The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a cotton "Flump Ball" from Mexico; Article 509

NY D82511 October 5, 1998 CLA-2-56:RR:NC:TA:351 D82511 CATEGORY: Classification TARIFF NO.: 5609.00.1000 Mr. Rocco Iezzi Frank W. Winne Son, Inc. 44 North Front Street Philadelphia, PA 19106 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a cotton "Flump Ball" from Mexico; Article 509 Dear Mr. Iezzi: In your letter dated September 8, 1998 you requested a ruling on the status of a "Flump Ball" from Mexico under the NAFTA. The "Flump Ball" is a textile pet toy made of 100 percent cotton yarn. In a telephone conversation you stated that the yarn is of United States origin. It is shipped to Mexico where it is wound, rolled, cut, glued, and shaped by further cutting into a yarn ball. You asked what would be the applicable rate of duty and what marking would be acceptable. The applicable tariff provision for the "Flump Ball" will be 5609.00.1000, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for articles of yarn, strip or the like...not elsewhere specified or included: of cotton. The general rate of duty will be 4.6 percent ad valorem. The "Flump Ball", being made entirely in the territory of Mexico, using materials which themselves were originating, will satisfy the requirements of HTSUSA General Note 12(b)(iii). The merchandise will therefore be entitled to a 1 percent ad valorem rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate the ultimate purchaser in the U.S. the English name of the country of origin of the article. Part 134, Customs Regulations (19 CFR Part 134) implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. The country of origin marking requirements for a "good of a NAFTA country" are also determined in accordance with Annex 311 of the North American Free Trade Agreement ("NAFTA"), as implemented by section 207 of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat 2057) (December 8, 1993) and the appropriate Customs Regulations. The Marking Rules used for determining whether a good is a good of a NAFTA country are contained in Part 102, Customs Regulations. The marking requirements of these goods are set forth in Part 134, Customs Regulations. Section 134.45(a)(2) of the regulations, provides that "a good of a NAFTA country may be marked with the name of the country of origin in English, French or Spanish. Section 134.1(g) of the regulations, defines a "good of a NAFTA country" as an article for which the country of origin is Canada, Mexico or the United States as determined under the NAFTA Marking Rules. In this case, you state that U.S. yarn is exported to a NAFTA country where it is further manufactured prior to being re-imported into the U.S. The rules for determining when, for marking purposes, the country of origin of an imported good is one of the parties to "NAFTA" are set forth in Part 102, Customs Regulations. Applying the NAFTA Marking Rules set forth in Part 102 of the regulations to the facts of this case, we find that the imported "Flump Ball" is a good of Mexico for marking purposes, as provided for in section 102.19(b). Either of your suggested markings, "Made in Mexico" or "Assembled in Mexico" will be acceptable. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party. 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 Camille Ferraro at 212-466-5885. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division