CLA-2-71:OT:RR:NC:N4:433
Regina Woody
Classification Coordinator
Hobby Lobby Stores, Inc.
7707 SW 44th Street
Oklahoma City, OK 73179
RE: The tariff classification of jewelry findings from China.
Dear Ms. Woody:
In your letter dated May 7, 2014, you requested a tariff classification ruling. As requested, the samples submitted will be returned to you.
Item 398081L, is the JEWELRY shoppe™ FINDINGS, Chandelier Connector. Two identical, chandelier connectors are blister card packaged together ready for retail sales. The chandelier connectors are made of base metal, alloy tin, and approximately measure 7/8 inch by 11/8 inches. Each chandelier connector consist of a round metal casting with five round connecting rings at the bottom and one connector ring at the top. It is stated that the chandelier connectors will be used to connect other jewelry findings in the making of bracelets, necklaces, and other jewelry pieces.
Item 750166, is the JEWELRY shoppe™ FINDINGS, Tail Chain with Hearts. Two identical, tail chains with hearts are blister card packaged together ready for retail sales. The two chains with hearts are made of base metals, which includes alloys of zinc and brass, and iron. Each jewelry finding consists of a 5mm heart on a 3 inch curb chain. It is stated that the two chain hearts will be used in the making of adjustable chain necklaces and bracelets, as well as adding decoration to other jewelry pieces.
The company provided material breakdown table indicates that the weight of the iron and brass components are the same, while the weight of the zinc components are less than that of the iron and brass components, taken separately. Further, the material breakdown table indicates that the cost of the brass components is significantly higher than that of the iron components, while the cost of the zinc components is appreciable in relation to that of the brass components.
Item 858795, is the Metal Gallery™ Crystal Cup Chain Connectors. Two identical, crystal cup chain connectors are blister card packaged together ready for retail sales. Each crystal cup chain connector consists of a base metal iron casting, set with three faceted, glass imitation gemstones, and has four round connecting rings at the bottom and one connector ring at the top. The glass imitation gemstones are round in shape and the facets are highly reflective. The crystal cup chain connector approximately measures 1 inch long by ¼ inch wide. It is stated that the crystal cup chain connectors will be used as an addition to bracelets, necklaces, and other jewelry pieces.
The company provided material breakdown table indicates that the weight and cost of the iron castings is more than the weight and cost of the glass imitation gemstones.
Item 903195, is the Brilliance by Bead Treasures™ Rectangle Rhinestone Connector. Two identical, rectangle rhinestone connectors are blister card packaged together ready for retail sales.
Each rectangle rhinestone connector consists of a zinc alloy casting, set with one faceted, glass imitation gemstones, and has four round connecting rings at each corner. The rectangle rhinestone connector approximately measures ½ inch by ½ inch. It is stated that the rectangle rhinestone connectors will be used in the forming of bracelets, necklaces and other jewelry pieces.
The company provided material breakdown table indicates that the weight of the zinc castings is more than the weight of the glass imitation gemstones, while the cost of the zinc castings and glass imitation gemstones are the same.
Legal Note 11 in conjunction with Legal Note 9 (a) to Chapter 71 of the HTSUS, provides in pertinent part, that the expression “imitation jewelry” means any small articles of personal adornment for example rings, bracelets, necklaces, brooches, earrings, pendants, pins, and the like – not incorporating precious metal or metal clad with precious metal, except as minor constituents. Neither the Legal Notes to Chapter 71 of the HTSUS, nor the ENs to Chapter 71 of the Harmonized Commodity Description and Coding System, provide a meaning for the word {pendant}.
When terms are not defined in the HTSUS or the ENs to the HTSUS, they are construed in accordance with their common and commercial meaning – Nippon Kogasku (USA), Inc. v. United States, 69 CCPA 89, 673 F.2d 380 (1982). Common and commercial meaning may be determined by consulting dictionaries, lexicons, scientific authorities and other reliable sources. C.J. Tower & Sons v. United States, 69 CCPA 128, 673 F.2d 1268 (1982). According to the Online Oxford English Dictionary, at 3, a {pendant} means; … (now) esp. a loosely hanging piece of jewellery worn on a chain around the neck; a necklace with such a piece of jewellery attached.
