Classification and country of origin determination for two women’s knitted garments; 19 CFR 102.21(c)(3)

NY H84501 September 4, 2001 CLA2-RR:NC:61:TA 359 H84501 CATEGORY: Classification Mr. Thomas G. Travis Sandler, Travis and Rosenberg, P.A. The Waterford 5200 Blue Lagoon Drive Miami, FL 33126-2022 RE: Classification and country of origin determination for two women’s knitted garments; 19 CFR 102.21(c)(3) Dear Mr. Travis: This is in reply to your letter dated August 13, 2001, submitted on behalf of the Royal Knit Factory, Pte., Ltd., and Mach I, Pte., Ltd., Singapore, requesting a classification and country of origin determination for two styles of women’s knitwear which will be imported into the United States. You submitted samples of two styles of women’s knitwear and samples of the component panels from which the knitwear is assembled. These samples are returned as requested. FACTS: Style C is a woman’s knitted, long sleeve, turtleneck pullover sweater that is made from 100% cotton fibers. The 4x2 rib-knit fabric of the sweater is constructed with nine or fewer stitches per two centimeters, measured in the direction in which the stitches were formed. Style D is a woman’s knitted, long sleeve cardigan, similar to a sweater, that is made from 100% wool fibers. The jersey fabric of the cardigan is constructed with more than nine stitches per two centimeters, measured in the direction in which the stitches were formed. The neckline and front placket are finished with rib-knit capping. You also submitted the component panels from which these garments were formed. The component panels consist of the following: Style C Front panel self-start bottom self-finished sides contoured to shape at the armhole openings during the knitting process contoured to shape at the neckline opening during the knitting process Back panel same as front panel Two sleeves self-start ends self-finished sides armhole areas contoured to shape during the knitting process Turtleneck band Style D Two front panels self-start tubular bottoms self finished sides contoured to shape at the armhole openings during the knitting process contoured to shape at the neckline opening during the knitting process Back panel self-start tubular bottom self-finishes sides armholes contoured to shape during the knitting process Two sleeve panels self-start tubular ends self -finished sides contoured to shape at the armhole openings during the knitting process Rib-knit capping for the neckline and front placket For each style at issue, you have also submitted a sample of the garment in its “looped” state, that is, in the condition in which it appears after the looping process has occurred, but before initiating the final finishing process. Please note that the major panels of each style, that is the front panel, the back panel and the two sleeve panels of Style C, and the two front panels, the back panel and the two sleeve panels of Style D, are all considered knit-to-shape fabric panels for purposes of tariff classification. The manufacturing operations for the two styles, Style C and Style D are as follows: In Singapore (Country A) - all the knit-to-shape panels are formed and the turtleneck band for Style C is knit In China (Country B) the panels are assembled by looping - the turtleneck band is sewn to Style C ISSUE: What are the classification and country of origin of the subject merchandise? CLASSIFICATION: The applicable subheading for the pullover sweater, Style C, will be 6110.20.2020, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for sweaters, knitted or crocheted, of cotton; other: sweaters, women's. The rate of duty will be 17.8 percent ad valorem. The applicable subheading for the cardigan, similar to a sweater, Style D, will be 6110.20.2080, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for sweaters, knitted or crocheted, of wool or fine animal hair; other: other: women's. The rate of duty will be 16.3 percent ad valorem. Style C falls within textile category designation 345. Style D falls within textile category designation 438. 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 U.S. Customs Service Textile Status Report, an internal issuance of the U.S. Customs Service, which is available at the Customs Web Site at WWW.CUSTOMS.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 6110.20.2020 If the good is knit to shape, a change to heading 6101 through 6110.10.2080 6117 from any heading outside, that group, provided that the knit-to-shape components are knit in a single country, territory or insular possession Section 102.21(e) states that, if the goods are knit to shape, the tariff shift must occur outside of the designated grouping of headings 6101 through 6117. However, this tariff shift occurs within these headings (from 6117, the panels, to 6110, the complete garments). Accordingly, as the sweater, Style C, and the cardigan Style D, do not qualify for the tariff shift, 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. As the subject merchandise is knit to shape in a single country, i.e. in Singapore (Country A), Section 102.21(c)(3) applies. HOLDING: The country of origin of the two knitted garments for women, Style C and Style D is Singapore (Country A). Based upon international textile trade agreements products of Singapore are subject to 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 212-637-7077. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division