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HQ 087161

August 2, 1990

CLA-2 CO:R:C:G 087161 CC


TARIFF NO.: 8527.19.0030

Ms. Kate King
Import Department
Midwest Trading Company
5455 South 90th Street
Omaha, Nebraska 68127

RE: Classification of a "radio cap"; neither the radio nor the cap imparts the essential character; classified according to GRI 3(c)

Dear Ms. King:

This letter is in response to your inquiry of March 28, 1990, requesting tariff classification of a "Sports Radio Baseball Cap" under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA). Enclosed was a sample for examination.


The submitted merchandise consists of an AM/FM radio and a baseball-style cap. The front panel, peak, and two pockets are made of 100 percent polyester knit fabric. The remainder of the cap, making up primarily the back, is made of 100 percent nylon knit mesh. The radio is fitted into the right pocket and has two knobs, one for volume control and one for tuning. There is also a switch for AM/FM selection. Attached between the right pocket and the peak is an adjustable antenna. The left pocket contains the batteries for the radio. A wire, which is attached to an earphone, runs through the bottom of each pocket. There is a hole on each side of the peak where the earphones can be placed when not being used.


Whether the submitted merchandise is classified as a hat in Heading 6505, HTSUSA, or as a radio in Heading 8527, HTSUSA?


Classification of merchandise under the 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.

The submitted merchandise is provided for under two headings. It is classifiable in Heading 6505, HTSUSA, which provides for hats and other headgear, knitted or crocheted, or made up from lace, felt or other textile fabric, in the piece. In addition, the submitted merchandise is classifiable in Heading 8527, which provides for reception apparatus for radiotelephony, radiotelegraphy or radiobroadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock.

Since classification of the submitted merchandise in a single heading cannot be determined by applying GRI 1, we must apply the other GRI's. GRI 3 provides for goods that are, prima facie, classifiable in two or more headings. GRI 3(b) provides that mixtures, composite goods consisting of different materials or made up of different components, and goods put up in sets for retail sale, shall be classified as if they consisted of the material or component which gives them their essential character.

The submitted merchandise is a composite good made up of a radio and a baseball-style cap. Therefore the component that imparts the essential character to this article determines its classification.

The Explanatory Notes constitute the official interpretation of the HTSUSA at the international level. Explanatory Note (VIII) to GRI 3(b) states in reference to essential character the following:

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 only factor for which you provided information among those listed above is the value. You stated that the radio provides 80 percent of the value of the submitted merchandise. While the greater value of the radio is noteworthy, an examination of the article does not support a finding that the role of either component is of sufficient importance as to impart the essential character to the product.

We believe that the both the radio and the cap play an equal role in relation to the use of the merchandise. The radio cap would not be purchased for just one of its components. If a purchaser wanted a baseball-style cap, there would be no need for the radio component. Similarly, if a purchaser wanted a portable radio, an article similar to a Walkman-type radio could be purchased, and there would be no need for a cap component. In addition, the radio cap is an integrated article in which the radio could not be removed from the cap and used separately without damaging the cap.

Since neither of the components, by itself, imparts the essential character to this merchandise, GRI 3(c) is applicable. It states the following:

When goods cannot be classified by reference to 3(b), they shall be classified under the heading which occurs last in numerical order among those which equally merit consideration.

The heading that occurs last in numerical order is Heading 8527, HTSUSA. Therefore the submitted merchandise is classified in this heading.


The submitted merchandise is classified under subheading 8527.19.0030, HTSUSA, which provides for reception apparatus for radiotelephony, radiotelegraphy or radiobroadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock, radiobroadcast receivers capable of operating without an external source of power, including apparatus capable of receiving also radiotelephony or radiotelegraphy, other, other, FM only or AM/FM only. The rate of duty is 6 percent ad valorem.


John Durant, Director

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