Further, we need to define the word “Findings” as the HTSUS and the ENs are silent as to its meaning. The Guyot Brothers Company, Inc. (GBC) online Jewelry Findings Glossary of Terms provides: [Findings] the tools and materials used by an artisan; [Jewelry Findings] the component parts or materials used in making a piece of jewelry; [Functional Jewelry Findings] the component parts or materials used in making a piece of jewelry that serve a mechanical function such as attaching, joining, linking – examples of functional jewelry findings include pin backs, catches, posts, omega clips, and screw backs; [Decorative Jewelry Findings] the component parts or materials used in making jewelry that provides the beauty of the piece, such as charms, filigrees and festoons; [Hybrid Jewelry Findings] the component parts or materials used in making a piece of jewelry that serve a mechanical function such as attaching, joining, linking, but due to their nature lend themselves to becoming decorative findings as well – examples of hybrid jewelry findings include beaded caps, bracelet links, and locket bails.
The Jewelry shoppe™ Chandelier Connector, Metal Gallery™ Crystal Cup Chain Connectors and the Brilliance by Bead Treasures™ Rectangle Rhinestone Connector are akin to pendants that hang down vertically from a chain, necklace or cord, except for the fact that the merchandise concerned can also hang down horizontally along pieces of jewelry. The merchandise concerned as identified above also falls within the meaning for a {hybrid jewelry finding} as defined by the GBC, Jewelry Findings Glossary of Terms, in that it functionally connects two or more other jewelry findings together, while presenting the jewelry piece with ornamentation. It is our opinion that the merchandise concerned as identified above will be used as connectors that will hang down along a chain, necklace, cord or bracelet, and be incorporated with other jewelry findings, thereby falling within the meaning of a {pendant} as provided by our source dictionary and glossary. As such, the merchandise concerned as identified above is classifiable in the imitation jewelry provision of heading 7117, HTSUS.
In addition to being a type of pendant, the Metal Gallery™ Crystal Cup Chain Connectors and the Brilliance by Bead Treasures™ Rectangle Rhinestone Connector are both composed of different components (i.e., metal and glass) and are considered composite goods. The Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS), GRI 3 (b) (VIII), state that “the factor which determines essential character will vary between different kinds of goods. It may for example, be determined by the nature of the materials or components, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the goods.” When the essential character of a composite good can be determined, the whole product is classified as if it consisted only of the material or component that imparts the essential character to the composite good.
In this case, for the Metal Gallery™ Crystal Cup Chain Connectors and the Brilliance by Bead Treasures™ Rectangle Rhinestone Connector, we recognize that the metal castings weigh more than the glass imitation gemstones, and even cost more for the crystal cup chain connectors. Never the less, visually, the large size and volume, and refraction of the imitation gemstones, allows these hybrid jewelry findings to be alluring in appearance and imitating of real diamond jewelry. Accordingly, the essential character of the Crystal Cup Chain Connectors and the Rectangle Rhinestone Connector is imparted by the glass imitation gemstones.
The applicable subheading for item 398081L, the JEWELRY shoppe™ FINDINGS, Chandelier Connector will be 7117.19.9000, HTSUS, which provides for “Imitation jewelry: Of base metal, whether or not plated with precious metal: Other: Other: Other. The rate of duty will be 11% ad valorem.
The applicable subheading for item 858795, the Metal Gallery™ Crystal Cup Chain Connectors and item 903195, the Brilliance by Bead Treasures™ Rectangle Rhinestone Connector, will be 7117.90.9000, HTSUS, which provides for “Imitation Jewelry: Other: Other: Valued over 20 cents per dozen pieces or parts: Other: Other.” The rate of duty will be 11% ad valorem.
For item number 750166, Tail Chain with Hearts, you suggest subheading 7117.19.9000 of the HTSUS, imitation jewelry made of base metal, as the proper classification for the merchandise concerned. The heading “Imitation jewelry” has no parts provision, and as such only completed articles of jewelry, or unfinished or incomplete articles of jewelry have the essential character of the finished pieces of jewelry are classified within its [sub]heading provisions. The tail chains with hearts are hybrid jewelry findings requiring other functional and decorative jewelry findings for purposes of making chains, necklaces and bracelets. Consequently, the tail chains with hearts fail to possess the essential character of finished chains, necklaces or bracelets, in that they are only a part used to make a jewelry piece larger for fitting and/or displaying around one’s neck or wrist.
The applicable subheading for item 750166, the JEWELRY shoppe™ FINDINGS, Tail Chain with Hearts will be 7419.10.0000, HTSUS, which provides for “Other articles of copper: Chain and parts thereof.” The rate of duty will be 3% ad valorem.
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 Neil H. Levy at E-mail address: [email protected].
Sincerely,
Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division