OT:RR:CTF:FTM H333417 PJG/JMV
Mr. Robert G. Rinehart DJM
Footwear Inc.
Tamboril Industrial Park, Carretera Santiago Tomaboril, KM5
Santiago, 5100
Dominican Republic
RE: Tariff Classification and Eligibility for Preferential Tariff Treatment under the
Dominican Republic-Central America-United States Free Trade Agreement
(“DRCAFTA”) of Waterproof Rubber Boots for Women
Dear Mr. Rinehart:
This letter is in response to your correspondence, dated June 29, 2023, requesting a
binding ruling on behalf of Hunter Boots USA (“Hunter Boots” or “requestor”), concerning the
tariff classification of Hunter-brand waterproof rubber boots for women and their eligibility for
preferential tariff treatment under the Dominican Republic-Central America-United States Free
Trade Agreement (“DR-CAFTA”). Your request, submitted as an electronic ruling request, was
forwarded to this office from the National Commodity Specialist Division (“NCSD”) for a
response.
The requestor asked that certain information submitted in connection with this request be
treated as confidential. Inasmuch as this request conforms to the requirements of 19 C.F.R. §
177.2(b)(7), the request for confidentiality is approved. Specifically, the information contained
within brackets in this decision will not be released to the public and will be withheld from the
published version of this decision.
FACTS:
The facts are based on the June 29, 2023 ruling request and associated materials
submitted with the ruling request, consisting of photographs, a cost breakdown sheet, and a letter
containing the manufacturing processes for the boots, requestor’s position with respect to the
tariff classification of the merchandise, and requestor’s analysis of the DR-CAFTA eligibility.
The product at issue is identified as Hunter Original Tall WFT1000RMA. It is a women’s
waterproof, close-toed, lined, rubber boot that covers the ankle bone and extends to mid-calf, but
does not reach the knee. The boot is constructed of a rubber upper and outer sole and a polyester
lining. Each boot upper is also accessorized with a metal buckle.
The requestor asserts that the boots should be classified in subheading 6401.92.9060,
Harmonized Tariff Schedule of the United States Annotated (“HTSUSA”), which provides for
“Waterproof footwear with outer soles and uppers of rubber or plastics, the uppers of which are
neither fixed to the sole nor assembled by stitching, riveting, nailing, screwing, plugging or
similar processes: Other footwear: Covering the ankle but not covering the knee: Other: Other:
Other.” The requestor also avers that the boots qualify for preferential tariff treatment under the
DR-CAFTA.
The requestor provided a costed bill of materials, which lists each of the inputs and
components involved in the manufacture of the subject merchandise, the country of origin, tariff
classification, and per-unit cost for each of those components. The requestor also provided costs
related to labor, overhead, and profit. The following was provided, in relevant part:
Upper Components:
Part Name Material Classification Country of Cost per unit
Description Origin
Leg Upper 1.3 - 1.4 mm 4001.99.60 Originating $[***]
FSC Rubber
Vamp 1.3 - 1.4 mm 4001.99.60 Originating $[***]
FSC Rubber
Back Counter 1.3 - 1.4 mm 4001.99.60 Originating $[***]
FSC Rubber
Toe Cap 1.1 - 1.2 mm 4001.99.60 Originating $[***]
FSC Rubber
Back Stay 1.1 - 1.2 mm 4001.99.60 Originating $[***]
FSC Rubber
Heel Stay 1.1 - 1.2 mm 4001.99.60 Originating $[***]
FSC Rubber
Top Binding 2.0 mm, 4001.99.60 Originating $[***]
width 10 mm
Calender
FSC Rubber
Foxing 1.1-1.2mm, 4001.99.60 Originating $[***]
