OT:RR:CTF:CPMMA H320116 RFC

Center Director
Apparel, Footwear and Textile Center for Excellence and Expertise
U.S. Customs and Border Protection
33 New Montgomery Street, 16th Floor
San Francisco, CA 94105

ATTN: Christina Howard-Ceterski, Import Specialist

RE: Protest and AFR No. 2006-21-106118; Classification of Disposable Nitrile Gloves

Dear Center Director:

The following is our decision regarding the Application for Further Review (“AFR”) of Protest Number 2006-21-106118, timely filed on February 9, 2021, by Carmichael International Service on behalf of Shen Wei USA Inc. (“Protestant”). This AFR concerns the classification by U.S. Customs and Border Protection (“CBP”), under the Harmonized Tariff Schedule of the United States (“HTSUS”) (2019), of disposable nitrile gloves.

By way of a November 14, 2022, email message, new counsel of record (Sandler, Travis & Rosenberg, P.A.), who replaced the previous counsel of record (Junker & Nakachi, P.C.), submitted an undated and unsigned document entitled “Supplement to Protest No. 200-21-106118.” At the request of the new counsel of record, a virtual conference was held on November 28, 2022, with representatives of CBP and representatives of the protestant to discuss the instant protest. A PowerPoint presentation was shown during the conference and a copy was submitted for review. FACTS:

The merchandise that is the subject of this protest is disposable nitrile gloves. There are seven (7) different gloves identified in the Customs Protest and Summons Information Report (Customs Form 6445A) (dated February 9, 2021):

• Nitrile Glove 1: Item #N772351-56, Style Megaman (Blue), Aka Powerform S12+; • Nitrile Glove 2: Item #N716882-6, Style Stellar S6, Aka Powerform; • Nitrile Glove 3: Item #N260881-87, Style Megaman (Black); • Nitrile Glove 4: Item #N106551-56, Style Hydrex, Aka Powerform; • Nitrile Glove 5: Item #N027401-06, Style Powerform X5+, Aka Trueform; • Nitrile Glove 6: Item #128401-05, Style Aloeform Soft, Aka Trueform; and • Nitrile Glove 7: Item #N129401-06, Style Aloeform X6, Aka, Powerform.

The gloves are reportedly sold to distributors and not sold directly to end users. The country of origin is China.

In a submission entitled “Administrative Protest” from the previous counsel of record for the protestor, dated November 20, 2019, (with a cover letter dated February 9, 2021) in a section entitled “Factual Background,” a chart identifies all the gloves as being made of nitrile and the product labels, product packaging and product marketing as “examination gloves.” Furthermore, in the same section, it states, in part, as follows:

The subject merchandise involves five entries containing 8 models of nitril [sic] medical examination gloves…These medical examination gloves are labeled as such, on the packaging, they are marketed as examination gloves, and many also state that they are for “medical use only”...The subject merchandise is marked as for medical use as examination gloves…The specifications for the subject merchandise meet the ASTM specifications for medical gloves found in ASTM D6319-19…The subject merchandise (brands and models) have each also obtained FDA pre-market 510(k) approval as being in conformance with the FDA requirements and are therefore authorized for marketing and sale in the United States as “medical” gloves…The gloves are active to distributors who are active in the scientific community and whom market the gloves (labeled as Exam gloves) accordingly as being for “medical” use.

On a website that sells the three types of disposable gloves that are the subject of this protest (i.e., TrueForm disposable gloves, PowerForm disposable gloves, and MegaMan disposable gloves) can be found the following descriptions and pictures of the gloves: TrueForm TrueForm is made for those who rely on daily hand protection to provide ease of use and high dexterity. With TrueForm, quality is designed into every single style using exacting manufacturing processes for tip-to-cuff consistency, glove after glove.

2 PowerForm PowerForm brings new hand protection technologies to workplace performance. From sweat management to enhanced grip design, PowerForm features enable workers to execute tasks with more confidence. PowerForm focuses on functional advancements to optimize on-the-job performance every day.

MegaMan MegaMan pushes the boundaries of single-use hand protection performance, with new levels of abrasion resistance, sweat management, and comfort that deliver in exceedingly severe environments. Reach for MegaMan on the toughest jobs, when protection matters most.

