The tariff classification of paperboard gift card holders from China

N309420 February 20, 2020 CLA-2-48:OT:RR:NC:1:130 CATEGORY: Classification TARIFF NO.: 9903.88.03; 4819.50.4060 Ms. Lisa Murrin Expeditors Tradewin, LLC 795 Jubilee Drive Peabody, MA 01960 RE: The tariff classification of paperboard gift card holders from China Dear Ms. Murrin: In your letter, dated January 21, 2020, you requested a tariff classification ruling on behalf of your client, Gift Card Impressions, LLC. The ruling was requested for Items 102849, 102412, and 102143, paperboard gift card holders. Samples and product information were submitted for our review, and will be retained for reference. Item 102849 is a paperboard pillow box-type gift card holder measuring approximately 4.5” L by 2.875” W by 0.625” high, when folded to shape. The paperboard is lithographically printed with snowflakes, a green “ribbon” and a “seal” with a holly motif. The holder opens and closes by means of folded flaps at each of the narrow ends. Item 102412 is a paperboard pillow box-type gift card holder measuring approximately 4.5” L by 2.875” W by 0.625” high, when folded to shape. The paperbard is lithographically printed with a Santa Clause image with glitter added to highlight Santa’s belt buckle. Extending from the two long sides of the gift card holder are paperboard mittens, and from the bottom short side, paperboard boots. On the back of the gift card holder is a light-colored space printed with the words “To:” and “From:”. The holder opens and closes by means of folded flaps at each of the narrow ends. Item 102143 is a paperboard pillow box-type gift card holder measuring approximately 4” long by 3” W by 0.625” high. The paperboard is lithographically printed with flowers, and has a printed paperboard applique with a rhinestone center affixed to the front. Extending from the long side of the gift card holder is a wire strung with beads to simulate a purse handle. The holder opens and closes by means of a flap with a tab that inserts into a slot on the front of the gift card holder. In spite of the holiday and celebratory motifs, Explanatory Note 95.05(c) to Chapter 95, Harmonized Tariff System, specifically excludes “Packagings of plastic or of paper, used during festivals (classified according to constituent materials, for example, Chapter 39 or 48).” The gift card holders are not festive articles. The applicable subheading for the three gift card holders, Items 102849, 102412, and 102143, will be 4819.50.4060, Harmonized Tariff Schedule of the United States (HTSUS) which provides for Cartons, boxes, cases, bags and other packing containers, of paper, paperboard, cellulose wadding or webs of cellulose fibers; box files, letter trays and similar articles, of paper or paperboard of a kind used in offices, shops or the like: Other packing containers, including record sleeves: Other: Other: Other. The rate of duty will be free. Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 4819.50.4060, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty.  At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03, in addition to subheading 4819.50.4060, HTSUS, listed above.   The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading.  For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively. 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 https://hts.usitc.gov/current. 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 laurel.duvall@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division