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HQ 959850




September 1, 1997
CLA-2 RR:TC:TE 959850 jb

CATEGORY: CLASSIFICATION

Port Director
U.S. Customs
2831 Talleyrand Ave.
Jacksonville, Florida 32206

RE: Internal Advice; Country of origin determination for men's suit-type jacket components; 19 CFR Section 102.21(c)(2); tariff shift; 102.21(c)(4); country in which the most important assembly or manufacturing process occurs

Dear Sir:

This is in reply to your letter, dated October 2, 1996, requesting internal advice for a country of origin determination for men's suit type jacket components made of 100 percent worsted wool which will be imported into the United States. Samples were submitted to this office for examination. The manufacturing operations for the merchandise at issue are as follows:

UNITED STATES fusible material (hereinafter, "interlining") of U.S. origin is cut into pieces for assembly into two front pieces of jacket interlinings are shipped to United States Insular Possession

UNITED STATES INSULAR POSSESSION foreign shell fabric is cut into garment pieces (including two front jacket pieces) interlinings of two front jacket pieces are joined to two front pieces of shell fabric to form completed front jacket components fused front jacket components are packed in one box, back of the jackets are packed in a second box, and all remaining pieces are packed in a third box; boxes are packed in containers and shipped to the U.S. and used in the production of suit-type jackets.

ISSUE:

What is the country of origin of the submitted 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Section 334 of that Act (codified at 19 U.S.C. 3592) provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996.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). 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, 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".

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":

6215-6217 (1) If the good consists of two or more component parts, a change to an assembled good of heading 6215 through 6217 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 6215 through 6217 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.

General Rule of Intepretation 2(a) states:

Any reference in a heading to an article shall be taken to include a reference to that article incomplete or unfinished, provided that, as entered, the incomplete or unfinished article has the essential character of the complete or finished article. It shall also include a reference to that article complete or finished (or falling to be classified as complete or finished by virtue of this rule), entered unassembled or disassembled.

GRI 2(a) establishes a two pronged rule for classification purposes. Thus, prior to making a classification determination for this particular garment, the following is required as per GRI 2(a): 1) the incomplete or unfinished garment must have the essential character of the completed or finished garment based on some assembly operation that has been done to the garment; or 2) a sufficient number or type of elements should be present to constitute a substantially complete but unfinished product at the time of importation. With respect to the second prong, that is, that a sufficient number or type of elements be present at the time of importation, the Explanatory Notes to the Commodity Description and Coding System (EN) to GRI 2(a) state, in pertinent part:

(VII) For the purposes of this Rule, "articles presented unassembled or disassembled" means articles the components of which are to be assembled either by means of fixing devices (screws, nuts, bolts, etc.) or by riveting or welding, for example, provided only assembly operations are involved.

No account is to be taken in that regard of the complexity of the assembly method. However, the components shall not be subjected to any further working operation for completion into the finished state.

Thus, the EN make clear that all other operations other than assembly, such as cutting, shaping or trimming, are precluded. Simply stated, the subject merchandise can be deemed to have the essential character of a jacket only if some significant assembly operations have taken place joining some of the components of the jacket together, or if a sufficient number or type of elements required for the finished product are present at the time of importation. Neither prong is satisfied in the case of the subject merchandise. In addressing the first prong, we find that at the time of importation there are insufficient assembly operations performed on the different components to warrant finding the essential character as a jacket. In HQ 088367, dated November 1, 1991, addressing the classification of unassembled pant components, we stated:

...the trouser pieces are not unassembled trousers. Customs does not require that all the pieces be present before we classify merchandise as "unassembled", but the term does imply that a sufficient number or type of elements be present to constitute a substantially complete but unfinished product.... A significant number of additional pieces or parts must be provided in the United States before the completed trousers may be assembled, among them pockets, the waist band, the zipper and the thread....

Although at the time of importation the subject merchandise is comprised of most of the jacket components, the linings are not present. It is the opinion of this office that similar to the elements which were not present in the men's trousers stated above, the lining on the subject men's suit-type jacket is the type of element which is critical to that garment and completes its tailored identity. As such, as the linings for these jackets are not present at the time of importation, the terms of the second prong are not met.

As such, it is the opinion of this office that the subject merchandise consists of three separate units each consisting of a garment part (the fused components of the front jacket pieces, the backs and the remaining pieces of the jacket), classifiable in heading 6217, Harmonized Tariff Schedule of the United States (HTSUS). Of these three units, only the fused components of the front jacket meet the terms of the tariff shift. Thus, as the fused front jacket pieces consist of two or more component parts, and the good was wholly assembled in a single country, the country of origin of the fused components of the front jacket is the United States Insular Possession. Finally, the backs and the remaining pieces of the jacket do not meet the terms of the tariff shift because no assembly occurs.

Paragraph (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 remaining merchandise is not knit to shape and no assembly operations occur, paragraph (c)(3) is inapplicable.

Paragraph (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 garment pieces consisting of the backs and the remaining pieces of the unassembled jacket, the most important manufacturing process occurs at the time of the fabric making. Accordingly, with respect to the backs and the remaining pieces of the jacket, the country of origin is the country where the fabric making occurs.

HOLDING:

The country of origin of the fused front pieces of the jacket is the United States Insular Possession.

The country of origin of the backs and the remaining pieces of the unassembled jacket is the country in which the fabric making occurs.

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 may 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 the Internal Advice requestor obtain a new ruling in accordance with 19 CFR 177.2.

Sincerely,

John Durant, Director

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