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August 2, 2006 CBP Bulletin Notices on Country of Origin Marking for Printed Gift Tissue Paper and Snack Mixes

In the August 2, 2006 issue of the U.S. Customs and Border Protection Bulletin (CBPBulletin) (Vol. 40, No. 32), CBP issued notices: (a) proposing to modify a ruling relating to the country of origin marking of printed gift tissue paper, and (b) modifying or revoking three classification rulings on snack mixes. CBP states that it is also revoking, or is proposing to revoke, any treatment it has previously accorded to substantially identical transactions.

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According to CBP, the modifications and revocation are effective for merchandise entered or withdrawn from warehouse for consumption on or after October 1, 2006.

CBP states that any party who has received a contrary ruling or decision on the merchandise that is subject to the proposed ruling, or any party involved with a substantially identical transaction, should advise CBP by September 1, 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.

In addition, CBP states that these notices cover any rulings on the subject merchandise that may exist but have not been specifically identified.

Proposed Modification of a Country of Origin Ruling

Printed gift tissue paper. At issue are master rolls of tissue paper imported into Country A from China. The tissue paper is printed (with either designs or colors) on a six-color gravure printing press with ink that is a product of Country A. The printed tissue paper is thereafter cut to size on a computer controlled automatic cutter/slitter. Various printed designs are collated and folded to size by hand. The folded tissue paper is either banded or placed into plastic polybags that are packed into master cartons by hand. In addition, CBP notes that prior to the processing operations performed in Country A, the master rolls of tissue paper could be used to produce products such as crepe paper, crepe paper streamers, toilet seat covers, and other articles.

CBP is proposing to issue HQ 967997 in order to modify HQ 563262, to reflect the proper country of origin marking for the subject tissue paper as China, rather than Country A.

Among other things, CBP contends that decorative tissue paper manufactured to be printed is an article with limited use. It is not further limited by the printing to a degree sufficient to constitute a substantial transformation. Furthermore, the printing does not materially alter the name, character or use of the tissue paper. At the time of importation into Country A, the subject merchandise would properly be referred to as tissue paper. After the printing of the tissue paper, it remains an article properly referred to as tissue paper.

Therefore, CBP states that printing and cutting the plain tissue paper in Country A will not effect a substantial transformation in the Chinese-origin product. Accordingly, CBP finds that the country of origin of tissue paper sheets produced under these circumstances should be China.

Modification or Revocation of Three Classification Rulings

Snack mixes. The snack mixes at issue are the "Oriental Garden 2 Mix," the Mediterranean Mix, the Vindaloo Mix, and the Bombay Mix, which are made of a variety of ingredients and mixtures (as listed below).

CBP is issuing HQ 966111 in order to modify NY I82449 and reclassify the "Oriental Garden 2 Mix" under HTS 2008.11 as peanuts (ground nuts), rather than under 2106.90.9998 as food preparations not elsewhere specified or included.

In addition, CBP is issuing HQ 967691 and HQ 967692 in order to modify and revoke NY F82910 and NY 869842, respectively. However, due to a lack of information relative to the ingredients breakdown and method of preparation for each component, the precise classification for the Mediterranean Mix, Vindaloo Mix, and the Bombay Mix cannot be given. CBP notes that once the importer submits new requests with the required information, the correct classification can be given.

CBP has made the following findings in its rulings on the subject snack mixes, which are summarized below:

Oriental Garden 2 Mix. CBP states that the food preparations of HTS heading 2106 are generally considered to be mixtures of food ingredients to be used in or with other foods. Furthermore, the subject snack mix is made up of 16% flavored pretzels (HTS 1905), 15% prepared green peas (HTS 2005), 14% salted blanched peanuts (HTS 2008), 15% flavored peanuts (HTS 2008), 12% fried noodles (HTS 1902), 10% pretzels (HTS 1905), 9% sesame sticks (HTS 1905), and 9% Cajun corn (HTS 1904). Although mixed together in the Oriental Garden 2 Mix, each ingredient maintains its original identity and will be marketed as such. Based on General Rule of Interpretation (GRI) 3(c), CBP finds that the subject snack mix is classified according to the heading that occurs last in numerical order-HTS heading 2008-because none of the articles in the snack mix give the mixture its essential character.

Mediterranean Mix. With respect to the Mediterranean Mix, CBP states that the mixture is made up of 25% peanuts, 16.5% sunflower seeds, and 7% raisins. CBP notes that the raisins have not been prepared or preserved; therefore, the raisins in the Mediterranean Mix do not meet the terms of HTS 2008. In addition, 48.5% of the mixture is unaccounted for; thus, the precise classification cannot be given until that information is provided.

Vindaloo Mix and Bombay Mix. With respect to these two snack mixes, CBP states that the final product remains a mixture of gram flour noodles, yellow split peas, peanuts, lentils, raisins, sunflower seeds, flavoring, puffed rice, and salt. As such, like the Oriental Garden 2 Mix, CBP notes that these snack mixes cannot be classified in HTS 2106 because the final product remains a mixture of several ingredients that maintain their original identity. However, CBP states that due to a lack of information relative to the ingredients breakdown and method of preparation for each component, the precise classification cannot be given.

CBP notes that the applicable subheading will be either HTS 2008.00.4500, which provides for other peanuts (ground-nuts) described in Additional U.S. Note (AUSN) 2 to Chapter 12 and entered pursuant to its provisions, or if the quantitative limits of AUSN 2 to Chapter 12 have been reached, the product will be classified in HTS 2008.11.6000, which provides for other peanuts (ground-nuts) and will be subject to additional duties based on the products' value as described in HTS 9904.12.01-9904.12.19.

new: HTS 2008.11.4500, 6.6/kg, or 2008.11.6000, 131.8% (only Oriental Garden 2 Mix);

previous: 2106.90.9998, 6.4% (Oriental Garden 2 Mix), 2008.92.9094, 14.9% (Mediterranean Mix), 2106.60.9000 (1992), 10% (Vindaloo and Bombay Mixes).

(See ITT's Online Archives or 05/31/06 news, 06053145, for BP summary of the proposed rulings on snack mixes.)

August 2, 2006 CBP Bulletin (Vol. 40, No. 32) available at http://www.cbp.gov/xp/cgov/toolbox/legal/bulletins_decisions/bulletins_2006/vol40_08022006_no32/