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HQ 085412


October 11, 1990

CLA-2 CO:R:C:G 085412 RFC

CATEGORY: CLASSIFICATION

TARIFF NO.: 4811.39.4040

Mr. Alvin Silvey
Silvey Shipping Co. Inc.
130 William Street, Suite 807
New York, NY 10038

RE: Revocation of Headquarters Ruling Letter (HRL) 084245; printed, metallized-plastic paper

Dear Mr. Silvey:

In HRL 084245, dated July 13, 1989, you were issued a tariff classification ruling under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA) for printed paper laminated on one side with a metallized-plastic backing. In HRL 084245, this product was classified under heading 4911 of the HTSUSA. Upon review and reconsideration and for the reasons set forth below, we have determined that your product is properly classified under heading 4811 of the HTSUSA.

FACTS:

The goods consists of paper laminated on one side with a metallized-plastic backing. The paper is imported in rolls in excess of 36 cm in width and is printed at regular intervals with decorative pictures of fruit, product brand name, product descriptions (i.e., low fat yogurt and net weight). (All of this information is apparently included on the side labels of the product containers along with other, more significant information, e.g., essential nutritional information.)

ISSUE:

What is the proper classification under the HTSUSA of printed paper laminated on one side with a metallized-plastic backing that is imported in rolls in excess of 36 cm in width for use as square-size pieces of paper to be placed over the tops of small, plastic containers of yogurt?

LAW AND ANALYSIS:

Classification of merchandise under the HTSUSA is governed by the General Rules of Interpretation (GRIs). GRI 1 requires that classification be determined first according to the terms of the headings of the tariff and any relative section or chapter notes and, unless otherwise required, then according to the remaining GRIs, taken in order.

In the instant classification analysis, there exist two chapters in which the goods may be potentially classified: to wit, chapter 48 and chapter 49. Chapter 48 provides for, among other things, printed paper. The general notes to the Explanatory Notes to chapter 48 state, among other things, that "[t]his [c]hapter includes printed papers (such as wrapping papers for individual traders, printed with names of traders, trade marks and devices, directions for use of merchandise) provided that the printing is merely incidental to the use of the paper for wrapping, writing, etc., and that the goods do not constitute printed matter of [c]hapter 49...." Within chapter 48, heading 4811 provides for, among other things, rolls of printed paper, coated or covered with plastics. The Explanatory Notes to heading 4811 state that this heading includes, among other things, "[p]aper...printed with motifs, characters or pictorial representations merely incidental to their primary use and not constituting printed matter of Chapter 49...." On the other hand, chapter 49 provides for printed matter. The general notes to the Explanatory Notes to chapter 49 state, in part, that "this [c]hapter covers all printed matter of which the essential nature and use is determined by the fact of its being printed with motifs, characters or pictorial representations...[with the exception of]...goods...in which the printing is merely incidental to their primary use...."

In the instant case, the goods consist of rolls of printed, laminated paper, and the printing simply consists of decorative pictures of fruit, product brand name, and product descriptions. This printing is inconsequential to the nature and use of the goods at the time of importation: The rolls of paper are merely a material or component for use with small containers for yogurt, i.e., after importation the rolls of paper are cut into square- size pieces and placed over the tops of the containers. The above-described printing relating to the yogurt, then, is merely incidental to this use because (1) the rolls of paper could still be put to this same use without any printing and (2) the printing does not determine in any manner the use of the rolls of paper. Therefore, the printing on the rolls of paper does not act to render the essential nature and use of the rolls of paper as imported to be that of "printed matter." Accordingly, the rolls of printed, laminated paper are properly classified in chapter 48 (under heading 4811 which provides for such goods, i.e., rolls of printed paper coated or covered with plastic) rather than in chapter 49.

In view of prior rulings and decisions issued under the previous tariff schedule, one may be inclined to believe that the instant goods constitute "articles," and thus should be classified under heading 4823 as "other articles of coated paper." This belief is incorrect. First, under the HTSUSA, the goods are not "articles" (which includes unfinished or incomplete articles) at the time of importation but rather a material or component for use with an article (i.e., rolls of paper which will after importation be cut up into square-size pieces of paper and placed over the tops of small, plastic containers--which themselves are articles). Second, GRI 1 requires, as discussed above, that classification be determined first according to the terms of the headings of the tariff schedule. In the instant case, the goods are more specifically described according to the terms of heading 4811 (rolls of printed paper coated or covered with plastics) than the terms of heading 4823 (other articles of coated paper).

In view of the above, the above-described goods are properly classified under subheading 4811 as rolls of printed paper, coated or covered with plastics.

HOLDING:

The above-identified product is properly classified under subheading 4811.39.4040, HTSUSA, which provides for paper, surface-decorated or printed, coated or covered with plastics, in rolls. Products classified under this subheading may be entered free of duty.

In light of the above, HRL 084245 is hereby revoked. See 19 C.F.R. 177.9(d). If pending transactions are adversely affected by this revocation, you may apply to this office for a delay in the effective date of this ruling letter. Any delay that may be granted will be based on your showing of reasonable, detrimental reliance on HRL 084245. Delays may be granted for a period of up to 90 days from the date a ruling letter is issued. Id.

Sincerely,

John Durant, Director
Commercial Rulings Division

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