3 https://swsafety.com/single-use-gloves/ (Last visited on 30 November 2022)

On a website featuring the MegaMan N260881 glove (which is identified in the protest submission), it states as follows:

MegaMan® N260881-XS Single-Use Silicone-Free Gloves, XS, Nitrile, Black, 11 in L, Powder-Free, Fully Textured, 10.1 mil THK, Application Type: Industrial, Ambidextrous Hand (Emphasis added.)

https://www.arbill.com/2568872/product/n/megamanreg-n260881-xs (Last visited on 30 November 2022)

On another website there is a technical data sheet for the Megaman gloves; it lists item number N260881 gloves and identifies the following applications for the gloves:

• Assembly • Chemical Handling • Fabrication • Janitorial Maintenance • Light Machining Operations • Maintenance • Waste Management

https://swsafety.com/wp-content/uploads/2020/09/MM-11BK-Datasheet.pdf (Last visited on 30 November 2022).

The Food and Drug Administration has the following description with respect to medical gloves:

About medical gloves

Medical gloves are examples of personal protective equipment that are used to protect the wearer and/or the patient from the spread of infection or illness during medical procedures and examinations. Medical gloves are one part of an infection-control strategy. (Emphasis added.)

4 Medical gloves are disposable and include examination gloves, surgical gloves, and medical gloves for handling chemotherapy agents (chemotherapy gloves). These gloves are regulated by the FDA as Class I reserved medical devices that require a 510(k) premarket notification. FDA reviews these devices to ensure that performance criteria such as leak resistance, tear resistance and biocompatibility are met.

https://www.fda.gov/medical-devices/personal-protective-equipment-infection-control/medical-gloves (Last visited on 30 November 2022).

The merchandise in the above-mentioned protest was entered by the importer in 10-digit statistical reporting number 4015.19.0550, HTSUSA (2019). A Notice of Action (CBP Form 29) (dated August 10, 2020) was issued advising that the merchandise was classified in 10-digit statistical reporting number 4015.19.1010, HTSUSA (2019). The merchandise was liquidated in that 10-digit statistical reporting number. In the instant protest, the protestant contends that the merchandise is properly classified in 10-digit statistical reporting number 4015.19.0550, HTSUSA (2019) as medical gloves rather than in 10-digit statistical reporting number 4015.19.1010, HTSUSA (2019) as other than medical gloves.

ISSUE:

What is the proper classification of the subject merchandise under the HTSUS (2019): (1) in subheading 4015.19.05, HTSUS, as medical gloves; or (2) in subheading 4015.19.10, HTSUS, as other than medical gloves?

LAW AND ANALYSIS:

The protest was properly filed as a decision on classification under 19 U.S.C. § 1514(a)(2). The protest was timely filed within 180 days of liquidation of the entry. See 19 U.S.C. § 1514(c)(3). Moreover, further review of the protest is properly accorded to protestant pursuant to 19 CFR § 174.24(b) because the decision against which the protest was filed is alleged to involve questions of law or fact which have not been ruled upon by the Commissioner of Customs or his designee or by the Customs courts.

Merchandise imported into the United States is classified under the HTSUS. The tariff classification of merchandise under the HTSUS is governed by the principles set forth in the General Rules of Interpretation (“GRIs”) and, in the absence of special language or context which otherwise requires, 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 provision of law for all purposes. See Sections 1204(a) and 1204(c) of the Omnibus Trade and Competitiveness Act of 1988 (19 U.S.C. §§ 1204(a),(c)).

GRI 1 requires that classification be determined first according to the terms of the headings of the tariff schedule (i.e., (1) merchandise is to be classified under the 4-digit

5 heading that most specifically describes the merchandise; (2) only 4-digit headings are comparable; and (3) merchandise must first satisfy the provisions of a 4-digit heading before consideration is given to classification under a subheading within this 4-digit heading) and any relative section or chapter notes and, provided such headings or notes do not otherwise require, then according to the other GRIs.

GRI 6 prescribes that, for legal purposes, GRIs 1 to 5 shall govern, mutatis mutandis, classification at subheading levels within the same heading. Therefore, merchandise is to be classified at equal subheading levels (i.e., at the same digit level) within the same 4-digit heading under the subheading that most specifically describes or identifies the merchandise.

Additional U.S. Rule of Interpretation 1(a) requires that “a tariff classification controlled by use (other than actual use) is 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.”

The HTSUS (2019) subheadings at issue are as follows:

4015.19.0550: Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber: Gloves, mittens and mitts: Other: Medical, Other.

4015.19.1010: Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber: Gloves, mittens and mitts: Other: Other: Seamless, Disposable.

The Harmonized Commodity Description and Coding System Explanatory Notes (ENs) constitute the official interpretation of the Harmonized System (HS) at the international level. While not legally binding, the ENs provide a commentary on the scope of each heading of the HS and are thus useful in ascertaining the proper classification of merchandise. See T.D. 89-90, 54 Fed. Reg. 35127, 35128 (Aug. 23, 1989).

