Reconsideration of New York Ruling (NY) B87551: Classification of Textile Purse: Novelty Coin Purse or Stuffed Animal Accessory

HQ 960958 MAY 6, 1999 CLA2 RR:CR:TE 960958 SG CATEGORY: Classification TARIFF NO.: 4202.32.9550 Ms. Marla O’Dell, Import Manager Westwater Enterprises 917 Mountain Ave. Mountainside, NJ 07092 RE: Reconsideration of New York Ruling (NY) B87551: Classification of Textile Purse: Novelty Coin Purse or Stuffed Animal Accessory Dear Ms. O’Dell: This is in response to your letter dated August 4, 1997, requesting reconsideration of New York Ruling Letter (NY) B87551 dated July 30, 1997. We apologize for the delay in responding to your request. A sample was submitted to this office for review. FACTS: The submitted sample in the design of a mini backpack, composed of 100% nylon woven fabric. It measures approximately 3 inches by 3 1/2 inches by 1 inch with a zippered closure primarily along the sides and the top of the article. There are straps approximately 4 inches in length running from each side to the center of the top, and a metal “key chain loop” at the top. You also seek classification of the same article made of cotton. You state in your letter that New York erroneously classified the subject sample in subheading 4202.32, HTSUSA, as an article of a kind normally carried in the pocket or in a handbag. You state that the item is not being marketed as a coin purse, but rather as a backpack for a stuffed animal, and as such the proper classification is as a stuffed animal accessory. You submit that the tag on the item states that the item is a mini backpack and is sized to fit standard 6 inch bean toys including beanie babies ISSUE: What is the proper classification of the submitted merchandise? 2 LAW AND ANALYSIS: Classification under the HTSUS is made in accordance with the General Rules of Interpretation (GRIs). The systematic detail of the harmonized system is such that virtually all goods are classified by application of GRI 1, that is, according to the terms of the headings of the tariff schedule and any relative Section or Chapter Notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs may then be applied. The Explanatory Notes (ENs) to the Harmonized Commodity Description and Coding System, which represent the official interpretation of the tariff at the international level, facilitate classification under the HTSUS by offering guidance in understanding the scope of the headings and GRIs. The competing provisions for this merchandise are heading 4202, HTSUS, and heading 9503, HTSUS. Subheading 4202.32, HTSUSA, provides for, inter alia, articles of a kind normally carried in the pocket or handbag, of textile materials. Subheading 9503.41 HTSUSA, provides for stuffed toys and parts and accessories thereof. Chapter 95, HTSUS, covers "toys, games and sports equipment; parts and accessories thereof." Note 1(d) to chapter 95 states that "[t]his chapter does not cover: Sports bags or other containers of heading 4202...." Heading 9503, HTSUS, provides for "Other toys...and accessories thereof," i.e., all toys not specifically provided for in the other headings of chapter 95. Toys representing stuffed animals are classifiable in Heading 9503, HTSUS. Although the term "toy", in general is not specifically defined in the tariff, the Explanatory Notes to the Harmonized Commodity Description and Coding System (EN) to chapter 95, HTSUSA, indicate that this chapter covers toys of all kinds whether designed for the amusement of children or adults. It has been Customs position that the "amusement" requirement means that toys should be designed and used principally for amusement and that they should not serve a utilitarian purpose. The ENs also state that each of the chapter's headings "covers identifiable parts and accessories of articles of this Chapter...provided they are not articles excluded by Note 1 to this Chapter." The ENs to heading 9503 indicate that certain toys (e.g., electric irons, sewing machines, musical instruments, etc.) may be capable of a limited "use," but they are generally distinguishable by their size and limited capacity from real sewing machines, etc. In Headquarters Ruling Letter (HRL) 087704, dated September 27, 1990, Customs stated the following regarding accessories: The term "accessory" is not defined in either the tariff schedule or the Explanatory Notes. An accessory is generally an article which is not necessary to enable the goods with which it is used to fulfill their intended function. An accessory must be identifiable as being intended solely or principally for use with a 3 specific article. Accessories are of secondary or subordinate importance, not essential in and of themselves. They must, however, somehow contribute to the effectiveness of the principal article (e.g., facilitate the use or handling of the principal article, widen the range of its uses, or improve its operation.) HRL 950695, dated June 14, 1991, concerned the classification of a musical mechanism sold with a doll which was designed to incorporate the musical unit in its body and play a lullaby when activated. In that ruling Customs, noting that the term "accessory" is not defined in the HTSUS, referred to the dictionary definition of the term: "a thing of secondary importance; an object or device not essential in itself but adding to the beauty, convenience or effectiveness of something else." Webster's Ninth New Collegiate Dictionary, p. 49 (1990). (See also, regarding "accessories," Auto Ordinance Corp. v. United States, 822 F. 2d 1566 (Fed. Cir. 1987) and United States v. Liebert, 59 CCPA 43, C.A.D. 1035, 450 F. 2d 1405 (1971).) Among other things, accessories may widen the range of uses of the main article. Because the musical mechanism, although not essential in itself, added to the effectiveness and widened the range of use of the doll and by its particular shape and size, conveniently fit in the zippered compartment of the back of the doll, it was classified as an accessory to a doll. This concept was further refined in HRL 952942, dated April 27, 1993, in which we stated that to determine whether an article is an accessory, its nature, function, and purpose must be examined in relation to the article to which it is attached or designed to serve. A number of other Customs rulings have classified articles as accessories. All of these articles have in common the fact that they contribute or add to the