HQ 953664: Transfer and Jewel Kits for the Decoration of Garments

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 953664

                          June 17, 1993

CLA-2 CO:R:C:F  953664  ALS

CATEGORY:  Classification

TARIFF NO.:  3926.90.4000  9801.00.10

Ms. Jinny Jung
Import Supervisor
Expeditors International
601 N. Nash Street
El Segundo, CA 90245

RE:  Transfer and Jewel Kits for the Decoration of Garments

Dear Ms. Jung:

     This is in reference to your request of March 22, 1993, for
a binding ruling on the subject kits which are known as Transfers
to Treasures.  Information in that request was modified and
clarified in your subsequent telephonic conversations with our New
York Seaport Office and this Office.  You advised our New York
Seaport Office that the sample submitted may not exactly correspond
to the product to be imported.  You advised us that only metalized
braided cord would be used in the kits.

FACTS:

        The articles under consideration are kits designed to
decorate garments.  They are composed of an assortment of small
plastic top, metal back, colored flat acrylic discs.  The discs
are of various sizes and shapes and are described as artificial
jewels.  The kits also contain pattern transfer sheets which permit
the heat transfer of the design to the garment.  Some of the kits
will have a metalized braided cord and others will have a container
of glitter paint of U.S. origin.  The kits will not have both the
metalized cord and the glitter paint.  None of the kits, contrary
to the information initially submitted, will contain a bottle of
glue.

                              - 2 -

ISSUE:

     What is the classification of the complete kits and the
glitter paint of U.S. origin contained in some of the kits?

LAW AND ANALYSIS:

     Classification of merchandise under the HTSUSA is governed by
the General Rules of Interpretation taken in order.  GRI 1 provides
that the classification is determined first in accordance with the
terms of the headings and any relative section and chapter notes. 
If GRI 1 fails to classify the goods and if the heading and legal
notes do not otherwise require, the remaining GRI's are applied
taken in order.  

     In considering the headings eligible for classification of
these goods, we noted that the components which permit the kits to
perform their function of decorating garments fall into 3 different
headings of the HTSUSA.  For purposes of classification, the
packaging was not considered.  There is no specific heading that
refers to all the components of the kits.  Since each of the
headings refer to only a part of the article, we referred to GRI
3 which, pursuant to GRI 2, provides that goods classifiable under
2 or more headings shall be classified according to the provisions
of GRI 3.  Although GRI 3(a) provides that the heading with the
most specific description shall be preferred to other headings,
when 2 or more headings refer to a part only of the materials or
substances contained in mixed or composite goods, the headings are
to be considered as equally specific.  We found that to be the case
with this article so it could not be classified under that GRI.

     We next referred to GRI 3(b) which covers mixtures, composite
goods consisting of different materials or made up of different
components and goods put up in sets for retail sale which cannot
be classified by reference to GRI 3(a).  In considering whether the
subject articles are sets for retail sale in accord with GRI 3(b),
we evaluated the articles against the specified requirements which
a product must meet to qualify for classification thereunder.  The
articles must:

     (a)  consist of at least 2 different articles which are
          prima facie classifiable in different headings;

     (b)  consist of products or articles put up together to meet 
          a particular need or carry out a specific activity; and 
  
                              - 3 -

     (c)  are put up in a manner suitable for retail sale        
directly to users without repacking.

     We believe that the articles under consideration meet all
those requirements.  The individual components of the kits are
clearly packaged to be sold at retail, they are composed of at
least 2 different articles classifiable in different headings, and
the contents of each kit are designed to permit an interested
person to decorate a garment.

     In considering which of the materials give the kit its
essential character we noted that the factor which determines
essential character will vary as between different kinds of goods. 
It may, for example, be determined by the nature of the material
or component, its bulk, quantity, weight or value, or by the role
of a constituent material in relation to the use of the goods.  The
imitation jewels and transfer sheets with the design thereon are
common to all the kits.  The imitation jewels, in addition to being
common to all kits, are the one component which permits the kit to
decorate the garment.  The cord and glitter paint which are each
present in some kits support the function of the imitation jewels. 
The transfer sheets, other than establishing the pattern for the
decoration by the jewels, etc., perform no function and cannot be
seen once they are utilized.

     Accordingly, the imitation jewels form the essential character
of the kits which are sets for classification purposes. 
Accordingly, they should be classified in the provision for
imitation gemstones in heading 3926, HTSUSA, which covers other
articles of plastic.... 

     The glitter paint, stated to be of U.S. origin, is sent to
the country where the kit components are assembled for repackaging
into small squeeze bottles.  The small squeeze bottles of glitter
paint are then packaged in some of the kits without having been
further advanced in value or improved in condition.  Upon
confirmation of the U.S. origin, compliance with section 10.1,
Customs Regulations (19 CFR 10.1) and clarification of the
specifics of the foreign processing, the glitter paint may be
eligible for duty-free treatment pursuant to subheading 9801.00.10,
HTSUSA.
 
HOLDING:

     Transfer and imitation jewel kits for the decoration of
garments, in which the imitation jewels form the essential
character of the kit, are classifiable in subheading 3926.90.4000,
HTSUSA, and are subject to a general rate of duty of 2.8 percent
ad valorem.         
                              - 4 -

     Glitter paint of U.S. origin which is exported in bulk and
repackaged into small squeeze bottles for inclusion in transfer
and imitation jewel kits without having been further advanced in
value or improved in condition may be eligible for duty-free
treatment under subheading 9801.00.10, HTSUSA, upon compliance with
section 10.1, Customs Regulations (19 CFR 10.1). 

                              Sincerely,



                              John Durant, Director
                              Commercial Rulings division