January 2, 2008 CBP Bulletin Notice on Certain Coated Fabrics
In the January 2, 2008 issue of the U.S. Customs and Border Protection Bulletin (CBP Bulletin) (Vol. 42, No. 2), CBP published a notice modifying a classification ruling and revoking a treatment as follows:
Sign up for a free preview to unlock the rest of this article
Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.
Modification of ruling, revocation of treatment.CBP is modifying one ruling on the classification of certain coated fabrics. CBP is also revoking any treatment it has previously accorded to substantially identical transactions.
According to CBP, the modification and revocation are effective for merchandise entered or withdrawn from warehouse for consumption on or after March 2, 2008.
Certain coated fabrics. The merchandise at issue consists of two woven fabrics that are coated on one side with a clear polyurethane coating. The fabrics are used to create backpacks, luggage and similar articles. Style 6004530AU is a textured polyester oxford woven fabric made from 600 denier polyester thread. The weight of the polyester is 7.0 oz/yd2 and comprises 79.55% of the weight of the fabric. The clear polyurethane coating weighs 1.8 oz./yd2 and comprises 20.45% of the weight of the fabric. Style 10502220AU is a nylon basket weave woven fabric made from 1050 denier nylon thread. The weight of the nylon is 12.4 oz./yd2 and comprises 86.11% of the weight of the fabric. The clear polyurethane coating weighs 2.0 oz/yd2 and comprises 13.89% of the total weight of the fabric.
CBP is issuing HQ W968299 in order to modify NY M81369, and reclassify the two fabrics in HTS 5903.20.2500, which provides for "textile fabrics impregnated, coated, covered or laminated with plastics, other than those of heading 5902: With polyurethane: Of man-made fibers: Other: Other," rather than in HTS 5407.52.2060, as "woven fabrics of synthetic filament yarn, including woven fabrics obtained from materials of heading 5404, other woven fabrics, containing 85 percent or more by weight of filaments of nylon or other polyamides, dyed, weighing not more than 170 g/m2."
CBP makes this change as a correction based on HTS Chapter 59, Note 2, which states that heading 5903 applies to textile fabrics, impregnated, coated, covered or laminated with plastics, other than fabrics in which the impregnation, coating or covering cannot be seen with the naked eye, etc.
Based on administrative precedent (see Bulletin for specific rulings) CBP considered a number of factors in determining whether the coating can be seen with the naked eye: whether the coating has visibly altered the surface of the fabric, whether the plastic is visible in the interstices of the fabric, whether the thread or weave is blurred or obscured; and whether the surface of the fabric is leveled or smoothed and whether the coating itself creates a distinct visible pattern. CBP notes that these factors are not exclusive and none is determinative.
CBP now finds that applying the "visible to the naked eye" test on the fabrics of style 6004530AU and style 10502220AU, using normally corrected vision in a well-lighted room, the clear polyurethane coating has filled the gaps in the interstices. Accordingly, CBP now determines that the subject fabrics feature a coating which is visible to the naked eye, and therefore are properly classified as coated textile fabrics under HTS heading 5903.
new: 5903.20.2500, 7.5%; previous: 5407.52.2060, 14.9%
(See ITT's Online Archives or 9/19/07 news, 07091940, for BP summary of proposed HQ W968299.)
January 2, 2008 CBP Bulletin (Vol. 42, No. 2) available athttp://www.cbp.gov/xp/cgov/toolbox/legal/bulletins_decisions/bulletins_2008/