CLA-2-39:OT:RR:NC:N4:415
Ms. Erin Aileen Hughes
Virgo III, Ltd.
766 Knox Court
Yardley, PA 19067
RE: The tariff classification of beaded eggs from China.
Dear Ms. Hughes:
In your letter dated September 5, 2019, you requested a tariff classification ruling on behalf of your client Godiva Chocolatier, Inc. Images were submitted in lieu of a sample.
The merchandise under consideration are eggs that consist of a plastic shell that is split in the middle. Each half is lined with fabric on the inside and out, and the exterior fabric is decorated with beads in various designs. The fabric and beads are used to form a hinge on one side of the egg and a clasp on the other side holds the egg closed. After importation, these eggs will be filled with wrapped chocolates and then sold in the retail market. Per your submission, these eggs measure approximately 5 inches high by 3.5 inches wide.
In your request, you suggested that this product is appropriately classified as a festive article of heading 9505. We disagree. Plastic fillable eggs are not classifiable as festive articles in chapter 95. Please refer to Headquarters Ruling H043742, dated April 19, 2019. From the provided images, the eggs are completely covered with plastic beads and are more appropriately classified as beaded articles.
The applicable subheading for the beaded eggs will be 3926.90.3500, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “[o]ther articles of plastics and articles of other materials of headings 3901 to 3914: [o]ther: [b]eads, bugles and spangles, not strung (except temporarily) and not set; articles thereof, not elsewhere specified or included: [o]ther.” The column one, general rate of duty is 6.5 percent ad valorem.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 3926.90.3500, HTSUS, unless specifically excluded, are subject to an additional 15 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheading 3926.90.3500, HTSUS, listed above.
The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively.
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 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 Kristopher Burton at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division