CLA-2-96:OT:RR:NC:N4:462
Scott A. Sur
Scholastic
557 Broadway
New York, NY 10012
RE: The tariff classification of mechanical pencils from China
Dear Mr. Sur:
In your letter dated April 2, 2020, you requested a tariff classification ruling. Photos and a description were provided.
Item number RG390059, “galaxy grip mechanical pencil,” and item number RG384761, “frosted gummy bear mechanical pencil,” are both plastic propelling pencils. Each item has a push-click on one end that releases a small length of pencil lead. The pencils use spring operated prongs which grasp the pencil lead.
Although both articles are referred to as mechanical pencils in your letter, they are not considered mechanical for tariff purposes. These types of propelling pencils are commonly known as clutch pencils because the lead is clutched by prongs. It is not a “twist” pencil, which usually contains a ball-screw mechanism that extends and retracts the lead when a portion of the pencil is twisted. Customs has long distinguished between pencils which have internal twist mechanisms for propelling the pencil lead and clutch pencils in which the pencil lead is held in place by prongs. Customs has consistently held that spring operated prongs which grasp the pencil lead are not considered mechanical devices for classification purposes, as the lead is advanced by a manual process. See Headquarters (HQ) Ruling 961069 dated April 16, 1998.
The applicable subheading for the pencils, item number RG390059 and item number RG384761, will be 9608.40.8000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Ball point pens; felt tipped and other porous-tipped pens and markers; fountain pens, stylograph pens and other pens; duplicating styli; propelling or sliding pencils (for example, mechanical pencils); pen-holders, pencil-holders and similar holders; part (including caps and clips) of the foregoing articles, other than those of heading 9609: Propelling or sliding pencils (for example, mechanical pencils): Other.” The rate of duty will be free.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 9608.40.8000, HTSUS, unless specifically excluded, are subject to an additional 7.5 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 9608.40.8000, 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 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, please contact National Import Specialist Sandra Sary at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division