The ENs to heading 4015 state, in part, as follows:

This heading covers articles of apparel and clothing accessories (including gloves, mittens and mitts) e.g., protective gloves and clothing for surgeons, radiologists, divers, etc., whether assembled by means of an adhesive or by sewing or otherwise obtained. (Emphasis added.)

There is no dispute that the merchandise is classified in heading 4015, HTSUS, as gloves. Rather, the issue centers around whether the merchandise is classified within 8-digit subheading 4015.19.05, HTSUS (and specifically within 10-digit statistical

6 reporting number 4015.19.0550) as medical gloves or within 8-digit subheading 4015.19.10 (and specifically within 10-digit statistical reporting number 4015.19.1010) as other than medical gloves.

Subheading 4015.19.05, HTSUS (2019) is a principal use provision pursuant to Additional U.S. Rule of Interpretation 1(a). In E.M. Chemicals v. United States, 20 C.I.T. 382, 387; 923 F. Supp. 202, 208 (1996), the U.S. Court of International Trade addressed principle use under Additional U.S. Rule of Interpretation 1 to the HTSUS:

The principal use of the class or kind of goods to which an import belongs is controlling, not the principal use of the specific import. Group Italglass U.S.A., Inc. v. United States, 17 C.I.T. 1177, 1177, 839 F. Supp. 866, 867 (1993). "Principal use" is defined as the use “which exceeds any other single use.” Conversion of the Tariff Schedules of the United States Annotated Into the Nomenclature Structure of the Harmonized System: Submitting Report at 34-35 (USITC Pub. No. 1400) (June 1983). As a result, "the fact that the merchandise may have numerous significant uses does not prevent the Court from classifying the merchandise according to the principal use of the class or kind to which the merchandise belongs." Lenox Coll., 20 C.I.T. , Slip Op. 96-30 at page 4.

* * * When applying a “principal use” provision, the Court must ascertain the class or kind of goods which are involved and decide whether the subject merchandise is a member of that class. See supra Additional US Rule of Interpretation 1 to the HTSUS. In determining the class or kind of goods, the Court examines factors which may include: (1) the general physical characteristics of the merchandise; (2) the expectation of the ultimate purchasers; (3) the channels of trade in which the merchandise moves; (4) the environment of the sale (e.g. the manner in which the merchandise is advertised and displayed); (5) the usage of the merchandise; (6) the economic practicality of so using the import; and (7) the recognition in the trade of this use. United States v. Carborundum Co., 63 C.C.P.A. 98, 102, 536 F.2d 373, 377, cert. denied, 429 U.S. 979, 50 L. Ed. 2d 587, 97 S. Ct. 490 (1976); see also Lenox Coll., 20 C.I.T. , Slip Op. 96-30, at page 5.

In the instant case, the class or kind of goods that are in question are medical gloves. And the question to be decided in the instant case is whether the goods under consideration are a member of that class or kind of gloves that are principally used (i.e., use which exceeds any other single use) in a medical application.

In its submission, counsel for the protestant addresses the seven Carborundum Factors (factors 3 and 4 are combined in a single response).

THE GENERAL PHYSICAL CHARACTERISTICS OF THE MERCHANDISE

General Physical Characteristics. The characteristics of the gloves are consistent with the ASTM standard D6319-19 for Nitril Examination Gloves for Medical Applications. See, Exhibit E, F and G. The physical characteristics are also consistent with extensive FDA requirements and have been met with FDA

7 pre-market approval for marketing and sale in the United States as medical gloves. See, Exhibits D and G. Some of these models are rated specifically as Chemotherapy gloves (Exhibits J). The subject merchandise these entries has inspection reports which rate these gloves according to these specifications. See Exhibits I.

The gloves under consideration are simply disposable nitrile gloves with no apparent general physical characteristics to indicate a principal use as medical gloves. As indicated above, they are promoted as having multiple uses (see above descriptions and pictures from websites of entities that sell these gloves). And the record does not establish or support with any degree of certainty use as medical gloves that exceeds any other single use.

THE EXPECTATION OF THE ULTIMATE PURCHASERS

Expectation of the Ultimate Purchasers. The expectations of the consumers are set by the labeling/marketing on the retail boxes which include the statements: “For Medical Use Only” and “Examination Gloves.” See, Exhibits F and G. Consumers expect these to be medical grade because they are marketed as such by both SWS and its distributors. See, Exhibits F and K.

