The tariff classification of yarn kits from Chile, Germany, Japan and Turkey

N192878 December 7, 2011 CLA-2-56:OT:RR:NC:N3:351 CATEGORY: Classification TARIFF NO.: 5606.00.0090 Mr. Brian Kavanaugh Deringer Logistics Consulting Group 173 West Service Road Champlain, NY 12919 RE: The tariff classification of yarn kits from Chile, Germany, Japan and Turkey Dear Mr. Kavanaugh: In your letter dated November 8, 2011, you requested a tariff classification ruling on behalf of your client, Caldwell Design of Toronto, Ontario, Canada. You submitted four yarn kits. Each kit contains enough yarn and a sheet of paper with printed instructions to create a scarf. One side of the sheet has the instructions and the reverse side of the sheet is printed with the yarn name and logo, the fiber content, and country of origin of the yarn. The printed sheet contains the www.blacksheepandewe.com website address on both sides of the paper. The printed instruction sheet measures approximately 5½ inches x 4¼ inches. The yarn and the printed instructions comprise a set for tariff purposes. The yarn imparts the essential character to each set. General Rule of Interpretation 3(b), Harmonized Tariff Schedule of the United States (HTSUS) noted. Style Bella is 100% wool with untwisted filaments, almost sliver-like, gimped by a multifilament single yarn. The yarn is marked “Made in Germany.” The applicable subheading for the yarn kit style Bella will be 5606.00.0090, HTSUS, which provides for gimped yarn. The rate of duty will be 8% ad valorem. Style Cocoon is a 100% polyester yarn, knit or braided multifilament yarn with fluffed fibers inserted for a chenille effect. The yarn is marked “Made in Turkey.” The applicable subheading for the yarn kit style Cocoon will be 5606.00.0090, HTSUS, which provides for chenille yarn. The rate of duty will be 8% ad valorem. Style Loa is 98% wool and 2% polyamide with untwisted filaments, gimped by a multifilament single yarn. The yarn is marked “Made in Chile.” The applicable subheading for the yarn kit style Loa will be 5606.00.0090, HTSUS, which provides for gimped yarn. The rate of duty will be 8% ad valorem. Style Noro Bonbori is 94% wool and 6% nylon yarn of multifilament on (long) staple fiber yarn that has been gimped by a thin braided or twisted single yarn. The yarn is marked “Made in Japan.” The applicable subheading for the yarn kit style Noro Bonbori will be 5606.00.0090, HTSUS, which provides for gimped yarn. The rate of duty will be 8% ad valorem. Finally, you requested a ruling on country of origin marking.You state that the yarns are imported from Chile, Germany, Japan and Turkey into Canada where they are repackaged into the kits. Each yarn kit is packaged with printed instructions and enough yarn to create specific items with the packaged yarn. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article. Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 CFR 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the origin marking easily and read it without strain. Section 134.1(d), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. If an imported article is to be sold at retail in its imported form, the purchaser at retail is the ultimate purchaser. In this case, the ultimate purchaser of the yarn kits will be the consumer who purchases the kit at retail. Therefore if the yarn kits are marked with their country of origin, the packaging can be marked, “Made in Chile / Packaged in Canada” or “Made in Germany / Packaged in Canada” or “Made in Japan/ Packaged in Canada” or “Made in Turkey/ Packaged in Canada.” Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the World Wide Web at http://www.usitc.gov/tata/hts/. Your samples will be returned. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). 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 Mitchel Bayer at (646) 733-3102. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division