Modification of Headquarters Ruling Letter 084851 Regarding the Applicability of Textile Visa Requirements to Components of Toy Sets

HQ 086297 January 26, 1990 CLA-2 CO:R:C:G 086297 JBW CATEGORY: Classification Ned H. Marshak, Esquire Sharretts, Paley, Carter & Blauvelt, P.C. Sixty-seven Broad Street New York, New York 10004 RE: Modification of Headquarters Ruling Letter 084851 Regarding the Applicability of Textile Visa Requirements to Components of Toy Sets Dear Mr. Marshak: On January 10, 1990, this office issued Headquarters Ruling Letter (HQ) 084851 regarding the classification of a toy set to be imported by your client, K Mart Corporation. In a letter dated January 17, 1990, you requested that we reconsider that part of our holding in which we determined that a cotton towel of terry construction contained in the set be subject to textile visa and quota requirements. For the reasons stated below, we are modifying this holding. FACTS: We adopt the facts as set out in HQ 084851. In this ruling, we concluded that the articles submitted for examination formed a set and that the doll imparted the essential character to the set. We then classified the set under subheading 9502.10.40 of the Harmonized Tariff Schedule of the United States Annotated (HTSUSA). Further, we held that a 12 by 25 centimeter cotton towel of terry construction was subject to textile visa and quota requirements. ISSUE: Whether textile articles that are included as components of sets classified in Chapter 95, HTSUSA, are subject to textile visa and quota requirements? LAW AND ANALYSIS: Pursuant to the directive of December 23, 1988, from the Committee for the Implementation of Textile Agreements, textile articles entered as components of sets require separate visas and separate statistical reporting for quota purposes. However, a subsequent telex issued by the Office of Trade Operations, United States Customs Service, states that no separate visa requirements or quota restraint levels are applicable to textile articles that are classified in Chapter 95. If a textile article is included as a component in a set that is classified in Chapter 95, then, through operation of the General Rules of Interpretation, that component itself is classified in Chapter 95. The cotton terry towel included as a component of the set under consideration in HQ 084851 was classified in Chapter 95 of the HTSUSA. Therefore, from the above discussion, the cotton terry towel is not subject to separate visa requirements or to separate statistical reporting for quota purposes. HOLDING: The cotton terry towel included as a component of the set is properly classified in Chapter 95, HTSUSA, and is therefore not subject to separate visas and separate statistical reporting for quota purposes. HQ 084851 is hereby modified pursuant to 19 C.F.R. 177.9(d) (1989). Sincerely, John Durant, Director Commercial Rulings Division