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HQ 958929



June 14, 1996
CLA-2 RR:TC:TE 958929 SK

CATEGORY: CLASSIFICATION

John M. Peterson, Esq.
Arthur K. Purcell, Esq.
Neville, Peterson & Williams
80 Broad Street
34th Floor
New York, N.Y. 10004

RE: Country of origin determinations; girls' jeans; Section 102.21, Customs Regulations.

Dear Messrs.:

This is in response to your inquiry of February 13, 1996, requesting a country of origin determination for girls' jeans pursuant to Section 102.21, Customs Regulations. In your submission, you describe two different manufacturing scenarios used to produce the subject merchandise. Samples of the garment's constituent pieces were submitted to this office for examination, as well as a sample of the completed garment.

FACTS:

The subject merchandise consists of girls' 100 percent cotton woven stonewashed denim jeans. The garment at issue features two rear patch pockets, two front scoop pockets, one front coin pocket, two welted pockets situated under the two front pockets, two flower embroideries (one on the front thigh panel, the other on the left rear pocket), front fly with zipper closure and a single button closure at the wasitband.

You have presented this office with two different manufacturing scenarios by which the subject merchandise will be produced. They are described as follows:

SCENARIO 1
COUNTRY "A" OPERATIONS

1) Fabric cut;
2) Front panel and back pocket embroidered with flower design; 3) Back yoke "felled" ("attached") to back panels; 4) Coin pocket "set" ("attached") and hemmed; 5) Welt pockets set and linings closed;
6) Scoop pockets set and linings closed (e.g., pocket mouths topstitched, scoop pocket facings secured by single needle stitching, scoop pocket linings overlock stitched); 7) Labels set.

COUNTRY "B" OPERATIONS

1) Zipper set and topstitched;
2) Front crotch seam sewn;
3) Backrise seam felled;
4) Back pockets set and hemmed;
5) Outseams closed with overlock stitching; 6) Outseams double needle topstitched;
7) Waistband cut and set;
8) Band ends ripped back and finished;
9) Inseam closed with overlock stitching; 10) Jeans turned inside out;
11) Bottoms hemmed;
12) Belt loops made, positioned and bartacked; 13) Pockets and fly bartacked;
14) Garment stonewashed;
15) Button hole made;
16) Tack button set;
17) Garment trimmed, sorted, pressed, swiftacked and packed.

SCENARIO 2
COUNTRY "A" OPERATIONS

1) Fabric cut;
2) Front panel and back pocket embroidered with flower design; 3) Back yoke "felled" ("attached") to back panels; 4) Coin pocket "set" ("attached") and hemmed;

5) Welt pockets set and linings closed;
6) Scoop pockets set and linings closed (e.g., pocket mouths topstitched, scoop pocket facings secured by single needle stitching, scoop pocket linings overlock stitched); 7) Labels set;
8) Zipper set and topstitched;
9) Front crotch seam sewn;
10) Back pockets set and hemmed;
11) Pockets and fly bartacked;
12) Backrise seam felled;
13) Beltloops made.

COUNTRY "B" OPERATIONS

1) Outseams closed with overlock stitching; 2) Outseams double needle topstitched;
3) Waistband cut and set;
4) Band ends ripped back and finished;
5) Inseam closed with overlock stitching; 6) Jeans turned inside out;
7) Bottoms hemmed;
8) Beltloops positioned and bartacked;
9) Garment stonewashed;
10) Button hole made;
11) Tack button set;
12) Garment trimmed, sorted, pressed, swiftacked and packed.

ISSUE:

What is the country of origin for the girls' cotton woven jeans in each of the two manufacturing scenarios presented?

LAW AND ANALYSIS:

Pursuant to the Uruguay Round Agreements Act, new rules of origin will be effective for textile or apparel products entered, or withdrawn from warehouse for consumption, on or after July 1, 1996. These rules were published in the Federal Register, 60 Fed. Reg. 46188 (September 5, 1995). Section 102.21, Customs Regulations (19 CFR Section 102.21), sets forth the general rules which determine
country of origin. The country of origin of a textile or apparel product will be determined by a hierarchy of rules set forth in paragraphs (c)(1) through (c)(5) of Section 102.21.

