OT:RR:CTF:FTM/VSP H334879 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 Two Styles of Dipped Neoprene Rubber Boots Incorporating a
Protective Metal Toe-Cap
Dear Mr. Rinehart:
This letter is in response to your correspondence, dated September 19, 2023, requesting a
binding ruling on behalf of Servus Rubber (“Servus” or “requestor”), concerning the tariff
classification of two styles of Servus-brand dipped neoprene rubber boots (Stock Nos. 22214 and
22114) that incorporate a protective metal toe-cap and the eligibility of the products for
preferential tariff treatment under the Dominican Republic-Central America-United States Free
Trade Agreement (“DR-CAFTA”). The 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, we grant your request for
confidential treatment with respect to the identified value-related information contained within
two attachments submitted with the ruling request. The specified information will not be
released to the public and will be withheld from the published version of this decision.
FACTS:
1
The facts are based on your ruling request and associated materials submitted with the
ruling request, including photographs, a document describing the dipped neoprene manufacturing
process, and a letter containing the manufacturing processes for the boots and providing your
position with respect to the tariff classification of the merchandise and DR-CAFTA eligibility.
The products at issue are identified as the Servus 15’’ Dipped Neoprene Rubber Boot, Steel Toe,
stock no. 22214, and the Servus 12’’ Dipped Neoprene Rubber Boot, Steel Toe, stock no. 22114.
They are waterproof, close-toed, lined, rubber boots that covers the ankle bone and extend to
mid-calf, but do not reach the knee. The boots are constructed of a rubber upper and outer sole
and a polyester lining. The boots incorporate a protective metal toe-cap.
The requestor asserts that the boots should be classified in subheading 6401.10.0000,
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: Footwear incorporating a protective metal toe-cap.” The requestor also avers
that the boots qualify for preferential tariff treatment under the DR-CAFTA.
The manufacturing process in the Dominican Republic is described as follows:
• The rubber base (rubber block) is imported into the Dominican Republic and
mixed with other chemicals of various origin;
• The rubber and chemical mixture are processed through several calendaring
machines, during which hard pressure rollers smooth the rubber into sheets
and obtain the desired texture and finish on the rubber;
• Rubber sheets are cut into pieces by a press cutting machine;
• Some of the mixed rubber is pressed in heated molds to form the outsoles;
• Polyester laminated with rubber is cut and sewn into the sock lining;
• The sock lining is mounted over a last and cement glue is applied;
• The metal protective toe-cap is placed over the sock lining in the toe area;
• Rubber pieces including inside quarter or vamp reinforcement, backstay or
heel reinforcement insole, and steel toe reinforcement are cemented over the
sock lining while on a rotary assembly line;
• The upper assembly is dipped into a vat of neoprene latex liquid;
• The upper is dipped into a vat of coagulant;
• The upper assembly with neoprene latex and coagulant is put into a drying
oven which cures the latex material;
• Rubber pieces including outsole, top edge, lower foxing edge and toe-piece
are mounted and cemented on the last with latex on a rotary assembly line;
• Lacquer finish oil is sprayed on the boot and it is placed in an oven to be
vulcanized;
• After vulcanization, the boot is removed from the last;
• Heat transfer labels, insole, tags, size labels, adhesive labels are applied and
the boots are packaged for shipment[.]
According to the ruling request, for both styles, the manufacturer produces the boot
upper, bottom, and lining, which are then manufactured into the final boot. The requester asserts
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that, for both styles, the boot uppers and linings are classified under subheading, 6406.10
HTSUS, and the boot bottom is classified under subheading 6406.90, HTSUS.
