WEBVTT 1 00:00:01.000 --> 00:00:03.000 Good afternoon. 2 00:00:03.000 --> 00:00:05.394 I'm with the CBP office of trade 3 00:00:05.394 --> 00:00:07.394 relations. 4 00:00:07.394 --> 00:00:09.394 Today's Webinar is on shoe trends. 5 00:00:09.394 --> 00:00:11.560 This Webinar is a part of the NCSD's 2024 6 00:00:11.561 --> 00:00:13.561 Webinar series. 7 00:00:13.561 --> 00:00:16.545 Please be mindful, you will be on mute 8 00:00:16.545 --> 00:00:18.545 during the presentation. 9 00:00:18.545 --> 00:00:20.545 Please submit any questions you have in 10 00:00:20.545 --> 00:00:22.545 the chat feature. 11 00:00:22.545 --> 00:00:24.545 If you plan to request the optional CCX 12 00:00:24.545 --> 00:00:26.871 credits through the educational institute, 13 00:00:27.161 --> 00:00:31.227 please check the chat box for the 14 00:00:31.227 --> 00:00:33.227 completion code. 15 00:00:33.227 --> 00:00:35.227 It will be provided several times 16 00:00:35.227 --> 00:00:37.227 throughout the Webinar. 17 00:00:37.227 --> 00:00:39.698 I will now pass it over to the national 18 00:00:39.698 --> 00:00:41.698 import specialist Stacey. 19 00:00:41.698 --> 00:00:45.108 >> Stacie: Hi, thank you very much! 20 00:00:45.210 --> 00:00:49.378 I'm happy to be here today. 21 00:00:49.379 --> 00:00:53.726 I'm going to discuss some current footwear 22 00:00:53.728 --> 00:00:55.728 trends. 23 00:00:55.728 --> 00:00:58.029 I just want to let you know, I have been 24 00:00:58.029 --> 00:01:00.229 the national import specialist since 2010, 25 00:01:00.234 --> 00:01:02.438 I work out of New York. 26 00:01:02.439 --> 00:01:05.607 If anybody wants to come visit me, to talk 27 00:01:05.607 --> 00:01:07.707 about anything foot ware related, just 28 00:01:07.713 --> 00:01:10.877 e-mail me and I will meet with you in 29 00:01:10.877 --> 00:01:14.045 person or if you can't meet with me in 30 00:01:14.047 --> 00:01:17.206 person, you can e-mail me at any time with 31 00:01:17.206 --> 00:01:19.309 any questions you may have. Okay. 32 00:01:19.416 --> 00:01:29.298 So here's some slides that I am told I 33 00:01:29.298 --> 00:01:33.690 need to show you. 34 00:01:33.690 --> 00:01:37.127 The important point on this slide is 35 00:01:37.127 --> 00:01:40.073 because many complicated factors can be 36 00:01:40.073 --> 00:01:44.000 involved in customs issues and you want to 37 00:01:44.000 --> 00:01:47.927 obtain a binding ruling, I hope you do 38 00:01:47.928 --> 00:01:49.928 that. 39 00:01:49.928 --> 00:01:52.656 If you feel you have missed something I 40 00:01:52.656 --> 00:01:54.656 discussed here or want to review, these 41 00:01:54.656 --> 00:01:56.656 Webinars are recorded and will be 42 00:01:56.656 --> 00:01:58.656 available on our website. 43 00:01:58.656 --> 00:02:00.656 So the footwear subjects we will cover 44 00:02:00.656 --> 00:02:02.656 today include the following. 45 00:02:02.656 --> 00:02:04.656 Updates on footwear with leather materials 46 00:02:04.656 --> 00:02:06.656 incorporated into the external surface 47 00:02:06.656 --> 00:02:09.334 area of the outer soles that come in 48 00:02:09.603 --> 00:02:11.603 contact with the ground. 49 00:02:11.603 --> 00:02:15.575 And we'll talk about vegan leather 50 00:02:15.576 --> 00:02:19.942 footwear and wearable technology and then 51 00:02:19.942 --> 00:02:23.580 classifying new trends in footwear. 52 00:02:23.581 --> 00:02:26.981 Our first topic today is about new updates 53 00:02:26.982 --> 00:02:29.532 regarding leather flocking, applied to the 54 00:02:29.533 --> 00:02:31.533 footwear outer soles. 55 00:02:31.533 --> 00:02:34.315 I will talk about why importers want 56 00:02:34.315 --> 00:02:37.319 leather materials, apply to outer soles, 57 00:02:37.320 --> 00:02:41.326 how it is applied, and the requirements or 58 00:02:41.326 --> 00:02:43.831 the standards of the applications. 59 00:02:43.831 --> 00:02:47.994 So why is some footwear imported with 60 00:02:47.996 --> 00:02:50.971 leather materials incorporated into the 61 00:02:50.973 --> 00:02:54.543 external surface area of outer soles? 62 00:02:54.544 --> 00:02:58.646 Why do they incorporate leather instead of 63 00:02:58.646 --> 00:03:00.646 textile? 64 00:03:00.646 --> 00:03:03.588 So for footwear classifying hitting this, 65 00:03:03.588 --> 00:03:05.935 upwards of plastic and outer soles being 66 00:03:05.937 --> 00:03:09.493 rubber and plastic and heading with the 67 00:03:09.495 --> 00:03:12.543 textile and rubber and plastic outer 68 00:03:12.544 --> 00:03:16.100 soles, there's been sub headings added to 69 00:03:16.103 --> 00:03:19.659 the tariff for reduced duty rates for 70 00:03:19.661 --> 00:03:23.217 these foot ware if non durable are 71 00:03:23.219 --> 00:03:25.759 attached to the outer soles. 72 00:03:25.760 --> 00:03:30.240 But no such duty advantage was built into 73 00:03:30.243 --> 00:03:34.163 heading 6401 for waterproof for water and 74 00:03:34.167 --> 00:03:37.527 plastic uppers and rubber and plastic 75 00:03:37.529 --> 00:03:39.529 outer soles. 76 00:03:39.529 --> 00:03:42.169 So importers are trying to reduce the duty 77 00:03:42.170 --> 00:03:45.689 paid by finding a way to reclassify these 78 00:03:45.689 --> 00:03:47.689 types of footwear. 79 00:03:47.690 --> 00:03:50.537 So by reclassifying waterproof footwear as 80 00:03:50.538 --> 00:03:54.066 having rubber and plastic uppers, and 81 00:03:54.068 --> 00:03:58.184 other than rubber and plastic soles, they 82 00:03:58.185 --> 00:04:02.889 would be classified in heading 6405 at a 83 00:04:02.891 --> 00:04:08.183 lower duty rate at 12 and a half percent. 84 00:04:08.185 --> 00:04:12.379 So leather applications to outer soles 85 00:04:12.379 --> 00:04:17.971 usually take the forms of patches of real 86 00:04:17.971 --> 00:04:21.466 tanned leather, leather dust, leather 87 00:04:21.466 --> 00:04:25.660 fiber, or composition or bonded leather. 88 00:04:25.660 --> 00:04:30.292 The uppers of leather, the outer sole LS 89 00:04:30.292 --> 00:04:33.757 of rubber and plastic, or composition 90 00:04:33.762 --> 00:04:37.810 leather, chapter note 3B leather refers to 91 00:04:37.811 --> 00:04:41.284 goods described in tariff headings, 4107, 92 00:04:41.285 --> 00:04:45.333 4112 to 4114. These provisions apply to 93 00:04:45.333 --> 00:04:49.958 tanned hides of animals with the hair or 94 00:04:49.962 --> 00:04:54.013 fur removed. Whether or not split. In 95 00:04:54.013 --> 00:04:58.063 other words, these are real skins of 96 00:04:58.065 --> 00:05:00.065 animals. 97 00:05:00.065 --> 00:05:03.506 They are either from bovine, cows, goat, 98 00:05:03.508 --> 00:05:07.678 sheep, lam, swine, and even reptiles. 99 00:05:07.679 --> 00:05:11.255 Plastic coated leather is having the 100 00:05:11.257 --> 00:05:14.237 essential character of leather and 101 00:05:14.239 --> 00:05:17.219 metalized leather is also considered 102 00:05:17.221 --> 00:05:19.221 leather of 6403. 103 00:05:19.221 --> 00:05:23.048 What is not leather, would be tanned 104 00:05:23.048 --> 00:05:27.085 animal skins with the fur, hair, wool, 105 00:05:27.085 --> 00:05:29.968 feathers, or down still attached. 106 00:05:29.969 --> 00:05:33.019 That would be considered fur. 107 00:05:33.019 --> 00:05:36.477 Any leather coated or laminated with a 108 00:05:36.477 --> 00:05:40.422 very thick layer of plastic giving it the 109 00:05:40.425 --> 00:05:43.386 essential character of plastic would be 110 00:05:43.388 --> 00:05:45.388 considered patent leather. 111 00:05:45.388 --> 00:05:49.572 And another composition leather which is 112 00:05:49.574 --> 00:05:53.493 not considered plausible upper material 113 00:05:53.494 --> 00:05:58.198 for classification purposes is made from 114 00:05:58.199 --> 00:06:03.687 small pieces or leather fibers or waste 115 00:06:03.688 --> 00:06:06.040 agglomerated with suppression. 116 00:06:06.040 --> 00:06:09.386 This is a picture of composition leather 117 00:06:09.386 --> 00:06:13.202 which mimics real leather. It is made from 118 00:06:13.205 --> 00:06:16.071 leather pieces, wastes, dust, et cetera 119 00:06:16.072 --> 00:06:18.462 plus other materials or adhesives, 120 00:06:18.463 --> 00:06:21.804 composition leather is supposed to be the 121 00:06:21.804 --> 00:06:25.145 basis of leather, in other words, most 122 00:06:25.148 --> 00:06:27.148 should be leather fibers. 123 00:06:27.148 --> 00:06:31.655 The dust produced in a variety of tanning 124 00:06:31.659 --> 00:06:33.958 operations and during mechanical 125 00:06:33.963 --> 00:06:36.838 operations is used to flock. 126 00:06:36.839 --> 00:06:39.576 Buffering is a major source of dust, 127 00:06:39.576 --> 00:06:42.312 leather dust can contain both fibers and 128 00:06:42.312 --> 00:06:44.311 grains. 129 00:06:44.311 --> 00:06:48.502 The fibers can vary from 30 to 1200 130 00:06:48.503 --> 00:06:54.303 microns in length and from 10 to 30 131 00:06:54.304 --> 00:06:56.479 microns in diameter. 132 00:06:56.479 --> 00:06:59.160 Grains are usually smaller than microns in 133 00:06:59.164 --> 00:07:01.164 diameter. 134 00:07:01.164 --> 00:07:04.424 Let's describe the leather flocking 135 00:07:04.424 --> 00:07:06.424 prosets before we discuss the 136 00:07:06.424 --> 00:07:08.424 headquarter's decision. 137 00:07:08.424 --> 00:07:10.424 Leather flock consists of tiny particles 138 00:07:10.424 --> 00:07:13.951 of leather applied to the outer surface 139 00:07:13.965 --> 00:07:17.514 for creating a texture or a pattern. 140 00:07:17.517 --> 00:07:22.215 This is a close up picture of the flocked 141 00:07:22.218 --> 00:07:26.394 leather fibers making a layer that is more 142 00:07:26.397 --> 00:07:28.485 common than microns thick. 143 00:07:28.486 --> 00:07:36.054 This is what flocking looks like on the 144 00:07:36.054 --> 00:07:42.669 external surface of the outer soles of 145 00:07:42.672 --> 00:07:44.672 footwear. 146 00:07:44.673 --> 00:07:47.056 The classification of leather in the 147 00:07:47.059 --> 00:07:51.070 internal area, with the outer soles in 148 00:07:51.073 --> 00:07:55.084 contact with the ground has recently been 149 00:07:55.087 --> 00:07:57.087 clarified. 150 00:07:57.087 --> 00:07:59.656 A memo was issued in response to a request 151 00:07:59.659 --> 00:08:02.323 for reconsideration of New York ruling 152 00:08:02.325 --> 00:08:04.325 letter. 153 00:08:04.325 --> 00:08:08.307 Reclassified the rogue wave boot under 154 00:08:08.308 --> 00:08:12.923 heading 6401 as waterproof footwear. 155 00:08:12.924 --> 00:08:16.110 They said it's properly classified in 156 00:08:16.111 --> 00:08:19.828 heading 6405 as other footwear, in other 157 00:08:19.829 --> 00:08:23.015 words, having other than rubber and 158 00:08:23.016 --> 00:08:25.016 plastic outer soles. 159 00:08:25.016 --> 00:08:29.161 The rogue wave looked like this, was uni 160 00:08:29.161 --> 00:08:33.138 sex duet, intended for use during outdoor 161 00:08:33.140 --> 00:08:35.983 activities such as fishing, hiking, 162 00:08:35.984 --> 00:08:39.966 boating, below the ankle, above the knee 163 00:08:39.966 --> 00:08:42.808 and a slip on boot. 164 00:08:42.809 --> 00:08:46.295 This shows the material having the 165 00:08:46.297 --> 00:08:49.783 greatest surface area of the upper, 166 00:08:49.786 --> 00:08:53.272 predominantly rubber and plastics with the 167 00:08:53.274 --> 00:08:55.598 balance of elastic Gore. 168 00:08:55.600 --> 00:08:58.664 The outer sole is composed of leather and 169 00:08:58.664 --> 00:09:01.338 plastic to which a leather flocking has 170 00:09:01.340 --> 00:09:04.018 been applied covering the majority of the 171 00:09:04.019 --> 00:09:06.700 surface area in contact of the ground. 172 00:09:06.701 --> 00:09:11.568 The leather application is microns thin 173 00:09:11.571 --> 00:09:14.005 and not visible. 174 00:09:14.009 --> 00:09:21.961 I was of the opinion that because the 175 00:09:21.961 --> 00:09:27.925 importer's opinion is that because the 176 00:09:27.925 --> 00:09:33.889 boot has leather flocking, that is 177 00:09:33.889 --> 00:09:39.853 0.01-0.02 millimeters thick and cost an 178 00:09:39.854 --> 00:09:44.824 additional dollar 30 to manufacture -- 179 00:09:44.824 --> 00:09:51.782 because the boot should be classified in 180 00:09:51.782 --> 00:09:56.752 640 5.9060 as other footwear. 181 00:10:00.330 --> 00:10:02.390 Ruling provided classification guidance 182 00:10:02.390 --> 00:10:05.480 concerning the application and quality of 183 00:10:05.480 --> 00:10:07.480 the application. 184 00:10:07.480 --> 00:10:09.768 In this ruling, headquarters affirms that 185 00:10:09.769 --> 00:10:14.113 when the outer sole of footwear is covered 186 00:10:14.115 --> 00:10:18.459 with a dusting of leather flocking or a 187 00:10:18.460 --> 00:10:21.718 micron's thin layer of leather flocking, 188 00:10:21.720 --> 00:10:25.521 it should be viewed as a similar 189 00:10:25.522 --> 00:10:29.323 attachment as described in note 4B to 190 00:10:29.325 --> 00:10:31.325 chapter 64. 191 00:10:31.325 --> 00:10:34.632 It should be disregarded for the purpose 192 00:10:34.632 --> 00:10:38.250 of determining the constituent material of 193 00:10:38.250 --> 00:10:41.868 the outer sole, having the greatest 194 00:10:41.868 --> 00:10:46.089 surface area in contact with the ground. 195 00:10:46.089 --> 00:10:49.857 Conversely, when it's visible and tactile 196 00:10:49.858 --> 00:10:54.254 on the external surface and obscures the 197 00:10:54.255 --> 00:10:58.023 material underneath, it will be considered 198 00:10:58.025 --> 00:11:01.793 a compositional leather and classified in 199 00:11:01.794 --> 00:11:03.794 heading 6405. 200 00:11:03.794 --> 00:11:07.784 This is a close up of a thinly applied 201 00:11:07.786 --> 00:11:09.786 leather flocking. 202 00:11:09.786 --> 00:11:12.291 This would be disregarded can and the 203 00:11:12.291 --> 00:11:14.291 outer sole would be considered rubber or 204 00:11:14.291 --> 00:11:16.291 plastic for tariff purposes. 205 00:11:16.291 --> 00:11:18.407 Remember, if the upper is rubber and 206 00:11:18.849 --> 00:11:22.418 plastic can and the relevant is in 207 00:11:22.418 --> 00:11:25.985 relation of a sample or lab report 208 00:11:25.986 --> 00:11:29.556 confirms that the majority of the surface 209 00:11:29.556 --> 00:11:33.629 area coming in contact with the ground is 210 00:11:33.632 --> 00:11:36.691 leather or composition leather and thickly 211 00:11:36.692 --> 00:11:40.262 applied, it is classified in heading 6405. 212 00:11:40.262 --> 00:11:44.338 Here's is a close up that is considered 213 00:11:44.340 --> 00:11:47.908 thick enough, more than microns thin and 214 00:11:47.908 --> 00:11:50.963 it obscures the leather and plastic 215 00:11:50.965 --> 00:11:52.963 underneath. 216 00:11:52.963 --> 00:11:55.464 So the classification of footwear with 217 00:11:55.464 --> 00:11:57.464 outer soles manufactured with leather 218 00:11:57.464 --> 00:11:59.464 flocking or leather dust, should be made 219 00:11:59.464 --> 00:12:01.484 on case by case basis. 220 00:12:01.559 --> 00:12:07.349 That is always a good reason to send for a 221 00:12:07.349 --> 00:12:10.823 classification ruling and submit a sample 222 00:12:10.823 --> 00:12:13.715 so I can review it. 223 00:12:13.717 --> 00:12:18.974 Our second topic is footwear uppers made 224 00:12:18.975 --> 00:12:21.228 from vegan leather. 225 00:12:21.229 --> 00:12:25.387 As a response to many ethical and 226 00:12:25.389 --> 00:12:28.359 environmental concerns, demand for plant 227 00:12:28.360 --> 00:12:30.736 based alternatives to traditional 228 00:12:30.738 --> 00:12:33.708 footwear, part materials has increased. 229 00:12:33.709 --> 00:12:37.167 Vegan leather is a popular alternative to 230 00:12:37.169 --> 00:12:39.169 animal leather. 231 00:12:39.169 --> 00:12:43.498 So many businesses across the world are 232 00:12:43.498 --> 00:12:46.541 now gravitating towards sustainable 233 00:12:46.545 --> 00:12:48.546 fabrics. 234 00:12:48.546 --> 00:12:51.758 So sustainable means that the materials 235 00:12:51.760 --> 00:12:56.952 come from eco friendly or easily renewable 236 00:12:56.953 --> 00:12:59.919 resources or recycled materials. 237 00:12:59.920 --> 00:13:02.951 Vegan leather has the appearance and feel 238 00:13:02.953 --> 00:13:05.984 of leather and is made from different 239 00:13:05.986 --> 00:13:08.584 kinds of vegetable and or plastic 240 00:13:08.586 --> 00:13:10.586 materials. 241 00:13:10.586 --> 00:13:13.359 Recent innovations include vegan leathers 242 00:13:13.361 --> 00:13:19.437 made from pineapple leaves, cork, kelp, a 243 00:13:19.439 --> 00:13:25.515 GAV VA, apple skins, wine making remnants, 244 00:13:25.517 --> 00:13:30.725 wood pulp, vegetable fibers, cell Loas 245 00:13:30.727 --> 00:13:36.803 fibers, cotton and plastics such as Polly 246 00:13:36.806 --> 00:13:40.278 vinyl chloride and polyurethane. 247 00:13:40.279 --> 00:13:43.141 This is used using recycle materials. 248 00:13:43.141 --> 00:13:47.857 The vegan leather and swayed are made from 249 00:13:47.861 --> 00:13:50.811 recycled plastic bottles, recycle the 250 00:13:50.815 --> 00:13:54.945 leather for the outer soles and recycle 251 00:13:54.949 --> 00:13:56.949 cotton. 252 00:13:56.949 --> 00:14:00.251 The lining can of the somehows are made 253 00:14:00.253 --> 00:14:03.198 from rayon fabric from grains. 254 00:14:03.200 --> 00:14:08.656 The benefits of using VEGen leather is it 255 00:14:08.658 --> 00:14:11.386 increases the environmental impact 256 00:14:11.387 --> 00:14:14.797 compared to traditional leather products. 257 00:14:14.798 --> 00:14:18.838 It can be made using many sustainable and 258 00:14:18.838 --> 00:14:21.868 affordable materials and it is versatile 259 00:14:21.869 --> 00:14:24.899 and available in many textures, finishes 260 00:14:24.899 --> 00:14:26.899 and colors. 261 00:14:26.899 --> 00:14:30.774 It's easy to work with, renewable, raw 262 00:14:30.777 --> 00:14:34.947 materials, no polluting elements, no waste 263 00:14:34.949 --> 00:14:39.814 of water unlike the animal based industry 264 00:14:39.817 --> 00:14:43.987 which uses massive amounts of water. 265 00:14:43.989 --> 00:14:47.181 Low production cost, cruelty free and no 266 00:14:47.181 --> 00:14:50.365 animals are harmed out of the process. 267 00:14:50.370 --> 00:14:53.925 The upper of these sneakers is made from a 268 00:14:53.927 --> 00:14:56.297 leather produced from the waste of 269 00:14:56.298 --> 00:14:58.668 discarded vines, seeds and grape skins. 270 00:14:58.669 --> 00:15:02.077 The out sole is made from a rubber 271 00:15:02.078 --> 00:15:04.208 partially cycled from industrial waste. 272 00:15:04.209 --> 00:15:08.332 The laces are organic cotton with 100% 273 00:15:08.333 --> 00:15:11.867 recycled plastic tips and the adhesive 274 00:15:11.868 --> 00:15:16.580 used to put it all together is water 275 00:15:16.581 --> 00:15:18.581 based. 276 00:15:18.581 --> 00:15:22.312 Generally, the manufacturer of 10 liters 277 00:15:22.312 --> 00:15:29.157 of wine produces 2.5 liters of waste such 278 00:15:29.161 --> 00:15:34.300 as shells, cores, skins and more. 279 00:15:34.302 --> 00:15:37.247 Here's a review of the grape leather 280 00:15:37.247 --> 00:15:39.247 processing. 281 00:15:39.247 --> 00:15:43.237 Extracting the oil from the grape seeds, R 282 00:15:43.238 --> 00:15:47.417 drying the materials and Polly MERizing 283 00:15:47.419 --> 00:15:51.598 them. These are combined with natural 284 00:15:51.599 --> 00:15:56.476 fibers to create a soft textured, plant 285 00:15:56.477 --> 00:15:58.477 based leather. 286 00:15:58.477 --> 00:16:02.312 For these Mary Jane style shoes, the 287 00:16:02.313 --> 00:16:06.122 leather is made from dehydrating grape 288 00:16:06.123 --> 00:16:09.933 residue and combining it with vegetable 289 00:16:09.934 --> 00:16:13.109 oil and water based polyurethane. 290 00:16:13.109 --> 00:16:17.317 It is coated with organic cotton and the 291 00:16:17.317 --> 00:16:21.525 water is reused to have minimal amounts of 292 00:16:21.526 --> 00:16:23.630 non toxic chemical reacts. 293 00:16:23.630 --> 00:16:28.110 PINATEX is a brand of pineapple leather 294 00:16:28.110 --> 00:16:30.667 which is artificial, semi-synthetic 295 00:16:30.669 --> 00:16:33.868 leather made from pineapple waste. 296 00:16:33.868 --> 00:16:46.132 The new fabric made from cellulose fibers. 297 00:16:46.132 --> 00:16:51.816 Here's what it looks like, pineapple 298 00:16:51.816 --> 00:16:57.498 leather, vegan leather made from pineapple 299 00:16:57.501 --> 00:16:59.501 fibers. 300 00:16:59.501 --> 00:17:02.205 This is made from textiles. 301 00:17:02.209 --> 00:17:06.849 The gold and silver shoes are made from 302 00:17:06.849 --> 00:17:08.849 pineapple leather. 303 00:17:08.849 --> 00:17:11.713 To make apple leather, the peels and left 304 00:17:11.713 --> 00:17:15.404 overs are dried and ground to a fine 305 00:17:15.409 --> 00:17:18.182 powder, mixed with other bio based 306 00:17:18.184 --> 00:17:20.962 contents and water based polyurethane to 307 00:17:20.962 --> 00:17:23.728 provide extra durability to hold the 308 00:17:23.732 --> 00:17:25.731 powder together. 309 00:17:25.731 --> 00:17:28.439 The mixture is then laid flat to dry. 310 00:17:28.446 --> 00:17:34.944 The final result is the thick, 311 00:17:34.944 --> 00:17:41.436 semi-synthetic leather sheet which can be 312 00:17:41.438 --> 00:17:46.851 turned into accessories, shoes, luggage, 313 00:17:46.853 --> 00:17:50.100 furnishing and apollster. 314 00:17:50.100 --> 00:17:53.495 So what does the upper really consistent 315 00:17:53.495 --> 00:17:55.495 of? 316 00:17:55.495 --> 00:17:57.950 Is it coated with plastics? 317 00:17:57.950 --> 00:18:00.780 If so, is it classified under heading 6402 318 00:18:00.780 --> 00:18:05.660 of having a plastic upper or is the upper 319 00:18:05.662 --> 00:18:10.003 made of textile it as demonstrated in the 320 00:18:10.004 --> 00:18:14.347 above great shoe which is coated and then 321 00:18:14.348 --> 00:18:18.688 it would be classified in 6404 as a 322 00:18:18.688 --> 00:18:20.688 textile. 323 00:18:20.688 --> 00:18:23.127 Our next subject is wearable technology. 324 00:18:23.329 --> 00:18:26.851 Wearable technology is some form of 325 00:18:26.851 --> 00:18:29.786 technology that is manufactured into 326 00:18:29.786 --> 00:18:33.895 footwear or an article of clothing thus 327 00:18:33.895 --> 00:18:36.828 enabling you to wear it. 328 00:18:36.829 --> 00:18:41.484 Wearable technology can track data, 329 00:18:41.484 --> 00:18:47.997 collect and interpret it in a meaningful 330 00:18:47.998 --> 00:18:52.651 way to improve athletic performance, 331 00:18:52.651 --> 00:18:58.237 enrich online gaming and improve the 332 00:18:58.238 --> 00:19:03.820 quality of life of some users. 333 00:19:03.820 --> 00:19:06.079 This you can look at the buttons on the 334 00:19:06.084 --> 00:19:08.594 side of the shoe or the app on your cell 335 00:19:08.599 --> 00:19:10.599 phone. 336 00:19:10.599 --> 00:19:14.109 Self-lacing technology allows you to 337 00:19:14.109 --> 00:19:17.276 loosen or tighten shoes from an app. 338 00:19:17.279 --> 00:19:19.639 Smart insoles use bluetooth wireless 339 00:19:19.640 --> 00:19:22.944 technology to sync with your cell phone 340 00:19:22.944 --> 00:19:25.776 and develop key running activities and 341 00:19:25.777 --> 00:19:28.137 metrics. Each movement is detected, 342 00:19:28.138 --> 00:19:31.914 measured and commented on with a 3 D 343 00:19:31.915 --> 00:19:33.915 running analysis. 344 00:19:33.915 --> 00:19:38.196 The sole also comes with an axel ROMTer to 345 00:19:38.198 --> 00:19:42.942 track the steps taken or know about the 346 00:19:42.944 --> 00:19:47.095 calories you have burned during a run. 347 00:19:47.097 --> 00:19:50.147 It can keep your feet warm with a built in 348 00:19:50.147 --> 00:19:52.147 thermostat. 349 00:19:52.147 --> 00:19:54.879 It was a headquarters ruling, H303881 from 350 00:19:54.882 --> 00:19:59.313 frill of 2021 and it concerned the 351 00:19:59.315 --> 00:20:03.113 classification of an NIKE sneaker that 352 00:20:03.114 --> 00:20:05.646 incorporates wearable technology called 353 00:20:05.646 --> 00:20:08.178 the NIKE adapt BB. 354 00:20:08.179 --> 00:20:12.512 And this shoe consisted of five main 355 00:20:12.512 --> 00:20:14.512 components. 356 00:20:14.512 --> 00:20:17.508 It had a bluetooth system on chip. 357 00:20:17.508 --> 00:20:20.749 A sensor pack consisting of a gyroscope 358 00:20:22.130 --> 00:20:28.986 axel ROM TER and a capacity sensor, a 359 00:20:28.989 --> 00:20:33.274 system and subsystem component including 360 00:20:33.276 --> 00:20:37.561 three micro controller unit processors, 361 00:20:37.563 --> 00:20:42.705 flash memory and a wireless power 362 00:20:42.707 --> 00:20:47.849 receiver, and an auto-lacing platform, a 363 00:20:47.851 --> 00:20:52.993 DC motor, and a performance basketball 364 00:20:52.995 --> 00:20:54.995 shoe housing. 365 00:20:54.995 --> 00:20:59.549 It contains one pair of sneakers with all 366 00:20:59.549 --> 00:21:03.172 of the above electronics, a wireless 367 00:21:03.175 --> 00:21:07.405 charging pad and a USB cable, wall-charger 368 00:21:07.407 --> 00:21:10.432 combo, an operating manual packaged 369 00:21:10.432 --> 00:21:12.848 together for retail sale. 370 00:21:12.848 --> 00:21:16.808 The Nike style adapt has multiple 371 00:21:16.808 --> 00:21:20.761 components and functions that are not 372 00:21:20.763 --> 00:21:24.060 described under any one chapter. 373 00:21:24.062 --> 00:21:26.062 Provided in the tariff. 374 00:21:26.062 --> 00:21:28.687 The adapt materials and components are 375 00:21:28.687 --> 00:21:33.263 classified as follows: I'm not going to go 376 00:21:33.265 --> 00:21:36.701 through describing each and everything but 377 00:21:36.703 --> 00:21:40.141 the bluetooth would be classified in 378 00:21:40.142 --> 00:21:42.142 heading 8517. 379 00:21:42.142 --> 00:21:47.093 The sensors would be classified in heading 380 00:21:47.095 --> 00:21:52.905 9031, the data processing systems would be 381 00:21:52.908 --> 00:21:56.228 classified in heading 85.42. 382 00:21:56.229 --> 00:22:03.981 The memory classified in 85.23, the 383 00:22:03.982 --> 00:22:11.734 autofit technology, 85.01 can and the 384 00:22:11.735 --> 00:22:14.319 wireless 85.04. 385 00:22:14.319 --> 00:22:18.183 So as you can see, Nike maintained adapt 386 00:22:18.186 --> 00:22:20.186 has an essential character. 387 00:22:20.219 --> 00:22:23.301 They argued that the adapt was designed 388 00:22:23.369 --> 00:22:26.519 for use as a wearable electronic device. 389 00:22:26.519 --> 00:22:33.989 And recommended a classification under sub 390 00:22:33.990 --> 00:22:36.480 heading 851762. 391 00:22:36.481 --> 00:22:39.791 CBP has historically and consistently 392 00:22:39.791 --> 00:22:42.436 classified footwear with electronic 393 00:22:42.438 --> 00:22:45.747 modules and components and battery 394 00:22:45.747 --> 00:22:50.381 components as part of massaging, light up, 395 00:22:50.382 --> 00:22:54.353 heating and sound emitting footwear in 396 00:22:54.353 --> 00:22:58.322 chapter 64. For example, a headquarter 397 00:22:58.323 --> 00:23:01.633 ruling from 2006 concerned slippers 398 00:23:01.634 --> 00:23:04.942 incorporating light and weight sensors 399 00:23:04.943 --> 00:23:09.574 that activated LED light bulbs embedded in 400 00:23:09.575 --> 00:23:11.575 the toes. 401 00:23:11.575 --> 00:23:16.063 In a New York ruling from 2013 and 2010, 402 00:23:16.068 --> 00:23:18.938 footwear contained batteries and bulbs 403 00:23:18.942 --> 00:23:23.534 which allowed the shoes to light up or 404 00:23:23.538 --> 00:23:27.556 flash when making contact with the ground. 405 00:23:27.559 --> 00:23:32.743 In 2017, there was a New York ruling which 406 00:23:32.743 --> 00:23:35.047 concerned electronic battery operated 407 00:23:35.047 --> 00:23:38.503 novelty shoes which contained a speaker 408 00:23:38.504 --> 00:23:42.536 and an a circuit board enabling sounds 409 00:23:42.536 --> 00:23:44.840 enacted by the wearer. 410 00:23:44.840 --> 00:23:48.413 There was a New York rule in 2017 having 411 00:23:48.413 --> 00:23:51.192 to do with slippers that contain heating 412 00:23:51.193 --> 00:23:54.369 units that can be plugged in and charged. 413 00:23:54.369 --> 00:23:59.490 And there was a New York ruling from 2011, 414 00:23:59.490 --> 00:24:02.893 that features a lace-upped hiking boot 415 00:24:02.897 --> 00:24:06.308 with a battery powered heating system. 416 00:24:06.311 --> 00:24:09.141 Under GRI3B, composite goods must be 417 00:24:09.143 --> 00:24:12.447 classified according to the material or a 418 00:24:12.449 --> 00:24:15.281 component that imparts the article with 419 00:24:15.283 --> 00:24:18.115 the essential character that which is 420 00:24:18.116 --> 00:24:20.948 indispensable to the structure, core or 421 00:24:20.950 --> 00:24:22.950 condition of the article. 422 00:24:22.950 --> 00:24:28.522 Now, although the adapt may enable the 423 00:24:28.523 --> 00:24:34.207 wearer to enabl4 his or her experience, 424 00:24:34.208 --> 00:24:39.080 they must wear them as footwear. 425 00:24:39.080 --> 00:24:43.931 If they choose to enable some of the many 426 00:24:43.935 --> 00:24:46.630 of the additional features or 427 00:24:46.632 --> 00:24:49.327 capabilities, like gathering data or 428 00:24:49.329 --> 00:24:52.024 subsequently transmitting data to the 429 00:24:52.027 --> 00:24:56.339 user, that is his or her option. However, 430 00:24:56.342 --> 00:25:00.654 the wearer will always use the adapt as 431 00:25:00.658 --> 00:25:02.658 footwear. 432 00:25:02.658 --> 00:25:05.717 The headquarters ruling goes on to say 433 00:25:05.717 --> 00:25:07.717 it's clear that the basketball shoe is 434 00:25:07.717 --> 00:25:09.928 indispensable for the endangerment of all 435 00:25:09.929 --> 00:25:12.986 of the experience options offered by the 436 00:25:12.988 --> 00:25:14.989 additional components. 437 00:25:14.989 --> 00:25:17.859 It predominants in size, weight and 438 00:25:17.861 --> 00:25:19.862 function. 439 00:25:19.862 --> 00:25:23.178 If not the cost and delivers the 440 00:25:23.179 --> 00:25:25.178 experience of walking, running, B and 441 00:25:25.179 --> 00:25:27.530 training as compared with the ancillary 442 00:25:27.531 --> 00:25:29.899 use of the technological features. 443 00:25:29.899 --> 00:25:33.967 Unlike the risk wearable smart devices 444 00:25:33.968 --> 00:25:39.392 whose value to the user comes from the 445 00:25:39.393 --> 00:25:43.461 information they convey, the adapt serves 446 00:25:43.461 --> 00:25:47.529 a utilitarian function that provides the 447 00:25:47.530 --> 00:25:52.276 value to the user while the information 448 00:25:52.277 --> 00:25:54.989 conveyed supplements that usefulness. 449 00:25:54.989 --> 00:26:01.525 So CBP's position is the imparted by the 450 00:26:01.529 --> 00:26:05.614 footwear, rather than the bluetooth 451 00:26:05.616 --> 00:26:09.701 transreceiver. Therefore, it's an article 452 00:26:09.703 --> 00:26:14.605 of footwear, classified under heading 6404 453 00:26:14.608 --> 00:26:19.510 as athletic footwear and classified as 454 00:26:19.513 --> 00:26:21.513 6404.1190. 455 00:26:21.513 --> 00:26:25.202 This is another example of the footwear 456 00:26:25.202 --> 00:26:27.287 that incorporates technology. 457 00:26:27.289 --> 00:26:34.313 Meet the REZA1 which is the subject of 458 00:26:34.315 --> 00:26:36.315 this ruling. 459 00:26:36.315 --> 00:26:38.955 As you can see, there's an external 460 00:26:38.956 --> 00:26:41.840 surface area of the upper composed of 461 00:26:41.841 --> 00:26:44.313 textile materials and rubber plastics out 462 00:26:44.314 --> 00:26:46.374 sole incorporates a light which 463 00:26:46.374 --> 00:26:48.846 illuminates the parameters of the shoes. 464 00:26:48.847 --> 00:26:52.924 The shoe does not have a light band and 465 00:26:52.925 --> 00:26:56.549 the food wear has sensors that work with 466 00:26:56.551 --> 00:26:59.722 the mobile app to track the physical 467 00:26:59.723 --> 00:27:01.723 activity metrics. 468 00:27:01.723 --> 00:27:04.403 It has an accelerometer, gyroscope, GPS 469 00:27:04.403 --> 00:27:07.537 function for calculating steps with 470 00:27:07.542 --> 00:27:09.542 bluetooth technology. 471 00:27:09.542 --> 00:27:14.245 The footwear comes with a charging pad and 472 00:27:14.246 --> 00:27:17.645 is imported as a set. 473 00:27:17.649 --> 00:27:23.955 The issue, what will be the 474 00:27:23.958 --> 00:27:25.958 classification? 475 00:27:25.958 --> 00:27:29.923 Well, the importer suggests it should be 476 00:27:29.926 --> 00:27:33.436 classified under 5817.626789 we disagreed. 477 00:27:33.439 --> 00:27:38.500 The measurement of steps is a secondary 478 00:27:38.501 --> 00:27:40.501 function. 479 00:27:40.501 --> 00:27:44.936 The essential character of the REZA one is 480 00:27:44.936 --> 00:27:49.927 imparted by the footwear, rather than the 481 00:27:49.929 --> 00:27:53.498 bluetooth transreceiver or other technical 482 00:27:53.499 --> 00:27:55.499 equipment. 483 00:27:55.499 --> 00:28:06.865 The correct classification is in 6404.19. 484 00:28:06.869 --> 00:28:09.581 So whereabout smart technology is a 485 00:28:09.581 --> 00:28:11.841 growing sector of the marketplace. 486 00:28:11.842 --> 00:28:14.554 Therefore, these types of merchandise will 487 00:28:14.554 --> 00:28:17.266 require individual or case by case 488 00:28:17.266 --> 00:28:19.978 analysis in order to determine their 489 00:28:19.979 --> 00:28:21.979 essential character and ultimate 490 00:28:21.979 --> 00:28:23.979 classification. 491 00:28:23.979 --> 00:28:27.279 But usually what it is in footwear, it is 492 00:28:27.280 --> 00:28:30.640 classified as footwear in chapter 64. 493 00:28:30.640 --> 00:28:37.080 Our last subject is new 2024 shoe trends. 494 00:28:37.080 --> 00:28:39.080 What will we see more of? 495 00:28:39.080 --> 00:28:41.597 What will be imported? 496 00:28:41.599 --> 00:28:47.570 We have sling back heels, kitten heels, 497 00:28:47.570 --> 00:28:51.832 nets, metallic, flats, ballet flats, 498 00:28:51.834 --> 00:28:56.098 sky-high platforms, school shoes, patent 499 00:28:56.098 --> 00:28:59.510 finishes and slouchy boots. 500 00:28:59.510 --> 00:29:04.298 So sling backs for the guys who may be 501 00:29:04.298 --> 00:29:08.012 listening in case you were not familiar 502 00:29:08.016 --> 00:29:12.268 with what it was here, it's shown here. 503 00:29:12.270 --> 00:29:17.348 Here we have some kitten heels which are 504 00:29:17.348 --> 00:29:20.523 short, skinny heels, popular throughout 505 00:29:20.524 --> 00:29:23.699 the decades, on and off. 506 00:29:23.799 --> 00:29:29.672 Here we have, incorporating the two, sling 507 00:29:29.673 --> 00:29:33.029 backs with kitten heels. 508 00:29:33.029 --> 00:29:37.523 Here we have some shoes incorporating 509 00:29:37.523 --> 00:29:42.762 netting as uppers and when that happens, 510 00:29:42.763 --> 00:29:47.255 they are classified as footwear with 511 00:29:47.255 --> 00:29:51.000 textile uppers under heading 6404. 512 00:29:51.001 --> 00:29:57.928 Metallic shoes or shoes made using 513 00:29:57.931 --> 00:30:03.705 metallic leather, classified as leather. 514 00:30:03.709 --> 00:30:07.675 Here we have some flip-flops flats. 515 00:30:07.678 --> 00:30:12.305 They're not flip flats and they're not 516 00:30:12.308 --> 00:30:14.308 flats. 517 00:30:14.308 --> 00:30:18.380 Here we have some ballet flats that 518 00:30:18.479 --> 00:30:23.888 usually have closed toes and closed heels. 519 00:30:23.889 --> 00:30:27.945 Platform shoes that made a resurgence, 520 00:30:27.946 --> 00:30:32.678 there's a sub heading in 6403 that 521 00:30:32.678 --> 00:30:36.058 specifically is footwear fir leather 522 00:30:36.059 --> 00:30:42.143 uppers and made on a base or platform of 523 00:30:42.144 --> 00:30:44.144 wood. 524 00:30:44.144 --> 00:30:49.528 School shoes are popular now. Slouchy 525 00:30:49.531 --> 00:30:51.531 boots. 526 00:30:51.531 --> 00:31:00.249 I remember some of these from the 1980s. 527 00:31:00.249 --> 00:31:02.249 They are coming back. 528 00:31:02.249 --> 00:31:04.937 Here we have some patent finishes, either 529 00:31:04.937 --> 00:31:06.937 usually real leather with a thick coating 530 00:31:06.937 --> 00:31:09.849 of rubber and plastic to make it shiny and 531 00:31:10.121 --> 00:31:12.809 have the essential character of plastic or 532 00:31:12.809 --> 00:31:14.809 they could be fully plastic. 533 00:31:14.809 --> 00:31:19.993 And anyhow, that's a really popular shoe 534 00:31:19.995 --> 00:31:21.995 trend now. 535 00:31:21.995 --> 00:31:26.179 So what are the classification of some of 536 00:31:26.179 --> 00:31:28.179 these current trends? 537 00:31:28.179 --> 00:31:31.569 Again, we have the waterproof footwear 538 00:31:31.578 --> 00:31:35.226 made of rubber and plastic soles, 539 00:31:35.226 --> 00:31:39.482 generally classified in 6401 and have high 540 00:31:39.483 --> 00:31:41.483 duty rates. 541 00:31:41.483 --> 00:31:44.395 As this heading does not have added sub 542 00:31:44.395 --> 00:31:47.159 headings allowing for reduce duty rates, 543 00:31:47.162 --> 00:31:49.470 manufacturers have resorted to adding 544 00:31:49.471 --> 00:31:51.781 leather to the outer soles. 545 00:31:51.782 --> 00:31:54.708 Here we have an example. 546 00:31:54.709 --> 00:31:59.357 Leather flocking that has been added to 547 00:31:59.357 --> 00:32:04.666 the outer sole so would this be classified 548 00:32:04.668 --> 00:32:08.651 under sub heading 6401 as waterproof 549 00:32:08.651 --> 00:32:11.971 footwear or under heading 6405? 550 00:32:11.971 --> 00:32:15.828 Don't forget, if upon review of the 551 00:32:15.828 --> 00:32:18.580 relevant information and samples, it's 552 00:32:18.582 --> 00:32:22.438 determined that the outer sole is covered 553 00:32:22.438 --> 00:32:26.295 with only a thin dusting of leather 554 00:32:26.295 --> 00:32:29.599 flocking, such an application should be 555 00:32:29.599 --> 00:32:31.801 disregarded for tariff classification 556 00:32:31.803 --> 00:32:36.210 purposes pursuant to chapter note 4 b to 557 00:32:36.210 --> 00:32:40.066 chapter 64 and general explanatory note C 558 00:32:40.066 --> 00:32:42.066 to chapter 64. 559 00:32:42.066 --> 00:32:46.246 So the applicable sub heading for this 560 00:32:46.350 --> 00:32:48.938 style would be 6405-90. 561 00:32:48.939 --> 00:32:52.947 It was thick enough that the outer sole 562 00:32:52.947 --> 00:32:56.448 changes from rubber and plastic, to other 563 00:32:56.451 --> 00:32:58.453 than rubber and plastic. 564 00:32:58.454 --> 00:33:01.555 So this example of smart insoles with 565 00:33:01.558 --> 00:33:03.773 lightweight trackers that fit running 566 00:33:03.776 --> 00:33:07.320 shoes consists of a pair of thin insoles, 567 00:33:07.324 --> 00:33:09.982 each containing 16 sensors, that are 568 00:33:09.985 --> 00:33:13.086 placed under the sock liner of your 569 00:33:13.089 --> 00:33:16.190 running shoes and the insoles are linked 570 00:33:16.194 --> 00:33:19.738 to the GPS tracker located on the outside 571 00:33:19.742 --> 00:33:21.957 of each shoe's ankle collar. 572 00:33:21.959 --> 00:33:25.599 It measures the distance, pace, and foot 573 00:33:25.599 --> 00:33:27.599 strike pattern. 574 00:33:27.599 --> 00:33:30.099 How would you classify these? 575 00:33:30.099 --> 00:33:32.527 Would they be classified as insoles or 576 00:33:32.530 --> 00:33:34.530 chapter 64? 577 00:33:34.530 --> 00:33:38.230 Or would they be classified as wearable 578 00:33:38.230 --> 00:33:41.608 electronic devices of chapter 85? 579 00:33:41.610 --> 00:33:47.442 The answer is, it would be classified as 580 00:33:47.442 --> 00:33:53.992 inner soles of chapter 64. Let's go on to 581 00:33:53.995 --> 00:33:57.636 explain what the following ruling. 582 00:33:57.639 --> 00:34:00.407 Pineapple vegan leather uppers. 583 00:34:00.409 --> 00:34:05.193 This shoe has an upper composed of non 584 00:34:05.197 --> 00:34:08.785 leather textile, composed of 80% pineapple 585 00:34:08.788 --> 00:34:12.376 leaf fiber and 20% corn-based plastic. 586 00:34:12.379 --> 00:34:15.131 This is coated with a visible layer of 587 00:34:15.132 --> 00:34:17.132 rubber and plastic. 588 00:34:17.132 --> 00:34:19.656 It does not have a foxing like band and 589 00:34:19.661 --> 00:34:22.377 the external surface of the outer sole 590 00:34:22.381 --> 00:34:25.097 touching the ground is rubber or plastics. 591 00:34:25.200 --> 00:34:30.352 This is a close up of a microphone -- 592 00:34:30.352 --> 00:34:34.216 microscope photo of pineapple fibers of 593 00:34:34.217 --> 00:34:36.217 the upper material. 594 00:34:36.979 --> 00:34:40.091 Would this be classified under 6402 595 00:34:40.159 --> 00:34:44.399 because of the plastic coating or would it 596 00:34:44.399 --> 00:34:48.109 be classified under sub heading 6404 for 597 00:34:48.109 --> 00:34:50.109 the textile fibers? 598 00:34:50.109 --> 00:34:55.549 Well, the classification of the plastic 599 00:34:55.549 --> 00:35:01.399 coated shoe uppers would be 6402.99.3165. 600 00:35:01.399 --> 00:35:06.399 Because chapter 64 has a chapter note 3A 601 00:35:06.400 --> 00:35:10.775 that says if it's rubber and plastic 602 00:35:10.776 --> 00:35:14.526 includes textile covered with a visible 603 00:35:14.527 --> 00:35:18.277 layer of rubber and plastics, it's 604 00:35:18.278 --> 00:35:20.778 considered rubber and plastics. 605 00:35:20.879 --> 00:35:25.799 This ballet flat with glass Crystals is a 606 00:35:25.799 --> 00:35:28.259 very popular trend nowadays. 607 00:35:28.259 --> 00:35:31.029 How would this be classified? 608 00:35:31.029 --> 00:35:34.151 Would it be classified under sub heading 609 00:35:34.151 --> 00:35:37.264 6405 because of the glass Crystals or 610 00:35:37.268 --> 00:35:40.386 would it be classified according to the 611 00:35:40.387 --> 00:35:43.061 constituent material which is the external 612 00:35:43.062 --> 00:35:45.289 surface area of the upper. 613 00:35:45.289 --> 00:35:57.929 In this case, it would be satin textile. 614 00:35:57.929 --> 00:36:00.894 So the satin would be the constituent 615 00:36:00.894 --> 00:36:02.894 material of the upper. 616 00:36:02.894 --> 00:36:07.621 Ultimately it would be classified under 617 00:36:07.625 --> 00:36:11.820 heading, sub heading -- well, heading 618 00:36:11.821 --> 00:36:13.821 6404. 619 00:36:13.821 --> 00:36:17.232 Now, I want to give credit to Anissa for 620 00:36:17.669 --> 00:36:19.697 creating this slide presentation. 621 00:36:19.700 --> 00:36:23.758 And if I am required to show you this next 622 00:36:23.758 --> 00:36:25.758 slide here. 623 00:36:25.758 --> 00:36:28.666 It's for the credits and the code and a 624 00:36:28.666 --> 00:36:30.666 link. 625 00:36:30.666 --> 00:36:35.061 I can show it to you again in a moment. 626 00:36:36.041 --> 00:36:38.862 So if anybody has any questions, you can 627 00:36:38.862 --> 00:36:42.036 type them in the chat box and my helpful 628 00:36:42.039 --> 00:36:45.216 crew assistance will read them to me and I 629 00:36:45.216 --> 00:36:47.216 will attempt to answer them. 630 00:36:47.216 --> 00:36:49.353 >> Oh, Stacey, you have a few questions. 631 00:36:49.359 --> 00:36:51.359 The first few related to flocking. 632 00:36:51.359 --> 00:36:57.039 So the first is, is there a set minimum 633 00:36:57.039 --> 00:36:59.743 measurement for the flocking. 634 00:36:59.751 --> 00:37:02.710 >> Well, it just has to cover the majority 635 00:37:02.710 --> 00:37:05.669 of the outer soles of the footwear but it 636 00:37:05.670 --> 00:37:07.973 has to be thick enough to obscure 637 00:37:07.974 --> 00:37:09.972 everything underneath it. 638 00:37:09.972 --> 00:37:12.279 So you shouldn't be able to see the rubber 639 00:37:12.279 --> 00:37:15.218 and plastic underneath and it has to be 640 00:37:15.224 --> 00:37:17.224 more than microns thick. 641 00:37:17.224 --> 00:37:20.524 There isn't a set exact measurement. 642 00:37:20.529 --> 00:37:24.669 It just has to be thick enough and that's 643 00:37:24.669 --> 00:37:28.794 why we have to review the sample on case 644 00:37:28.799 --> 00:37:30.799 by case basis. 645 00:37:30.799 --> 00:37:33.015 >> Another question, does the leather 646 00:37:33.015 --> 00:37:35.015 flocking immediate to be embedded or 647 00:37:35.015 --> 00:37:37.015 sprayed on? 648 00:37:37.015 --> 00:37:39.717 >> It can be embedded or sprayed on, 649 00:37:40.114 --> 00:37:43.678 attached with adhesive. That's pretty much 650 00:37:43.679 --> 00:37:46.649 what the flocking process is. 651 00:37:46.650 --> 00:37:50.938 They apply the adhesive to the outer soles 652 00:37:50.938 --> 00:37:55.214 and then they, I don't know, somehow blow 653 00:37:55.218 --> 00:37:58.968 or electronically attach the fibers to the 654 00:37:58.969 --> 00:38:00.969 external surface. 655 00:38:00.969 --> 00:38:03.404 >> The next, where would the pineapple and 656 00:38:03.405 --> 00:38:05.405 apple leather be classified? 657 00:38:05.405 --> 00:38:08.856 >> It all depends on what ends up on the 658 00:38:08.863 --> 00:38:10.863 external surface. 659 00:38:10.863 --> 00:38:14.637 So if you're just able to see and feel the 660 00:38:14.637 --> 00:38:17.647 fibers themselves, on the outer surface, 661 00:38:17.648 --> 00:38:20.658 then it would be considered textile. 662 00:38:20.659 --> 00:38:29.579 But if it's coated with a plastic, a 663 00:38:29.579 --> 00:38:37.378 rubber and plastic, then it would be 664 00:38:37.381 --> 00:38:41.839 considered rubber and plastic. 665 00:38:41.840 --> 00:38:43.840 >> What with if they are platform and not 666 00:38:43.840 --> 00:38:45.840 wood? 667 00:38:45.840 --> 00:38:49.424 >> Well, you really -- the sub heading, 668 00:38:49.424 --> 00:38:51.691 the only sub heading in chapter 64 that 669 00:38:51.692 --> 00:38:55.276 talks about a platform is for footwear 670 00:38:55.278 --> 00:38:57.278 with leather uppers. 671 00:38:57.278 --> 00:39:03.087 So if you do have a shoe with leather 672 00:39:03.295 --> 00:39:07.477 uppers, just read through 6403 carefully. 673 00:39:07.479 --> 00:39:10.903 And eliminate as it does not describe your 674 00:39:10.903 --> 00:39:12.903 footwear. 675 00:39:12.903 --> 00:39:14.903 >> Okay. 676 00:39:14.903 --> 00:39:17.623 Back to ballet Crystal, is there a certain 677 00:39:17.623 --> 00:39:19.623 amount of sub fabric that should be 678 00:39:19.623 --> 00:39:21.623 visible? 679 00:39:21.623 --> 00:39:23.623 >> You just need to see the fabric around 680 00:39:23.623 --> 00:39:25.623 each Crystal. In other words, the Crystals 681 00:39:25.623 --> 00:39:27.623 aren't overlapping. 682 00:39:27.623 --> 00:39:29.623 Think of sequence. 683 00:39:29.623 --> 00:39:31.623 If the sequence are overlapping, then the 684 00:39:31.623 --> 00:39:33.623 external surface would be considered the 685 00:39:33.623 --> 00:39:35.623 material of that which is overlapping. 686 00:39:35.623 --> 00:39:37.682 But if they're spaced out, it's the 687 00:39:37.684 --> 00:39:39.958 material that they're attached to which 688 00:39:39.960 --> 00:39:42.992 what you can see around each Crystal which 689 00:39:42.994 --> 00:39:44.994 in this case is textile. 690 00:39:44.994 --> 00:39:46.994 >> Okay. 691 00:39:46.994 --> 00:39:49.924 I'm not sure if you addressed this one or 692 00:39:49.924 --> 00:39:52.283 something similar, is there a specific 693 00:39:52.286 --> 00:39:54.648 flocking thickness required before we can 694 00:39:54.649 --> 00:39:56.649 consider the flocking? 695 00:39:56.649 --> 00:40:03.255 >> You just have to make sure it's so 696 00:40:03.255 --> 00:40:06.541 thick it obscures underneath. 697 00:40:06.549 --> 00:40:10.221 But I have seen very poor examples of 698 00:40:10.221 --> 00:40:13.883 flocking that include a fiber here and a 699 00:40:13.886 --> 00:40:17.553 fiber there and you can hardly tell it's 700 00:40:17.555 --> 00:40:21.225 there or you can see just, somebody has 701 00:40:21.225 --> 00:40:24.433 applied the adhesive and it's a different 702 00:40:24.433 --> 00:40:28.098 color, maybe, but there's no fibers to be 703 00:40:28.101 --> 00:40:30.100 seen either. 704 00:40:30.100 --> 00:40:33.573 So you have to make sure it's mimicking 705 00:40:33.576 --> 00:40:36.995 composition leather or very thick where 706 00:40:36.997 --> 00:40:39.845 you cannot see underneath it. 707 00:40:39.846 --> 00:40:41.846 >> Okay, there's a few slides that people 708 00:40:41.846 --> 00:40:43.846 want to see. 709 00:40:43.846 --> 00:40:57.202 The first is slide 51, can you show it one 710 00:40:57.202 --> 00:41:00.238 more time. 711 00:41:00.242 --> 00:41:03.246 >> Okay, this is about the Nike adapt 712 00:41:03.246 --> 00:41:05.246 shoe. 713 00:41:05.246 --> 00:41:07.881 >> Okay, if you need to take a picture of 714 00:41:07.881 --> 00:41:09.881 it, if you would like to see it. 715 00:41:09.881 --> 00:41:29.415 The next is slide 46. Another one is slide 716 00:41:30.906 --> 00:41:33.408 40. 717 00:41:33.409 --> 00:41:45.181 Then we had a couple of requests for slide 718 00:41:45.184 --> 00:41:47.184 18. 719 00:41:47.184 --> 00:41:49.788 >> That's because they just want to see 720 00:41:49.788 --> 00:41:51.788 the cute sheep. 721 00:41:51.788 --> 00:41:56.283 >> Here's a question, does 6405 still 722 00:41:56.289 --> 00:41:58.546 require the -- testing? 723 00:41:58.740 --> 00:42:02.154 >> We're talking about the leather 724 00:42:02.154 --> 00:42:04.427 applications, not textile application. 725 00:42:04.429 --> 00:42:10.295 The Martin dale was something that was 726 00:42:10.298 --> 00:42:17.002 tossed around when we were putting the sub 727 00:42:17.005 --> 00:42:23.709 headings into the tariff having to do with 728 00:42:23.712 --> 00:42:25.712 textile applications. 729 00:42:25.712 --> 00:42:28.220 Is plant based leather considered leather 730 00:42:28.220 --> 00:42:30.579 for the purposes of classification? 731 00:42:30.580 --> 00:42:38.572 >> No, plant based leather is not real 732 00:42:38.572 --> 00:42:40.572 leather. 733 00:42:40.572 --> 00:42:42.683 Real leather is from an actual animal, 734 00:42:42.688 --> 00:42:44.688 could be a reptile. 735 00:42:44.688 --> 00:42:48.611 The plant based leather is not considered 736 00:42:48.612 --> 00:42:50.612 leather of 6403. 737 00:42:50.612 --> 00:42:57.330 It's just called leather. 738 00:42:57.331 --> 00:42:59.945 One more question, do you have a question 739 00:42:59.948 --> 00:43:02.237 or footwear of the foxing like band? 740 00:43:02.240 --> 00:43:04.452 >> Well, that's a subject of another 741 00:43:04.454 --> 00:43:06.666 Webinar and there's a whole bunch of 742 00:43:06.668 --> 00:43:09.512 pictures so if you can go back and find 743 00:43:09.515 --> 00:43:12.359 one of those, there is not one here in 744 00:43:12.361 --> 00:43:14.361 this presentation. Sorry. 745 00:43:14.361 --> 00:43:16.361 >> Okay. 746 00:43:16.361 --> 00:43:19.044 Does the leather flocking have to be 747 00:43:19.044 --> 00:43:21.044 durable? 748 00:43:21.044 --> 00:43:23.203 >> It just has to be visible and tactile 749 00:43:23.213 --> 00:43:25.213 on the surface. 750 00:43:25.213 --> 00:43:28.350 The it's a condition that is imported so 751 00:43:28.352 --> 00:43:32.787 if it is thick enough to be 6405, chances 752 00:43:32.788 --> 00:43:36.730 are it's there for a longer time period 753 00:43:36.730 --> 00:43:38.730 than just importing. 754 00:43:38.730 --> 00:43:43.903 It should be substantial to end up in 755 00:43:43.905 --> 00:43:45.904 6405, however. 756 00:43:45.904 --> 00:43:51.862 >> If you can advance one slide to slide 757 00:43:51.862 --> 00:43:57.666 19. Okay. Did I ask this one already? 758 00:43:57.669 --> 00:44:01.901 It does the leather flocking have to be 759 00:44:01.901 --> 00:44:03.901 durable? 760 00:44:03.901 --> 00:44:06.222 >> Well, if it is considered a leather 761 00:44:06.222 --> 00:44:09.537 other than rubber and plastic outer sole 762 00:44:09.538 --> 00:44:13.803 and done in 6405, it usually is some what 763 00:44:13.803 --> 00:44:17.594 durable. There's no set time period of how 764 00:44:17.595 --> 00:44:19.964 long it has to last. 765 00:44:19.964 --> 00:44:23.500 It has to be conditioned as imported and 766 00:44:23.501 --> 00:44:27.479 it just have to be thick enough to obscure 767 00:44:27.479 --> 00:44:30.573 underneath and then more than microns thin 768 00:44:30.573 --> 00:44:33.667 because then it would just with be 769 00:44:33.668 --> 00:44:35.668 disregarded. 770 00:44:35.668 --> 00:44:38.704 >> Another question, are the running shoes 771 00:44:38.704 --> 00:44:40.704 or sneakers considered sport shoes or not? 772 00:44:40.704 --> 00:44:42.704 >> I'm not sure what you mean. 773 00:44:42.704 --> 00:44:45.077 Running shoes or sneakers considered a 774 00:44:45.294 --> 00:44:47.427 sport shoe or not? 775 00:44:47.429 --> 00:44:49.429 I'm not sure. 776 00:44:49.429 --> 00:44:56.390 >> I think that's a subject of another 777 00:44:56.393 --> 00:45:02.769 ruling too where we get into something 778 00:45:02.773 --> 00:45:07.328 sports, footwear or athletic wear. 779 00:45:07.330 --> 00:45:11.530 >> Can you show what is visible/tactile? 780 00:45:11.530 --> 00:45:17.080 >> You can see it in the top example on 781 00:45:17.084 --> 00:45:20.969 this slide. That's where it is more 782 00:45:20.972 --> 00:45:23.747 durable, obscuring what is underneath. 783 00:45:23.749 --> 00:45:27.389 The example on the bottom is not too 784 00:45:27.389 --> 00:45:29.389 sufficient. 785 00:45:29.389 --> 00:45:33.596 You can disregard that one. 786 00:45:33.700 --> 00:45:35.700 >> Okay, one more question, a platform 787 00:45:35.700 --> 00:45:37.700 question. 788 00:45:37.700 --> 00:45:40.841 Would you classify the textile upper 789 00:45:40.843 --> 00:45:46.015 sneaker with the platform under athletic 790 00:45:46.018 --> 00:45:49.466 6404.11 or other, 6404.19. 791 00:45:49.467 --> 00:45:53.821 >> We would not consider a platform 792 00:45:53.821 --> 00:45:57.543 sneaker athletic because depending on how 793 00:45:57.548 --> 00:46:01.898 high this platform is, you probably would 794 00:46:01.899 --> 00:46:07.496 maybe run the risk of turning an ankle and 795 00:46:07.496 --> 00:46:11.223 injurying, spraining an ankle so it 796 00:46:11.223 --> 00:46:13.705 wouldn't be considered athletic. 797 00:46:13.710 --> 00:46:15.710 As far as other questions, that's it for 798 00:46:15.710 --> 00:46:17.708 now. 799 00:46:17.708 --> 00:46:20.789 >> Okay, and as always, remember 800 00:46:20.789 --> 00:46:22.934 everybody, feel free to e-mail me with any 801 00:46:22.937 --> 00:46:26.021 questions you may have on anything 802 00:46:26.021 --> 00:46:28.021 footwear related. 803 00:46:28.021 --> 00:46:30.609 I will be happy to answer your questions. 804 00:46:30.709 --> 00:46:35.182 Don't forget to sign, submit those request 805 00:46:35.182 --> 00:46:37.182 for binding rulings. 806 00:46:37.182 --> 00:46:59.119 It's always a help. 807 00:46:59.121 --> 00:47:01.634 >> This concludes our Webinar for this 808 00:47:01.637 --> 00:47:03.637 afternoon. 809 00:47:03.637 --> 00:47:07.048 This is a reminder, it will be posted on 810 00:47:07.048 --> 00:47:09.048 the CBP website. 811 00:47:09.048 --> 00:47:11.048 Thank you for joining us and enjoy the 812 00:47:11.048 --> 00:47:13.048 rest of your day!