May 11 CBP Bulletin Has 7 Notices on Proposed Ruling Actions
In the May 11, 2011 issue of the U.S. Customs and Border Protection Bulletin (Vol. 45, No. 20), CBP published seven notices that propose to modify or revoke rulings regarding certain threaded fasteners, antibody medicaments, items of synthetic diamond, a woman's upper body garment, the definition of "cut" in Chapter 71, certain styles of bags, and the antibiotic drug Telithromycin.
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Comments on Proposed Rulings due June 10
CBP states that any party who has received a ruling or decision on the merchandise that is subject to the proposed revocations or modifications, or any party involved with a substantially identical transaction, should advise CBP by June 10, 2011, the date that written comments on the proposed rulings are due. Furthermore, CBP states that an importer's failure to advise CBP of such rulings, decisions, or substantially identical transactions may raise issues of reasonable care on the part of the importer or its agent for importations subsequent to the effective date of the final decision in this notice.
Proposed Modifications and Revocations
CBP states that these proposed modifications and revocations cover the below rulings, and any rulings on these products that may exist but have not been specifically identified. CBP is also proposing to revoke any treatment it has previously accorded to substantially identical transactions.
Threaded Fastener
| Item: The Rolls-Royce double hexagon head extended washer fastener is a stainless steel bolt with a wrench configuration, underneath which is a flange, or extended washer head. |
| Current: 7318.15.20, free (bolts and their nuts or washers) |
| Proposed: 7318.15.80, 8.5% (other screws and bolts, whether or not with their nuts or washers) |
| Reason: The fastener is classifiable as a screw and not as a bolt. The fastener's washer-like flange on the underside of the head is the functional equivalent of a washer face, which CBP has previously treated as a characteristic of screws. |
| Proposed for revocation: NY N004775 Proposed new ruling: HQ 110418 |
Monoclonal Antibody Medicaments
| Item: Monoclonal antibody medicaments: Avastin™, Antegren®, Campath®, Herceptin®, Raptiva®, Rituxan®, and Xolair®. |
| Current: 3003.90.00, 3004.90.91, free (medicaments for therapeutic or prophylactic uses) |
| Proposed: 3002.10.01, free (modified immunological products) |
| Reason: Both headings 3003 and 3004 specifically exclude good which can be classified under heading 3002. All these products are included within the definition of "modified immunological products" in heading 3002, and therefore are excluded from classification under headings 3003 or 3004. |
| Proposed for modifications: NY K83806, NY K83509 Proposed for revocations: NY K86861, NY H85059 Proposed new rulings: HQ H110421, HQ H110420, HQ H110419, HQ H128157 |
Cryostat Window Made from Synthetic Diamond
| Item: A cryostat window is a part designed for a cryostat, which is used for the performance of chemical/physical experiments at extremely low temperatures. The cryostat window is made of Diafilm OP, a grade of synthetic diamond engineered for use in optical applications. |
| Current: 7116.20.40, 10.5% (semiprecious stones) |
| Proposed: 7116.20.50, free (precious or semiprecious stones) |
| Reason: CBP has consistently classified articles comprised solely of synthetic diamond under heading 7116.20.50, which provides for articles of precious or semiprecious stones (natural, synthetic or reconstructed). Therefore, the cryostat window should also be classified as a precious stone under 7116.20.50. |
| Proposed for modification: NY N097693 Proposed new ruling: HQ H128136 |
Woman's Upper Body Garment
| Item: The woman’s garment is made of 97% cotton and 3% spandex woven fabric. It is collarless and features a round neckline, 3/4 length sleeves, a full front opening secured by four buttons, two chest pockets with buttoned flaps and a hemmed bottom. |
| Current: 6206.30.3041, 15.4% (blouse) |
| Proposed: 6211.42.00, 8.1% (jacket) |
| Reason: The material of the garment, the heavy internal seams, and large shell buttons, and the bottom rounded frontal opening of the garment are not typical of a shirt or blouse or indicate that the garment should not be warn as a blouse. Additionally, similar items by this company are marketed as jackets, not blouses. |
| Proposed for revocation: NY N052662 Proposed new ruling: HQ H055795 |
Definition of "Cut but Not Set" in Chapter 71
| Current: CBP defined the term "cut but not set"* as it appears in HTS Chapter 71 to mean that gemstones classified in heading 7103 must be cut, i.e. they must undergo a procedure in which new facets, or angled surfaces, are created on the surface and they must not be set, i.e. they cannot be held in place by a mount or a base. |
| Proposed: CBP proposes to expand the term to conform to its common and commercial meaning that the gemstones classifiable under 7103 must be "cut", i.e., a process which involves one or more of the following processes: carving, cleaving, sawing, girdling, bruting, grinding, faceting, polishing, cabbing, and tumbling. Furthermore, they cannot be "set", i.e., held in place by amount or a base that forms a part of the jewelry itself. |
| Proposed for modification: HQ H012548 Proposed new ruling: HQ H140915 |
*Note that Broker Power is clarifying that CBP is proposing to modify the definition of "cut but not set" in Chapter 71. The notice previously stated that CBP was proposing to modify the definition "cut" as it appears in Chapter 71.
Leather Bags as Totes
| Item: The three Coach bags have an outer surfaces of leather and feature an inside zip pocket, cellular phone/multifunction pockets, a ring to clip an accessory or key fob, two side pockets with turn lock closures, feet to prevent bottom from scuffing, a partial zippered closure, interior lining and handles. |
| Current: 4202.21.9000, 9% (handbags) |
| Proposed: 4202.91.0030, 4.5% (totes) |
| Reason: The two bigger Coach bags are larger than a typical handbag because they each have one or more sides that slightly exceed 12 inches in length. The third bag does not have a side which exceeds 12 inches, but can hold the same variety of items as the two bigger bags. Having one side which exceeds 12 inches is just one factor in distinguishing a handbag from a tote bag. |
| Proposed for modification: HQ H061115 Proposed new ruling: HQ H133616 |
Antibiotic Drug Telithromycin
| Item: Telithromycin is a semisynthetic derivative of Erythromycin, a naturally occurring macrolide antibiotic. |
| Current: 2941.50.00, free (Erythromycin derivative) |
| Proposed: 2941.90.30, free (other antibiotic) |
| Reason: The EN to subheading 2941.50 does not specifically exclude Telithromycin from classification as an Erythromycin derivative, but does state that Picromycin is not a derivative of Erythromycin for tariff purposes because it contains no cladinose or mycarose. Telithromycin and Picromycin are the same in that respect. Therefore, CBP states Telithromycin is likewise not a derivative of Erythromycin for tariff purposes. |
| Proposed for revocation: NY J80608, NY M84902 Proposed new ruling: HQ H128138 |
(See ITT's Online Archives or 05/16/11 news, 11051603, for BP summary of the May 11 bulletin notices on three ruling revocations.
See ITT's Online Archives or 04/18/11 news, 11041829, for BP summary of the April 2010 bulletin notices on four proposed ruling actions.)