CLA-2-44:OT:RR:NC:4:434
Ms. Tasha Adams
Leap Year Publishing LLC
16 High Street
North Andover, MA 01845
RE: The tariff classification of an Art and Activity Kit from China
Dear Ms. Adams:
In your letter, dated November 29, 2018, you requested a tariff classification ruling. A sample was provided for review and will be retained.
The product under consideration you describe as an “Art and Activity” kit. Multiple items used for children to create artwork are packaged together for retail sale in a clear plastic backpack with foam padded straps and a hanging loop. The backpack is designed to provide storage, protection, organization and portability to personal effects during travel. It measures approximately 11” (H) x 10” (W) x 2.5” (D). It is of a durable construction and suitable for prolonged and repetitive use. The items inside are as follows:
6 jumbo crayons of assorted colors, which appear to be composed of wax and colored powder, wrapped in paper
6 broad line markers
4 foam stampers
1 ink pad
2 printed sheets of paper stickers, lithographically printed with motifs appealing to a child
1 pad of paper, glue bound, containing 5 sheets of colored paper and 5 sheets of white paper
In order to classify, first we must determine whether the “Art and Activity” kit meets the definition of a “set” within the meaning of General Rule of Interpretation 3(b) (GRI 3(b)). 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 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 kit under consideration does consist of multiple articles classifiable under separate headings. It is packaged together for retail sale. Therefore it fulfills the requirements of (a) and (c) above. However, we find that it fails (b). The reusable backpack does not contribute to the same need or activity as the remaining items, that of creating and embellishing a picture. Furthermore, the backpack cannot be considered normal packaging for art supplies. Since the kit is not a set for customs purposes, the items will be separately classified.
The applicable subheading for the crayons will be 9609.90.8000, HTSUS, which provides for “…crayons…pastels…: other: other.” The rate of duty will be free.
The applicable subheading for the markers will be 9608.20.0000, HTSUS, which provides for “Felt tipped and other porous-tipped pens and markers.” The rate of duty will be 4 percent ad valorem.
The applicable subheading for the foam stampers will be 9611.00.0000, HTSUS, which provides for “Date, sealing or numbering stamps and the like… designed for operating in the hand…” The rate of duty will be 2.7 percent ad valorem.
The applicable subheading for the ink pad will be 9612.20.0000, HTSUS, which provides for “Ink pads.” The rate of duty will be 3.5 percent ad valorem.
The applicable subheading for the sticker sheets will be 4911.91.2040, HTSUS, which provides for “Pictures, designs and photographs: Printed not over 20 years at time of importation: Other: Lithographs on paper or paperboard: Not over 0.51 mm in thickness: Other.” The rate of duty will be free.
The applicable subheading for the paper pad will be 4820.10.2020, which provides for “Memorandum pads, letter pads and similar articles.” The rate of duty will be free.
The backpack is constructed of two materials. The front panel is of plastic sheeting. The side and back panels are of textile material. The front panel features a decorative design that will appeal to children and which provides the more pronounced visual impact. As such, the essential character of the backpack is imparted by the plastic sheeting of the front panel, GRI 3(b) noted.
The applicable subheading for the backpack will be 4202.92.4500, HTSUS, which provides for “Travel, sports, and similar bags, with outer surface of sheeting of plastic: Other.” The rate of duty will be 20 percent 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 the World Wide Web at https://hts.usitc.gov/current.
Effective July 6, 2018, the Office of the United States Trade Representative (USTR) imposed an additional tariff on certain products of China classified in the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(b), HTSUS. The USTR imposed additional tariffs, effective August 23, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(d), HTSUS. Subsequently, the USTR imposed further tariffs, effective September 24, 2018, on products classified under the subheadings enumerated in Section XXII, Chapter 99, Subchapter III U.S. Note 20(f) and U.S. Note 20(g), HTSUS. For additional information, please see the relevant Federal Register notices dated June 20, 2018 (83 F.R. 28710), August 16, 2018 (83 F.R. 40823), and September 21, 2018 (83 F.R. 47974). Products of China that are provided for in subheading 9903.88.01, 9903.88.02, 9903.88.03, or 9903.88.04 and classified in one of the subheadings enumerated in U.S. Note 20(b), U.S. Note 20(d), U.S. Note 20(f) or U.S. Note 20(g) to subchapter III shall continue to be subject to antidumping, countervailing, or other duties, fees and charges that apply to such products, as well as to those imposed by the aforementioned Chapter 99 subheadings.
Products of China classified under subheadings 4202.92.4500, HTSUS, and 4820.10.2020, HTSUS, unless specifically excluded, are subject to the additional 10 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 4202.92.4500, HTSUS, and 4820.10.2020, HTSUS, listed above.
The tariff is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Notice cited above and the applicable Chapter 99 subheading.
This merchandise may be subject to the requirements of the Toxic Substances Control Act (TSCA), which are administered by the U.S. Environmental Protection Agency. Information on the TSCA can be obtained by contacting the EPA at 1200 Pennsylvania Avenue, N.W., Mail Code 70480, Washington, D.C., by telephone at (202) 554-1404, or by visiting their website at www.epa.gov.
This merchandise may also be subject to the laws and regulations of the Consumer Product Safety Act. Import compliance information may be obtained by contacting the U.S. Consumer Product Safety Commission (CPSC) at 4330 East West Highway, Bethesda, MD 20814, telephone (301) 504-7912.
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