width 20 mm
FSC Rubber
2
Buckle Strap 0.6+CVS+0.6 4001.99.60 Originating $[***]
FSC
RUBBER
Buckle Patch 0.6+CVS+0.6 4001.99.60 Originating $[***]
FSC
RUBBER
Hunter (front) FSC Rubber 4001.99.60 Originating $[***]
Logo Logo
Lacquer 1x Dipping, Not provided Originating $[***]
and Spray
Lining Components:
Part Name Material Classification Country of Cost per unit
Description Origin
Leg/Vamp Lining 0.4 mm FSC 4001.99.60 Originating $[***]
Rubber Rubber
Leg/Vamp Lining Polyester 6006.32.00 Originating $[***]
Sock
Thread Polyester 5401.10.10 Originating $[***]
Hardware Components:
Part Name Material Classification Country of Cost per unit
Description Origin
Upper Strap Metal 8308.90.60 Non-originating $[***]
Buckle
Upper Strap Rivet Metal 8308.20.60 Non-originating $[***]
Logo Components:
Part Name Material Classification Country of Cost per unit
Description Origin
Outsole Logo FSC Rubber 4016.99.60 Originating $[***]
Bottom Components:
Part Name Material Classification Country of Cost per unit
Description Origin
Outsole Calendar 4001.99.60 Originating $[***]
FSC Rubber
3
Heel Piece Molded FSC 4001.99.60 Originating $[***]
Rubber
Sock Liner Latex, 6406.90.60 Non-Originating $[***]
Polyester,
and Logo
Filler 3.5 mm FSC 4001.99.60 Originating $[***]
Rubber
Packaging:
Part Name Material Classification Country of Cost per unit
Description Origin
Inner Box HUNBXHO01 4819.20.90 Non-Originating $[***]
Hunter Care Card 92mmX92mm Not provided Non-Originating $[***]
Outer Carton Not provided 4819.20.90 Originating $[***]
Clapboard Not provided Not provided Originating $[***]
Cardboard Filler Plat Top Card 4819.20.90 Originating $[***]
Board Filler
Sealing Tape for 40 mm for 5806.20.00 Originating $[***]
Last Last
Sealing Tape for 60 mm for 5806.20.00 Originating $[***]
Production Packing
Sealing Tape for 60 mm for 5806.20.00 Originating $[***]
AQL Packing
Tissue Tissue paper 4823.20.00 Originating $[***]
Labels:
Part Name Material Classification Country of Cost per unit
Description Origin
Paper Pictogram Not provided Originating $[***]
Composition Label (3 x 2
Label cm)
Outsole Size Size ID in UK Not provided Originating $[***]
Marking Sticker / EU / US
Label Box End Orig.Tall 4911.99.80 Non-Originating $[***]
Color + Size
7.5 x 4 cm
Warranty Seal Hunter 4908.10.00 Non-Originating $[***]
Internal Heat
Transfer
4
Outer Carton 15 x 10 cm 4911.99.60 Non-Originating $[***]
Label
Security Label Not provided Not provided Non-Originating $[***]
Glue/Cement:
Part Name Material Classification Country of Cost per unit
Description Origin
Cement Cement 3506.99.60 Originating $[***]
Cleaning:
Part Name Material Classification Country of Cost per unit
Description Origin
Gasoline Gasoline 2710.19.90 Originating $[***]
The manufacturing process in the Dominican Republic is described as follows:
1. The rubber component is imported into the Dominican Republic from [***].
2. The rubber is mixed with chemicals purchased in [***] or [***], to prepare the
rubber for further processing.
3. The rubber material is processed through several calendaring machines of
different sizes. The machines use hard pressure rollers to finish and smooth the
rubber into sheets. Different size rollers are used to obtain the texture and the
desired finish.
4. The rubber sheets are cut into pieces by a press cutting machine.
5. The rubber outer sole is formed by pressing the rubber in a heated mold.
6. The polyester knit fabric is cut and stitched to create the lining.
7. The lining is mounted in a last and glue is applied.
8. The rubber cut pieces of the boot are mounted on the last and cemented with the
lining on a rotary assembly line.
The rubber pieces applied in the line:
a. Leg Upper
b. Vamp
c. Back Counter
d. Rubber Toe Cap
e. Backstay
f. Heel Stay
g. Top Binding
h. Foxing
i. Buckle Strap
j. Buckle Patch
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k. Logo
l. Leg/Vamp Lining Rubber
m. Outsole logo
n. Outsole
o. Heel Piece
p. Filler
9. Lacquer finish oil is sprayed on the boot.
10. Boot is put in the oven to be vulcanized.
11. Boot is removed from the last after vulcanization.
12. Boot is put in the finishing/packing line. Below is the list of finishing items.
a. Heat transfer label
b. Insole
c. Tags
d. Cardboard supports
e. Wrapping paper
f. Size label
g. Adhesive labels
h. Shoe box
i. Carton box
13. Boots are stored and ready for shipment.
ISSUES:
(1) What is the tariff classification of the subject waterproof rubber boots?
(2) Are the subject waterproof rubber boots eligible for preferential tariff treatment under
the DR-CAFTA?
LAW AND ANALYSIS:
1. Tariff classification of the subject women’s boots
Classification under the Harmonized Tariff Schedule of the United States (“HTSUS”) is
made in accordance with the General Rules of Interpretation (“GRI”). GRI 1 provides that the
classification of goods shall be determined 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 headings and legal notes do not otherwise
require, the remaining GRI may then be applied.
The 2025 HTSUS provisions under consideration are as follows:
6401 Waterproof footwear with outer soles and uppers of rubber or plastics, the uppers
of which are neither fixed to the sole nor assembled by stitching, riveting, nailing,
screwing, plugging or similar processes:
6401.10.00 Footwear incorporating a protective metal toe-cap
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Other footwear:
6401.92 Covering the ankle but not covering the knee:
6401.92.30 Ski-boots and snowboard boots
Other:
6401.92.60 Having soles and uppers of which over 90 percent
of the external surface area (including any
accessories or reinforcements such as those
mentioned in note 4(a) to this chapter) is poly(vinyl
chloride), whether or not supported or lined with
poly(vinyl chloride) but not otherwise supported or
lined
6401.92.90 Other
Note 3 to Chapter 64, HTSUS, provides in relevant part as follows:
For the purposes of this chapter:
(a) the terms “rubber” and “plastics” include woven fabrics or other textile
products with an external layer of rubber or plastics being visible to the naked
eye; for the purposes of this provision, no account should be taken of any
resulting change of color; and
* * *
Note 4 to Chapter 64, HTSUS, provides as follows:
Subject to note 3 to this chapter:
(a) The material of the upper shall be taken to be the constituent material having
the greatest external surface area, no account being taken of accessories or
reinforcements such as ankle patches, edging, ornamentation, buckles, tabs,
eyelet stays or similar attachments;
(b) The constituent material of the outer sole shall be taken to be the material
having the greatest surface area in contact with the ground, no account being
taken of accessories or reinforcements such as spikes, bars, nails, protectors or
similar attachments.
Additional U.S. Note 3 to Chapter 64, HTSUS, provides as follows:
For the purposes of heading 6401 “waterproof footwear” means footwear
specified in the heading, designed to protect against penetration by water or other
liquids, whether or not such footwear is primarily designed for such purposes.
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The Harmonized Commodity Description and Coding System Explanatory Notes (“EN”)
constitute the “official interpretation of the Harmonized System” at the international level. See
54 Fed. Reg. 35127, 35128 (Aug. 23, 1989). While neither legally binding nor dispositive, the
EN “provide a commentary on the scope of each heading” of the HTSUS and are “generally
indicative of [the] proper interpretation” of these headings. See id.