The requester 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 of each of those components. The requester also provided costs
related to labor, overhead, and profit. The following was provided, in relevant part:
Servus 12’’ Dipped Neoprene Rubber Boot Stock Number 22114
Upper Components:
Part Classification Country of Origin Cost per unit
Rubber Outside 6406.10 Non-Originating $[***]
Neoprene Latex Outside 6406.10 Non-Originating $[***]
Shaft Front Logo Outside 6406.10 Non-Originating $[***]
Shaft Side Logo Outside 6406.10 Non-Originating $[***]
Oil Outside 6406.10 Non-Originating $[***]
Cement Outside 6406.10 Non-Originating $[***]
Labor, overhead, and profit to form n/a Dominican Republic $[***]
upper
Bottom Components:
Part Classification Country of Origin Cost per
unit
Rubber Outside 6406.90 Non-Originating $[***]
Labor, overhead, and profit to form n/a Dominican Republic $[***]
bottom
Lining Components:
Part Classification Country of Origin Cost per
unit
3
Rubber coated Fabric Outside 6406.10 Non-Originating $[***]
Thread Outside 6406.10 Non-Originating $[***]
Steel toe Outside 6406.10 Non-Originating $[***]
Labor, overhead and profit to form n/a Dominican Republic $[***]
lining
Packing Material & Other:
Part Classification Country of Origin Cost per unit
Inner box Outside 6401- Non-Originating $[***]
6405 and
6406.10
Carton Outside 6401- Non-Originating $[***]
6405 and
6406.10
Sticker Outside 6401- Non-Originating $[***]
6405 and
6406.10
Inner box label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Outer carton label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Box end label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Micro-Pak Outside 6401- Non-Originating $[***]
6405 and
6406.10
Shoe insert Outside 6401- Non-Originating $[***]
6405 and
6406.10
Packing paper Outside 6401- Non-Originating $[***]
6405 and
6406.10
Footbed Outside 6401- Non-Originating $[***]
6405 and
6406.10
4
Additional Labor, Overhead, Profit n/a Dominican Republic $[***]
Servus 15’’ Dipped Neoprene Rubber Boot, Steel Toe, stock no. 22214
Upper Components:
Part Classification Country of Origin Cost per unit
Rubber Outside 6406.10 Non-Originating $[***]
Neoprene Latex Outside 6406.10 Non-Originating $[***]
Shaft Front Logo Outside 6406.10 Non-Originating $[***]
Shaft Side Logo Outside 6406.10 Non-Originating $[***]
Oil Outside 6406.10 Non-Originating $[***]
Cement Outside 6406.10 Non-Originating $[***]
Labor, overhead, and profit to form n/a Dominican Republic $[***]
upper
Bottom Components:
Part Classification Country of Origin Cost per
unit
Rubber Outside 6406.90 Non-Originating $[***]
Labor, overhead, and profit to form n/a Dominican Republic $[***]
bottom
Lining Components:
Part Classification Country of Origin Cost per
unit
Rubber coated Fabric Outside 6406.10 Non-Originating $[***]
Thread Outside 6406.10 Non-Originating $[***]
Steel toe Outside 6406.10 Non-Originating $[***]
5
Labor, overhead and profit to form n/a Dominican Republic $[***]
lining
Packing Material & Other:
Part Classification Country of Origin Cost per unit
Inner box Outside 6401- Non-Originating $[***]
6405 and
6406.10
Carton Outside 6401- Non-Originating $[***]
6405 and
6406.10
Sticker Outside 6401- Non-Originating $[***]
6405 and
6406.10
Inner box label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Outer carton label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Box end label Outside 6401- Non-Originating $[***]
6405 and
6406.10
Micro-Pak Outside 6401- Non-Originating $[***]
6405 and
6406.10
Shoe insert Outside 6401- Non-Originating $[***]
6405 and
6406.10
Packing paper Outside 6401- Non-Originating $[***]
6405 and
6406.10
Footbed Outside 6401- Non-Originating $[***]
6405 and
6406.10
Additional Labor, Overhead, Profit n/a Dominican Republic $[***]
ISSUES:
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(1) What is the tariff classification of the subject waterproof rubber boots that incorporate a
protective metal toe-cap?
(2) Are the subject boots eligible for preferential tariff treatment under the DR-CAFTA?
LAW AND ANALYSIS:
1. Tariff classification of the subject 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
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 purpose 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
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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.
