Reusable Plastic Bags Don't Meet Requirements for MTB Treatment, Says CBP

Reusable plastic shopping bags imported in 2012 don't meet the composition requirements for duty-free treatment under miscellaneous tariff bill (MTB), said CBP in a Sept. 30 ruling (here). The internal advice ruling came in response to a further review of protest submitted by the importer, Eco Guardian. While Eco Guardian's request was timely, CBP said the company's filing didn't include some required information on how the protest was eligible for a further review. As a result, the agency treated the filing as an internal advice request, said CBP.

Eco Guardian argued that the bags, made of woven polypropylene, should be classified "in the same manner as other bags used for the same purposes (i.e. carrying groceries and other personal effects)." Specifically, the company said the bags should fall in subheading 4202.92.3031 and be eligible for a secondary classification of 9902.40.01, a special duty-free provision from a now-expired MTB (see 13010207). Despite the expiration of the MTB, "duty free treatment will be afforded to goods that comply with the bills’ requirements, and which are entered or withdrawn from warehouse for consumption on or before the expiration date," said CBP.

The woven material construction mean the bags are best classified in 4202.92.45 and excluded from the special classification under the MTB provision, said CBP. Despite claims that the bags are best classified similarly to other reusable bags, the "subheading is not a 'use provision' and how the consumer uses the product is irrelevant," the agency said. "By virtue of the tariff heading text the clear intent of Congress was to classify bags according to its physical characteristics and constituent parts and not according to its end use," said CBP. When the Congressional intent "is clear, CBP does not have the authority to extend the special treatment to shopping bags other than those specifically provided for in subheading 9902.40.01," the agency said.