The EN to 64.01, states, in relevant part as follows:
The heading covers, inter alia, footwear obtained by any of the processes
described below :
* * *
(7) Bonding and vulcanising
This process is used for moulding and vulcanising an outer sole and heel
of rubber on a preassembled upper in one operation. The sole is firmly
bonded to the upper with cement which hardens during vulcanisation.
The subject merchandise is a waterproof rubber boot for women that covers the ankle
bone and extends to mid-calf, but does not reach the knee. The greatest external surface area of
the upper is rubber. Consistent with Note 4 to Chapter 64, HTSUS, no account will be taken of
the metal buckle on the side of the boots. Similarly, the greatest surface area in contact with the
ground for the outer sole is rubber. Moreover, the upper is neither fixed to the sole nor
assembled by use of stitching, riveting, nailing, screwing, plugging or similar processes. Rather,
the requestor indicates that “[t]he rubber cut pieces of the boot are mounted on the last and
cemented with the lining on a rotary assembling line” and then the boot is vulcanized. The
assembly line includes the leg upper, the heel stay, back counter, backstay, heel piece, rubber toe
cap and the outsole. This process is consistent with the “[b]onding and vulcanising” process
described in the EN to 64.01, which indicates that footwear obtained by “[b]onding and
vulcanising” is classifiable as “waterproof footwear” in heading 6401, HTSUS. See HQ 964010
(Aug. 29, 2002) (stating that “[t]he processes described in the EN [to 64.01] are…examples of
methods of manufacturing waterproof footwear of heading 6401, HTSUS”). The subject
footwear is therefore classified under heading 6401, HTSUS.
Next, we turn to the classification at the subheading level. We note that the boot has a
rubber, not a metal, toe-cap, and therefore, the boot is not classifiable in subheading 6401.10.00,
HTSUS, which provides for footwear incorporating a protective metal toe-cap. Moreover, while
the footwear covers the ankle but not the knee, we note that the footwear is not akin to ski-boots
or snowboard boots and do not have soles and uppers of which over 90 percent of the external
surface area are poly(vinyl chloride). The footwear is therefore not classifiable in subheadings
6401.92.30 or 6401.92.60, HTSUS. Accordingly, the subject merchandise is classified in
subheading 6401.92.90, HTSUS, which provides for “Waterproof footwear with outer soles and
uppers of rubber or plastics, the uppers of which are neither fixed to the sole nor assembled by
stitching, riveting, nailing, screwing, plugging or similar processes: Other footwear: Covering the
ankle but not covering the knee: Other: Other.”
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2. Eligibility under the DR-CAFTA for the subject women’s boots
The DR-CAFTA was signed by the governments of Costa Rica, the Dominican Republic,
El Salvador, Guatemala, Honduras, Nicaragua, and the United States on August 5, 2004. The
DR-CAFTA was approved by the U.S. Congress with the enactment on August 2, 2005, of the
Dominican Republic-Central America-United States Free Trade Agreement Implementation Act,
Pub. L. 109-53, 119 Stat. 462 (19 U.S.C. § 4001 et seq.).
General Note (“GN”) 29, HTSUS implements the DR-CAFTA. GN 29(b), subject to the
provisions of subdivisions (c), (d), (m) and (n) of GN 29, HTSUS, sets forth the criteria for
determining whether a good (other than agricultural goods provided for in GN 29(a)(ii)) is an
originating good for purposes of the DR-CAFTA. GN 29(b), HTSUS, states, in pertinent part:
(b) For the purposes of this note, subject to the provisions of subdivisions (c),
(d), (m) and (n) thereof, a good imported into the customs territory of the
United States is eligible for treatment as an originating good under the terms
of this note if--
(i) the good is a good wholly obtained or produced entirely in the
territory of one or more of the parties to the Agreement;
(ii) the good was produced entirely in the territory of one or more of
the parties to the Agreement, and--
(A) each of the nonoriginating materials used in the production of
the good undergoes an applicable change in tariff classification
specified in subdivision (n) of this note; or
(B) the good otherwise satisfies any applicable regional value
content or other requirements specified in subdivision (n) of
this note;
and the good satisfies all other applicable requirements of this
note; or
(iii) the good was produced entirely in the territory of one or more of
the parties to the Agreement exclusively from originating
materials.
