Country of origin determination for a men’s hooded pullover; 19 CFR 102.21 (c)(4); most important assembly or manufacturing operation

NY K85135 May 14, 2004 CLA-2-RR:NC:TA:N3:356 K85135 CATEGORY: Country of Origin Ms. Joey Hui Asst Production Planning Controller Ghim Li Enterprise (USA), Inc. 501 Seventh Avenue, Suite 509 New York, NY 10018 RE: Country of origin determination for a men’s hooded pullover; 19 CFR 102.21 (c)(4); most important assembly or manufacturing operation Dear Ms. Hui: This is in reply to your letter dated April 13, 2004 (your reference 01/0329), requesting a country of origin determination for a men’s knit pullover that will be imported into the United States. You state that the assembly operations occur in two different countries, designated as Country “A” and Country “B”. Although not stated in your letter, we assume that Countries “A” and “B” denote different foreign countries, territories or insular possessions, and such countries will not include Israel or a signatory of the North American Free Trade Agreement. FACTS: The submitted sample, Style 33308-Ek, is a men’s pullover garment constructed from 80% cotton, 20% polyester finely knit fabric that is napped on the inside surface. The garment has a fully lined hood with a drawstring; long sleeves with rib knit cuffs; a pouch pocket below the waist; a triangular overlay at the center neck; embroidery and appliques on the center chest; side panel inserts, and a rib knit waistband. The lining of the hood, the overlays on the side panels, the overlay at the neckline, and the pocket edging are constructed from 100% cotton, waffle knit fabric. You have provided a sample of the partially assembled garment in the condition in which it will be sent from Country “A” for final work in Country “B” and a sample of the finished garment as it will be imported into the United States. As requested, your samples will be returned. The manufacturing operations for Production Plan #1 are as follows: COUNTRY A: The pattern is made and marked The fabric is cut into component parts The embroidery and appliques are applied to the front panel The hood is formed and the lining is attached COUNTRY B: The pocket is attached to the front panel The triangular overlay is attached at the neckline of the front panel The front and back panels are attached at the shoulders The side panels are attached joining the front and back panels The main and care labels are sewn to the rear neck area The hood is attached to the main body The sleeve seams are sewn closed The sleeves are attached at the armholes The rib knit cuffs are attached to the sleeves The rib knit waistband is attached to the main body The threads are trimmed The garments are inspected and packed for export The manufacturing operations for Production Plan #2 are as follows: COUNTRY A: The pattern is made and marked The fabric is cut into component parts The embroidery and appliques are applied to the front panel The hood is formed and the lining is attached The pocket is attached to the front panel The side panels are attached to the front panel The triangular overlay is attached at the neckline of the front panel COUNTRY B: The front and back panels are attached at the shoulders The side seams are sewn closed joining the front and back panels The main and care labels are sewn to the rear neck area The hood is attached to the main body The sleeve seams are sewn closed The sleeves are attached at the armholes The rib knit cuffs are attached to the sleeves The rib knit waistband is attached to the main body The threads are trimmed The garments are inspected and packed for export The manufacturing operations for Production Plan #3 are as follows: COUNTRY A: The pattern is made and marked The fabric is cut into component parts The embroidery and appliques are applied to the front panel The hood is formed and the lining is attached The pocket is attached to the front panel The triangular overlay is attached at the neckline of the front panel COUNTRY B: The front and back panels are attached at the shoulders The side panels are attached joining the front and back panels The main and care labels are sewn to the rear neck area The hood is attached to the main body The sleeve seams are sewn closed The sleeves are attached at the armholes The rib knit cuffs are attached to the sleeves The rib knit waistband is attached to the main body The threads are trimmed The garments are inspected and packed for export ISSUE: What is the country of origin of the subject merchandise? 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 6101-6117 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. Although the garment is not knit to shape and consists of two or more component parts, it is not wholly assembled in a single country, territory or insular possession. Accordingly, as the terms of the tariff shift are not met, 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”: 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 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. Since the garment is neither knit 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 Production Plan #1, the assembly processes in Country “B” consisting of the attachment of the pocket, the attachment of the triangular overlay, the joining of the shoulders, the attachment of the side panels, the attachment of the hood, the attachment of the sleeves, the attachment of the cuffs, and the attachment of the waistband constitute the most important assembly processes. In Production Plan #2, the assembly processes in Country “B” consisting of the joining of the shoulders, the joining of the side seams, the attachment of the hood, the attachment of the sleeves, the attachment of the cuffs, and the attachment of the waistband constitute the most important assembly processes. In Production Plan #3, the assembly processes in Country “B” consisting of the joining of the shoulders, the attachment of the side panels, the attachment of the hood, the attachment of the sleeves, the attachment of the cuffs, and the attachment of the waistband constitute the most important assembly processes. Accordingly, under Section 102.21 (c)(4), the country of origin of the subject merchandise in Production Plan #1, Production Plan #2 and Production Plan #3 is Country “B”, the country in which the most important assembly processes occur. HOLDING: The country of origin of the subject merchandise in Production Plan #1, Production Plan #2 and Production Plan #3 is Country “B”. Based upon international textile trade agreements, products of Country “B” may be subject to visa requirements and quota restraints. 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 Mary Ryan at 646-733-3271. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division