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HQ 955796


February 24, 1994

CLA-2 CO:R:C:T 955796 ch

CATEGORY: CLASSIFICATION

TARIFF NO.: 6307.90.9986

Jerrie Varrone Mirga
Senior Economist
Economic Consulting Services, Inc.
1225 Nineteenth Street, N.W.
Washington, D.C. 20036

RE: Classification of certain organizer panels, cell packs and a divider pad which will be incorporated into computer bags.

Dear Ms. Mirga:

This is in response to your letter of December 22, 1993, on behalf of Naluco, Incorporated, requesting tariff classification under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA) for certain articles imported from China. After importation, these components will be assembled with other materials of United States origin into computer bags. Samples were provided to this office for examination.

FACTS:

The components manufactured in China are interior fittings for computer bags (style 3305). With the exception of the imported fittings, the finished bags are composed from materials of United States origin. The Chinese components and the United States materials are assembled at Naluco's factory in California into the finished articles.

The imported articles are composed primarily of nylon fabric. The first fitting is described as a front organizer panel. The panel will be placed inside one of the bag's outer zipper compartments. One side of the panel possesses slots of various size which are designed to hold pens, calculators and other small miscellaneous goods.

The second component is described as a back organizer panel. This article is attached inside one of the lids of the bag. It features slots to hold computer disks and a pouch with a hook and loop fastener.

The third and fourth samples are identified as large and small cell packs. The large cell pack is placed in a compartment inside the finished computer bag. This container is designed to store and protect a portable computer. The small cell pack is a similar container placed in the same compartment. It is used to protect smaller items such as a printer or electrical cords.

The fifth fitting is a divider pad used to separate and cushion the two cell packs. It is secured to the interior of the computer bag by means of hook and loop fasteners.

The materials originating in the United States are used to manufacture the main body of the computer bag. They include nylon, leather, nylon zippers, webbing, hook and loop fastener material, rings, PE foam, plastic piping, thread, a label and a hangtag. These materials are used to fabricate an article featuring two interior compartments each secured by means of a three-side zipper closure. The container measures approximately 19 1/2 inches by 14 inches by 6 inches. The exterior of the bag is of nylon and one side features two exterior pockets with zipper closures. The container may be carried by means of double handles or a shoulder strap.

You have submitted calculations which indicate that the cost of the Chinese materials and labor comprises approximately 20 percent of the total cost for the finished product.

ISSUE:

What is the proper tariff classification for the imported interior fittings?

LAW AND ANALYSIS:

General Rule of Interpretation (GRI) 2(a) states that:

Any reference in a heading to an article shall be taken to include a 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.

Thus, the imported interior fittings will be classified as a computer bag if they have the essential character of a finished computer bag. The finished bags are classifiable in heading 4202, HTSUSA, which provides inter alia for suitcases and similar containers.

In this instance, the imported merchandise does not have the essential character of a finished computer bag. The Chinese components serve merely to organize, pad and protect the contents of the finished product. In their imported condition, they do not resemble a finished container. On the other hand, the materials which are purchased and assembled in the United States comprise the main body of the bag. These materials are used to fabricate compartments to store a computer and computer accessories, a protective outer shell and means by which the container can be transported. In sum, the imported components play an ancillary role in relation to the finished goods. Therefore, the instant merchandise is not classified in heading 4202, HTSUSA.

As the imported articles are not more specifically described elsewhere in the tariff schedule, they shall be classified as other textile articles of heading 6307, HTSUSA.

HOLDING:

The subject merchandise is classifiable under subheading 6307.90.9986, HTSUSA, which provides for other made up articles, including dress patterns: other: other: other, other: other. The applicable rate of duty is 7 percent ad valorem.

Sincerely,

John Durant, Director

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