H295585

 HQ H295585 April 30, 2021 OT:RR:CTF:CPMMA H295585 AJK CATEGORY: Classification TARIFF NO: 3926.90.99 Ms. Jennifer R. Diaz Becker & Poliakoff 121 Alhambra Plaza, 10th Floor Coral Gables, FL 33134 RE: Modification of NY N150305 and NY N208195; Revocation of NY N209825, NY N223955, NY N225563, NY N225565, and NY N227736; Tariff Classification of Plastic Tablet and E-reader Covers Dear Ms. Diaz, This letter is in reference to New York Ruling Letters (NY) N150305, dated March 25, 2011; NY N208195, dated April 6, 2012; NY N209825, dated April 10, 2012; NY N223955, dated July 25, 2012; NY N225563, dated August 1, 2012; NY N225565, dated August 1, 2012; and N227736, dated August 24, 2012, concerning the tariff classification of plastic tablet and e-reader covers. In the aforementioned rulings, U.S. Customs and Broder Protection (CBP) classified tablet and e-cover readers in subheading 3926.10, Harmonized Tariff Schedule of the United States (HTSUS). We have reviewed the aforementioned rulings, and have determined that the classification was incorrect. Pursuant to section 625(c)(1), Tariff Act of 1930 (19 U.S.C. § 1625(c)(1)), as amended by section 623 of Title VI (Customs Modernization) of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat. 2057), a notice of the proposed action was published in the Customs Bulletin, Volume 55, No. 7, on February 24, 2021. One comment was received in response to this notice. FACTS: NY N227736 states the following, in relevant part: [T]he C.E.O. Hybrid, product AHHB1P[] is a folding cover/stand for the iPad 2nd and 3rd generation. The C.E.O. Hybrid serves as a protective cover or jacket for the iPad. It measures approximately 7-1/4 inches by 9-1/2 inches in its closed condition and can be secured by means of a thin elastic strap sewn to the inside front cover. The rigid back is essentially flat with tabs that curve slightly inward so that the iPad can be secured into the tabs. The back section incorporates a small cut-out for the camera lens. The front and sides of the iPad, other than the side portions that fit within the curved tabs, are completely exposed when the cover is open. The front cover protects the face of the iPad when the cover is closed. A wide hand strap sewn onto the inside of the front cover allows for secure one handed viewing when the front lid is folded back and the reader’s hand is slid inside the hand strap. The cover converts to a stand to hold the iPad at an angle for either typing or viewing. There are two separate grooves located one inch apart from each other on the inside front cover. To transform the cover into a stand, the bottom of the iPad is released from the two tabs securing it to the back cover and the back cover is folded at the scored center. The top of the iPad remains secured in the tabs on the back cover while the base of the iPad is nestled into one of the two grooves on the front cover. The grooves serve as a support for the iPad and allow the user to choose between two different viewing angles, a low angle for typing or a high angle for display. The cover/stand is constructed of molded polycarbonate plastic that is covered on the exterior with cellular polyurethane plastic sheeting backed with plain woven textile fabric for mere reinforcement. The lining, which you describe as “micro suede,” is cellular sponge plastic sheeting backed with nonwoven textile fabric for mere reinforcement. Both the cellular polyurethane laminate on the exterior and the cellular sponge plastic lining material are considered to be of chapter 39 plastics for tariff purposes. There are also some cushioning layers of cellular foam plastic in between the shell and the lining in the front cover. The products described in NY N150305, NY N208195, NY N209825, NY N223955, NY N225563, and NY N225565 are substantially similar to the product described above. ISSUE: Whether the tablet and e-reader covers are classified as in subheading 3926.10, HTSUS, as plastic office or school supplies, or subheading 3926.90, HTSUS, as other articles of plastic. LAW AND ANALYSIS: Classification of goods under the HTSUS is governed by the General Rules of Interpretation (GRI). GRI 1 provides that classification shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order. * * * * * * The HTSUS provisions at issue are as follows: 3926 Other articles of plastics and articles of other materials of headings 3901 to 3914: 3926.10.00 Office or school supplies 3926.90 Other: 3926.90.99 Other * * * * * * Pursuant to GRI 1, the plastic tablets and e-reader covers are classified under heading 3926, HTSUS, because they constitute “[o]ther articles of plastics and articles of other materials of headings 3901 to 3914” and they are not more specifically provided for under other