HQ 560095 - Country of origin marking of imported men's suits and suit-type jackets; 19 CFR 102.21; 19 CFR 134.43; T.D. 95-69; T.D. 96-48 - United States International Trade Commision Rulings

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HQ 560095

January 27, 1997

MAR-2-05 RR:TC:SM 560095 DEC

CATEGORY: MARKING

Mr. Thomas Caldecot Chubb III
Oxford Industries, Incorporated
222 Piedmont Avenue, NE
Atlanta, Georgia 30308

RE: Country of origin marking of imported men's suits and suit-type jackets; 19 CFR 102.21; 19 CFR 134.43; T.D. 95-69; T.D. 96-48

Dear Mr. Chubb:

This is in response to your letter dated September 20, 1996, requesting a ruling regarding acceptable country of origin marking of men's suits and suit-type jackets.

FACTS:

Oxford Industries, Incorporated (Oxford), through its Lanier Clothes Division, intends to import men's suits and suit-type jackets. For purposes of this ruling, you state that the garments are produced in Colombia from U.S. fabric and trim items supplied by Oxford. You state that the fabric will be sent to Colombia where it will be cut into ready-to-sew components. The fabric components will then be sewn together with the trim items to form suits and suit-type jackets. Oxford intends to mark the country of origin label "Made in Colombia of U.S. Fabric."

ISSUE:

Whether the garments described above may be marked "Made in Colombia of U.S. Fabric."

LAW AND ANALYSIS:

Section 304 of the Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that unless excepted, every article of foreign origin imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly, and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article. Congressional intent in enacting 19 U.S.C. 1304 was "that the ultimate purchaser should be able to know by an inspection of the marking on the imported goods the country of which the goods is the product. The evident purpose is to mark the goods so that at the time of purchase the ultimate purchaser may, by knowing where the goods were produced, be able to buy or refuse to buy them, if such marking should influence his will." United States v. Friedlander & Co., 27 C.C.P.A. 297 at 302; C.A.D. 104 (1940).

On December 8, 1994, the President signed into law the Uruguay Round Agreements Act. Section 334 of that Act provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996. On September 5, 1995, Customs published Section 102.21, Customs Regulations, in the Federal Register, implementing Section 334 (60 FR 46188) (T.D. 95-69). Thus, effective July 1, 1996, the country of origin of a textile or apparel product shall be determined by sequential application of the general rules set forth in paragraphs (c)(1) through (5) of Section 102.21.

Paragraph (c)(1) states that "The country of origin of a textile or apparel product is the single country, territory, or insular possession in which the good was wholly obtained or produced." As the subject merchandise is not wholly obtained or produced in a single country (fabric and trim from the U.S. and sewn together in Colombia), territory or insular possession, paragraph (c)(1) of Section 102.21 is inapplicable.

Paragraph (c)(2) states that "Where 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". For purposes of this ruling, we are assuming that the subject merchandise, men's suit and suit-type jackets, are classified in heading 6203, Harmonized Tariff Schedule of the United States (HTSUS). Section 102.21(e) states that "The following rules shall apply for purposes of determining the country of origin of a textile or apparel product under paragraph (c)(2) of this section":

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.

(2) If the good does not consist of two or more component parts, a change to heading 6201 through 6208 from any heading outside that group, except from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809 through 5811, 5903, 5906 through 5907, and 6217, and subheading 6307.90, and provided that the change is the result of a fabric-making process.

Assuming the men's suits and suit-type jackets consist of two or more component parts, the country of origin of the men's suits and suit-type jackets will be the single country where the article will be wholly assembled. Therefore, based on the information provided, Colombia will be the country of origin of the men's suits and suit-type jackets for country of origin marking purposes.

Additionally, it is stated that the fabric from which the various garments are assembled is made in the U.S. While you have not provided the tariff classification of the fabric you claim to be of U.S. origin, it appears that the origin of the fabric to be used will be the country where the fabric-making process occurs which is defined as "any manufacturing operation that begins with polymers, fibers, filaments (including strips), yarns, twine, cordage, rope, or fabric strips and results in a textile fabric." 19 CFR 102.21(b)(2). Accordingly, fabric woven or knit in the U.S. will be considered to be of U.S.-origin.

Effective August 5, 1996, section 134.43(e), Customs Regulations (19 CFR 134.43(e)), was amended and now provides that:

[w]here an article is produced as a result of an assembly operation and the country of origin of such article is determined under this chapter to be the country in which the article was finally assembled, such article may be marked, as appropriate, in a manner such as the following:

(1) Assembled in (country of final assembly); (2) Assembled in (country of final assembly) from components of (name of country or countries of origin of all components); or
(3) Made in, or product of, (country of final assembly).

See 61 FR 28980 (T.D. 96-48). In addition to amending section 134.43(e), Customs also deleted section 102.14 in the same document (see 61 FR 28955). The use of the country of origin markings set forth in section 134.43(e) are appropriate when the origin of assembled goods is the country where the final assembly occurs. Since the subject garments are finally assembled in Colombia, the country of origin of such garments is determined under 19 CFR 102.21 to be Colombia, and if, as you state, the fabric components from which the garments are made are entirely of U.S.-origin, the garments may be marked "Assembled in Colombia of U.S. Fabric."

HOLDING:

The country of origin marking "Made in Colombia of U.S. Fabric" to designate the country of origin of imported men's suits and suit-type jackets described above satisfies the marking requirements of 19 U.S.C. 1304, provided that the country of origin of the garments is Colombia, the country of origin of the fabric is the U.S., and the marking is permanent, conspicuous and legible.

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.

A copy of this ruling letter should be attached to the entry documents filed at the time the goods are entered. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.

Sincerely,

John Durant, Director

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