HQ 960515 - Country of origin determination for insulated cooler bag; 19 CFR Section 102.21(c)(2); tariff shift - United States International Trade Commision Rulings

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 > 1998 HQ Rulings > HQ 960513 - HQ 960622 > HQ 960515

Previous Ruling Next Ruling
HQ 960515

October 26, 1998
CLA-2 RR:CR:TE 960515 jb

CATEGORY: CLASSIFICATION

Inco Industrial Corporation
10-5 Fl.
Sun Plaza Building No. 57
Fu-hsing, North Road
Taipei, Taiwan
R.O.C.

RE: Country of origin determination for insulated cooler bag; 19 CFR Section 102.21(c)(2); tariff shift

Dear Sir:

This is in reply to your letter dated April 18, 1997, requesting a country of origin determination for an insulated cooler bag, referenced style LB 1619, made of man-made textile materials of nylon yarns, with an outer surface of man-made textile materials. The bag features two carry handles, an over the shoulder strap, and the trade name "Marlboro" on the front panel.

The manufacturing operations for the subject merchandise are as follows:

Taiwan material is sourced: nylon with PVC backing for outer shell, zipper, PVC leather for the bottom panel, polyester mesh for lid pocket, aluminum foil and PVC sheet for lining, decorative embroidery patch for front panel, polypropylene webbing for the straps fabric is cut into component pieces panels for main body of the bag are joined together: front, back, bottom with PVC leather panels are sewn with lining, including aluminum foil and PVC sheet inside, in addition there is one partition made of PVC sheet and aluminum foil to divide the inside into two compartments, zipper is sewn to form an empty tube (with no side panels), decorative embroidery patch is sewn onto front panel polypropylene webbing strap handles are sewn onto main body of bag polypropylene webbing shoulder straps are cut and sewn onto main body of bag lid is combined with two pieces of nylon that also have aluminum foil, PVC sheet and cardboard lining polyester mesh pocket is sewn on the lid

China lid and body panels are sewn together loose threads are cut packing into polybags

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". For purposes of the tariff, the subject insulated cooler bag, which is made of man-made textile materials with an outer surface of textile materials, is classified in subheading 6307.90, Harmonized Tariff Schedule of the United States (HTSUS).

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":

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.

As the fabric-making process for the subject merchandise occurs in Taiwan, the country of origin of the subject merchandise is Taiwan.

HOLDING:

The country of origin of the subject insulated cooler bag, referenced style number LB 1619, is Taiwan, the country in which the fabric making process 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 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
Commercial Rulings Division

Previous Ruling Next Ruling