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 > 2003 NY Rulings > NY J85575 - NY J85619 > NY J85576

Previous Ruling Next Ruling
NY J85576




June 18, 2003

CLA-2-RR:NC:TA:349 J85576

CATEGORY: CLASSIFICATION

Ms. Joyce E. Jones
American Pacific Enterprises LLC
3901 Gantz Road, Suite A
Grove City, OH 43123

RE: Classification and country of origin determination for duvet covers, pillow shams and decorative pillow/cushion covers; 19 CFR 102.21(c)(5)

Dear Ms. Jones:

This is in reply to your letter dated June 4, 2003, requesting a classification and country of origin determination for duvet covers, pillow shams and decorative pillow/cushion covers which will be imported into the United States.

FACTS:

The subject merchandise consists of duvet covers, pillow shams and decorative pillow/cushion covers. Samples were not submitted. The face or top side of these items will be made from a dyed 100 percent acrylic knit fabric. The back or reverse side will be made from a dyed 65 percent polyester and 35 percent cotton woven fabric. The duvet covers will be sewn on three sides. The open fourth side will have some means of closure. The pillow shams will have an opening on the back. The decorative pillow/cushion covers will be sewn on three sides with a finished opening on the fourth to allow the insertion of a pillow form. The manufacturing operations for the duvet covers, pillow shams and decorative pillow/cushion covers are as follows:

CHINA:
-polyester/cotton blend fabric is woven.
-fabric is shipped to Hong Kong.

HONG KONG:
-acrylic fabric is knit.
-acrylic fabric is cut to size and shape to make the face side of the duvet covers, shams and pillow/cushion covers.
-polyester/cotton fabric is cut to size and shape to make the back of the duvet covers, shams and pillow/cushion covers.
-face panels and back panels are sewn together to create the duvet covers, shams and pillow/cushion covers.
-duvet covers, shams and pillow/cushion covers are packed and shipped.

ISSUE:

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

CLASSIFICATION:

The applicable subheading for the duvet covers will be 6302.10.0020, Harmonized Tariff Schedule of the United States Annotated, (HTSUSA), which provides for bed linen, table linen, toilet linen and kitchen linen: bed linen, knitted or crocheted other. The rate of duty will be 6.2 percent ad valorem.

The applicable subheading for the pillow shams and the pillow/cushion covers will be 6304.91.0040, HTSUSA, which provides for other furnishing articles, excluding those of heading 9404: other: knitted or crocheted of man-made fibers. The rate of duty will be 6.4 percent ad valorem.

The duvet covers, pillow shams and decorative pillow/cushion covers fall within textile category designation 666. 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 Textile Status Report for Absolute Quotas, an internal issuance of the U.S. Customs Service, which is available at the Customs Web Site at www.cbp.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

6301-6306 Except for goods of heading 6302 through 6304 provided for in paragraph (e)(2) of this section, the country of origin of a good classifiable under heading 6301 through 6306 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric making process.

Subheadings 6302.10 and 6304.91 are not included in the paragraph (e)(2) exception to the above tariff shift rules. As the fabrics comprising the duvet covers, pillow shams and pillow/cushion covers are formed in more than one country, Section 102.21(c)(2) is inapplicable for those items.

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; 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 duvet covers, pillow shams and pillow/cushion covers are not knit to shape and headings 6302 and 6304, HTSUSA, are excepted from provision (ii), 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 most important manufacturing process occurs at the time of fabric making. Basing the country of origin determination on the fabric making process as opposed to the assembly process carries out the clear intent of Section 334 as expressed in Section 334 (b)(2) and Part 102.21(c)(3)(ii). The fabric making process of the outer shell of the pillow shams, duvet covers and pillow/cushion covers constitutes the most important manufacturing process. However, the fabrics for these products are sourced in more than one country. As no one fabric is more important than the other, a single country of origin determination cannot be made based on Section 102.21(c)(4).

Paragraph (c)(5) states that "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2), (3) or (4) of this section, the country of origin of the good is the last country, territory or insular possession in which an important assembly or manufacturing process occurred". Accordingly, in the case of the subject duvet covers, pillow shams and decorative pillow/cushion covers, country of origin is conferred by the last country in which an important assembly or manufacturing process occurred, that is, Hong Kong.

HOLDING:

The country of origin of the duvet covers, pillow shams and decorative pillow/cushion covers is Hong Kong. Based upon international textile trade agreements duvet covers from Hong Kong are subject to quota and the requirement of 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 section 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 John Hansen at 646-733-3043.

Sincerely,

Robert B. Swierupski
Director,

Previous Ruling Next Ruling

See also: