Country of origin determination for throws; 19 CFR 102.21(c)(1); wholly obtained or produced in a single country; 19 CFR 102.21(c)(2); tariff shift; 19 CFR 102.23(a); manufacturer identification

N119612 September 2, 2010 CLA2-OT:RR:NC:TA:349 CATEGORY: Classification Mr. David B. McIsaac Jay Franco and Sons, Inc. 295 Fifth Ave., Suite 312 New York, NY 10016 RE: Country of origin determination for throws; 19 CFR 102.21(c)(1); wholly obtained or produced in a single country; 19 CFR 102.21(c)(2); tariff shift; 19 CFR 102.23(a); manufacturer identification Dear Mr. McIsaac: This is in reply to your letter dated August 16, 2010, requesting a country of origin determination for throws which will be imported into the United States. This request is made on behalf of Target Corporation. FACTS: The subject merchandise consists of throws. A photograph of a rolled up throw was submitted. They are made from polyester knit fabrics. You indicate that two different types of plush are sewn together to create the throw. All of the processing operations occur in China. The two polyester fabrics are knit and dyed in the Su Zhou Chang Yu factory. They are sent to the Tong Zhou RuiQi factory where they are cut and sewn to form the throws. The finished throws are shipped to the United States. ISSUE: What is the country of origin of the subject merchandise? CLASSIFICATION: Without a sample of the imported throws we are unable to advise you on the proper classification of your merchandise. While the majority of knit polyester throws are classified as blankets under heading 6301, Harmonized Tariff Schedule of the United States (HTSUS), some have been classified as other furnishings under heading 6304, HTSUS. Your request specifically concerns the country of origin of the throws. As the rules of origin for headings 6301 and 6304 are the same, an exact classification determination is not necessary in this case and we will proceed with a country of origin determination. 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at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996.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, “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 throws were wholly obtained or produced in a single country, that is, China, country of origin is conferred in China. In addition to the country of origin determination you ask as to which of the two factories in China confers origin. This information is needed to construct the required manufacturer identification code. Section 102.23, Customs Regulation (19 C.F.R. 102.23) states in part: (a) Textile or Apparel Product Manufacturer Identification. All entries of textile or apparel products listed in Sec. 102.21(b)(5) must identify on CBP Form 3461 (Entry/Immediate Delivery) and CBP Form 7501 (Entry Summary), and in all electronic data transmissions that require identification of the manufacturer, the manufacturer of such products through a manufacturer identification code (MID) constructed from the name and address of the entity performing the origin-conferring operations pursuant to Sec. 102.21 or Sec. 102.22, as applicable. This code must be accurately constructed using the methodology set forth in the appendix to this part, including the use of the two-letter International Organization for Standardization (ISO) code for the country of origin of such products. When a single entry is filed for products of more than one manufacturer, the products of each manufacturer must be separately identified. Importers must be able to demonstrate to CBP their use of reasonable care in determining the manufacturer. If an entry filed for such merchandise fails to include the MID properly constructed from the name and address of the manufacturer, the port director may reject the entry or take other appropriate action. We have determined that the country of origin for the throws is China where all processing operations take place. To determine which factory within China is the “origin-conferring” entity pursuant to Section 102.21, we need to look at each operation separately and apply the rules of origin for textiles. As both factories are in the same country, paragraph (c)(1) of Section 102.21 does not provide guidance. Paragraph (c)(2) states, “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, 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 6301-6306 Except for goods of heading 6302 through 6304 provided for in paragraph (e)(2) of this section, the country of origin of a good classifiable under heading 6301 through 6306 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process. Knitted throws that may be classified under heading 6304, HTSUS, would not fall within the subheadings provided for in the paragraph (e)(2) exception. As the fabrics forming the throws are formed in a single factory, that is, Su Zhou Chang Yu, following the terms of the tariff shift requirement, the “entity performing the origin-conferring operation” is the Su Zhou Chang Yu factory and that is the manufacturer to be used to construct the MID. HOLDING: The country of origin of the throws is China. 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 John Hansen at (646) 733-3043. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division