In New York Ruling Letter NY N285583, dated June 6, 2017, and NY N299433, dated August 23, 2018, CBP classified certain footwear in heading 6404, HTSUS, specifically in subheading 6404.19.90, HTSUS, which provides for “Footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials: Footwear with outer soles of rubber or plastics: Other: Other: Valued over $12/pair.” CBP has reviewed NY N285583 and NY N299433, and has determined these ruling letters to be in error. It is now CBP’s position that the footwear at issue in these rulings is properly classified in subheading 6404.11.90, HTSUS, which provides for “Footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials: Footwear with outer soles of rubber or plastics: Sports footwear; tennis shoes, basketball shoes, gym shoes, training shoes and the like: Other: Valued over $12/pair.”
The effect of this revocation is that the rate of duty applicable to these shoes increases from 9% to 20%.
The legal analysis that lead to this determination by CBP took into consideration severeal factors, but at the heart it is contained in this single paragraph
In NY N285583 and NY N299433, CBP concluded that consistent with the definition of “athletic footwear” in T.D. 93–88, “ ‘athletic’ footwear does not include ... sneakers with a sequined or extensively embroidered upper.” Upon additional review, we find that to be incorrect. Although sneakers with a sequined or extensively embroidered uppers are referenced as examples of footwear that is not covered by the T.D. 93–88 definition of “athletic” footwear, we note that the definition also requires the footwear to be such that could clearly not be used at all in a sporting activity. Accordingly, we find that embroidery alone does not preclude footwear from being classified as “Sports footwear; tennis shoes, basketball shoes, gym shoes, training shoes and the like” of subheading 6404.11, HTSUS.
Photos of the shoes and CBP's full analysis can be found in Customs Bulletin abd Decisions Vol 56, No. 3, beginning on Page 47 (January 26, 2022).
CBP published its proposal to take this action, with opportunity for public comment in Vol. 53, No. 37, beginning on Page 19 (October 16, 2019). CPB received five comments opposing the proposed revocation.
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