The tariff classification of a milk chocolate coating (Product number 0760260-000) from Canada

NY J84837 June 10, 2003 CLA-2-18:RR:NC:SP:232 J84837 CATEGORY: Classification TARIFF NO.: 1806.20.8100; 1806.20.8300 Mr. Bob Forbes R.O.E. Logistics 474 McGill Street Suite 300 Montreal, Quebec Canada H2Y 2H2 RE: The tariff classification of a milk chocolate coating (Product number 0760260-000) from Canada Dear Mr. Forbes: In your letter dated May 12, 2003, on behalf of Barry Callebaut Canada Inc., you requested a tariff classification ruling. The subject merchandise is stated to contain 38.77 percent sugar, 14.97 percent whole milk powder, 10.84 percent natural chocolate liquor, 10.31 percent cocoa butter, 10.29 percent coconut oil, 6.43 percent soybean oil, 4.97 percent skim milk powder, 2.64 percent milkfat, 0.74 percent soya lecithin, and 0.01 percent vanilla extract. The product is stated to contain a total of 6.58 milkfat and 22.58 percent milk solids. The product will be imported in liquid form in bulk tankers and 50 pound pails. It will be used as an ice cream coating. The applicable subheading for the milk chocolate coating, if imported in quantities that fall within the limits described in additional U.S. note 10 to chapter 4, will be 1806.20.8100, Harmonized Tariff Schedule of the United States (HTS), which provides for Chocolate and other food preparations containing cocoa: Other preparations in blocks or slabs weighing more than 2 kg or in liquid, paste, powder, granular or other bulk form in containers or immediate packings, of a content exceeding 2 kg: other...other...other: Dairy products described in additional U.S. note 1 to chapter 4...described in additional U.S. note 10 to chapter 4 and entered pursuant to its provisions. The rate of duty will be 10 percent ad valorem. If the quantitative limits of additional U.S. note 10 to chapter 4 have been reached, and the product contains 21 percent or more by weight of milk solids, classification is under subheading 1806.20.8300, HTS, and dutiable at the rate of 52.8 cents per kilogram plus 8.5 percent ad valorem. In addition, except for goods of Canada, Mexico or Jordan, products classified in subheading 1806.20.8300, HTS, will be subject to additional duties based on their value, as described in subheadings 9904.04.59 to 9904.04.66, HTS. 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 John Maria at 646-733-3031. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division