HQ 560676 - 19 CFR 102.21, 19 CFR 134.46 - United States International Trade Commision Rulings

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HQ 560676

January 5, 1998

CLA-2 RR:TC:SM 560676 KSG

CATEGORY: MARKING

Mr. Michael Wu
Wondertex
Room 1005, No. 205
Section 1
Tung Hwa S. Road
Taipei, Taiwan
R.O.C.

RE: 19 CFR 102.21, 19 CFR 134.46

Dear Mr. Wu:

This is in response to your letter of September 26, 1997, asking if imported fabric table cloths, fabric shower curtains, and fabric window curtains can be marked "fabric made in Taiwan, cut and sewn in China."

FACTS:

For the purposes of this ruling letter, we will assume that the fabric for all the above goods is formed in Taiwan and cut and sewn in China.

ISSUE:

Whether imported fabric table cloths, shower curtains, and window curtains can be marked "fabric made in Taiwan, cut and sewn in China."

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 (or its container) 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.

Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304.
Section 334 of the Uruguay Round Agreements Act ("Section 334")provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996. Section 102.21, Customs Regulations (19 CFR 102.21) implements section 334. Pursuant to 19 CFR 102.21, 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) (copy attached).

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 appears not to be wholly obtained or produced in a single country, territory, or insular possession, 19 CFR 102.21(c)(1) 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." Table cloths are classified in heading 6302, HTSUS, and both window and shower curtains are classified in heading 6303, HTSUS. Section 102.21(e) states that for goods classified in headings 6301-6306, HTSUS, the country of origin is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process. Therefore, if the fabric was formed in Taiwan, the country of origin of all the above products would be Taiwan. Pursuant to 19 U.S.C. 1304, all the goods would have to be marked to indicate that the country of origin is Taiwan.

You inquire whether the marking "Fabric made in Taiwan, cut and sewn in China" would be acceptable for the fabric window curtains, shower curtains, and table cloths. Section 134.46, Customs Regulations
(19 CFR 134.46), as amended, provides that in any case in which the words "United States," or "American," the letters "U.S.A.," any variation of such words or letters, or the name of any city or location in the United States, or the name of any foreign country or locality in which the article was manufactured or produced appear on an imported article or its container and those words, letters or names may mislead or deceive the ultimate purchaser as to the actual country of origin of the article, there shall appear legibly and permanently in close proximity to such words, letters or name, and in at least a comparable size, the name of the country or origin preceded by "Made in," "Product of," or other words of similar meaning.

We find that the marking "fabric made in Taiwan, cut and sewn in China" may mislead or deceive the ultimate purchaser as to the actual country of origin of the finished good. The purpose of 19 CFR 134.46 is to prevent the possibility of misleading or deceiving the ultimate purchaser as to the actual origin of the imported article. In this case, the country of origin of the goods would be Taiwan. The marking you proposed would not be acceptable because it merely indicates that the fabric- as opposed to the finished good- is made in Taiwan. However, if you wish to mark the goods "Made in Taiwan, cut and sewn in China", the marking requirements of 19 U.S.C. 1304 and 19 CFR 134.46 would be satisfied.

HOLDING:

The marking "fabric made in Taiwan, cut and sewn in China" would not satisfy the country of marking requirements set forth in 19 U.S.C. 1304 and 19 CFR Part 134.

Sincerely,

John Durant, Director
Commercial Rulings Division

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