The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a skirt from Canada; Article 509

NY G87890 March 7, 2001 CLA-2-39:RR:NC:3:353 G87890 CATEGORY: Classification TARIFF NO.: 3926.20.9050 Ms. Sophia Spoltore Milgram Freight Services Limited 407, rue McGill, suite 500 Montreal (Quebec), Canada H2Y 2G7 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of a skirt from Canada; Article 509 Dear Ms. Spoltore: In your letter dated February 20, 2001, on behalf of Kim & Co., Div of Kim-Lauren & Company Inc., you requested a ruling on the status of a skirt from Canada under the NAFTA. The submitted sample is a Style 4003 skirt that is constructed knit 100% cotton fabric that is coated with a 50% PV/50% PVC cellular plastic material. The skirt is embossed to simulate leather, is approximately 26 inches in length, unlined, and features 7 panels, a 6-inch side zipper and a 7-inch side slit. The coated cotton fabric is formed in China. The components for the skirt are cut and sewn in Canada. Chapter 59 note 2(a)(5), states that “Plates, sheets or strip of cellular plastics, combined with textile fabric, where the textile fabric is present merely for reinforcing purposes” should be classified in chapter 39. The textile fabric backing for Style 4003 skirt is used merely for reinforcing purposes and the skirt is therefore classified in Chapter 39. The applicable tariff provision for the Style 4003 skirt will be 2926.20.9050, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for “Other articles of plastics and articles of other materials of headings 3901 to 3914: Articles of apparel and clothing accessories (including gloves): Other: Other, Other.” The general rate of duty will be 5% ad valorem. Each of the non-originating materials used to make the Style 4003 skirt has satisfied the changes in tariff classification required under the HTSUSA General Note 12(t)/39.10. The Style 4003 skirt will also be subject to a Regional Value Content (RVC) requirement of 60% under the Transaction Value Method or 50% under the Net Cost Method as required under the rule applicable to the skirt. Assuming the goods are eligible for preferential treatment under the NAFTA, the merchandise will be entitled to a Free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). Because of insufficient information in your ruling request, Customs has not addressed the Regional Value Content (RVC) of the subject goods. If you desire a ruling regarding the RVC of your goods and their eligibility for NAFTA preferential treatment, provide the information noted in Section 181.93(b) of the Customs Regulations (19 CFR 181.93(b)), to the Director, Commercial Rulings Division, Headquarters, U.S. Customs Service, 1300 Pennsylvania Ave. N.W., Washington, D.C. 20229, along with a copy of this letter. 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 Kenneth Reidlinger at 212-637-7084. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division