HTSUS classification of fleece knit article as blankets | KPMG | GLOBAL

Trade court: HTSUS classification of fleece knit article as “blankets”

HTSUS classification of fleece knit article as blankets

The U.S. Court of International Trade, on cross-motions for summary judgment, concluded that imports of a polyester fleece knit article—referred to as a “Snuggle®”—were properly liquidated as “blankets” subject to customs duty at 8.5% and not as “other garments, knitted or crocheted” dutiable at 14.9%.

1000

Related content

The case is: Allstar Marketing Group, LLC v. United States, Slip Op. 17-15 (CIT February 10, 2017). Read the trade court’s decision [PDF 274 KB]

Summary

At issue in this case was the classification of a polyester fleece knit article referred to as a “Snuggle®” under the Harmonized Tariff Schedule of the United States (HTSUS). Testimony before the trade court included information about how the items were constructed and that retail packaging and television advertising describe the Snuggie® as a “blanket with sleeves.”

The importer asserted that U.S. Customs and Border Protection (CBP) should have classified the imports under HTSUS subheading 6301.40.00 as “blankets” and thus subject to a customs duty of 8.5% ad valorem or alternatively under HTSUS subheading 6307.90.98 as “other made up articles” subject to customs duty at 7% ad valorem.

CBP countered that the imports were properly classified under HTSUS subheading 6114.30.30 as “other garments, knitted or crocheted: of man-made fiber” and subject to customs duty at 14.9% ad valorem.

The trade court granted summary judgment for the importer, finding that the import was properly classified as a blanket.

 

For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich | +1 (312) 665-1022 | dzuvich@kpmg.com

Andrew Siciliano | +1 (631) 425-6057 | asiciliano@kpmg.com

© 2017 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.

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