The subject boots are not wholly obtained or produced entirely in the territory of one or
more DR-CAFTA countries, and therefore are not eligible for treatment as an originating good
pursuant to GN 29(b)(i). Instead, pursuant to GN 29(b)(ii), we look to the applicable tariff shift
rule set forth in GN 29(n). The applicable chapter rule for the subject boots, which are classified
under subheading 6401.92.90, HTSUS, provides:
Chapter 64
9
Chapter rule 1: Notwithstanding the tariff classification rules for goods of chapter 64 set
forth below, with respect to goods of chapter 64 falling in the following tariff provisions
enumerated in this rule for which a rate of duty followed by the symbol “P” in
parentheses appears in the “Special” subcolumn of rate of duty column 1, an importer
may claim preferential tariff treatment under this note for a good of chapter 64 that meets
any tariff classification rule for such good set forth in general note 11, 17, 25, 26 or 28 of
the tariff schedule:
tariff items 6401.92.30, 6401.92.60, 6401.99.80, 6402.91.05, inclusive,
6402.91.16, 6402.91.30, 6402.91.40, 6402.91.60, 6402.91.70, 6402.99.04,
6402.99.12, 6402.99.21, 6402.99.23 through 6402.99.31, inclusive and
6402.99.41 through 6402.99.79, inclusive; heading 6403; tariff items 6404.11.20
through 6404.19.15, inclusive, and 6404.19.25 through 6404.20.60, inclusive; and
headings 6405 and 6406.
1. A change to subheading 6401.10, or tariff items 6401.92.90, 6401.99.10, 6401.99.30,
6401.99.60, 6401.99.90, 6402.91.10, 6402.91.20, 6402.91.26, 6402.91.50, 6402.91.70,
6402.91.80, 6402.91.90, 6402.99.08, 6402.99.16, 6402.99.19, 6402.99.33, 6402.99.80,
6402.99.90, 6404.11.90 or 6404.19.20 from any other heading outside headings
6401 through 6405, except from subheading 6406.10, provided that there is a
regional value content of not less than 55 percent under the build-up method.
2. A change to any other tariff item of chapter 64 from any other subheading.
GN 29(b)(ii) contains both a tariff shift and regional value content requirement. In this
case, each of the non-originating components or materials used in the production of the boot,
specifically, the upper strap buckle, the upper strap rivet, the sock liner, and the chemicals that
are sometimes sourced from [***] and mixed with the rubber, undergo a tariff shift from their
respective headings, as listed in the FACTS above, to the applicable subheading for the
waterproof rubber boot, which is subheading 6401.92.90, HTSUS. As such, we must determine
whether the regional value content (RVC) requirement is satisfied.
With regard to the build-up RVC requirement outlined in Rule 1 of GN 29(n) to Chapter
64, GN 29(f)(i)(B) stipulates:
For the build-up method, the regional value content of a good may be calculated on the
basis of the formula
RVC = ((VOM)/AV) x 100
where RVC is the regional value content of the good, expressed as a percentage; AV is the
adjusted value of the good; and VOM is the value of originating materials that are
acquired or self-produced, and used by the producer in the production of the good.