headings. On the subheading level, however, we find that the tablet and e-reader covers are not classifiable in subheading 3926.10, HTSUS, which provides for plastic office or school supplies. Subheading 3926.10, HTSUS, is a principle use provision and therefore subject to the Additional U.S. Rule of Interpretation 1(a), which states: In the absence of special language or context which otherwise requires a tariff classification controlled by use (other than actual use) is to be determined in accordance with the use in the United States at, or immediately prior to, the date of importation, of goods of that class or kind to which the imported goods belong, and the controlling use is the principal use…. Generally, tablets and e-readers can be used in myriad locations for various purposes beyond “office or school”. The fact that buyers purchase covers and cases for these devices further support the fact that the tablets and e-readers are portable items which are not confined to a specific location or use, such as “office or school”. Tablets can be used for social media, games, online shopping, and many other non-work or school related activities. Similarly, e-readers can be used for personal reading pleasure beyond work or school settings. Moreover, retail stores typically advertise tablets and e-readers as electronic devices for entertainment or personal use. For example, Best Buy advertises iPad as “[p]ortable, powerful and easy-to-use tablets … [to] enjoy your favorite entertainment nearly anywhere ….” and further states that iPad can “download content from the huge selection of apps, games, music, books and movies ….” Similarly, Amazon advertises that Amazon Fire 7—an e-reader—can be utilized to “[e]njoy millions of movies, TV shows, songs, Kindle eBooks, apps and games” and showcases its portability by stating that it is “now thinner, lighter, and with longer battery life”. Amazon does not explicitly identify any office or school uses for Amazon Fire 7. As evidenced by the actual use and advertisement of tablets and e-readers, the instant tablet and e-reader covers do not constitute office or school supplies. This analysis is in accordance with the recent court decisions in Otter Prods., LLC v. United States and Apple Inc. v. United States. In Otter Prods., the U.S. Court of Appeals for the Federal Circuit classified two styles of durable and protective cases designed for certain types of cell phones in subheading 3926.90.99, HTSUS. The Federal Circuit held that “at the subheading level, subheadings 3926.10 to 3926.40 … do not apply prima facie to the subject merchandise.” In Apple Inc. v. United States, the Court of International Trade held that a “smart cover” for iPad 2, which consisted of a plastic outer layer, a microfiber lining, aluminum hinge and magnets, was a composite good with an essential character of plastic because the plastic portion “protects the scre

Classification of goods under the HTSUS is governed by the General Rules of Interpretation (GRI). GRI 1 provides that classification shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. In the event that the goods cannot be classified solely on the basis of GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order. * * * * * * The HTSUS provisions at issue are as follows:3926 Other articles of plastics and articles of other materials of headings 3901 to 3914: 3926.10.00 Office or school supplies3926.90 Other:3926.90.99 Other * * * * * * Pursuant to GRI 1, the plastic tablets and e-reader covers are classified under heading 3926, HTSUS, because they constitute “[o]ther articles of plastics and articles of other materials of headings 3901 to 3914” and they are not more specifically provided for under other headings. On the subheading level, however, we find that the tablet and e-reader covers are not classifiable in subheading 3926.10, HTSUS, which provides for plastic office or school supplies. Subheading 3926.10, HTSUS, is a principle use provision and therefore subject to the Additional U.S. Rule of Interpretation 1(a), which states:In the absence of special language or context which otherwise requiresa tariff classification controlled by use (other than actual use) is to be determined in accordance with the use in the United States at, or immediately prior to, the date of importation, of goods of that class or kind to which the imported goods belong, and the controlling use is the principal use…. Generally, tablets and e-readers can be used in myriad locations for various purposes beyond “office or school”. The fact that buyers purchase covers and cases for these devices further support the fact that the tablets and e-readers are portable items which are not confined to a specific location or use, such as “office or school”