CLA-2-91:RR:NC:MM:114 D81132

Ms. Lauren E. Hong
101 North Brand Boulevard
Suite 1000
Glendale, California 91203-2671

RE: The tariff classification and country of origin marking of Mickey Pencil Cup Holder with Clock from Hong Kong

Dear Ms. Hong:

In your letter dated August 4, 1998, on behalf of The Disney Store, Inc., you requested a tariff classification ruling on a Mickey Pencil Cup Holder with Clock.

The submitted item is a combination Mickey Pencil Cup Holder with Clock. The composition of the Mickey figure, pencil cup holder and base is 80 percent polyester resin and 20 percent calcium carbonate derived from natural stone powder. The stone powder and the polyester resin are uniformly blended through the body of the article. The Mickey figure measures approximately 6 1/4 inches in height, the pencil cup holder measures approximately 3 1/2 inches in length and 2 5/8 inches in width, and the pencil measures 7 inches in length. The Mickey figure and the pencil cup holder are affixed to the base. A clock is inset into the front of the pencil cup holder. The clock measures approximately 1 1/2 inches in diameter and has a battery operated quartz watch movement. There are no jewels in the movement. The essential character of this composite article is derived from the clock.

The applicable subheading for the Mickey Pencil Cup Holder with Clock will be 9103.10.40, Harmonized Tariff Schedule of the United States (HTS), which provides for clocks with watch movements, excluding clocks of heading 9104; electrically operated; other; having no jewels or only one jewel in the movement. The rate of duty will be 26 cents each plus 5 percent ad valorem on the case plus 3.9 percent ad valorem on the battery.

You have also asked for a ruling on U.S. Customs marking requirements.

The marking statute, Section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that unless excepted, every article of foreign origin imported into the U.S. shall be marked in a conspicuous place as legibly, and permanently as the nature of the article (or container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article.

Part 134, Customs Regulations (19 C.F.R. Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 C.F.R. 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the marking easily and read it without strain.

Section 134.43(b), Customs Regulations (19 C.F.R. 134.43(b)), in conjunction with section 11.9, Customs Regulations (19 C.F.R. 11.9), provides that clocks must be marked in accordance with the special marking requirements set forth in Chapter 91, Additional U.S. Note 4 of the Harmonized Tariff Schedule of the United States (HTSUSA) (19 U.S.C. 1202). This note requires that any clock or watch movement, or case provided for in the subpart, whether imported separately or attached to any article provided for in the subpart, shall not be permitted to be entered unless conspicuously and indelibly marked by cutting, die-sinking, engraving, stamping, or mold-marking (either indented or raised), as specified in the provisions of this note. This marking is mandatory. The Customs Service has no authority for granting exceptions to the special marking requirements for clocks or watches. The country of origin of a watch or clock is the country of manufacture of the watch or clock movement. The addition of the hands, dial, case, or watchband add definition to the time piece but do not change the character or use of the watch or clock movement which is the essential portion of the watch or clock.

In order to satisfy the requirements of 19 U.S.C. 1304, a clock must be legibly marked with the name of the country of manufacture of the movement in a conspicuous place.

Section (a) of Additional U.S. Note 4 requires that watch movements shall be marked on one or more of the bridges or top plates to show the name of the country of manufacture; the name of the manufacturer or purchaser; and, in words, the number of jewels, if any, serving a mechanical purpose as frictional bearings. Section (d) of Additional U.S. Note 4 requires that clock cases shall be marked on the most visible part of the outside of the back to show the name of the country of manufacture. The special marking must be accomplished by one of the methods specified in the Additional U.S. Note 4. Accordingly, your clock cases must be marked Hong Kong or Made in Hong Kong using one of the methods specified in the Additional U.S. Note 4 on the most visible part of the outside of the back of the Mickey Pencil Cup Holder with Clock.

Your sample is being returned as requested.

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 Barbara Kiefer at 212-466-5685.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division