The tariff classification of promotional mailer keys from China

N226297 August 6, 2012 CLA-2-73:OT:RR:NC:N1:113 CATEGORY: Classification TARIFF NO.: 7326.90.8588 Ms. Angela B. Travis Cozy Glamour LLC 7702 Aerobic Avenue Humble, TX 77346 RE: The tariff classification of promotional mailer keys from China Dear Ms. Travis: In your letter dated July 9, 2012, you requested a tariff classification ruling on promotional mailer keys. Samples were submitted with your ruling request. The items under consideration are identified as promotional mailer keys. You indicated in your letter that the subject articles are not used as keys to open anything. The promotional keys are purchased by mailing advertising companies for attachment to their brochures and mailed to prospective customers to encourage them to go to dealerships to look at vehicles. The upper portion of the subject article is made of molded plastic and the lower portion is made of steel. You stated that all of the promotional keys under consideration are identical. You proposed classification for the promotional mailer keys under subheading 8301.70.00, Harmonized Tariff Schedules of the United States (HTSUS), which provides for padlocks and locks (key, combination or electrically operated), of base metal…keys presented separately. In understanding the language of the HTSUS, the Harmonized Commodity Description and Coding System Explanatory Notes (ENs) may be utilized. The ENs, although not dispositive, are to be used to determine the proper interpretation of the HTSUS. See T.D. 89-80, 54 Fed. Reg. 35127-28 (Aug. 23, 1989). EN 83.01(2) indicates that this heading covers, in pertinent part, base metal keys for padlocks, locks, etc. of heading 8301. The term key is not defined in the HTSUS or the ENs. A tariff term that is not defined in the HTSUS or in the ENs is construed in accordance with its common and commercial meaning. Nippon Kogasku (USA), Inc. v. United States, 69 CCPA 89, 673 F.2d 380 (1982). Common and commercial meaning may be determined by consulting dictionaries, lexicons, scientific authorities and other reliable sources. C.J. Tower & Sons v. United States, 69 CCPA 128, 673 F.2d 1268 (1982). Accordingly, the Online English Oxford Dictionary defines key as “an instrument, usually of iron, for moving the bolt or bolts of a lock forwards or backwards, and so locking or unlocking what is fastened by it; usually fitted on the bit or web with more or less elaborate incisions, etc., adapted to the wards of the lock.” Your letter states that the instant articles are used solely for promotional purposes. They will be distributed in a mailing campaign to entice individuals to visit a car dealership. Although the instant articles resemble keys in appearance, they possess identical incision profiles, are incapable of operating locks, and are of substandard quality. Accordingly, the instant articles do not meet the definition of the term key and cannot be classified in subheading 8301.70, HTSUS. Classification of merchandise under the HTSUS is in accordance with the General Rules of Interpretation (GRIs), taken in order.  GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes.  Since no one heading in the tariff schedules covers the plastic and steel components of the promotional mailer keys in combination, GRI 1 cannot be used as a basis for classification.  GRI 3(b) provides that mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale shall be classified as if they consisted of the material or component which gives them their essential character. GRI 3(c) states that when goods cannot be classified by reference to GRI 3(a) or 3(b), they shall be classified under the heading which occurs last in numerical order among those which equally merit consideration. In this case, the keys under consideration are comprised of both plastic and steel, and neither the plastic component nor the steel component imparts the essential character.  Therefore, the subject keys will be classified in accordance with GRI 3(c) in the provision for other articles of iron or steel.  The applicable subheading for the promotional mailer keys will be 7326.90.8588, HTSUS, which provides for other articles of iron or steel, other…other. The rate of duty will be 2.9 percent. 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 Ann Taub at (646) 733-3018. Sincerely, Thomas J. Russo Director National Commodity Specialist Division