HQ 083822: Tariff classification of nylon boat covers

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                                        HQ 083822

                                       May 1, 1989

             CLA-2 CO:R:C:G  083822  SM

             CATEGORY:  Classification

             TARIFF NO.:  6307.90.9030

             Mr. Lee Hardeman
             P.O. Box 45545
             Atlanta, GA  30320-0545

             RE:  Tariff classification of nylon boat covers

             Dear Mr. Hardeman:

                   Your letter of February 2, 1989, on behalf of L. S.
             Brown Company, DBA Dixie International, addressed to Customs
             at Savannah, requesting a tariff classification ruling for
             certain boat covers, has been referred to this office for
             reply.

             FACTS:

                   A sample of the fabric, though not of the finished boat
             cover, was submitted.  You state that it is water-repellant
             nylon taffeta.  You also state that the covers will be fitted,
             of the type used to cover speed and ski boats in transit to
             recreational areas.  The fabric is to be imported from Taiwan
             or South Korea into a Caribbean Basin Economic Recovery Act
             (CBERA) or Generalized System of Preferences (GSP) beneficiary
             country.  You estimate that the value of the fabric will con-
             stitute 80 percent of the U.S. entered value of the finished
             boat covers.  You wish to know whether the covers will qualify
             for a duty preference under either program.

             ISSUE:

                   How are the boat covers classified?  Are they eligible
             for a duty preference under the CBERA or GSP?

             LAW AND ANALYSIS:

                   Classification under the Harmonized Tariff Schedule of
             the United States Annotated (HTSUSA) is in accordance with the
             General Rules of Interpretation (GRI's).  GRI 1 provides that
             classification is determined first in accordance with the
             terms of the headings of the tariff and any relative section
             and chapter notes and then, if the headings and notes do not
             otherwise require, in accordance with the remaining GRI's.












                                           -2-

                   No heading of the tariff provides specifically for boat
             covers or for parts and accessories for pleasure boats.  Head-
             ing 6306, HTSUSA, includes tarpaulins, which are waterproof.
             The Explanatory Notes (EN), the official interpretation of the
             HTSUSA at the international level, state that this heading
             includes specially shaped tarpaulins such as those for cover-
             ing decks of small vessels, but only if such tarpaulins are
             flat.  Since the boat covers in question are fitted, they do
             not fall under this provision.  They are therefore classified
             under subheading 6307.90.9030, HTSUSA, a provision for other
             made up textile articles.

                   Articles classified under this subheading are eligible
             for duty-free treatment under the GSP, provided they meet the
             statutory requirements of that program.  In general, these
             requirements are that the eligible article be imported direct-
             ly from a beneficiary developing country (BDC) into the
             customs territory of the United States, and that the sum of
             (1) the cost or value of the materials produced in the BDC
             plus (2) the direct costs of processing operations performed
             in the BDC equal at least 35 percent of the appraised value of
             the article at the time of entry.  General Note 3(c)(ii)(C),
             HTSUSA.  You state that only 20 percent of the appraised value
             of the covers will be attributable to the GSP country and that
             the remaining 80 percent will be attributable to the cost of
             materials imported into the GSP country.  Thus it does not
             appear likely that the covers will qualify for duty-free
             treatment under the GSP.  However, without more information
             about the processing operation in the GSP country, we cannot
             issue a definitive ruling to that effect.

                   Duty-free treatment is not available under the CBERA for
             various textile articles classified under subheading
             6307.90.9030, HTSUSA, including those such as the boat covers,
             of which it appears that man-made fibers equal or exceed 50
             percent by weight of all component fibers.  General Note
             3(c)(v)(D)(3)(II), HTSUSA.

             HOLDING:

                   The boat covers are classified under subheading
             6307.90.9030, HTSUSA, a provision for other made up textile
             articles.

                                        Sincerely,



                                        John Durant, Director
                                        Commercial Rulings Division












             6cc:  Area Director of Customs
                   NY Seaport Area
             cc:   Legal Reference Section
             cc:   CITA
             cc:   NIS Anthony Falcone
             cc:   Phil Robins

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