CLA-2-39:OT:RR:NC:N1:137
Joshua A. Bennetts
ecogreengecko
10 Rotherham Tce Miramar
Wellington AL 6022
New Zealand
RE: The tariff classification of polylactic acid (PLA) bottles from China
Dear Mr. Bennetts:
In your letter dated July 18, 2019 you requested a tariff classification ruling.
The jars are 500 ml juice bottles composed of Polylactic acid (PLA) plastic, a saturated polyester derived from cornstarch that is compostable and biodegradable. They will be imported with polypropylene plastic tamper evident caps.
You suggest that the PLA bottle is not composed of plastic. Chapter 39 Note 1 defines “plastic” for tariff schedule purposes: “Throughout the tariff schedule the expression “plastics” means those materials of headings 3901 to 3914 which are or have been capable, either at the moment of polymerization or at some subsequent stage, of being formed under external influence (usually heat and pressure, if necessary with a solvent or plasticizer) by molding, casting, extruding, rolling or other process into shapes that are retained on the removal of the external influence.” Polylactic acid is provided for in heading 3907, HTSUS. It is molded in the same way conventional plastic is; i.e. molded, extruded or shaped by heating and cooling. Therefore this product meets the definition of “plastics” as outlined by Chapter 39 Note 1.
You questioned classification of the bottles in 3907 as polylactic acid. However headings 3901-3914 cover polymers in primary forms. Once the polymer has been transformed into a finished product, in this case a bottle, it can no longer be classified as a polymer in primary form.
The applicable subheading for the PLA bottles with polypropylene caps will be 3923.30.0090 Harmonized Tariff Schedule of the United States (HTSUS), which provides for articles for the conveyance or packing of goods, of plastics: carboys, bottles, flasks and similar articles:other. The rate of duty will be 3 percent ad valorem.
The applicable subheading for the polypropylene caps, if imported separately, will be 3923.50.0000 HTSUS, which provides for stoppers, lids, caps and other closures, of plastics. The rate of duty will be 5.3 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). See also “Notice of Action and Request for Public Comment Concerning Proposed Determination of Action Pursuant to Section 301: China’s Acts, Policies, and Practices Related to Technology Transfer, Intellectual Property, and Innovation” (June 20, 2018, 83 F.R. 28710). 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 subheading 3923.30.0090 and 3923.50.0000, HTSUS, unless specifically excluded, are subject to the additional 25 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 3923.30.0090 or 3923.50.0000, 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 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 Christina Allen at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division