The tariff classification and status under the North American Free Trade Agreement (NAFTA), of women’s swimwear from Canada; Article 509

NY K85295 April 28, 2004 CLA-2-62:RR:NC:WA:355 K85295 CATEGORY: Classification TARIFF NO.: 6211.12.1010 Mr. Rodney Ralston UPS Supply Chain Solutions One Trans-Border Drive Champlain, NY 12919 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of women’s swimwear from Canada; Article 509 Dear Mr. Ralston: In your letter dated April 13, 2004, you requested a ruling on the status of women’s swimwear from Canada under the NAFTA. This request was made on behalf of Maillot Baltex of Montreal, Canada. The swimwear is identified as style 53064. It consists of a two piece swimsuit; styled as tankini and short pieces. The top is made of 86% nylon, 14% spandex knit fabric in a black and white print design. You have stated that the yarns used to knit the fabric are of U.S. origin and the fabric itself is knit in the U.S. We assume, by your statement that the yarns are of U.S. origin, that you mean the yarns were formed in the U.S. and then knit into fabric in the U.S. The bottom short portion is made of 100% polyester woven fabric with a 100% nylon knit mesh liner. It is solid black in color. You state that the polyester fabric for the bottom is woven in the U.S. from yarns of South Korean origin; and that the nylon liner is knit in Canada from yarns of U.S. origin. You further state that the suits are cut and sewn in Canada; that the pieces are not sold as separates; and that they are only sold as two-piece co-ordinated suits. The applicable tariff provision for style 53064 will be 6211.12.1010, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for Track suits, ski-suits and swimwear; other garments: Swimwear: Women’s or girls’: Of man-made fibers: Women’s. The general rate of duty will be 11.8% ad valorem. General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if-- (i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or (ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that-- (A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein, or (B) the goods otherwise satisfy the applicable requirements of subdivisions (r), (s) and (t) where no change in tariff classification is required, and the goods satisfy all other requirements of this note; or (iii) they are goods produced entirely in the territory of Canada, Mexico and/or the United States exclusively from originating materials; or General Note 12(t)/62.33 provides: “A change to subheadings 6211.11 through 6211.12 from any other chapter, except from headings 5106 through 5113, 5204 through 5212, 5307 through 5308 or 5310 through 5311, chapter 54, or headings 5508 through 5516, 5801 through 5802 or 6001 through 6006, provided that the good is both cut and sewn or otherwise assembled in the territory of one or more of the NAFTA parties.” The merchandise does not qualify for preferential treatment under the NAFTA because it was not entirely produced of originating goods; nor was it entirely produced in the territory of one or more of the NAFTA parties; nor did it undergo the required tariff shift as required in the above cited note. However, style 53064 may be subject to a reduced rate of duty based upon the Tariff Preference Levels (TPL) established in Section XI, Additional U.S. Note 3(a), up to the annual quantities specified in subdivision (f) of Note 3. Upon completion of the required documentation and up to the specified annual quantities, style 53064 may be eligible for the preferential rate of FREE. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). 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 R. Ferraro at 646-733-3046. Should you wish to request an administrative review of this ruling, submit a copy of this ruling and all relevant facts and arguments within 30 days of the date of this letter, to the Director, Commercial Rulings Division, Headquarters, U.S. Customs and Border Protection, 1300 Pennsylvania Ave. N.W., (Mint Annex), Washington, D.C. 20229. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division