CLA-2-42:OT:RR:NC:N4:441
Peter Abbott
Smash Enterprises USA Inc.
27128 Paseo Espada, Suite 623
San Juan Capistrano, CA 92675
RE: The tariff classification of insulated cooler bag set from China
Dear Mr. Abbott:
In your letter dated August 20, 2019, you requested a tariff classification ruling. You submitted a sample, which is being returned to you under separate cover.
Item number 22085, which you also refer to as the Bento 5-Piece Lunch Pack, is a set comprised of an insulated cooler bag, a plastic food container, an insulated bottle case, one plastic bottle, and two gel packs.
The insulated cooler bag is constructed of man-made textile material. The cooler bag provides storage, protection, portability, and organization to food during travel. The bag is also designed to maintain the temperature of food and beverages. It has one interior compartment with a layer of foam plastics between the outer surface and the interior lining. The cooler bag is secured with a three-sided zipper closure and has one carrying handle at the top. The bag is specially shaped and fitted to contain the included food container. The bottle bag is specially shaped and fitted to contain the included bottle. The gel packs will be used as needed to add additional cooling to the contents of the food storage container. All of the components are coordinated in design and are linked together with the common purpose of transporting a complete meal to a second location after it has been prepared.
In your ruling request, you suggest the components are not a set. However, for classification purposes, the components of your sample will be classified as a set. Under Explanatory Note X to General Rule of Interpretation (GRI) 3(b), a “set” for tariff classification purposes:
consists of at least two different articles which are prima facie, classifiable in different headings; (b) consists of products or articles put up together to meet a particular need or carry out a specific activity; (c) are put up in a manner suitable for sale directly to users without repacking.
Your sample meets the qualifications of “goods put up in sets for retail sale.” The set consist of at least two different articles which are prima facie classifiable in different subheadings. They are put up together to meet a particular need or carry out a specific activity, and they are packed for sale directly to users without repacking.
GRI 3(b) provides that goods put up in sets for retail sale shall be classified as if they consisted of the material or component which gives them their essential character. In this case, it is the cooler bag which imparts the essential character. The cooler bag is used to store, transport, protect, and organize the other components. The cooler bag is the component that allows the other components to perform their intended function of transporting a meal to another location. In maintaining the temperature of food, the cooler bag also preserves the food thereby insuring the enjoyment of the meal when it arrives at the second location.
The applicable subheading for item number 22085 will be 4202.92.0807, Harmonized Tariff Schedule of the United States (HTSUS), which provides for insulated food and beverage bags, with outer surface of sheeting of plastic or of textile materials, with outer surface of textile materials, other, of man-made textiles. The duty rate will be 7 percent ad valorem.
You noted numerous additional item numbers in your request for which you did not submit samples. Please note, this ruling is only applicable to the submitted sample as presented to this office.
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 4202.92.0807, 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 4202.92.0807, HTSUS, listed above.
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 Vikki Lazaro at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division