CLA-2-48:OT:RR:NC:4:434
Jamie Deer
Leedsworld, Inc.
400 Hunt Valley Road
New Kensington, PA 15068
RE: The tariff classification of Padfolios from China
Dear Ms. Deer:
In your letter, dated December 12, 2018, you requested a tariff classification ruling on two padfolios. Samples were submitted for our review and will be returned, per your request.
Item 0022-70 is a padfolio measuring approximately 12.6” x 9.65” x 1.34” when closed. It zips around three sides. The padfolio is constructed of a paperboard core covered with polyurethane (PU) sheeting. Sewn permanently into the cover is a 4000mAh power bank with a built-in USB port (accessible when the padfolio is open). Included is a 50 mm micro USB charging cable. The interior features pen loops, slots for business cards and a small mesh pocket. The opposing interior cover includes a slot into which the accompanying 8.5” x 11” lined memo pad has been inserted. You state that the padfolio with power bank allows the user to charge a cell phone while taking notes.
Item 0911-03 is a padfolio measuring approximately 9.65” x 7.4” x 1.5” when closed. It zips around three sides. The cover is constructed of cardboard covered with PU. Sewn permanently into the cover is a 5000mAh power bank with a built-in USB port (accessible when the padfolio is open). Included is a 50 mm micro USB charging cable. The right, inside cover is dominated by a lined memo pad, which is inserted into a slot designed to hold it in place. The opposing interior cover features slots for small items such as business cards, plus pockets for items such as a cell phone or calculator. The combination power bank and padfolio allows the user to charge a cell phone while taking notes.
Classification of merchandise under the HTSUS is in accordance with the General Rules of Interpretation (GRIs). The padfolio is considered a composite article, consisting of the cardboard/PU case, the power bank (with cable) and the lined memo pad. GRI 3(b) provides that composite articles consisting of different materials or made up of different components shall be classified as if they consisted of the material or component which gives them their essential character, which may be determined by the nature of the material or component, its bulk, quantity, weight or value, or by the role of a constituent material in relation to the use of the article.
While the power bank aspect might make the padfolios more distinctive and more attractive to some purchasers, it is unlikely that anyone would purchase the padfolio primarily for use as a charger. Its identity as a “padfolio” implies it will be purchased primarily as a means for taking and organizing notes. As to whether the cardboard/PU case or the memo pad impart the essential character, previously issued Headquarters rulings on similar goods have determined that the main function of such padfolios is to provide a convenient and organized method for taking notes, with the central item required for note-taking being the memo pad. See rulings HQ 962030, dated May 13, 1999; HQ 965423, dated July 16, 2002; HQ 965423, dated October 5, 2005, and HQ 962030, which included a calculator.
Therefore, the applicable subheading for the padfolio will be 4820.10.2020, HTSUS, which provides for “Registers, account books, notebooks, order books, receipt books, letter pads, memorandum pads, diaries and similar articles: Diaries, notebooks and address books, bound; memorandum pads, letter pads and similar articles: Memorandum pads, letter pads and similar articles.” 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 HTSUS and the accompanying duty rates are provided on the World Wide Web at https://hts.usitc.gov/current.
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