There is nothing in the record (or in the above descriptions and pictures from websites of entities that sell these gloves) to allow one to assess with any degree of certainty the expectations of the ultimate purchasers--particularly as the gloves are sold to distributors and not sold directly to the ultimate purchasers.

THE CHANNELS OF TRADE IN WHICH THE MERCHANDISE MOVES & THE ENVIRONMENT OF THE SALE (E.G. THE MANNER IN WHICH THE MERCHANDISE IS ADVERTISED AND DISPLAYED)

Channels of Trade and Environment of Sale. We know the use, because the gloves are sold to distributors who sell into the medical community. These distributors will market the gloves as being for “medical” use. See, Exhibit K. (Summary of Distributor Marketing).

There is nothing in the record (or in the above descriptions and pictures from websites of entities that sell these gloves) to allow one to assess with any degree of certainty the channels of trade in which the merchandise moves or the environment of the sale (e.g., the manner in which the merchandise is advertised and displayed)-- particularly as the gloves are sold to distributors and not sold directly to the ultimate purchasers.

THE USAGE OF THE MERCHANDISE

Usage in the Same Manner as Merchandise Which Defines the Class. These gloves are actually used as medical examination gloves.

The gloves under consideration are disposable nitrile gloves. As indicated above, they are promoted as having multiple uses (see above descriptions and pictures 8 from websites of entities that sell these gloves). The record does not establish or support with any degree of certainty use as medical gloves that exceeds any other single use.

THE ECONOMIC PRACTICALITY OF SO USING THE IMPORT

Economic Practicality of Usage in the Same Manner as Merchandise Which Defines the Class. SWS asserts that non-medical gloves are unregulated by the FDA and are therefore much cheaper. It is economically unpractical to use medical gloves in these unregulated categories (which the FDA has described for example as “food service gloves” and “cleaning gloves”. See Exhibit L p. 7 of FDA Glove Manual.

As it has not been established that the principal use of the instant gloves is as medical gloves, one cannot assess with any degree of certainty the economic practicality of usage of the gloves in the same manner as merchandise that defines the class.

THE RECOGNITION IN THE TRADE OF THIS USE

Recognition in the trade of use in the manner consistent with the class. Again, the trade (distributors) do recognize SWS gloves as within the same class/kind as “medical gloves” because they market SWS products as “medical gloves.” See, Exhibit F and K.

As it has not been established that the principal use of the instant gloves is as medical gloves, one cannot assess with any degree of certainty whether the gloves under consideration are recognized in the trade as for use as medical gloves.

Upon review of the submissions and arguments presented on behalf of the protestant (including the above-mentioned “Supplement to Protest No. 200-21-106118” and the arguments and materials presented during the above-mentioned November 28, 2022, virtual conference) and the above-mentioned descriptions and pictures from websites of entities that sell the three types of gloves under consideration (i.e., TrueForm disposable gloves, PowerForm disposable gloves and MegaMan disposable gloves), the record does not support or establish that the instant goods are a member of a class or kind of gloves that are principally used (i.e., use which exceeds any other single use) in a medical application. Thus, they cannot be classified under the HTSUS (2019) as medical gloves.

HOLDING:

In accordance with the above analysis and by application of GRI 1, the merchandise that is the subject of this protest (“disposable nitrile gloves”) is classified in heading 4015, HTSUS, and by application of GRI 6 is specifically classified in 10-digit statistical reporting number 4015.19.1010, HTSUSA (2019) which provides for: “Articles of apparel and clothing accessories (including gloves, mittens and mitts), for all purposes, of vulcanized rubber other than hard rubber: Gloves, mittens and mitts: 9 Other: Other: Seamless, Disposable.” The 2019 column 1, general rate of duty is 3 percent ad valorem.

You are instructed to DENY the protest in full.

Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS (2019), products of China classified under subheading 4015.19.10, HTSUS (2019), unless specifically excluded, were subject to an additional 25 percent ad valorem rate of duty. At the time of importation, the Chapter 99 subheading, i.e., 9903.88.03, should have been reported for the products covered by this protest in addition to subheading 4015.19.10, HTSUS, listed above.

The HTSUS is subject to periodic amendment so an importer should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, an importer may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively.

Duty rates are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the Internet at https://hts.usitc.gov/current.

You are instructed to notify the protestant of this decision no later than sixty days (60) days from the date of this decision. Any reliquidation of the entry or entries in accordance with the decision must be accomplished prior to this notification. 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 U.S. Customs and Border Protection website at http://www.cbp.gov and other methods of public distribution.

Sincerely,

Yuliya A. Gulis, Director
Commercial and Trade Facilitation Division

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