The tariff classification, country of origin and status under the Dominican Republic-Central America-United States Free Trade Agreement (DR-CAFTA), of brassieres from Costa Rica.

N233674 November 5, 2012 CLA-2-62:OT:RR:NC:N3:354 CATEGORY: Classification TARIFF NO.: 6212.10.9020 Ms. Jo Bronson Harris Sandler, Travis & Rosenberg, P.A. 1000 NW 57th Court Suite 600 Miami, FL 33126-3281 RE: The tariff classification, country of origin and status under the Dominican Republic-Central America-United States Free Trade Agreement (DR-CAFTA), of brassieres from Costa Rica. Dear Ms. Harris: In your letter dated September 21, 2012, on behalf of your client Hanesbrands, Inc., you requested a ruling on the country of origin and status of brassieres under the DR-CAFTA. The samples are being returned, as requested. Style MHG281 is a brassiere that has an outer surface of 93% nylon 7% spandex knitted fabric. You state that the brassiere features a banded bottom, covered padded foam cups with pockets for removable pads, elasticized adjustable shoulder straps and hook and eye closures. Style DF3463 is a seamless brassiere that has an outer surface of 94% nylon 6% spandex knitted fabric and a 100% nylon inner center belt lining. The brassiere features padded cups, elasticized adjustable shoulder straps, double layered side panels, a banded bottom and hook and eye closures. The applicable subheading for Styles MHG281 and DF3463 will be 6212.10.9020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Brassieres, girdles, corsets, braces, suspenders, garters and similar articles and parts thereof, whether or not knitted or crocheted: Brassieres: Other: Other: Of man-made fibers. The rate of duty will be 16.9% ad valorem.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 World Wide Web at http://www.usitc.gov/tata/hts/. ELIGIBILITY UNDER DR-CAFTA: The manufacturing operations for Style MHG281 are as follows: The circular, weft knit tubular fabric blanks with self-start tops and bottoms that have no lines of demarcation will be knit in Sri Lanka from nylon yarn from Israel, The United States and/or China and spandex from Ireland. The fabric blanks will be shipped in bulk to Costa Rica. The sewing thread used to assemble the components, is formed and finished in the U.S. The 100% polyester cup lining fabric is manufactured in El Salvador. The 100% nylon cup frame fabric is manufactured in El Salvador. The pocket bags are manufactured in El Salvador. The foam cup blocker is manufactured in China. The elastic strap runner is manufactured in El Salvador. The plastic slide and ring are manufactured in the U.S. The binding is manufactured in El Salvador. 9.) The hooks and eyes were manufactured in the U.S. The fabric is cut, sewn and assembled with other components into the finished garment in Costa Rica. The garments are exported directly from Costa Rica to the U.S. The manufacturing operations for Style DF3463 are as follows: The circular, double layered knit tubular fabric blanks with self-start tops and bottoms that have no lines of demarcation will be knit in Sri Lanka from nylon yarn from Israel, The United States and/or China and spandex from Ireland. The fabric blank has double layers that are connected at the self-start bottom and unfinished and open at the top. The fabric blanks will be shipped in bulk to Costa Rica. The sewing thread used to assemble the components, is formed and finished in the U.S. The 100% polyester cup lining fabric is manufactured in El Salvador. The 100% nylon center belt and inner strap lining is manufactured in El Salvador. The 100% polyurethane foam cup blocker is manufactured in China. The elastic strap runner is manufactured in El Salvador. The plastic slide and ring are manufactured in the U.S. The binding is manufactured in El Salvador. 9.) The hooks and eyes were manufactured in the U.S. 10.)The fabric is cut, sewn and assembled with other components into the finished garment in Costa Rica. 11.) The garments are exported directly from Costa Rica to the U.S. General Note 29, HTSUS, sets forth the criteria for determining whether a good is originating under the DR-CAFTA. General Note 29(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that For the purposes of this note, subject to the provisions of subdivisions (c), (d), (m) and (n) thereof, a good imported into the customs territory of the United States is eligible for treatment as an originating good under the terms of this note if— (i)the good is a good wholly obtained or produced entirely in the territory of one or more of the parties to the Agreement; (ii) the good was produced entirely in the territory of one or more of the parties to the Agreement, and— (A) each of the nonoriginating materials used in the production of the good undergoes an applicable change in tariff classification specified in subdivision (n) of this note; or (B) the good otherwise satisfies any applicable regional value content or other requirements specified in subdivision (n) of this note; and the good satisfies all other applicable requirements of this note; or (iii) the good was produced entirely in the territory of one or more of the parties to the Agreement exclusively from originating materials. General Note 29 (n), Chapter 62, Chapter rule 4 states: Notwithstanding chapter rule 2 to this chapter, a good of this chapter containing sewing thread of headings 5204, 5401 and 5508 shall be considered originating only if such sewing thread is both formed from yarns and finished in the territory of one or more of the parties to the Agreement. The sewing thread used to assemble the garment will be formed and finished in one or more of the parties to the Agreement. General Note 29 (n), Chapter 62, Chapter rule 5 states: Notwithstanding chapter rule 2 to this chapter, a good of subheading 6212.10 that contains a pocket or pockets shall be considered originating only if the pocket bag fabric has been formed and finished in the territory of one or more of the parties to the Agreement from yarn wholly formed in the territory of one or more of the parties to the Agreement. Style MHG281 contains pocket bags formed and finished in El Salvador. For goods classified in subheading 6212.10, General Note 39.29 requires: A change to heading 6212.10 from any other chapter, provided that the good is cut or knit to shape or both, and sewn or otherwise assembled in the territory of one or more of the parties to the agreement. Both styles are cut, sewn and assembled in one or more of the parties to the agreement. Based on the facts provided, Style MHG281 and Style DF3463 qualify for DR-CAFTA preferential treatment, because they meet the requirements of HTSUS General Note 29(b)(ii)(A). The merchandise will therefore be entitled to a free rate of duty under the DR-CAFTA upon compliance with all applicable laws, regulations, and agreements. 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 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, “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 6210 – 6212 (1) If the good consists of two or more component parts, a change to an assembled good of heading 6210 through 6212 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory, or insular possession. As the brassieres are wholly assembled in a single country, that is, Costa Rica, as per the terms of the tariff shift requirement, country of origin is conferred in Costa Rica. HOLDING: The country of origin of the brassieres is Costa Rica. 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 Robert Ivers at 646-733-3054. Sincerely, Thomas J. Russo Director National Commodity Specialist Division