CLA-2-48:OT:RR: NC:4:434
Alexander Kopp
CVS Pharmacy Inc.
One CVS Drive
Woonsocket, RI 02895
RE: The tariff classification of a letters to Santa kit from China
Dear Mr. Kopp:
In your letter, dated February 24, 2025, you requested a tariff classification ruling. A detailed description and photos were submitted for our review in lieu of a sample.
“Letters to Santa Children’s Activity Set,” CVS Item number 652447, is a folio containing items necessary for children to write and decorate letters to Santa Claus. Inside is a pad of 15 sheets of lined paper, measuring 5.25” x 11.25” and glue bound at the top to a cardboard backer. Many sheets have small, Christmas-themed illustrations, and some also include an area for the child to draw a picture. On their reverse side, the paper sheets are printed to resemble an envelope, so that when folded, the child can address it to look like a letter ready to mail. Also in the folio are 4 crayons; 1 marker; 2 sheets of Christmas-themed, lithographically printed paper stickers; 1 sheet of Christmas-themed, non-lithographically printed holographic paper stickers; and two self-adhesive paper nametags reading “Tried to be on the nice list” and “On the nice list.”
We must first determine whether the kit is considered a “set” for classification purposes. A “set” is defined within the meaning of General Rule of Interpretation 3(b) (GRI 3(b)) and the Explanatory Notes (ENs) to the Harmonized Tariff Schedule of the United States (HTSUS), which constitute the official interpretation of the tariff at the international level. EN X to GRI 3(b) provides: “for the purposes of this Rule, the term "goods put up in sets for retail sale" shall be taken to mean 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 together to meet a particular need or carry out a specific activity; and (c) are put up in a manner suitable for sale directly to users without repacking (e.g., in boxes or cases or on boards).” Sets are classified according to the component, or components taken together, which can be regarded as conferring on the set as a whole its essential character.
We find that the kit described above does meet the requirements of a set. The essential character of this set is the pad of lined, decorative paper, which serves as the focal point on which the other items are used.
The applicable subheading for the “Letters to Santa Children’s Activity Set,” CVS item number 652447, will be 4820.10.2020, HTSUS, which provides for “Registers, account books, notebooks, order books, receipt books, letter pads, memorandum pads, diaries and similar articles: Memorandum pads, letter pads and similar articles.” The column one, general rate of duty will be Free.
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.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4820.10.2020, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, 9903.88.03, in addition to subheading 4820.10.2020, HTSUS, listed above.
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.
Effective February 4, 2025, in accordance with the President’s Executive Order “Imposing Duties to Address the Synthetic Opioid Supply Chain in the People’s Republic of China,” all products of China and Hong Kong as provided by heading 9903.01.20 in Section XXII, Chapter 99, Subchapter III, U.S. Note 2(s), HTSUS, other than products classifiable under headings 9903.01.21, 9903.01.22, and 9903.01.23, HTSUS, will be subject to an additional 10 percent ad valorem rate of duty. At the time of entry, you must report the applicable Chapter 99 heading, i.e. 9903.01.20, in addition to subheading 4820.10.2020, 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 Notes cited above and the applicable Chapter 99 subheadings.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR 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 Charlene Miller at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division