CLA-2-94:OT:RR:NC:N4:433
Donna M. Mullins
President
Mullins International Solutions
510 Plaza Drive
Atlanta, GA 30349
RE: The tariff classification of a display stand from China.
Dear Ms. Mullins:
In your letter dated February 11, 2016, on behalf of Creative Instore Solutions North America Inc., you requested a tariff classification ruling. Illustrative literature and a specification worksheet were provided. No material cost breakdown was provided. Nevertheless, based upon the illustrative literature and specification worksheet an essential character determination will be undertaken.
The merchandise concerned is the Miller “Full Case Stacker.” The item is a floor standing display stand in the shape of a beer can used to market and promote the sale of Miller beer. The display stand is largely constructed of ABS plastic and carbon steel, and measures 58.7 inches high with an outer diameter of 27.7 inches. The item has outer sides made of plastic with inner frames made of carbon steel, and has a castor base made of carbon steel. Illustrations indicate that the front of the stand contains the phrase “It’s Miller Time” and the sides contain the words “Lite – A Fine Pilsner Beer.”
When interpreting and implementing the Harmonized Tariff Schedule of the United States (HTSUS), the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The General ENs to Chapter 94 of the HTSUS, state, in relevant part, with regard to the meaning of furniture, at (A): For the purposes of this Chapter, the term “furniture” means: Any “movable” articles (not included under other more specific headings of the Nomenclature), which have the essential characteristic that they are constructed for placing on the floor or ground, and which are used, mainly with a utilitarian purpose, to equip private dwellings, hotels, theatres, cinemas, offices, churches, schools, cafés, restaurants, laboratories, hospitals, dentists, surgeries, etc., or ships, aircraft, railway coaches, motor vehicles, caravan-trailers or similar means of transport. (It should be noted that, for purposes of this Chapter, articles are considered to be “movable” furniture even if they are designed for bolting, etc., to the floor, e.g., chairs for use on ships). Similar articles (seats, chairs, etc.) for use in gardens, squares, promenades, etc., are included in this category. It is our opinion that the floor standing display, the Miller “Full Case Stacker,” falls within the meaning of furniture, particularly under the category of furniture for special uses.
The merchandise concerned is composed of different components (largely plastic and metal) and is considered a composite good for tariff purposes. The ENs to the 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, it is the plastic outer sides with plastic header (top) molding that imparts the essential character to the Miller “Full Case Stacker,” in that the marketing for the beer display case is illustrated upon its plastic sides and plastic top surface.
The applicable subheading for the Miller “Full Case Stacker,” if made from reinforced or laminated plastics, will be 9403.70.4031, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of plastics: Of reinforced or laminated plastics; Other.” The rate of duty will be free.
The applicable subheading for the Miller “Full Case Stacker,” if not made of reinforced or laminated plastics, will be 9403.70.8031, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Furniture of plastics: Other: Other.” The rate of duty will be free.
Duty rates are provided for your convenience and are subject to change. The text of the most recent TSUS 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 [email protected].
Sincerely,
Deborah Marinucci
Acting Director
National Commodity Specialist Division