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 > 1997 HQ Rulings > HQ 951774 - HQ 952505 > HQ 952168

Previous Ruling Next Ruling
HQ 952168




August 20, 1992

CLA-2 CO:R:C:M 952168 KCC

CATEGORY: CLASSIFICATION

TARIFF NO.: 6913.10.50

Ms. Judy Campbell
W.Y. Moberly, Inc.
Box 164
Sweetgrass, Montana 59484

RE: Porcelain bag vases/pots; porcelain vases/pots with dried flowers; GRI 1; 0603.90.00; composite good; essential character; GRI 3(c)

Dear Ms. Campbell:

This is in reference to your letters dated May 25, and 27, 1992, to Customs in New York, on behalf of The Potter's Bag, requesting the tariff classification of porcelain vases/pots and porcelain vases/pots with dried flowers under the Harmonized Tariff Schedule of the United States (HTSUS). Two samples, the vases in the shape of a bag and folded napkin, both filled with dried flowers, were submitted for examination.

FACTS:

The articles under consideration are porcelain vases/pots and dried flowers. The first type of articles are empty porcelain bag vases/pots called the "Functional Bag Line." The second type of articles are porcelain vases/pots in the shape of bags, napkins, fans and bouquets, which are either free standing or designed to hang on the wall. This line of articles contains an arrangement of dried flowers.

ISSUE:

What is the proper classification of the porcelain bag vases/pots in the "Functional Bag Line" and the porcelain vases/pots (bags, napkins, fans and bouquets) which contain dried flowers under the HTSUS?

LAW AND ANALYSIS:

The classification of merchandise under the HTSUS is governed by the General Rules of Interpretation (GRI's). GRI 1, HTSUS, states in part that "for legal purposes, classification shall be determined according to the terms of the headings and any relative section or chapter notes and...according...to the following provisions."

The empty porcelain bag vases/pots in the "Functional Bag Line" are properly classified under subheading 6913.10.50, HTSUS, which provides for "Statuettes and other ornamental ceramic articles...Of porcelain or china...Other..Other."

However, the porcelain vases/pots (bags, napkins, fans and bouquets) which contain dried flowers are classified under two different headings in the HTSUS. The dried flowers are classified under subheading 0603.90.00, HTSUS, which provides for "Cut flowers and flower buds of a kind suitable for bouquets or for ornamental purposes, fresh, dried, dyed, bleached, impregnated or otherwise prepared...Other." The porcelain vases/pots are classified under subheading 6913.10.50, HTSUS, which provides for "Statuettes and other ornamental ceramic articles...Of porcelain or china...Other..Other."

No single heading covers the porcelain vases/pots with dried flowers in its entirety and, accordingly, classification cannot be accomplished by application of GRI 1, HTSUS, alone. When goods are prima facie classifiable under two or more headings GRI 3 is applicable. In this case GRI 3(b) is applicable and provides:

Mixtures, composite goods consisting of different materials or made up of different components...which cannot be classified by reference to 3(a), shall be classified as if they consisted of the material or component which gives them their essential character, insofar as this criterion is applicable.

In general, essential character has been construed to mean the attribute which strongly marks or serves to distinguish what an article is; that which is indispensable to the structure, core or condition of the article. In addition, Explanatory Note (EN) Rule 3(b) of the Harmonized Commodity Description and Coding System (HCDCS) provides further factors which help determine the essential character of goods. Factors such as bulk, quantity, weight or value, or the role of a constituent material in relation to the use of the goods are to be utilized, though the importance of certain factors will vary between different kinds of goods. HCDCS, Vol. 1. p. 4.

The issue in this case is whether the essential character of the article is imparted by the porcelain vase/pot or the dried flowers. With respect to the aesthetic value of this article, it can be argued that the attractive display of dried flowers is the significant factor in marketing and the most attractive selling point for the consumer. However, the porcelain vase is somewhat decorative with its unique configuration and serves the primary utilitarian function of holding and displaying the flowers. Moreover, based on the cost data submitted, the dried flower arrangement is the more expensive component of the two. Whereas, the porcelain vase portion weighs more than the dried flowers. It is impossible to ascertain which of the two components determines the article's essential character.

GRI 3(c), HTSUS, sets forth that the goods which cannot be classified by reference to GRI 3(a) or 3(b), HTSUS, shall be classified under the heading which occurs last in numerical order among those which equally merit consideration. Therefore, the articles at issue are properly classified under subheading 6913.10.50, HTSUS, as "Statuettes and other ornamental ceramic articles...Of porcelain or china...Other...Other."

HOLDING:

The empty porcelain bag vases/pots in the "Functional Bag Line" are properly classified under subheading 6913.10.50, HTSUS, which provides for "Statuettes and other ornamental ceramic articles...Of porcelain or china...Other...Other", which is dutiable at the rate of 9 percent ad valorem.

The porcelain vases/pots (bags, napkins, fans and bouquets) which contain dried flowers are properly classified pursuant to GRI 3(c), HTSUS, under subheading 6913.10.50, HTSUS, which provides for "Statuettes and other ornamental ceramic articles...Of porcelain or china...Other...Other", which is dutiable at the rate of 9 percent ad valorem.

Subheading 6913.10.50, HTSUS, is an eligible tariff provision for preferential treatment under the United States- Canada Free Trade Agreement (CFTA). If the articles are deemed to be goods originating in the territory of Canada, pursuant to General Note 3(c)(vii), HTSUS, they will be eligible for preferential duty treatment at the rate of 5.4 percent ad valorem.

Sincerely,

John Durant, Director
Commercial Rulings Division?

Previous Ruling Next Ruling

See also: