The commodity
“Plush Santa Hat” is the perfect accessory to complete any holiday ensemble. Crafted from 100% polyester knit fabric, this conical shaped hat features a white pom-pom at the top and a white faux fur rim at the bottom. The hat measures approximately 17 inches in length, making it the perfect size for adults or children. This festive hat is sure to bring a smile to everyone’s face during the holidays. Whether you’re attending a holiday party or just want to bring some cheer to your home, this plush Santa hat is the perfect addition. It’s sure to become a treasured holiday tradition for years to come.
Classification ( HTSUS)
6505.00.6090 is a classification code under the Harmonized Tariff Schedule of the United States (HTSUS). This code is used to classify hats and other headgear, knitted or crocheted, or made up from lace, felt or other textile fabric, in the piece (but not in strips), whether or not lined or trimmed; hair-nets of any material, whether or not lined or trimmed. The rate of duty for this classification is 20 cents per kilogram plus 7 percent as valorem.
Why not classified under the heading 95.05?
The item in question is a hat which does not fall under heading 9505 of the Harmonized System (HS). Heading 9505 is a classification of articles which covers carnival and festive design headgear made of durable material with a utilitarian function.
The hat in question does not have a festive design, and is not made of a durable material, so it does not fit the criteria for classification under heading 9505. However, recent changes to the Explanatory Notes (EN) of the Harmonized System clarify that carnival and festive design headgear must not only be made of durable material, but must also have a utilitarian function. The hat in question does have a utilitarian function, so it is not classified as a festive article.
Therefore, this hat does not classification under heading 9505 of the Harmonized System. It may be classified under another heading, depending on the materials and other features of the item.
Analysis and justification
Subheading 6505.00.6090, HTSUS, applies to hats and other headgear, knitted or crocheted, or made up from lace, felt or other textile fabric, in the piece (but not in strips), whether or not lined or trimmed. Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 6505.00.6090, HTSUS, are subject to an additional 25 percent ad valorem rate of duty unless specifically excluded. The additional duty will be imposed at the time of importation, and any importation of products classified under subheading 6505.00.6090, HTSUS, must be reported using the Chapter 99 subheading, i.e., 9903.88.03, in addition to the subheading 6505.00.6090, HTSUS.
The additional 25 percent ad valorem rate of duty applies to all imported products classified under subheading 6505.00.6090, HTSUS, unless they are specifically excluded. To determine whether a product is excluded, the importer must refer to the U.S. Note 20 to Subchapter III, Chapter 99, HTSUS. The importer should also verify that the product is classified under subheading 6505.00.6090, HTSUS, using the Harmonized Tariff Schedule of the United States (HTSUS).
The additional duty is imposed on products of China classified under subheading 6505.00.6090, HTSUS, to address the competitive disadvantage that U.S. manufacturers experience due to the undervalued Chinese currency. The additional duty is intended to make imported hats and other headgear from China more expensive and therefore less competitive. Importers should be aware that failure to pay the additional 25 percent ad valorem rate of duty may result in penalties and fines