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HQ 959980




December 20, 1996

CLA-2 RR:TC:TE 959980 jb

CATEGORY: CLASSIFICATION

Christy Laufman
Fritz Companies, Inc.
1201 C Street NW
Auburn, WA 98001

RE: Country of origin determination for loop strap; Section 102.21(c)(5); last country in which an important assembly or manufacturing process occurs

Dear Ms. Laufman:

This is in reply to your letter dated November 14, 1996, requesting a country of origin determination for a loop strap which will be imported into the United States.

FACTS:

The subject merchandise consists of a loop strap for a golf bag. It is used as a second shoulder strap, providing additional support and balance of weight, and attaches to the middle of the golf bag. The manufacturing operations are as follows:

UNITED STATES

- velour fabric is formed;
- plastic loop spreader is sourced;
- Toughtex is sourced.

TAIWAN

- nylon fabric is formed.

HONG KONG, CHINA, or TAIWAN

- webbing, hook and loop type fasteners and foams are sourced.

JAPAN

- plastic components, i.e., side locks, D-rings and triglide are sourced.

CHINA

- cutting;
- complete assembly.

ISSUE:

What is the country of origin of the subject merchandise?

LAW AND ANALYSIS:

On December 8, 1994, the President signed into law the Uruguay Round Agreements Act. Section 334 of that Act (codified at 19 U.S.C. 3592) provides new rules of origin for textiles and apparel entered, or withdrawn for consumption, on and after July 1, 1996.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). 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 (c)(5) of Section 102.21.

Section 102.21(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, Section 102.21(c)(1) is not applicable.

Section 102.21(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."

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":

6307.90 The country of origin of a good classifiable under subheading 6307.90 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.

You state that the local Customs office advised you that the subject merchandise is classified in subheading 6307.90.9989, Harmonized Tariff Schedule of the United States (HTSUS). We concur with this classification. Accordingly, as the fabric comprising the subject loop strap is formed in more than one country (the velour and nylon fabrics from the United States and Taiwan, respectively) the merchandise does not meet the terms of the tariff shift.

Section 102.21(c)(3) states that, "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of this section:"

(i) If the good was knit to shape, the country of origin of the good is the single country, territory, or insular possession in which the good was knit; or

(ii) Except for goods of heading 5609, 5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings 6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to shape and the good was wholly assembled in a single country, territory, or insular possession, the country of origin of the good is the country, territory, or insular possession in which the good was wholly assembled.

As the subject merchandise is not knit to shape and subheading 6307.90, HTSUS, is excepted by provision (ii), Section 102.21(c)(3) is inapplicable.

Section 102.21(c)(4) states that, "Where 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 case of the subject merchandise, the most important manufacturing process occurs at the time of the fabric-making. The fabric for the subject loop strap is sourced from more than one country. In the opinion of this office both the velour and nylon fabrics are of equal importance. The velour fabric allows the strap to rest comfortably against the wearer's shoulder and the nylon fabric provides strength to the article. As no one fabric is more important than the other, Section 102.21(c)(4) cannot readily be used to make a determination.

Section 102.21(c)(5) states that, "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2), (3) or (4) of this section, the country of origin of the good is the last country, territory, or insular possession in which an important assembly or manufacturing process occurred." Accordingly, in the case of the subject merchandise China is the last country in which an important assembly occurs.

HOLDING:

The country of origin of the subject loop strap is China.

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 Division

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