CLA-2-42:OT:RR:NC:N4:441
George Mougtoussidis
Schenker of Canada, Ltd. 6555 Northwest Drive
Mississauga, Ontario
Canada L4V 1K2
RE: The tariff classification of a shopping-style tote bag from China
Dear Mr. Mougtoussidis:
In your letter dated September 29, 2011, on behalf of Trinity Plastic Products, you requested a tariff classification ruling. Your sample will be returned to you.
The Stater Market bag is a shopping-style tote bag constructed of nonwoven polypropylene textile material. The front and rear portion of the bag is laminated with an outer surface of plastic sheeting upon which is printed U.S. flag-like image with the Stater Bros. Markets logo. The bag is designed to provide storage, protection, portability, and organization to groceries or other personal effects. The bag features an open top and two carrying handles. It is unlined and measures approximately 11.5" (W) x 13.5" (H) x 8" (D). The bag is of a durable construction and suitable for repetitive use.
For tariff classification purposes, the subject shopping style tote bag is considered a composite good whose exterior surface is composed of both nonwoven polypropylene textile material and plastic sheeting. According to General Rule of Interpretation (GRI) 3(b), Harmonized Tariff Schedule of the United States (HTSUS), the classification of a composite good is to be based on the material that imparts the essential character. In this case, based on factors such as appearance, quantity, and comparative surface coverage, the plastic sheeting predominates. As such, the essential character is imparted by the plastic sheeting. In your submission you suggest classification of the Stater Market bag in subheading 4202.92.3031, which provides for travel, sports, and similar bags with an outer surface of man-made textile material. You argue that the bag is constructed entirely of nonwoven polypropylene material, and consider the plastic sheeting bearing the flag image and logo as incidental to the design of the bag. Additional U.S. Note 2 to Chapter 42 indicates that for purposes of classifying articles under subheading 4202.92, articles of textile fabric impregnated, coated, covered or laminated with plastics shall be regarded as having an outer surface of textile material or plastic sheeting, depending upon whether and the extent to which the textile constituent or the plastic constituent makes up the exterior of the surface. Based on the sample provided, the most prominent portions of the bag are coated in plastic sheeting material, namely the front and rear panels. These panels are far larger than those not coated, and they represent the most significant design features of the bag. Consequently, the bag would not be classified in 4202.92.3031.
The applicable subheading for the Stater Market bag will be 4202.92.4500, Harmonized Tariff Schedule of the United States (HTSUS), which provides for travel, sports and similar bags, with outer surface of sheeting of plastic, other. The general rate of duty is 20% ad valorem.
In your letter, you also suggest classification of the Stater Market bag under subheading 9902.40.01, HTSUS, which provides for a temporary reduction in the rate of duty for shopping bags with an outer surface of spun bonded polypropylene fabric or nonwoven polypropylene fabric (provided for in subheading 4202.92.30). While the bag is constructed from non-woven polypropylene textile material, as stated above, the outer most surface of the bag is predominately sheeting of plastic. As such, the subject shopping-style tote bag does not meet the prerequisites of this tariff provision and is not entitled to beneficial treatment under subheading 9902.40.01, HTSUS. The general rate of duty will apply.
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 World Wide Web at http://www.usitc.gov/tata/hts/.
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 Vikki Lazaro at (646) 733-3041.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division