April 5, 2006 CBP Bulletin Notice on Necklaces of Plastic Beads with Metallic Paint
In the April 5, 2006 issue of the U.S. Customs and Border Protection Bulletin (CBP Bulletin) (Vol. 40, No. 15), CBP issued a notice proposing to modify a classification ruling on necklaces of plastic beads with metallic paint. CBP states that it is also proposing to revoke any treatment it has previously accorded to substantially identical transactions.
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CBP states that any party who has received an interpretive ruling or decision on merchandise subject to this notice, and/or any person involved in substantially identical transactions should advise CBP by May 6, 2006, the date that written comments on the proposed ruling 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.
CBP also states that this notice covers any rulings on the subject merchandise that may exist but have not been specifically identified.
Proposed Modification of a Classification Ruling
Necklaces of plastic beads with metallic paint. At issue are products called "Diamond Metallic Bead Necklaces." However, CBP notes that the information provided indicates that the actual composition of the necklaces is black plastic beads that have been covered with a colored coating that is either purple, green, gold or silver. According to CBP lab reports, the products are composed of polystyrene plastic beads covered with paints that are either acrylic or polyurethane based. In addition, the imported value of the necklaces is more than 20 per dozen.
CBP is proposing to issue HQ 967788 in order to modify NY E87523 to reflect the proper classification of the subject necklaces under HTS 7117.90.7500, as imitation jewelry: other: other: valued over 20 per dozen pieces or parts: other: of plastics; rather than under HTS 7117.19.9000, as imitation jewelry: of base metal, whether or not plated with precious metal: other: other: other.
CBP explains that when the subject necklaces were initially classified in NY E87523, it did not have the benefit of technical data regarding the composition of the product from the manufacturer, nor were tests performed on the goods by the CBP Laboratory. As a result, classification in NY E87523 was made based upon the appearance of the product and the information provided by the requester. Unfortunately, the appearance, the marketing designation ("Metallic Bead Necklace"), and the available product data provided for the subject necklaces were inaccurate.
Furthermore, CBP states that based on the product information now available to CBP, it has determined that the classification provided for the subject necklaces in NY E87523 is incorrect. CBP now finds that the subject necklaces should be classified in HTS 7117.91.7500.
proposed: HTS 7117.90.7500, duty-free; current: 7117.19.9000, 11%.
April 5, 2006 CBP Bulletin (Vol. 40, No. 15) available athttp://www.cbp.gov/xp/cgov/toolbox/legal/bulletins_decisions/bulletins_2006/vol40_04052006_no15/