The tariff classification of wood strip baskets with textile liners from China

N176232 July 25, 2011 CLA-2-46:OT:RR:NC:2:230 CATEGORY: Classification TARIFF NO.: 4602.19.1800 Mr. Greg Carter Family Dollar Stores 10401 Monroe Road Matthews, NC 28105 RE: The tariff classification of wood strip baskets with textile liners from China Dear Mr. Carter: Ruling number N172720, dated July 14, 2011, for wood strip baskets with textile liners from China, contained a clerical error. A corrected ruling appears below. In your letter dated June 24, 2011, you requested a tariff classification ruling. The ruling was requested on several wood strip baskets with textile liners. Photographs were provided for our review. Each of the baskets is constructed in the same manner. Regardless of size, shape, or color, each basket is constructed of interwoven strips of wood, and has a pivoting, overarching wood handle. Each is lined with a sewn, textile fabric liner; you do not identify the fiber content of the lining fabric. You state that the composition of the basket is 70 percent wood and 30 percent fabric. The classification of merchandise under the Harmonized Tariff Schedule of the United States (HTSUS) is governed by the General Rules of Interpretation ("GRIs"), taken in order. GRI 1 requires that classification be determined according to the terms of the headings and any relative section or chapter notes. In the event that goods cannot be classified solely on the basis of GRI 1, and if the heading and legal notes do not otherwise require, the remaining GRIs will be applied, in the order of their appearance. Neither GRI 1 nor GRI 2 governs the classification of the instant item. The basket is constructed primarily of wood strips and textile. The wood strips constitute “plaiting materials” as set forth in Chapter Note 1 of Chapter 46, HTSUS, which states as follows: In this chapter the expression “plaiting materials” means materials in a state or form suitable for plaiting, interlacing or similar processes; it includes straw, osier or willow, bamboos, rattans, rushes, reeds, strips of wood, strips of other vegetable material (for example, strips of bark, narrow leaves and raffia or other strips obtained from broad leaves), unspun natural textile fibers, monofilament and strip and the like of plastics and strips of paper, but not strips of leather or composition leather or of felt or nonwovens, human hair, horsehair, textile rovings or yarns, or monofilament and strip and the like of chapter 54. Because the materials from which the basket is constructed (i.e., wood strips and textile) are prima facie classifiable in different headings, the basket is a composite good within the meaning of General Rule of Interpretation (GRI) 3(b). GRI 3(b) states, in pertinent part: (b) Mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale, which cannot be classified by reference to 3(a), shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable. In accordance with the Explanatory Notes (ENs) for GRI 3(b), the essential character of an item may be determined by the nature of the material or component, its bulk, quantity, weight, or value, or by the role of a constituent material in relation to the use of the goods. The breakdown provided indicates that the wood strips predominate in bulk and weight. It is not clear if the wood predominates in value. More significantly, the wood strips form the structure that allows the item to function as a basket or receptacle. Therefore, it is the wood strips that impart the essential character of the basket. The applicable subheading for the wood strip basket with textile liner will therefore be 4602.19.1800, HTSUS, which provides for Basketwork, wickerwork and other articles, made directly to shape from plaiting materials or made up from articles of heading 4601: Of vegetable materials: Other: Other baskets and bags, whether or not lined: Other: Other. The rate of duty will be 4.5 percent ad valorem. 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 World Wide Web at http://www.usitc.gov/tata/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 Laurel Duvall at (646) 733-3035. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division