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 two styles of waterproof rubber boots for men that cover the
ankle bone and extend to mid-calf, but do not reach the knee. The greatest external surface area
of the upper is rubber. 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 the
“[r]ubber pieces including inside quarter or vamp reinforcement, backstay or heel reinforcement
insole, and steel toe reinforcement are cemented over the sock lining while on a rotary assembly
line,” then dipped into liquid neoprene latex and coagulant and cured in a drying oven. The
requestor also states that the “[r]ubber pieces including outsole, top edge, lower foxing edge and
toe-piece are mounted and cemented on the last with latex on a rotary assembly line” and the
boots are later vulcanized. This process is consistent with the “bonding and vulcanising” process
described in the EN to 64.01, which indicates that footwear obtained by “bonding and
vulcanising” is classifiable as “waterproof footwear” in heading 6401, HTSUS. See
Headquarters Ruling Letter (“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 boots
incorporate a protective metal toe-cap; therefore, the subject boots are classifiable in subheading
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6401.10.00, 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: Footwear incorporating a protective
metal toe-cap.”
2. Eligibility under the DR-CAFTA for the subject 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. General Note 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 General Note 29(b)(i). Instead, pursuant to General Note 29(b)(ii), we look to the
9
applicable tariff shift rule set forth in General Note 29(n). The applicable chapter rule for the
subject boots, which are classified under subheading 6401.10.00, HTSUS, provides:
Chapter 64.
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.
In the instant case, the requestor designated the upper, bottom, and lining as selfproduced
materials. GN 29(c)(ii)(D) defines self-produced material as an “originating material that is
produced by a producer of a good and used in the production of that good.” The upper, bottom,
and lining may be recognized as self-produced materials if the non-originating materials
comprising these items satisfy the product specific rule requirements applicable to the items.
The requestor states that the upper and the lining are classified under subheading 6406.10,
HTSUS, and the bottom is classified under subheading 6406.90, HTSUS. The applicable rule to
determine whether goods classified under subheadings 6406.10 and 6406.90, HTSUS, are
originating is set forth in GN 29(n), Chapter 64 noted above. The requestor claims that GN
29(n), Chapter 64/2 which provides “a change to any other tariff item of chapter 64 from any
other subheading” is satisfied since the components of the upper and the lining are classified
outside subheading 6406.10, HTSUS, and the components of the bottom are outside subheading
6406.90, HTSUS. Under Rule 2 of GN 29(n) Chapter 64, the non-originating materials of the
upper and the lining which are classified outside subheading 6406.10, HTSUS, and the
nonoriginating materials of the bottom which are classified outside subheading 6406.90, HTSUS,
undergo a tariff change to another tariff item of Chapter 64, HTSUS. Accordingly, the upper,
lining, and the bottom may be recognized as originating under the concept of self-produced
materials.
10
Next, we must determine whether the regional value content 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:
(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
11
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,
insurance and related services incident to the international shipment of the merchandise from the
country of exportation to the place of importation.”
For the Servus 12”, the bill of materials indicates that the total value of originating,
selfproduced materials is $[***] per unit. DJM 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 regional value content of the subject merchandise is
83.54%, which is above the required 55% requirement provided for in GN 29(n) for goods
classified under subheading 6401.10.00, HTSUS.
For the Servus 15”, the bill of materials indicates that the total value of originating,
selfproduced materials is $[***] per unit. DJM 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 regional value content of the subject merchandise is
83.80%, which is above the required 55% requirement provided for in GN 29(n) for goods
classified under subheading 6401.10.00, HTSUS.
Based on the foregoing, the RVC for both styles of boots is above the 55% regional value
content required for subheading 6401.10.00, HTSUS, in the tariff shift rule set forth in GN 29(n).
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 incorporating a
protective metal toe-cap (Servus 15’’ Dipped Neoprene Rubber Boot, Steel Toe, stock #22214,
and the Servus 12’’ Dipped Neoprene Rubber Boot, Steel Toe, stock # 22114) are classified under
heading 6401, HTSUS, and specifically, in 6401.10.00, 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:
Footwear incorporating a protective metal toe-cap.” 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
qualify as originating goods under DR-CAFTA.
12
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, Marking Branch
13