CLA-2-94:OT:RR:E:NC:N2:233
Ms. Geri Davidson
The Container Store
500 Freeport Parkway
Coppell, TX 75019
RE: The tariff classification of a file storage ottoman from China.
Dear Ms. Davidson:
In your letter dated February 9, 2009, you requested a tariff classification ruling.
At issue is a file storage ottoman, SKU number 10049239. The ottoman is 16 inches square by 15 ½ inches high and designed for placing on the floor. This item is constructed of a medium density fiberboard (MDF) frame covered on all sides by rayon textile and lined with linen. The lid is upholstered with vinyl and foam. The inside features two steel bars designed to hold hanging files.
The storage ottoman is a combination article. It can be used in two disparate activities that are prima facie classifiable under two separate headings of the tariff. When used as an ottoman, the article is classifiable in heading 9401, Harmonized Tariff Schedule of the United States (HTSUS); as a file storage chest, the article is provided for in heading 9403, HTSUS. Since no single heading sufficiently describes the whole product in issue, classification cannot be determined by reference to GRI 1, HTSUS. GRI 3 applies when multifunctional goods are put up for sale collectively but are prima facie classifiable under two or more headings of the tariff. GRI 3(b) covers composite goods or goods put up in sets for retail sale and provides that composite goods made up of different components shall be classified as if they consisted of the component which gives them their essential character. In general, "essential character" has been construed to mean the attribute that strongly marks or serves to distinguish the article. In this case, the essential character of the storage ottoman is not readily apparent. It is our belief that the essential character of the product is not distinguished by either the ottoman component or by the file storage feature; the two activities play a more or less equal role in relation to the concept and use of the combination article.
When the component which gives the product its essential character cannot be determined, classification is determined by way of GRI 3(c) which directs that when goods cannot be classified by reference to GRI 3(b), they shall be classified under the heading which occurs last in numerical order among those which equally merit consideration. The heading which occurs last in numerical order of the two competing headings is 9403, HTSUS. Accordingly, the applicable subheading for the file storage ottoman will be 9403.89.6010 Harmonized Tariff Schedule of the United States (HTSUS), which provides for "Other furniture and parts thereof: Furniture of other materials… Other: Other, Household." The rate of duty will be free.
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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 (646) 733-3036.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division