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HQ 562073





February 28, 2002

CLA-2 RR:CR:SM 562073 KSG

CLASSIFICATION: classification

Stan Lerman
President
Nicole Miller Men
1407 Broadway
Suite 2018
New York, NY 10018

RE: Eligibility of certain men's shirts for duty-free treatment under the AGOA; subheading 9819.11.21;

Dear Mr. Lerman:

This is in response to your fax of March 19, 2001, in which you described some difficulties that you were having importing shirts from Mauritius under the African Growth and Opportunity Act ("AGOA").

FACTS:

You state that you are having difficulties in obtaining export visas from the government of Mauritius for garments made in Mauritius.

You also asked whether certain men's shirts would be eligible for preferential treatment under the AGOA. Foreign yarn that does not originate in the U.S. or a sub-Saharan African country is woven into fabric in Mauritius. The mill specification sheets that you submitted describe three cloths: athenes-calendered, alisera-emorized, and alisera-microsanded. The fabrics are described as 100% cotton, are classifiable in heading 5208, HTSUS, and have an average yarn number exceeding 135 metric. We assume for the purposes of this ruling that the shirts will be cut and assembled in Mauritius.

ISSUE:

Whether the shirts, manufactured as described above, are eligible for duty-free treatment under the AGOA.

LAW AND ANALYSIS:

The export visa matter that you raised is not within the jurisdiction of the U.S. Customs Service. We suggest that you confer with the government of Mauritius to resolve this matter.

You also asked that we rule that certain shirts are eligible for preferential treatment under the AGOA. Title I of the Trade and Development Act of 2000, Pub. L 106-200, 114 Stat. 251, May 18, 2000, referred to as the African Growth and Opportunity Act (“AGOA”), seeks to promote trade opportunities between the U.S. and the countries of sub-Saharan Africa. The AGOA provides for the extension of duty-free treatment under the GSP to non-textile articles normally excluded from GSP duty-free treatment that are not import sensitive; and the entry of specific textile and apparel articles free of duty. In order to implement the AGOA, Customs issued Interim Regulations in T.D. 00-67, 65 Fed. Reg. 59668, which became effective October 1, 2000. With regard to the textile and apparel provisions, the law became effective on October 1, 2000, and shall remain in effect through September 30, 2008. See Sec. 112(f), AGOA.

The enhanced trade benefits provided by the AGOA are available to eligible textile and apparel articles imported directly from a country (1) that is designated as a beneficiary sub-Saharan African country and (2) which the U.S. Trade Representative (“USTR”) has determined by a proclamation published in the Federal Register has satisfied the requirements of the AGOA and therefore should be afforded the tariff treatment authorized in such Act. Such countries shall be enumerated in U.S. Note 1, Subchapter XIX, Chapter 98, HTSUS, whenever the USTR issues a Federal Register notice as described herein. See Presidential Proclamation 7350, Annex, dated October 2, 2000, 65 Fed. Reg. 59321.

Mauritius was designated as a beneficiary sub-Saharan African country under AGOA by Presidential Proclamation 7350. The USTR issued a determination finding that Mauritius has adopted an effective visa system and related procedures to prevent unlawful transshipment and the use of counterfeit documents in connection with shipments of textile and apparel articles and has implemented and follows, or is making substantial progress toward implementing and following, the customs procedures required by the AGOA, effective March 7, 2001. See 66 Fed. Reg. 14425, dated March 12, 2001.

Section 112(b)(5)(A) of the AGOA provides:

Apparel articles that are both cut (or knit-to-shape) and sewn or otherwise assembled in one or more beneficiary sub-Saharan African countries, from fabric or yarn that is not formed in the United States or a beneficiary sub-Saharan African country, to the extent that apparel articles of such fabrics or yarns would be eligible for preferential treatment, without regard to the source of the fabric or yarn, under Annex 401 to the NAFTA.

Subheading 9819.11.21, HTSUS, was created for the entry of articles eligible for preferential treatment under section 112(b)(5)(A) (see Presidential Proclamation 7350, dated October 2, 2000, published in the Federal Register on October 4, 2000 (65 Fed. Reg. 59327)). This subheading provides for the duty-free entry of:

Apparel articles both cut (or knit-to-shape) and sewn or otherwise assembled in one or more such countries from fabrics or yarn that is not formed in the United States or a beneficiary country, provided that such apparel articles of such fabrics or yarn would be considered an originating good under the terms of general note 12(t) to the tariff schedule without regard to the source of the fabric or yarn if such apparel article had been imported from the territory of Canada or the territory of Mexico directly into the customs territory of the United States

Based on the facts presented, the fabric for the garments is formed in Mauritius. Mauritius is a beneficiary sub-Saharan African country. As stated above, subheading 9819.11.21, HTSUS, specifies that, in regard to articles cut and assembled in a beneficiary sub-Saharan African country from fabric (as in this case), the fabric must be formed other than in "the United States or a beneficiary sub-Saharan African country." Since the shirts in this case are made of fabric that is formed in Mauritius, the shirts are not eligible for duty-free treatment under subheading 9819.11.21, HTSUS.

HOLDING:

Based on the information provided, the men’s shirts, manufactured as described in this case, are not eligible for preferential treatment under the AGOA.

A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is entered. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.

Sincerely,

John Durant, Director
Commercial Rulings Division


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