CLA-2-63:OT:RR:NC:N3:349
Mr. Ralph Natale
American Shipping Co. Inc.
250 Moonachie Road
Moonachie, NJ 07074
RE: The tariff classification of a fingertip towel, kitchen towel and towel set from China
Dear Mr. Natale:
In your letter dated January 10, 2022, you requested a tariff classification ruling on behalf of your client, Better Home Plastics Corp. On January 28, 2022, you withdrew your request with respect to two of the items, Item #9525 and Item #9526. Therefore, the ruling will not include these two items. Samples were provided with your request and will be returned to you.
Item #525 is a fingertip towel. The towel is made from 100 percent cotton woven terry fabric, dyed red. The face side of the towel is sheared, and the reverse side has uncut loops. The towel is embroidered with a depiction of Santa Claus surrounded by snowflakes. The towel measures 11 x 17 inches and has hemmed edges.
Item #303 is a kitchen towel. The towel is made from 100 percent cotton woven terry fabric and is printed on the face side with a whimsical pattern of Santa Claus hanging upside down with a string of lights wrapped around his leg and the words, “Holly Jolly.” The face side of the towel is sheared, and the reverse side has uncut loops. The towel measures approximately 16 x 24 inches and has hemmed edges. Each end of the printed side of the towel has the same pattern but the reverse of the other end so that when folded and hanging each end is right side up.
Item #8525 is a bath ensemble consisting of a bath towel, hand towel and washcloth. Each towel and the washcloth in this ensemble are made from 100 percent cotton woven terry fabric, dyed red. The face sides are sheared, and the reverse sides have uncut loops. The items match Item #525 and are embroidered with the same depiction of Santa Claus surrounded by snowflakes. The bath towel measures 24 x 48 inches. The hand towel measures 16 x 25 inches and the washcloth measures 12 x 12 inches. The edges of each towel and the washcloth are hemmed.
In your letter you refer to Item #8525, the bath towel, hand towel and washcloth, as a “Christmas towel set.” The Explanatory Notes, which constitute the official interpretation of the Harmonized Tariff Schedule of the United States at the international level, state in Note (X) to Rule 3 (b) that the term "goods put up in sets for retail sale" means goods which:
(a) consist of at least two different articles which are prima facie, classifiable in different headings;
(b) consist 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.
The submitted bath towel, hand towel and washcloth do not qualify as “goods put up in sets for retail sale” as the components of the set are classifiable under the same subheading. Therefore, each item in the set will be classified separately.
In your ruling request, you suggest all of the above items are classified under subheading 9505.10.5020, Harmonized Tariff Schedule of the United States (HTSUS). We disagree. Chapter 95, Chapter Note 1(x) excludes from Chapter 95, “Tableware, kitchenware, toilet articles, carpets and other textile floor coverings, apparel, bed linen, table linen, toilet linen, kitchen linen and similar articles having a utilitarian function (classified according to their constituent material).” All of the above items are, therefore, excluded from Chapter 95.
The applicable subheading for the fingertip towel, Item #525, will be 6302.60.0020, HTSUS, which provides for “Bed linen, table linen, toilet linen and kitchen linen: Toilet linen and kitchen linen, of terry toweling or similar terry fabrics, of cotton: Towels: Other.” The rate of duty will be 9.1 percent ad valorem.
The applicable subheading the kitchen towel, Item #303, will be 6302.60.0010, HTSUS, which provides for “Bed linen, table linen, toilet linen and kitchen linen: Toilet linen and kitchen linen, of terry toweling or similar terry fabrics, of cotton: Towels: Dish.” The rate of duty will be 9.1 percent ad valorem.
The applicable subheading for the bath towel and hand towel, Item #8525, will be 6302.60.0020, HTSUS, which provides for “Bed linen, table linen, toilet linen and kitchen linen: Toilet linen and kitchen linen, of terry toweling or similar terry fabrics, of cotton: Towels: Other.” The rate of duty will be 9.1 percent ad valorem.
The applicable subheading for the washcloth, Item #8525, will be 6302.60.0030, HTSUS, which provides for “Bed linen, table linen, toilet linen and kitchen linen: Toilet linen and kitchen linen, of terry toweling or similar terry fabrics, of cotton: Other.” The rate of duty will be 9.1 percent ad valorem.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheadings 6302.60.0010, 6302.60.0020 and 6302.60.0030, 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 subheadings 6302.60.0010, 6302.60.0020 and 6302.60.0030, 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, including information on exclusions and their effective dates, 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, contact National Import Specialist Kim Wachtel at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division