CLA-2-49:OT:RR:NC:4:434
Mr. Hekmat Kaadan
Richter LLP
181 Bay Street, Ste. 3510
Toronto, Ontario M5J 2T3
CANADA
RE: The tariff classification of books and toys from China
Dear Mr. Kaadam:
In your letter, dated November 12, 2019, you requested a classification ruling on three items on behalf of your client, Phidal Publishing Inc. Samples were provided for review and will be returned, per your request.
Item one consists of a “Finding Nemo” story and picture book (hardbound) that tells the story of Nemo and his dad, Marlin, and their adventures in the ocean; several small plastic toys in the form of fish and sharks; and a “playmat” made of glossy lithographically printed paper depicting a vibrant underwater scene including rocks and coral. Although referred to as a “playmat” the item is essentially a poster in its look and characteristics, and quite possibly its use, as it could certainly be hung on a wall. It measures approximately 21” x 36” when unfolded. These items are all packaged together for retail sale.
The next two items are essentially identical except for theme. They consist of a children’s hardbound picture book, with limited text, packaged together with four small plastic figurines, either unicorns or kittens, to match the theme of the book. The packaging can be unfolded to form a picture backdrop of grass, trees and flowers to place the figurines in front of.
The Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS) constitute the official interpretation of the tariff at the international level. EN X to General Rule of Interpretation (GRI) 3(b) provides: “for the purposes of this Rule, the term "goods put up in sets for retail sale" shall be taken to mean goods which: (a) consist of at least two different articles which are, prima facie, classifiable in different headings; (b) consist of products or articles put together to meet a particular need or carry out a specific activity; and (c) are put up in a manner suitable for sale directly to users without repacking (e.g., in boxes or cases or on boards).” Sets are classified according to the component, or components taken together, which can be regarded as conferring on the set as a whole its essential character.
The items under consideration consist of multiple articles classifiable under separate headings. They are packaged for retail sale. Therefore they fulfill the requirements of (a) and (c) above. However, we believe that they fail (b). The activity of reading a book is a separate activity than playing with toys. Consequently, each item will be separately classified.
When considering classification of the books within Chapter 49, HTSUS, we refer to the Chapter 49 notes. Note 6 to Chapter 49 states, “For the purposes of heading 4903, the expression “children’s picture books” means books for children in which the pictures form the principal interest and the text is subsidiary.” The “Finding Nemo” book contains a fair amount of text and conveys a storyline that can be supported even without the pictures. Therefore, the text is not subsidiary to the pictures. The book is not an article of heading 4903, HTSUS. Conversely, the unicorn and kitten books are mostly pictures, with a minor amount of text, and the text generally lacks plot, simply referring back to the pictures. The text could not stand well alone. The pictures form the primary interest. These books are articles of heading 4903, HTSUS.
Therefore, the applicable subheading for the Finding Nemo book will be 4901.99.0070, HTSUS, which provides for Printed books…: Other: Other: Other: Other: Hardbound books. The rate of duty will be Free.
The applicable subheading for the unicorn and kitten books will be 4903.00.0000, HTSUS, which provides for Children’s picture, drawing or coloring books. The rate of duty will be Free.
The applicable subheading for the “playmat” poster will be 4911.91.2020, HTSUS, which provides for Pictures, designs and photographs: Printed not over 20 years at the time of importation: Other: Lithographs on paper or paperboard: Not over 0.51 mm in thickness: Posters. The rate of duty will be Free.
The applicable subheading for the plastic toys will be 9503.00.0073, HTSUS, which provides for “Tricycles, scooters, pedal cars and similar wheeled toys…dolls, other toys…puzzles of all kinds; parts and accessories thereof… ‘Children’s products’ as defined in 15 U.S.C. § 2052: Other: Labeled or determined by importer as intended for use by persons: 3 to 12 years of age.” The rate of duty will be Free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the World Wide Web at https://hts.usitc.gov/current.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4901.99.0070, HTSUS, unless specifically excluded, are subject to an additional 15 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, 9903.88.15, in addition to subheading 4901.99.0070, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you 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, you 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.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Charlene Miller at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division