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NY E88374




December 6, 1999

CLA2-61:RR:NC:TA:359 E88374

CATEGORY: CLASSIFICATION

Messrs. Frank J. Desiderio and Harold I. Loring Grunfeld, Desiderio, Lebowitz & Silverman LLP 245 Park Avenue, 33rd Floor
New York, NY 10167-3397

RE: Classification and country of origin determination for a woman’s knitted pullover; 19 CFR 102.21(c)(4)

Dear Messrs. Desiderio and Loring:

This is in reply to your letter dated October 21, 1999 (your reference, 99-2901-10(26)I), submitted on behalf of your client, Greatwind Int’l, Ltd., Jersey, the Channel Islands, England, JE4 5PS, requesting a classification and country of origin determination for a woman’s knitted pullover which will be imported into the United States.

FACTS:

The subject merchandise consists of a woman’s knitted pullover which consists of 100% cotton fibers. Its knitted fabric has more than nine stitches per two centimeters, measured in the direction in which the stitches were formed. The pullover extends from the wearer’s neck and shoulders to below her waist. It features a horseshoe neckline which is capped, short sleeves finished with stitching and a tubular, hemmed bottom. There are full-fashion marks at the joining point of the sleeves and the body of the pullover. The sides are somewhat shaped and flared towards the bottom. The Style Number is 247214 and the United States importer will be Tommy Hilfiger Sportswear, Inc.

In addition to the sample of the pullover, you have submitted the component knitted panels from which the pullover is assembled. The panels show the following characteristics:

A) Front panel –
- self start tubular bottom
- self-finished sides
- contoured-to-shape armhole openings (during the knitting process) - a clear and continuous line of demarcation at the neck to indicate where the neckline should be cut out;

B) Back panel –
- same as above except that the line of demarcation at the neck is not continuous;

C) Sleeve panels –
- self-start ends
- self-finished sides which are contoured to shape during the knitting process.

The sample of the pullover and its component panels are returned as requested.

The manufacturing operations for the pullover are as follows:

- the front and back panels are knitted in Japan; - the short sleeves are knitted in China; - the component panels are assembled in China.

All four of these panels are considered knit-to-shape panels for the purpose of determining the country of origin of the submitted pullovers.

ISSUE:

What are the classification and country of origin of the subject merchandise?

CLASSIFICATION:

The applicable subheading for the woman’s knitted pullover will be 6110.20.2075, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for sweaters, pullovers, knitted or crocheted: of cotton: other, other, other, women’s. The rate of duty will be 18.6% ad valorem. In the year 2000 the rate of duty will be 18.2% ad valorem.

The pullover falls within textile category designation 339. The designated textile and apparel categories and their quota and visa status are the result of international agreements that are subject to frequent renegotiations and changes. To obtain the most current information, we suggest that you check, close to the time of shipment, the U.S. Customs Service Textile Status Report, an internal issuance of the U.S. Customs Service, which is available at the Customs Web Site at WWW.CUSTOMS.USTREAS.GOV. In addition, the designated textile and apparel categories may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected and should also be verified at the time of shipment.

COUNTRY OF ORIGIN - 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 of the foreign materials 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) in pertinent part 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":

HTSUS Tariff shift and/or other requirements

6110.20.2075 If the good is knit to shape, a change to heading 6101 through 6117 from any heading outside that group, provided that the knit-to-shape components are knit in a single country, territory or insular possession

Section 102.21(e) states that there must be a classification change to headings 6101 through 6117 from another heading outside of that grouping; however, the classification of the pullover (heading 6110) and its component panels (heading 6117) both occur within the designated grouping. Accordingly, as the pullover does not meet the tariff shift requirement, Section 102.21(c)(2) is inapplicable.

Section 102.21(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.

As the subject merchandise is knit to shape but not knit to shape in a single country, Section 102.21 (c)(3) is inapplicable.

Section 102.21 (c)(4) states, "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 subject merchandise, the knitting to shape of two of the three major panels in Japan constitutes the most important assembly process. Accordingly, the country of origin of the woman’s knitted pullover is Japan.

HOLDING:

The country of origin of the woman’s knitted pullover is Japan. Based upon international textile trade agreements products of Japan are not subject to quota restraints but do require a visa.

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 sections states that a ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.

This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). 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.

A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Mike Crowley at 212-637-7077.

Sincerely,

Robert B. Swierupski
Director,

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