United States International Trade Commision Rulings And Harmonized Tariff Schedule
faqs.org  Rulings By Number  Rulings By Category  Tariff Numbers
faqs.org > Rulings and Tariffs Home > Rulings By Number > 1992 HQ Rulings > HQ 0950904 - HQ 0950984 > HQ 0950927

Previous Ruling Next Ruling


HQ 950927


April 29, 1992

CLA-2 CO:R:C:M 950927 NLP

CATEGORY: CLASSIFICATION

TARIFF NO.: 6406.10.65

Mr. John Pellegrini
Ross & Hardies
529 Fifth Avenue
New York City, NY 10017

RE: Footwear; unformed leather uppers; heel pads; U.S. Note 4(a) to Chapter 64; subheading 6406.10.05; HRL 083991; HRL 089764

Dear Mr. Pellegrini:

This is in response to your letter dated November 22, 1991, requesting the tariff classification of leather footwear uppers under the Harmonized Tariff Schedule of the United States (HTSUS). Samples of the footwear uppers were submitted for our examination.

FACTS:

Sample #1 is a moccasin-type upper that consists of a leather plug, quarters, instep strap with tassel, back stay and lining. The upper is front-part lasted but it is not back-part lasted. The upper has an oblong hole cut in the bottom which measures five inches in length and between 3/4's of an inch and 1-1/4 inch in width. The upper will be imported with a tan leather heel pad that is cut to shape. The heel pad will cover the interior bottom of the finished shoe from the heel to the mid foot.

Sample #2 is a man's five eyelet leather oxford upper which is completely open. The upper consists of leather vamp quarters, back stay and lining. The upper is neither front-part lasted nor back-part lasted. The upper will be imported with a grey leather heel pad that is cut to shape. The heel pad will cover the interior bottom of the finished shoe from the heel to the mid foot.

The uppers and heel pads will be manufactured in India.

ISSUE:

Whether the leather footwear uppers imported with unattached heel pads are classifiable as "formed uppers" under subheading 6406.10.05, HTSUS, or as "other than formed uppers" in subheading 6406.10.65, HTSUS.

LAW AND ANALYSIS:

Classification of merchandise under the HTSUS is in accordance with the General Rules of Interpretation (GRI's), taken in order. GRI 1 provides that classification is determined according to the terms of the headings and any relative section or chapter notes.

U.S. Note 4 to Chapter 64, HTSUS, provides in pertinent part the following:

...[p]rovisions for 'formed uppers' cover uppers, with closed bottoms, which have been shaped by lasting, molding or otherwise but not by simply closing at the bottom.

In the instant case, the first sample has a substantial portion of its bottom cut out and the bottom of the second sample is completely open. However, because the uppers have been imported with unattached heel pads, the first issue presented is whether or not these uppers would be considered to have closed bottoms.

Since the footwear uppers and heel pads are unattached, GRI 2 is applicable. GRI 2 provides that:

(a) Any reference in a heading to an article shall be taken to include reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article. It shall also include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), entered unassembled or disassembled.

The heel pads are clearly intended to be assembled with the upper and, with the addition of other pieces, most importantly the outersole, will be sold to consumers as finished footwear. Customs has taken the position that heel pads and uppers which were imported together were considered to be constructively assembled pursuant to GRI 2(a). See, Headquarters Ruling Letter (HRL) 083991, dated March 8, 1990.

In sample #1, when the upper and the heel pad are constructively assembled, the heel pad will cover the hole in the bottom of this upper. Therefore, this upper is considered to have a closed bottom. However, this upper still does not meet the test for being classified as a formed upper. While the upper has been front-part lasted, the back of the shoe has not been back-part lasted. The back of the shoe has not been completely shaped. See, HRL 089764, dated August 15, 1991. The upper is not considered a formed upper and it is classified in subheading 6406.10.65, HTSUS, which provides for parts of footwear, uppers and parts thereof, other than stiffeners, other, of leather.

In sample #2, the footwear upper will still be mostly open even after the heel pad is inserted. Additionally, this shoe has not been shaped at all. It has not been front-part or back-part lasted. Thus, sample #2 does not meet the definition of a formed upper set forth in U.S. Note 4(a) to Chapter 64, HTSUS. This sample is considered an unformed upper and it is also classified in subheading 6406.10.65, HTSUS.

HOLDING:

The leather uppers and leather heel pads are classifiable in subheading 6406.10.65, HTSUS, which provides for parts of footwear, uppers and part thereof, other than stiffeners, other, of leather. As the merchandise is manufactured in India it will be entitled to duty free entry under the Generalized System of Preferences, if all applicable requirements are met.

Sincerely,

John Durant, Director
Commercial Rulings Division

Previous Ruling Next Ruling

See also: