CLA-2-48:OT:RR:NC:N1:130
Ms. Joyce Banda
Primary Arms, LLC
3219 S. Sam Houston Parkway East
Houston, TX 77047
RE: The tariff classification of corrugated cardboard display tray from China
Dear Ms. Banda:
In your letter, dated October 13, 2021, you requested a binding tariff classification ruling. The ruling was requested on a corrugated cardboard display tray from China. Product information, pictures, and a video were submitted for our review.
The item under consideration is a corrugated cardboard display tray that is imported in flat, unfolded condition. The tray assembles by folding and slotting and measures 21cm in width and 29.5cm in length. The back side of the tray measures 7.6cm in height and the front measures 3.8cm; the sides slope diagonally from the back of the tray to the front. The flat, corrugated cardboard is coated on one side; when the tray is folded, the coated side becomes the outward-facing surface. The paperboard display tray is printed with the company name and logo. The tray includes a separate paperboard panel that is printed with product image and marketing information; this panel is inserted vertically into the back of the tray and functions as part of the product display. The display tray, often referred to as a PDQ (“pretty darn quick”) display, is designed to hold and display retail items on countertops or shelves in retail stores.
The applicable subheading for the paperboard display tray will be 4823.90.6700, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Other paper, paperboard, cellulose wadding and webs of cellulose fibers cut to size or shape; other articles of paper, pulp, paper, paperboard, cellulose wadding or webs of cellulose fibers: Other: Other: Other: Of coated paper or paperboard: Other. The rate of duty will be free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4823.90.6700, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 4823.90.6700, 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, including information on exclusions and their effective dates, 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.
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. 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 Laurel Duvall at [email protected]. Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division