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HQ 964859




May 15, 2001

CLA-2 RR:CR:TE 964859 mbg

CATEGORY: CLASSIFICATION

TARIFF NO.: 4202.92.9026

Ms. Laura Denny
CBT International, Inc.
110 West Ocean Blvd.
Suite 1003
Long Beach, CA 90802

RE: Classification of an “Add-A-Rack” from China or Twain; Reconsideration of NY A80249

Dear Ms. Denny:

On March 1, 1996, Customs issued New York Ruling Letter (“NY”) NY A80249 to your company regarding the tariff classification of merchandise described as an “Add-A-Rack” which was originally classified as an auto accessory under heading 8708 of the Harmonized Tariff Schedule Annotated (“HTSUSA”). Upon review, Customs has determined that the subject merchandise was erroneously classified. The correct classification for the product should be under heading 4202, HTSUSA, as a rooftop storage container. NY A80249 is hereby revoked for the reasons set forth below.

Pursuant to section 625(c)(1), Tariff Act of 1930 (19 U.S.C. 1625 (c)), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat. 2057), a notice was published on March 21, 2001, in Vol. 35, No. 12 of the Customs Bulletin, proposing to revoke NY A80249 and to revoke the treatment pertaining to the classification of a collapsible automotive rooftop cargo carrier from China or Twain. No comments were received in response to this notice.

FACTS:

The “Add-A-Rack” is designed to carry cargo on the roof rack of an automobile. It is a large, flexible container which is designed to fit directly onto the luggage rack of an automobile. It is constructed of 1000 denier nylon, woven mesh, laminated to polyvinyl chloride. The merchandise is waterproof and contains nylon straps which secure the luggage to the car rack. The Add-A-Rack, which measures 63” by 67”, can easily be rolled up and stored for convenience.

ISSUE:

What is the proper classification of the rooftop cargo carrier under the HTSUSA?

LAW AND ANALYSIS:

Classification of goods under the HTSUSA is governed by the General Rules of Interpretation (“GRIs”). GRI 1 provides that classification shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRI may then be applied.

There are two competing headings under the HTSUSA which must be considered for classification of the merchandise under consideration: heading 8708 provides for parts and accessories of motor vehicles; and heading 4202 provides for inter alia trunks and similar containers.

The subject merchandise was originally classified in subheading 8708.99.8080, HTSUSA. Merchandise eo nomine provided for within heading 8708 includes auto parts and accessories such as inter alia safety seat belts, steering wheels, exhaust pipes, gear boxes, axles, shock absorbers, etcetera.

The Explanatory Notes (EN) to the Harmonized Commodity Description and Coding System constitute the official interpretation of the nomenclature at the international level. While not legally binding, they do represent the considered views of classification experts of the Harmonized System Committee. It has therefore been the practice of the Customs Service to consider, whenever possible, the terms of the EN when interpreting the HTSUSA.

General Note III to Section XVII of the Explanatory Notes to the HTSUSA provides:

It should, however, be noted that these headings [of Section XVII] apply only to those parts or accessories which comply with all three of the following conditions :

(a)They must not be excluded by the terms of Note 2 to this Section (see paragraph (A) below).
and (b)They must be suitable for use solely or principally with the articles of Chapters 86 to 88 (see paragraph (B) below).
and (c)They must not be more specifically included elsewhere in the Nomenclature (see paragraph (C) below).

(emphasis added.) Paragraph C to this General Section Note further states:

Parts and accessories, even if identifiable as for the articles of this Section, are excluded if they are covered more specifically by another heading elsewhere in the Nomenclature, e.g. :

(4)Tool bags of leather or of composition leather, of vulcanised fibre, etc. (heading 42.02).

(emphasis added.)

In comparison, heading 4202, HTSUSA, provides for “Trunks, suitcases, vanity-cases, executive-cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; travelling- bags, toilet bags, rucksacks, handbags, shopping-bags, wallets, purses, map-cases, cigarette-cases, tobacco- pouches, tool bags, sports bags, bottle-cases, jewellery [sic] boxes, powder-boxes, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanised fibre [sic] or of paperboard, or wholly or mainly covered with such materials or with paper.”

Thus, this heading encompasses the articles enumerated, as well as containers similar to these articles.