Section 102.21(c)(1) sets forth the general rule for determining the country of origin of a textile or apparel product in which the good is wholly obtained or produced in a single country, territory, or insular possession.

Section 102.21(c)(2) provides for instances where the country of origin of a textile or apparel product cannot be determined under Section 102.21(c)(1). Section 102.21 (c)(2) provides:

"[W]here the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) of this section, the country of origin of the good is the single country, territory, or insular possession in which each foreign material incorporated in that good underwent an applicable change in tariff classification, and/or met any other requirement, specified for the good in paragraph (e) of this section."

Section 102.21(c)(3) governs instances where the country of origin of a textile or apparel product cannot be determined pursuant to paragraphs (c)(1) or (c)(2) and where the subject merchandise consists of either a good that was knit to shape in a single country or, except for goods of certain specifically enumerated headings, if the good was not knit to shape and was wholly assembled in a single country.

Section 102.21, paragraph (6), defines "wholly assembled" as follows:

"[T]he term wholly assembled' when used with reference to a good means that all components, of which there must be at least two, preexisted in essentially the same condition as found in the finished good and were combined to form the finished good in a single country, territory, or insular possession. Minor attachments and minor embellishments (for example, appliques, beads, spangles, embroidery, buttons) not appreciably affecting the identity of the good, and minor subassemblies (for example, collars, cuffs, plackets, pockets), will not affect the status of a good as wholly assembled' in a single country, territory, or insular possession."

Section 102.21(c)(4) provides:

"[W]here the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2) or (3) of this section, the country of origin of the good is the single country, territory, or insular possession in which the most important assembly or manufacturing process occurred."

In the manufacturing scenarios set forth above, Section 102.21(c)(1) does not provide the relevant country of origin analysis because the subject merchandise is not wholly obtained or produced in a single country.

The girls' cotton jeans are classifiable under subheading 6204.62.4040, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for girls' trousers of blue denim cotton. Accordingly, Section 102.21(c)(2) directs us to paragraph (e) of this section which states, in pertinent part, that origin is conferred in the following situations:

6201-6208 (1) If the good consists of two or more component parts, a change to an assembled good of heading 6201 through 6208 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory, or insular possession.

The subject garment consists of more than two component parts. Section 102.21(c)(2) is inapplicable, however, because the subject garment undergoes assembly in more than one country in both manufacturing scenarios presented to this office. Accordingly, our hierarchical application of Section 102.21(c) continues.

Section 102.21(c)(3) does not provide the relevant country of origin analysis inasmuch as the subject garment is not a knit to shape good and, as stated above, it is not assembled in a single country, territory, or insular possession.

The relevant analysis in the instant case is provided by Section 102.21(c)(4), cited supra, which looks to the country, territory, or insular possession in which the most important assembly or manufacturing process occurred as conferring origin. In Scenario 1, the most important assembly takes place in Country B as it is in this country that the majority of the garment is assembled to completion. In the case of Scenario 2, the most important assembly takes place in Country A as the majority of the garment is assembled to completion in this country.

HOLDING:

The country of origin of the girls' jeans in Scenario 1 is Country B pursuant to Section 102.21(c)(4).

The country of origin of the girls' jeans in Scenario 2 is Country A pursuant to Section 102.21(c)(4).

The holding set forth above applies only to the specific factual situation and merchandise identified in the ruling request. This position is clearly set forth in section 19 CFR 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.

Should it be subsequently determined that the information furnished is not complete and does not comply with 19 CFR 177.9(b)(1), the ruling will be subject to modification or revocation. In the event there is a change in the facts previously furnished, this may affect the determination of country of origin. Accordingly, if there is any change in the facts submitted to Customs, it is recommended that a new ruling request be submitted in accordance with 19 CFR 177.2.

Sincerely,

John Durant, Director
Tariff Classification Appeals

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