United States International Trade Commision Rulings And Harmonized Tariff Schedule
faqs.org  Rulings By Number  Rulings By Category  Tariff Numbers
faqs.org > Rulings and Tariffs Home > Rulings By Number > 1997 HQ Rulings > HQ 960091 - HQ 960322 > HQ 960178

Previous Ruling Next Ruling
HQ 960178




February 10, 1997

CLA-2 RR:TC:TE 960178 RH

CATEGORY: CLASSIFICATION

TARIFF NOS.: 6304.92.0000; 6304.93.0000; 6304.99.6020

Ms. Laura Denny
Customs Broker
CBT International, Inc.
Suite 728
110 West Ocean Blvd.
Long Beach, CA 90802

RE: Table skirt; table valance; table linen; heading 6307; heading 6304; country of origin; marking; Section 102.21; Article 509; NAFTA; tariff shift

Dear Ms. Denny:

This is in reply to your letter of December 18, 1996, on behalf of your client, Vail Wire & Steel Fabricating, Inc., requesting advice on the classification, country of origin and marking of a fabric skirt for a table.

We note that although manufacturing operations occur in Mexico, you have not asked us to address the applicability of the North American Free Trade Agreement (NAFTA) in this letter. If you later decide that you would like us to address NAFTA issues, you may submit another ruling request.

We examined the sample merchandise forwarded with your letter.

FACTS:

The merchandise under consideration is a fabric skirt for a table which you refer to as a "table bunting." It is used as "decorative advertising" at trade shows and by department stores or cruise lines to promote a particular article or company.

The fabric for the table skirt is made of cotton, acetate or polyester. It is imported into Mexico from India, Indonesia, Korea or the United States. For purposes of this ruling, we assume that the fabric is also woven in the country from which it is exported to Mexico. In Mexico, the fabric is sewn and assembled into a table skirt, and the logo "peebles" is silkscreened onto the fabric.

You contend that the table skirt is classifiable under subheading 6307.90.99 of the Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for other made up textile articles.

Additionally, you state that the table skirt is used only by the "ultimate purchaser" as an advertising or display feature at trade shows and by department stores or cruise lines, and, therefore, marking the individual box in which it is imported would be sufficient to satisfy the country of origin marking requirements. You also state that the table skirt is not sold at retail. We assume that Vail Wire & Steel Fabricating, Inc., is the company using the table skirt as advertising or as a display feature.

ISSUE:

What are the classification and country of origin of the table skirt, and how must it be marked upon importation into the United States?

LAW AND ANALYSIS:

Classification of goods under the HTSUSA is governed by the General Rules of Interpretation (GRIs). GRI 1 provides that classification shall be determined according to the terms of the headings and any relative section or chapter notes.
Heading 6307 provides for other made up textile articles.

The Harmonized Commodity Description and Coding System Explanatory Notes (EN), while not legally binding, are recognized as the official interpretation of the Harmonized System at the international level. The EN to Chapter 63, state that heading 6307 covers, among other things, flags, pennants and banners, including bunting for entertainment galas or other purposes. You contend that the article in question is a "table bunting (fabric skirt for a table)."

We disagree that the article is a "table bunting." Fairchild's Dictionary of Textiles, 7th Edition, describes bunting as follows:

A cotton or worsted fabric with a plain, open weave that is similar to cheesecloth and scrim. It is dyed in the piece and used for flags, decorations, and industrial purposes . . . Synonym: BANNER CLOTH. . . .

Although the article in question is decorative and bears a motto, it is not a banner. As stated in your own words, it is a "decorative skirt for a table." Fairchild's Dictionary of Home Furnishings, defines "skirt" as: "(1) A length of cloth used to conceal the base or legs of a TABLE (Sec I) or DRESSING TABLE (Sec. I), hanging from its top edge to the floor. . . ."

Moreover, The New World Dictionary, Second College Edition, defines valance as: "A short drapery or curtain hanging from the edge of a bed, shelf, table, etc., often to the floor."

There is not a tariff provision that specifically provides for a table skirt or table valance. Thus, the table skirt or table valance is classifiable under heading 6304, HTSUSA, which provides for other furnishing articles, excluding those of heading 9404, HTSUSA. The EN to heading 6304 state, in part, that furnishing articles include such things as textile materials for use in the home, public buildings, theaters, churches, etc., and include such items as wall hangings, loose covers for furniture, table covers and valances.

Depending on the fabric used, the table skirt or table valance is classifiable under subheading 6304.92.0000 (of cotton), 6304.93.0000 (of polyester) or 6304.99.6020 (of acetate).

Briefly, although you do not raise the issue in your letter, we note that the table skirt or table valance is not classifiable in heading 6302, HTSUSA, which encompasses, among other things, table linen. Table linen is defined as "tablecloths, napkins, etc. used in setting a table." See, Headquarters Ruling Letter (HQ) 086701, dated October 31, 1990.

Country of Origin

On September 5, 1995, Customs published in the Federal Register (60 FR 46188) T.D. 95-69 which set forth final amendments to the Customs Regulations to implement the provisions of section 334 (b) of the Uruguay Round Agreements Act ("the Act"), Public Law 103-465, 108 Stat. 4809, codified at 19 U.S.C. 3592, regarding the country of origin of textile and apparel products. These final regulations apply to goods entered, or withdrawn from warehouse, for consumption on or after July 1, 1996. The regulatory provisions in T.D. 95-69 that implement the basic origin principles of section 334(b) of the Act are contained in 102.21 of the Customs Regulations (19 CFR 102.21).

The final rule for determining country of origin of a good for purposes of Annex 311 of the NAFTA was published by Customs on June 6, 1996, in the Federal Register (61 FR 28932). Therein it was stated, in pertinent part:

New ?102.21 was modeled on the approach taken in the interim Part 102 texts as published in T.D. 94-4 and thus incorporates a general statement of applicability (paragraph (a)), various definitions (paragraph (b)), general origin rules (paragraphs (c) and (d)), and specific tariff shift and/or other requirements (paragraph (e)) that apply under the second general rule. Of particular note for purposes of the present document is the definition of "textile or apparel product" in ?102.21(b)(5) which delineates the class of goods covered by the ?102.21 rules. That definition identifies those goods with reference to classification in the HTSUS and refers to Chapters 50 through 63 (that is, all of Section XI) of the HTSUS as well as to specific headings and 6-, 8- or 10-digit subheadings of the HTSUS that fall outside Section XI. Thus, if a good is classifiable in an HTSUS provision listed in
?102.21(b)(5), precedence must be given to the ?102.21 rules over any other regulatory provision with regard to that good, including any origin rules contained elsewhere in part 102.

Accordingly, as the table skirt or table valance is classifiable in heading 6304, textile articles identified by Section 102.21(b)(5), the Section 102.21 rules take precedence over any other rules of origin to determine the appropriate country of origin.

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." The table skirt or table valance is neither wholly obtained nor produced in a single country, territory or insular possession and, therefore, Section 102.21(c)(1) is not applicable to that article.

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."

Paragraph (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":

6301-6306..... The country of origin of a good classifiable under heading 6301 through 6306 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.

The fabric in question is imported into Mexico from India, Indonesia, Korea or the United States. As stated previously, we assume that the fabric is also made in the country that exports it to Mexico. Therefore, pursuant to Section 102.21, the country of origin of the table skirt or table valance is India, Indonesia or Korea, depending on which country manufactures the fabric.

There is an exception, however, for products from the United States that are sent abroad for processing. Section 12.130(c), Customs Regulations, provides that any product of the United States which is returned after having been advanced in value or improved in condition abroad, or assembled abroad, shall be a foreign article.

Section 12.130 which remains in effect was originally intended to be used to determine the country of origin of textiles and textile products for quota/visa requirements. In Treasury Decision ("T.D.") 90-17, issued February 23, 1990, Customs announced a change in practice and position. This change resulted in Customs using Section 12.130 for quota, duty, and marking purposes when making country of origin determinations for textile goods. Therefore, if the fabric is made in the United States, the country of origin of the table skirt or table valance is Mexico for quota, marking, and duty purposes.

MARKING

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.

The "ultimate purchaser" is defined in section 134.1(d), Customs Regulations
(19 CFR 134.1(d)), as the last person in the United States who will receive the article in the form in which it was imported.

Under section 134.32(f) Customs Regulations, (19 CFR 134.32(f)), articles imported for use by the importer and not intended for sale in their imported or any other form are excepted from the country of origin marking requirements.

In this case, provided Vail Wire & Steel Fabricating, Inc., is the importer and does not intend to resell the table skirt or table valance, it will be excepted from marking. Although the box in which the table skirt or table valance is packaged may be marked as you propose, such marking is not required. See, 19 CFR 134.24(d)(1). If, however, your client intends to sell the table skirt or table valance to a third party, regardless of whether or not it will be sold at retail, it (the table skirt/valance) must be marked with the country of origin.

While we have determined that, if the table skirt or table valance is used as described above, it is excepted from country of origin marking under 19 CFR 134.32(f), other marking requirements may apply under the Textile Fiber Products Identification Act (15 U.S.C. 70 et. seq.), which is administered by the Federal Trade Commission. We suggest that you contact that agency at 6th and Pennsylvania Avenue, N.W., Washington, D.C. 20508, concerning the applicability of the requirements of this statute to the products to be imported.

HOLDING:

The table skirt or table valance is classifiable under either subheading 6304.92.0000 (of cotton), 6304.93.0000 (of polyester) or 6304.99.6020 (of acetate). The duty rate of the cotton table shirt or table valance is 6.9 percent ad valorem, and the textile category is 369. If it is made of polyester, the duty rate is 10.2 percent ad valorem, and the textile category is 666. Finally, if it is made of acetate, the duty rate is 5.4 percent ad valorem, and the textile category is 666.

The country of origin of the table shirt or table valance is India, Indonesia or Korea, depending on which country manufactures the fabric. If the fabric is manufactured in the United States, the country of origin is Mexico. As long as the district director at the port of entry is satisfied that the table skirt or table valance will be used only in the manner described above, it qualifies for the country of origin marking exception set forth in 19 CFR 134.32(f) and, as such, the table skirt or table valance does not need to be marked to indicate its country of origin.

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

Previous Ruling Next Ruling

See also: