In ruling N327192 (Aug. 17, 2022), Customs and Border Safety (CBP) mentioned the tariff classification of semiprecious stones from China. The merchandise beneath evaluate was known as the “Nationwide Geographic 2 lbs. Premium Polished Gemstone Set.” The stones got here tumbled and polished, and might be utilized by collectors, positioned in aquariums, utilized in crafts, handmade jewellery, therapeutic crystal shows, and as residence décor. The set included the next objects:

• Two kilos (whole) of the next semiprecious gems, every as much as ½-inch in measurement and ranging in amount:
  • Agate, Amethyst, Blue Quartz, Dalmatian Jasper, Inexperienced Aventurine, Hematite, Howlite, Jasper, Obsidian, Purple Jasper, Rose Quartz, Sodalite, Tigers Eye, Unakite, and White Quartz;
• A rock identification card;
• A studying information.

CBP established that, primarily based upon the Basic Guidelines of Interpretation (GRIs), the merchandise was thought of a set for classification functions. Items put up in units for retail sale are items that (a) encompass a minimum of two totally different articles which can be, prima facie, classifiable in several headings; (b) encompass articles put collectively to satisfy a specific want or perform a particular exercise; and (c) are put up in a fashion appropriate on the market straight to finish customers with out repacking.

Per GRI 3(b), “mixtures, composite items consisting of various supplies or made up of various parts, and items put up in units for retail sale, which can’t be categorized by reference to three(a), shall be categorized as in the event that they consisted of the fabric or part which supplies them their important character, insofar as this criterion is relevant.” The issue figuring out important character will range as between totally different sorts of products. For instance, important character could also be decided by the character of the fabric or part, its bulk, amount, weight or worth, or by the function of a constituent materials in relation to using the products. On this occasion, CBP discovered that the important character of the gemstone set was imparted by the semiprecious gems.

As such, CBP dominated that the “Nationwide Geographic 2 lbs. Premium Polished Gemstone Set” can be categorized beneath subheading 7103.99.5000, Harmonized Tariff Schedule of the USA (HTSUS), which offers for “Valuable stones (apart from diamonds) and semiprecious stones, whether or not or not labored or graded however not strung, mounted or set…: In any other case labored: Different: Different.” The speed of obligation is 10.5% advert valorem.

Moreover, pursuant to U.S. Notice 20 to Subchapter III, Chapter 99, HTSUS, Chinese language-origin merchandise beneath subheadings 7103.99.5000, HTSUS, except particularly excluded, are topic to an extra 7.5% advert valorem obligation fee. As such, the chapter subheading 9903.88.15 should be reported along with subheading 7103.99.5000, HTSUS.