performance of the article to which they are an accessory. See for example HQ 960194, dated July 14, 1998, in which we determined that a number of articles, including a sewing kit, nosegay and folder sold in the American Girls Doll Collection were parts and accessories of dolls. We found that the samples, literature and submissions in that case, all clearly demonstrated that the subject articles added to the effectiveness of, and were designed to serve only the dolls of the American Girls Collection. The nature, function, and purpose of the articles indicated that they are accessories to dolls. All of the articles were specifically designed, produced, advertised and sold for a singular use with a particular doll of the American Girls Collection. Each of the articles was an imitation of an actual article from a specific time period which corresponded to the doll that represents that time period. Moreover, the articles were specifically proportioned to doll size. We found the importer had demonstrated that the nature, function, and purpose of the subject articles was to solely add to the effectiveness of the dolls of the American Girls Collection. Given the examples of accessories provided above, it is clear that an accessory must contribute to an article's usefulness, effectiveness, or performance, without being necessary or essential to that article, as is a "part." (In this latter regard concerning "parts," see United States v. Willoughby Camera Stores, Inc., 21 CCPA 322 (1933), United States v. Antonio Pompeo, 43  4 CCPA 9, C.A.D. 602 (1955); and Clipper Belt Lacer Co., Inc. v. United States, 14 CIT 146, 738 F. Supp. 528 (1990).) Determinations of this kind should be made on a case by case basis, since there are many articles that function in association with other articles, but only some of these qualify as accessories. On the facts here, the “mini backpack” is not an accessory of the stuffed animal, since no claim has been made nor has any evidence been submitted indicating that it contributes anything to the stuffed animal’s usefulness, performance, or function. Consequently, it is our view that the article is not a stuffed toy accessory and heading 9503, HTSUS, is inapplicable. We must therefore consider heading 4202, HTSUS, which provides, in part, for "Trunks, suitcases, vanity cases...and similar containers;..." Note 1(l) to chapter 42 states that "[t]his chapter does not cover: Articles of chapter 95 (for example, toys, games, sports equipment)...." The ENs to heading 4202 indicate that the containers covered by the heading may be rigid or with a rigid foundation, or soft and without foundation, and that the articles covered by the first part of the heading may be of any material. In all probability a child between the ages of three and six could easily use the mini backpack to carry small items such as coins and keys with him/her to grandmother's house or to school. Although the submitted sample is a small replica of a fullsize backpack its size does not limit its use as a fully functioning container similar to novelty coin purses classifiable in heading 4202, HTSUS. We note that the sample contains a “key chain loop” at the top of it. The “key chain loop” on the sample is full size and has not been reduced to replica size as the backpack has. It therefore is fully functional as a key chain. In addition, we note that “key chain loops” are not normally part of a backpack. There is also little purpose for the key chain if the item is principally a toy or toy accessory, but very useful as a feature on a coin purse. Based on this, the submitted sample is excluded from classification in chapter 95 by chapter Note 1(d). The question then arises as to whether the fact that the “mini backpack” is designed to be worn on a stuffed animal and carried by the child precludes classification as an article of a kind that would normally be carried in the pocket or handbag. A number of Customs rulings have addressed this matter. HRL 082265, dated March 20, 1989, held that though a ski wallet was not meant to be carried in the pocket or handbag, it was an article of a kind that would normally be carried in the pocket or handbag. Accordingly, the ski wallet was classified in heading 4202, HTSUSA. (See, HQ 083992, dated April 24, 1992, regarding a nylon neck pouch "designed" to be worn around the neck by means of a braided textile cord and HQ 088145, dated February 26, 1991, regarding a neck money belt attached to a small cord dropped over the neck, which similarly held that though the items clearly were designed to be worn around the neck, they were nevertheless classifiable in heading 4202, HTSUSA, as articles of a kind normally carried in the pocket or handbag.)  5 HQ 088665, dated June 14, 1991, regarded the classification of a "wrist rascal" pouch in the image of a baby chick. The torso of the chick was stated to be a pouch "designed" to be worn about the wrist, as indicated by the straps in the shape of wings extending from each side of the torso of the chick and fastening about the wrist. Customs held that the item's classification was not determined by its animal shape, but by the provisions of the tariff which accurately described the functional use of the item. Thus, the item was classified in heading 4202, HTSUSA, as an article of a kind normally carried in the pocket or handbag. It is our determination that heading 4202 most accurately provides for the functional nature of the “mini backpack" and that NY B87551 correctly classified it in heading 4202, HTSUS. HOLDING: The "mini backpack" was properly classified in subheading 4202.32.9550, HTSUS, textile category 670, the provision for "Trunks, suitcases, vanity cases...and similar containers: Articles of a kind normally carried in the pocket or in the handbag: With outer surface of textile materials: Other: Other: Of man-made fibers." The applicable duty rate is 18.8 percent ad valorem. If made of cotton, the item would be classified in subheading 4202.32.4000, HTSUS, textile category 369, the provision for "Trunks, suitcases, vanity cases...and similar containers: Articles of a kind normally carried in the pocket or in the handbag: With outer surface of textile materials: Of vegtable fibers and not of pile or tufted construction: Of cotton." The applicable duty rate is 6.8 percent ad valorem. NY B87551 is affirmed. Sincerely, John Durant, Director Commercial Rulings Division