GN 29(f)(ii)(A) provides further context on what costs may be factored into the “value of
materials” as it is used in the RVC calculation. Specifically, the note states, in relevant part:
10
(A) For the purpose of calculating the regional value content of a good under this note,
and for the purposes of applying the de minimis rules under subdivision (e) of this
note, the value of a material is—
(1) in the case of a material that is imported by the producer of the good, the adjusted
value of the material;
(2) in the case of a material acquired in the territory in which the good is produced,
the value, determined in accordance with Articles 1 through 8, Article 15, and the
corresponding interpretive notes of the Agreement on Implementation of Article
VII of the General Agreement on Tariffs and Trade 1994 referred to in Section
101(d)(8) of the Uruguay Round Agreements Act, as set forth in regulations
promulgated by the Secretary of the Treasury providing for the application of such
Articles in the absence of an implementation; or
(3) in the case of a material that is self-produced, the sum of—
(I) all expenses incurred in the production of the material, including general
expenses; and
(II) an amount for profit equivalent to the profit added in the normal course of
trade.
Furthermore, in calculating the value of originating materials, GN 29(f)(ii)(B) outlines
additional expenses that may be added to the value of an originating material:
(B) The following expenses, if not included in the value of an originating material
calculated under subdivision (f)(ii)(A) above, may be added to the value of the
originating material:
(1) the costs of freight, insurance, packing and all other costs incurred in transporting
the material within or between the territory of one or more of the parties to the
Agreement to the location of the producer;
(2) duties, taxes and customs brokerage fees on the material paid in the territory of
one or more of the parties to the Agreement, other than duties or taxes that are
waived, refunded, refundable, or otherwise recoverable, including credit against
duty or tax paid or payable;
(3) the cost of waste and spoilage resulting from the use of the material in the
production of the good, less the value of renewable scrap or byproducts.
As outlined in GN 29(c)(ii)(G), furthermore, “the term ‘adjusted value’ means the value
determined in accordance with Articles 1 through 8, Article 15 and the corresponding interpretive
notes of the Agreement on Implementation of Article VII of the General Agreement on Tariffs
and Trade 1994 referred to in section 101(d)(8) of the Uruguay Round Agreements Act, adjusted,
if necessary, to exclude any costs, charges or other expenses incurred for transportation,
11
insurance and related services incident to the international shipment of the merchandise from the
country of exportation to the place of importation.”
The bill of materials indicates that the total value of originating materials is $[***] per
unit. The requestor claims that the adjusted value per unit, meanwhile, is $[***]. Based on the
relevant build-up formula, RVC = ((VOM)/AV) x 100, in this case, RVC = ([***]/[***]) x 100,
the RVC of the subject merchandise is 72.65%, which is above the required 55% requirement
provided for in GN 29(n) for goods classified under subheading 6401.92.90, HTSUS. As such,
we determine the subject waterproof rubber boots for women qualify as originating goods under
DR-CAFTA.
HOLDING:
By application of GRI 1 and 6, the subject waterproof rubber boots for women (Hunter
Original Tall WFT1000RMA) are classified under heading 6401, HTSUS, specifically, in
6401.92.90, HTSUS, which provides for “Waterproof footwear with outer soles and uppers of
rubber or plastics, the uppers of which are neither fixed to the sole nor assembled by stitching,
riveting, nailing, screwing, plugging or similar processes: Other footwear: Covering the ankle but
not covering the knee: Other: Other.” The 2025 column one, general rate of duty is 37.5 percent
ad valorem.
Based on the facts set forth above, the merchandise at issue, waterproof rubber boots for
women, will qualify as originating goods under DR-CAFTA.
Duty rates are provided for convenience and are subject to change. The text of the most
recent HTSUS and the accompanying duty rates are provided at https://hts.usitc.gov/current.
Please note that 19 C.F.R. § 177.9(b)(1) provides that “[e]ach ruling letter is issued on the
assumption that all of the information furnished in connection with the ruling request and
incorporated in the ruling letter, either directly, by reference, or by implication, is accurate and
complete in every material respect. The application of a ruling letter by a Customs Service field
office to the transaction to which it is purported to relate is subject to the verification of the facts
incorporated in the ruling letter, a comparison of the transaction described therein to the actual
transaction, and the satisfaction of any conditions on which the ruling was based.”
Sincerely,
Sarah Kafka, Chief
Food, Textiles, and Marking Branch
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