HQ 084626: Tariff Classification of beaded glass handbags

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 084626

                                   August 25, 1989


          CLA-2  CO:R:C:G  084626 c

          CATEGORY: Classification

          TARIFF NO.: 7018.90.5000

          Mr. Joseph A. Rafferty
          Import Manager
          Mersco Wholesale Co., Inc.
          127 West 30th Street
          New York, New York 10001

          RE: Tariff Classification of beaded glass handbags

          Dear Mr. Rafferty:

                Your letter dated May 11, 1989, addressed to our New York
          office concerning the tariff classification of fully beaded glass
          handbags made in Hong Kong, has been referred to this office for
          a direct reply to you.  Samples were submitted for examination.

          FACTS:

                The samples designated as styles 20405 and 20523 are
          evening bags that are fully covered with glass beads.

          ISSUE:

                Are the evening bags considered articles of glass beads or
          are they handbags for tariff purposes?

          LAW AND ANALYSIS:

                Classification of goods under the Harmonized Tariff
          Schedule of the United States Annotated (HTSUSA) is in accordance
          with the General Rules of Interpretation (GRI's), taken in order.
          GRI 1 provides that "classification shall be determined according
          to the terms of the headings and any relative section or chapter
          notes, and, provided such heading or notes do not otherwise
          require, according to [the remaining GRI's taken in order]."



















                                         -2-


                Handbags are generally classified under heading 4202,
          HTSUSA, which provides for, inter alia, handbags of leather or of
          composition leather, of plastic sheeting, of textile materials,
          of vulcanized fiber or of paperboard, or wholly or mainly covered
          with such materials. The handbags before us, however, are made of
          textile material and glass beads.

                At first glance, it appears the bags may be classifiable in
          heading 4202, HTSUSA, or heading 7018, HTSUSA, which provides
          for, inter alia, glass beads and articles thereof other than
          imitation jewelry. In order to determine which heading is
          applicable, we must look to the Explanatory Notes which are the
          official interpretation of the HTSUS at the international level.

                The Explanatory Notes for heading 4202, HTSUSA, state that
          "[t]his heading covers only the articles specifically named
          therein and similar containers." The notes go on to say,"[t]he
          articles of the second part of the heading [the part in  which
          handbags are named] must, . . ., be only of the materials
          specified therein or must be wholly or mainly covered with such
          materials (the foundation may be of wood, metal, etc.) (underline
          added).

                It appears clear from the Explanatory Notes that in order
          to be classified within the provisions of heading 4202, HTSUSA,
          the handbags at issue must be only of textile materials, not
          textile materials and glass beads, or must have outer surfaces
          which are wholly or mainly covered with textile materials. Since
          the handbags are completely covered with glass beads, they cannot
          be classified under heading 4202, HTSUSA, because they do not
          fall within the terms of the heading.

                The Explanatory Notes for heading 7018, HTSUSA, contain an
          exclusion for "[h]andbags and similar articles of leather or
          fabric, decorated with glass beads, imitation pearls or imitation
          precious or semi-precious stones (heading 42.02)."  We do not
          believe this exclusion precludes classification of the subject
          handbags.  The glass beads covering the outer surfaces of these
          handbags are more than decoration because they cover the entire
          outer surfaces.  Because of this, as previously discussed, the
          handbags cannot be classified in heading 4202..




















                                         -3-


          HOLDING:

                The sample evening bags are classifiable as articles of
          glass beads in subheading 7018.90.5000, HTSUSA, and dutiable at
          the rate of 6.6 percent ad valorem.

                                     Sincerely,




                                     John Durant, Director
                                     Commercial Rulings Division
















































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