The EN to heading 4202, HTSUSA, state, in pertinent part:

This heading covers only the articles specifically named therein and similar containers. These containers may be rigid or with a rigid foundation, or soft and without foundation.

The Court of International Trade considered a similar classification dispute involving a trunk organizer and whether such merchandise was properly classified in heading 4202, HTSUS, or heading 8708, HTSUS. In Totes, Inc. v. United States, 18 C.I.T. 919, 865 F. Supp. 867 (1994), the court stated:

[T]he express exclusion from parts and accessories of motor vehicles of articles covered more specifically by another heading elsewhere in the Nomenclature, e.g., tool bags, see General Headnote 111(c), Section XVII of the Explanatory Notes to HTS, demonstrates intent to also exclude from parts and accessories of motor vehicles containers similar to tool bags. Such intent is buttressed by prefacing the excluded list of articles (which includes tool bags), with e.g., which means that tool bags are listed as only an example of the type of container that might be used in connection with a motor vehicle that must be regarded as more specifically provided for under Heading 4202. A fortiori, containers similar to tool bags are intended to be excluded from parts and accessories covered more specifically in the Nomenclature.

Totes, at 928.

Also of relevance to the subject merchandise, the Totes court further concluded that the “essential characteristics and purpose of Heading 4202 exemplars are. . . to organize, store, protect and carry various items.” Id. at 872. The C.I.T. further ruled that by virtue of ejusdem generis the residual provision for “similar containers” in heading 4202, HTSUS, is to be broadly construed. Heading 4202, HTSUS, in general, provides for containers used to convey personal articles; these “containers” can be anything designed to transport the assorted personal belongings of an individual. Id.

In applying the rule of ejusdem generis to determine whether an item is embraced within a particular class, the courts have looked to the articles enumerated within that class to ascertain the characteristics they have in common. Kotake Co., Ltd. v. United States, 58 Cust. Ct. 196, C.D. 2934 (1967). The subject merchandise is designed and used to provide storage, protection, organization and portability. The Add-A-Rack cargo carrier functions as a container which is placed on top of an automobile for added storage while traveling. The Add-A-Rack cargo carrier is PVC backed for weather resistance and the overall shape serves to provide protection to the items stored within. It is more specifically classified in heading 4202, HTSUS, than in a less specific provision for automotive parts and accessories.

Application of Totes and the EN for heading 4202 to the subject merchandise supports the classification therein. Furthermore, predicated on ejusdem generis, Customs finds that the cargo carrier is more specifically classifiable under the provisions for the bags, cases and similar containers in Heading 4202 even if they are principally used as motor vehicle parts or accessories within the purview of Heading 8708. This classification is consistent with previous Customs decisions involving similar merchandise, see e.g., NY A84170, dated June 6, 1996 and NY A83233, dated May 13, 1996.

HOLDING:

NY A80249, dated March 1, 1996, is hereby revoked.

The Add-A-Rack cargo carrier is properly classified in subheading 4202.92.9026, HTSUSA as “Trunks, suitcases, vanity-cases, executive-cases, briefcases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; travelling- bags, toilet bags, rucksacks, handbags, shopping-bags, wallets, purses, map-cases, cigarette-cases, tobacco- pouches, tool bags, sports bags, bottle-cases, jewellery [sic] boxes, powder-boxes, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanised fibre [sic] or of paperboard, or wholly or mainly covered with such materials or with paper: Other: With outer surface of sheeting of plastic or of textile materials: Other: Other: Other: Of man-made fibers.” The general column one rate of duty is 18.3 percent ad valorem. The designated textile restraint number is 670.

The designated textile and apparel category may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected. Since part categories are the result of international bilateral agreements which are subject to frequent renegotiations and changes, to obtain the most current information available, we suggest that you check, close to the time of shipment, The Status Report on Current Import Quotas (Restraint Levels), an internal issuance of the U.S. Customs Service, which is available for inspection at your local Customs office.

Due to the changeable nature of the statistical annotation (the ninth and tenth digits of the classification ) and the restraint (quota/visa) categories, you should contact your local Customs office prior to importation of this merchandise to determine the current status of any import restraints or requirements.

EFFECT ON OTHER RULINGS:

NY A80249 is modified. In accordance with 19 U.S.C. §1625 (c), this ruling will become effective sixty (60) days after its publication in the Customs Bulletin.

Sincerely,

John Durant, Director
Commercial Rulings Division

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