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NY J86907




August 21, 2003

CLA2-61:RR:NC:J86907

CATEGORY: CLASSIFICATION

Mr. Bernard Seah
Corporate Manager
Ghim Li Global, Pte., Ltd.
No. 41 Changi South Avenue 2
Singapore 486153

RE: Classification and country of origin determination for women’s knitwear; 19 CFR 102.21(c)(4)

Dear Mr. Seah:

This is in reply to your letter dated July 23, 2003, requesting a classification and country of origin determination for women’s knitwear that will be imported into the United States. The sample is retained by this office for instructional purposes.

FACTS:

The subject merchandise consists of a sample of women’s knitwear, Style 5A701, and an example the same pullover in an incomplete, partially assembled state which shows the garment after it has undergone the initial production processing in Country A. We have designated this example as “Version A”. Style 5A701 consists of a woman’s knitted pullover that is made from 100% cotton fibers. The pullover features a hood with a drawstring closure; long sleeves with rib knit cuffs; a kangaroo pocket pouch at the waist which has two side-entry openings; and a rib knit waistband. The terry knit fabric has more than nine stitches per two centimeters, measured in the direction in which the stitches were formed. “Version A” consists of the front and back panels sewn at the shoulders; the hood sewn to the front and back panels and the kangaroo pocket sewn to the front panel. There are no sleeves and no rib knit waistband. The sides are not sewn.

The manufacturing operations for the woman’s knitted pullover, under the two production plans that you submitted, are as follows:

Production Plan I:
In Country A
-make and mark pattern
-cut piece goods into component shapes
-print front panel
-sew pocket to front panel
-sew front and back panels at the shoulder seams -make hood with drawstring and sew it to body -care label

In Country B
-sew sleeves with cuffs to body
-sew side seams
-sew waistband to body;

Production Plan II
In Country A
-make and mark pattern
-cut piece goods into component shapes
-print front panel
-sew pocket to front panel
-sew front and back panels at shoulder seams -construct hood with drawstring

In Country B
-sew hood to body
-care label
-sew sleeves with cuffs to body
-sew side seams
-sew rib knit waistband to body.

ISSUE:

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

CLASSIFICATION:

The applicable subheading for the women’s knitted pullover, Style 5A701, will be 6110.20.2075, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for sweaters, pullovers --- and similar articles, knitted or crocheted: of cotton: other: other: other: women’s. The rate of duty will be 16.9% ad valorem.

The pullover, Style 5A701, 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 Textile Status Report for Absolute Quotas, which is available at our 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:

Section 334 of the Uruguay Round Agreements Act (codified at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996. Section 102.21, Customs Regulations (19 C.F.R. 102.21), published September 5, 1995, in the Federal Register, implements Section 334 (60 FR 46188). Section 334 of the URAA was amended by section 405 of the Trade and Development Act of 2000, enacted on May 18, 2000, and accordingly, section 102.21 was amended (68 Fed. Reg. 8711). Thus, the country of origin of a textile or apparel product shall be determined by the 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 If the good is not knit to shape and consists of two or more component parts, a change to an assembled good of heading 6101 through 6117 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory or insular possession.

Section 102.21(e) states that that the good must be assembled in a single country, territory or insular possession. Accordingly, as the pullover is assembled in more than one country, it does not satisfy the conditions of the tariff shift and 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; 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 subject merchandise is neither knit to shape nor wholly assembled 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, according to the two production plans that you submitted for the woman’s knitted pullover, Style 5A701, the following constitute the most important assembly processes:

Under Production Plan I
-sewing the sleeves to the body
-sewing the side seams and
-sewing the waistband to the body, all of which occur in Country B;

Under Production Plan II
-sewing the hood to the body
-sewing the sleeves to the body
-sewing the side seams and
-sewing the waistband to the body, all of which occur in Country B.

Accordingly, the country of origin of the woman’s knitted pullover, Style 5A701, is Country B under Production Plan I and Production Plan II.

HOLDING:

The country of origin of the woman’s knitted pullover, Style 5A701, is Country B under both production plans. Based upon international textile trade agreements products of Country B may be 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 Mike Crowley at 646-733-3049.

Sincerely,

Robert B. Swierupski
Director,

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