CLA-2 CO:R:C:T 956309 CAB
Arlen T. Epstein, Esq.
Serko & Simon
One World Trade Center
Suite 3371
New York, NY 10048
RE: Classification of babies' bottle covers; Heading 9503; toys;
GRI 3
Dear Mr. Epstein:
This is in response to your inquiry of April 21, 1994, on
behalf of your client, Russ Berrie and Company, Inc of Oakland, New
Jersey, and its wholly owned subsidiary, Papel/Freelance, Inc., of
Cranbury, New Jersey, requesting a ruling under the Harmonized
Tariff Schedule of the United States Annotated (HTSUSA). This
request concerns baby bottle covers described as "Bottle Pals."
Samples were submitted for examination.
FACTS:
The merchandise at issue are two soft covers for a baby's
bottle. One bottle cover referred to as Style number KXD-310 is
tubular in shape, made of cotton shell fabric and a polyester
filling, and has a full figured plush stuffed animal sewn to the
exterior of the cover. The other bottle cover referred to as Style
number L88767 is tubular in shape and represents a bunny rabbit.
It is constructed of cotton shell fabric and polyester filling.
ISSUE:
Whether the articles are classifiable as toys under Heading
9503, HTSUSA?
LAW AND ANALYSIS:
Classification of goods under the HTSUSA is governed by the
General Rules of Interpretation (GRI's). GRI 1 provides that
classification shall be determined according to the terms of the
headings and any relative section or chapter notes. Merchandise
that cannot be classified in accordance with GRI 1 is to be
classified in accordance with subsequent GRI's taken in order.
Heading 9503, HTSUSA, is the provision for other toys. The
Explanatory Notes to the Harmonized Commodity Description and
Coding System, although not legally binding, are the official
interpretation of the nomenclature. The EN to Chapter 95, HTSUSA,
state that this Chapter covers toys of all kinds whether designed
for the amusement of children or adults.
In Headquarters Ruling Letter 088983, dated August 12, 1991,
Customs interpreted the phrase "designed for the amusement of" to
mean that the use of the article is a factor when classification
under Heading 9503, HTSUSA, as a toy, is a possibility.
Additional U.S. Rule of Interpretation 1(a), HTSUSA, provides
that, absent language to the contrary, the following applies:
[A] tariff classification controlled by use (other than actual
use) is considered to be determined in accordance with the use
in the United States at, or immediately prior to, the date of
importation of goods of that class or kind to which the
imported goods belong and the controlling use is the principal
use.
When applying the aforementioned chapter note to the subject
merchandise, it appears that for the items to be properly
classified as a toy under Heading 9503, HTSUSA, the items'
principal use must be for amusement. In Ideal Corp. v. United
States, 78 Cust. Ct. 28, C.D. 4688 (1977), the court explained that
"when amusement and utility become locked in controversy, the
question becomes one of determining whether the amusement is
incidental to the utilitarian purpose, or the utility purpose
incidental to the amusement." Although, Ideal Corp. was decided
under the Tariff Schedules of the United States (TSUS), which was
replaced by the HTSUSA, the rationale is applicable to this case
and will be utilized as guidance in classifying the instant
articles.
Both bottle covers have the general appearance of a
stimulating toy for an infant. They are constructed in bright
colors and have a soft texture, both of which are common
characteristics of a stuffed animal used for child's play. Even
when the bottle covers are used to hold a bottle, they still
provide entertainment for a baby. Thus, use as amusement for an
infant seems to be the principal use for the bottle covers, while
the utilitarian feature seems to be incidental. Consequently, the
subject bottle covers are both classifiable as other toys under
Heading 9503, HTSUSA.
Style no. KXD-310 is considered a composite good as it is
comprised of a full-figured stuffed animal character sewn to a
hollow bottle sleeve, therefore, its classification cannot be
solely based on GRI 1. GRI 3(b) states that composite goods must
be classified according to the component which imparts the
essential character of the entire article. In this instance, there
are two distinct headings that each refer to a part of Style no.
KXD-310. The bottle cover is provided for under Heading 6307,
HTSUSA, which is the provision for other made up articles. The
stuffed animal component is provided for under Heading 9503,
HTSUSA, which is the provision for toys. In this case, based on
the rationale above, the stuffed animal component imparts the
essential character of the entire article.
HOLDING:
Based on the foregoing, Style no. KXD-310 is classified under
subheading 9503.41.1000, HTSUSA, which provides for toys
representing animals or non-human creatures, stuffed toys and parts
and accessories thereof. The applicable rate of duty is 6.8
percent ad valorem. Style no. L88767 is classified under
subheading 9503.49.0020, HTSUSA, which provides for toys
representing animals or non-human creatures. The applicable rate
of duty is 6.8 percent ad valorem.
Sincerely,
John Durant, Director
Commercial Rulings Division