U.S. trade court, tariff classification of plastic bags | KPMG | US
close
Share with your friends

U.S. trade court, tariff classification of plastic bags

U.S. trade court, tariff classification of plastic bags

The U.S. Court of International Trade today denied cross-motions for summary judgment concerning the tariff classification of Ziploc plastic bags under the Harmonized Tariff Schedule of the United States (HTSUS). The trade court concluded that there were “genuine issues of material fact” regarding the tariff classification of the plastic bags and that because of these unresolved issues, the case was to proceed to trial.

1000

Related content

The case is: S.C. Johnson & Sons, Inc. v. United States, Slip Op. 18-119 (CIT September 14, 2018). Read the trade court’s opinion [PDF 512 KB]

Summary

At issue was whether the plastic bags were “other household articles” or “articles for the conveyance or packing of goods” under the HTSUS.

  • The importer asserted that the plastic bags were properly classified as household articles under HTSUS Subheading 3924.90.56 (subject to a customs duty rate of 3.4% ad valorem), but that the plastic bags would be eligible for duty-free treatment under the Generalized System of Preferences).
  • The government countered that the plastic bags were classifiable as items for the conveyance or packing of goods under HTSUS Subheading 3923.21.00 (subject to a customs duty rate of 3.0% ad valorem).

The trade court found that the parties had failed to “proffer sufficient undisputed material facts….” In noting that the case would proceed to trial, the trade court deferred analysis of whether the plastic bags were prima facie classifiable under HTSUS Heading 3924 until trial.

 

For more information on this topic or to learn more about KPMG’s Trade & Customs Services, contact:

Doug Zuvich
Partner, Global Practice Leader
T: 312-665-1022
E: dzuvich@kpmg.com

Andy Siciliano
Partner, National Practice Leader
T: 631-425-6057
E: asiciliano@kpmg.com

Irina Vaysfeld
Principal
T: 212-872-2973
E: ivaysfeld@kpmg.com

Robert Waldrop
Principal
T: 212-954-8117 
E: rwaldrop@kpmg.com

Christopher Young
Principal
T: 312-665-3229
E: christopheryoung@kpmg.com

George Zaharatos
Principal
T: 404-222-3292
E: gzaharatos@kpmg.com

John L. McLoughlin
Principal, East Coast Leader
T: 267-256-2614
E: jlmcloughlin@kpmg.com

Luis (Lou) Abad
Principal, WNT
T: 212-954-3094
E: labad@kpmg.com

Amie Ahanchian
Managing Director
T: 202-533-3247
E: aahanchian@kpmg.com

Gisele Belotto
Managing Director
T: 305-913-2779
E: gbelotto@kpmg.com

Andy Doornaert
Managing Director
T: 313-230-3080
E: adoornaert@kpmg.com

Jessica Libby
Managing Director
T: 612-305-5533
E: jlibby@kpmg.com

<p>© 2018 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.</p> <p>KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.</p>

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Request for proposal

 

Submit