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HQ 960765




November 1, 1997
CLA-2 RR:TC:TE 960765 jb

CATEGORY: CLASSIFICATION

Jack Gumpert Wasserman, Esq.
Wasserman, Schneider & Babb
90 John Street
New York, NY 10038

RE: Country of origin determination for men's suit jacket and suit-type jacket components; GRI 2; 19 CFR Section 102.21(c)(2); tariff shift

Dear Mr. Wasserman:

This is in reply to your letter dated July 16, 1997, requesting a country of origin determination for men's suit jacket and suit-type jacket components made of 100 percent worsted wool which will be imported into the United States. The manufacturing operations for the merchandise at issue are as follows:

UNITED STATES INSULAR POSSESSION foreign shell fabric and fusible materials are received generate cutting ticket and "pick" list spread fusible materials and cut into pieces spread fabrics and rough cut into pieces for suit jackets and suit-type jackets (you indicate that plaid and striped fabrics require hand alignment and pinning to ensure matching of patterns; the pieces are not fungible and, from this point forward, each piece and each component is dedicated to a specific garment) rough cut collar, flaps, breast welt and other small parts hand-tailor major components (you indicate that pieces cut from striped and plaid fabrics are matched as to pattern, pinned, and fine shaped by hand)
"Soabar" all components ( i.e., using a Soabar machine, each component is identified to a particular garment) match as to pattern, pin and die cut collar, flaps, breast welt and other small parts; assemble chest piece by fusing shell fabric cut-piece and fusible material which has been cut to shape assemble left and right jacket front pieces by fusing shell fabric cut pieces and fusible material cut-pieces assemble upper and under sleeves by fusing shell fabric cut pieces and fusible material cut pieces assemble facings and collar by fusing shell fabric cut pieces and fusible material cut pieces assemble flaps by fusing shell fabric cut pieces and fusible material cut pieces assemble remaining components by fusing
Soabar collars, flaps and breast welts the components of each jacket are bundled together with appropriate documentation, packed and exported to the United States

UNITED STATES components are assembled into the completed suit jackets and suit-type jackets

You state that the imported components will represent virtually all the components of the completed or finished jacket and the only components not present at the time of importation would be the components made from the non-visible lining fabric and minor parts.

Additionally, we note that although you indicate in your letter that all of the parts will have fusible interlinings, there are several miscellaneous pieces which lack these fusible interlinings and thus consist only of cut pieces.

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 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.

General Rule of Interpretation 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. If either prong is satisfied, the terms of the note are satisfied.

With respect to the first prong, 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. 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. Although the different outershell panels are fused to the respective interlinings, there are no subassemblies of any of the outer shell panels to other outer shell panels. This "outershell to outershell" subassembly is critical to creating the identity of the garment. Consequently, we find the absence of such a subassembly detracts from a finding of essential character as a jacket.

In addressing 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. We refer you to HQ 088367, dated November 1, 1991, which in addressing the classification of unassembled pant components, 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 the linings for these jackets are not present at the time of importation, the terms of the second prong are also not met. Accordingly, it is the opinion of this office that the subject merchandise consists of garment parts classifiable in heading 6217, Harmonized Tariff Schedule of the United States (HTSUS).

In the case of the garment pieces which feature the fusible interlinings, as those components consist of two or more component parts and assembly occurs in a single country, territory or insular possession, the country of origin is conferred in the country in which those operations occurred, that is, the United States Insular Possession.

The miscellaneous garment pieces however, which lack the fusible interlinings, do not meet the terms of the tariff shift because no assembly occurs. As such, we proceed to paragraph (c)(3). 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 remaining miscellaneous garment pieces, the most important manufacturing process occurs at the time of the fabric making. Accordingly, the country of origin is the country where the fabric making occurs.

HOLDING:

The country of origin of the garment parts of heading 6217, HTSUS, with fusible interlinings, is the United States Insular Possession.

The country of origin of the miscellaneous garment parts with no fusible interlinings, is the country where 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 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

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