Newly Released CBP HQ Rulings for July 26
The Customs Rulings Online Search System (CROSS) was updated July 26 with the following headquarters rulings (ruling revocations and modifications will be detailed elsewhere in a separate article as they are announced in the Customs Bulletin):
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H328405: Affirmation of NY N301425; Classification of Felt Tipped Markers for Temporary Tattoos
| Ruling: In accordance with GRI 1, heading 3304, HTSUS, is not a proper heading for the subject felt-tipped markers because the terms of the heading do not specifically provide for the subject felt-tipped markers for temporary tattoos. By application of GRIs 1 and 6, the subject felt-tipped markers for temporary tattoos are classified in heading 9608, specifically subheading 9608.20.00, which provides for “Ball point pens; felt tipped and other porous-tipped pens and markers; fountain pens, stylograph pens and other pens; duplicating styli; propelling or sliding pencils (for example, mechanical pencils); pen-holders, pencil-holders and similar holders; parts (including caps and clips) of the foregoing articles, other than those of heading 9609: Felt tipped and other porous-tipped pens and markers.” |
| Issue: CBP had classified the subject merchandise under subheading 9608.20.00 of the U.S.Harmonized Tariff Schedule (HTSUS) as felt tipped markers. Protestant asked for the subject merchandise to be classified instead under subheading 3304.99.50, which provides for, “Beauty or make-up preparations and preparations for the care of the skin (other than medicaments), including sunscreen or sun tan preparations; manicure or pedicure preparations." |
| Item: BIC USA's Tattoo Marker consists of a felt-tipped marker containing an alcohol-based ink in a filler system housed in a plastic barrel casing that includes a cap for securing the felt tip and preventing the ink from drying out. The tattoo marker is designed for writing and creating temporary tattoos on the skin. The subject merchandise is a product made in South Korea and is claimed to be imported primarily into the ports of Charleston, South Carolina, and Savannah, Georgia. |
| Reason: Classification under General Rules of Interpretation (GRI) 3(b) under subheading 3304.99.50 may only be used in instances where the subject merchandise cannot be classified pursuant to GRI 1. The subject merchandise is specifically provided for by the terms of heading 9608, HTSUS, at GRI 1; therefore, there is no need to resort to GRI 3(b). BIC has not provided any relevant new or additional information in regard to the subject merchandise that would change the classification. In sum, there has been no change in the law, and no new or additional facts and information have been provided to change CBP's earlier determination in N301425. |
| Ruling Date: July 26, 2024 |
H338086: Tariff classification of a transport medium kit
| Ruling: The Universal Transport Medium (UTM-RT) maintains human cells in a transport medium, supported by a liquid formulated to do so. As such the correct classification of the UTM-RT is under heading 3821. Per GRI 6, the transport medium kit is classified in subheading 3821.00.0010, which provides for “Prepared culture media for development or maintenance of micro-organisms (including viruses and the like) or of plant, human or animal cells: Viral transport media.” |
| Issue: Whether the set is classifiable in heading 3821, which provides for “Prepared culture media for development or maintenance of micro-organisms (including viruses and the like) or of plant, human or animal cells.” or in heading 9027, HTSUS, which provides for “Instruments and apparatus for physical or chemical analysis (for example, polarimeters, refractometers, spectrometers, gas or smoke analysis apparatus); instruments for apparatus for measuring or checking viscosity, porosity, expansion, or surface tension or the like; instruments and apparatus for measuring or checking quantities of hear, sound or light (including exposure meters); microtomes; parts and accessories thereof.” |
| Item: Copan Industries' UTM-RT system consists of a single flexible “minitip” flocked swab and 3 milliliters (ml) of viral transport medium housed in a 12x80 millimeters (mm) round bottom tube with a red plastic cap, packaged together in a zip top plastic bag as a kit. The swab consists of a molded plastic applicator stick with a variable size and shape tip. The tip of the applicator is coated with short Nylon fibers that are arranged in perpendicular fashion. The transport medium includes proteins for virus stabilization, antibiotics to prevent overgrowth of bacteria and yeasts, and a buffer solution to maintain a neutral pH. The kit is intended for the collection, transport, and preservation of clinical specimens containing viruses, chlamydia, mycoplasma, and urea plasma. The transport medium consists of sucrose, “Hank’s Balanced Salt Solution,” bovine serum albumin, buffered solution, gelatin, amino acids, antibiotics, and phenol red. |
| Reason: The essential character of the UTM-RT is imparted by the 3 ml vial and the viral transport medium which it contains. The role of the vial and the transport medium is inseparable from the purpose of the UTM-RT. The purpose of the good is to provide stable maintenance and transport of viral specimens. The flocked swab is not necessary for this maintenance, whereas the transport medium solution and its container are. The essential character of the transport medium kit is provided by the transport medium. |
| Ruling Date: July 26, 2024 |
H329195: Morocco Free Trade Agreement; Cigarettes; Double Substantial Transformation
| Ruling: The cut-filler tobacco and cigarette filters are subject to a double substantial transformation in Morocco so that the value of each may be included in calculating the Moroccan value content for purposes of meeting the 35% value content requirement of the U.S.-Morocco Free Trade Agreement (UMFTA). |
| Issue: Do cigarettes produced in Morocco qualify for preferential tariff treatment under the U.S.-Morocco Free Trade Agreement? |
| Item: Japan Tobacco International's cigarettes produced in Morocco using non-originating “raw” tobacco. Various other originating and non-originating materials will also be used to manufacture the filter and the finished cigarette sticks. |
| Reason: The processing in Morocco is similar to the processing in HQ 560102 in that the tobacco is manufactured into cut-filler tobacco in Morocco that is ready to be assembled into a cigarette. As a result, CBP determined that the raw tobacco is substantially transformed by the processing in Morrocco before it undergoes final assembly. CBP also found that the cellulose acetate tow is substantially transformed when produced into a cigarette filter as there is a change in name, character, and use. Cellulose acetate tow is cellulose fibers derived from wood pulp. Prior to production in Morocco, it has a soft, clothlike quality that may be used to create fabrics for the apparel industry. The finished filter is a cylindrical object suitable for filtering smoke produced by a cigarette. The cellulose acetate tow is substantially transformed by the processing in Morrocco before it undergoes final assembly. Lastly, CBP found that the tobacco and filter as manufactured in Morocco is substantially transformed again when assembled into a cigarette. The loose tobacco, filter and other components are separately recognizable commercial products from a cigarette and the filters and tobacco undergo a second substantial transformation in Morocco. |
| Ruling Date: July 18, 2024 |