsewhere in [chapter 84]:
Other...0.7 percent under the United States-
Canada Free-Trade Agreement (CFTA)
* * * * *
9403.80.60 Other furniture and parts thereof: Furniture
of other materials: Other...0.8 percent under
the United States-Canada Free-Trade Agreement
(CFTA)
ISSUE:
Whether the motor-operated cardboard display stand is a good
of heading 8543; which of the remaining two headings is more
specific.
LAW AND ANALYSIS:
Merchandise is classifiable under the Harmonized Tariff
Schedule of the United States (HTSUS) in accordance with the
General Rules of Interpretation (GRIs). GRI 1 states in part
that for legal purposes, classification shall be determined
according to the terms of the headings and any relative section
or chapter notes, and provided the headings or notes do not
require otherwise, according to GRIs 2 through 6.
The Harmonized Commodity Description And Coding System
Explanatory Notes (ENs) constitute the Customs Cooperation
Council's official interpretation of the Harmonized System.
While not legally binding on the contracting parties, and
therefore not dispositive, the ENs provide a commentary on the
scope of each heading of the Harmonized System and are thus
useful in ascertaining the classification of merchandise under
the System. Customs believes the notes should always be
consulted. See T.D. 89-80.
Initially, ENs at p. 1402 state that heading 8543 does not
cover electrical apparatus provided more specifically in any - 3 -
other heading in chapter 85 or in any heading in another chapter
of the HTSUS. In addition, the cardboard display stand does not
have an individual function as required for goods of heading
8543. Therefore, this heading does not apply here.
Relevant ENs at p. 691 state that with a few exceptions not
relevant here, chapter 49 covers all printed matter of which the
essential nature and use is determined by the fact of its being
printed with motifs, characters or pictorial representations.
The ENs for chapter 94 state at p. 1574 that the term "furniture"
means any movable article not included under other more specific
headings of the HTSUS, which have the essential characteristic
that they are constructed for placing on the floor or ground and
are used, mainly with a utilitarian purpose, to equip hotels,
theaters, offices, schools, restaurants, laboratories, hospitals,
among other places. The cardboard display stand in issue is
prima facie classifiable both in heading 4911 and in heading
9403. In our opinion, the motor does not add a second primary
function or impart a new capability that would remove the
cardboard display stand from the scope of either heading.
In accordance with GRI 3(a), the heading which provides the
most specific description shall be preferred to headings
providing a more general description. In most cases, goods will
be classified in a provision that most narrowly and specifically
describes them or which have requirements that are more difficult
to satisfy. Heading 9403 encompasses "other" furniture, a class
of goods designated eo nomine, by name, and a term that is
defined in the ENs. Heading 4911, on the other hand, is a more
general provision that encompasses "other" printed matter. An eo
nomine designation will generally prevail over words of general
description, unless a contrary legislative intent appears.
HOLDING:
Under the authority of GRI 3(a), we conclude that heading
9403 provides a more specific description for the cardboard
display stand than does heading 4911. The goods are properly
classifiable in subheading 9403.80.60, HTSUS, as furniture of
other materials.
Since the CFTA rate of duty under subheading 9403.80.60 is
more than the liquidated rate, the protest should be denied. A
copy of this decision should be attached to the Customs Form 19
and mailed to the protestant, through his representative, as part
of the notice of action on the protest.
Sincerely,
John Durant, Director
Commercial Rulings Division