Reconsideration, In Part, of New York Ruling Letter (NYRL) 806646, Dated February 23, 1995; Chocolate Preparations Containing Cocoa

HQ 957801 April 29, 1996 CLA-2 RR:TC:FC 957801K CATEGORY: Classification TARIFF NO.: 1806.32.3000 Mr. Kristin Zaal Chocolate Creations 121 William Street Watertown, Wisconsin 53094 RE: Reconsideration, In Part, of New York Ruling Letter (NYRL) 806646, Dated February 23, 1995; Chocolate Preparations Containing Cocoa Dear Sir: As the result of your letters of December 5, 1994, and January 29, 1995, the Customs Service issued NYRL 806646, dated February 23, 1995, which held that various chocolate items from Belgium and Holland were classified in subheadings 1806.32.9000 and 1806.90.9000, Harmonized Tariff schedule of the United States (HTSUS). The products described as Logo Cards, Logo Tablets, and Customized Molded Tablets, rectangular or square shape, were classified in subheading 1806.32.9000, HTSUS. This is to inform you that NYRL 806646 no longer reflects the views of the Customs Service for these products. Pursuant to section 625, Tariff Act of 1930 (19 U.S.C. 1625), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act, Pub. L. 103-182, 107 Stat. 2057, 2186 (1993), hereinafter, section 625), notice of the proposed modification of NYRL 806646 was published on March 20, 1996, in the Customs Bulletin, in Volume 30, No. 12. The following represents our position. FACTS: The milk chocolate products, Logo Cards, Logo Tablets, and Customized Molded Tablets that are rectangular in shape, contain 6.03 percent cocoa liquor, 24.11 percent cocoa butter, 47.13 percent sugar, 22.19 percent whole milk powder and 0.55 percent lecithin. All of these products are in the shape of bars, weigh 75 grams or less and are not filled. ISSUE: The issue is whether the products as described above meet the requirements for classification in subheading 1806.32.3000, HTSUS, rather than in subheading 1806.32.9000, HTSUS. LAW AND ANALYSIS: Subheading 1806.32.3000, HTSUS, provides for chocolate and food preparations containing cocoa: other, in blocks, slabs or bars... not filled...preparations consisting wholly of ground cocoa beans, with or without added cocoa fat, flavoring or emulsifying agents, and containing not more than 32 percent by weight of butterfat or other milk solids and not more than 60 percent by weight of sugar...other, with a general rate of duty for 1996 of 4.8 percent ad valorem. Subheading 1806.32.9000, HTSUS, with a 1996 general rate of duty of 6.7 percent ad valorem, is a residual provision, and may cover products not included in other provisions such as subheading 1806.32.3000, HTSUS. The products, described above in the form of bars and weighting less than 2 Kg, contain the ingredients for coverage under subheading 1806.32.3000, HTSUS, and are classified under this provision. HOLDING: The products as described above, Logo Cards, Logo Tablets, and Customized Molded Tablets, in bar form, are classified in subheading 1806.32.3000, HTSUS, with a 1996 general rate of duty of 4.8 percent ad valorem. NYRL 806646, dated February 23, 1995, is modified in accordance with this ruling. In accordance with 19 U.S.C. 1625, this ruling will become effective 60 days after its publication in the Customs Bulletin. Publication of rulings or decisions pursuant to 19 U.S.C. 1625 does not constitute a change of practice or position in accordance with section 177.10(c)(1), of the Customs Regulations (19 CFR 177.10(c)(1)). Sincerely, John Durant, Director Tariff Classification Appeals Division