The tariff classification of part of a “sofa upholstery kit” from Honduras; CAFTA eligibility.

N264071 May 12, 2015 CLA-2-94:OT:RR:NC:N4:433 CATEGORY: Classification TARIFF NO.: 9401.90.5021 Cricket Wallace Trade and Customs Compliance Manager Acme McCrary 159 North Street Asheboro, NC 27204 RE: The tariff classification of part of a “sofa upholstery kit” from Honduras; CAFTA eligibility. Dear Mr. Wallace: In your letter received by the National Commodity Specialist Division on April 22, 2015, you requested a tariff classification ruling and a determination for CAFTA eligibility. The samples submitted, will be returned to you. You indicate in your letter that the pieces of the sofa upholstery kit are “production samples” and that the full kit is unavailable at this time. As such, this ruling will only pertain to the merchandise concerned, part of a sofa upholstery kit, and not to similar kits for chairs, ottomans and love seats as no samples and descriptive literature were provided. The merchandise is described as part of one sofa upholstery kit. The kit consists of one outside back, one seat deck (goes from seat to bottom front and underneath, and is simply cut, not sewn, nor having a zipper – raw edges), one back pillow that will have a back cushions put in it, two of the three seat cushion covers, one of the two arm pieces (will cover arm and side of sofa), and one arm pillow cover. Each kit contains either woven or knit synthetic textile fabric from China imported to the United States and then subsequently exported from the United States to Honduras. In Honduras, the fabric will cut and sewn to shape into sofa fabric pieces, which will be sent back to the United States to be stretched over and attached to the frame of a sofa. Cushion shells will be stuffed and closed in the United States. Heading 9401 of the Harmonized Tariff Schedule of the United States (HTSUS), provides for, seats (other than those of heading 9402), whether or not convertible into beds, and parts thereof. In pertinent part the Explanatory Notes (ENs) to the HTSUS state that Chapter 94 covers “Parts” whether or not in the rough, of the goods of headings 9401 to 9403 and 9405, when identifiable by their shape or other specific feature as parts designed solely or principally for an article of those headings. As indicated above, the cut and sewn to shape fabric pieces are dedicated parts of the sofa, for without which, the sofa would not be complete. This is unlike slip covers which are placed over a finished sofa for purposes of providing protection against wear and tear, and are not necessary for the completion of the sofa. See. Headquarters ruling HQ 960195 dated August 13, 1997. Accordingly, the merchandise concerned is classified in subheading 9401.90, HTSUS, as part of seats. The applicable subheading for the part of one sofa upholstery kit will be 9401.90.5021, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Seats (other than those of heading 9402), whether or not convertible into beds, and parts thereof: Parts: Other: Other; Other of textile material, cut to shape.” The rate of duty will be free. Duty rates are provided for your convenience and are subject to change. The text of the most recent TSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/. To be eligible for tariff preferences under CAFTA, goods, must be “originating goods” within the rules set-forth in General Note 29 (b), HTSUS. In this instance to be an originating good, the cut and sewn to shape sofa fabric pieces must be transformed in the territory of Honduras pursuant to General Note 29 (b) (ii) (A), HTSUS, which states: each of the non-originating materials used in the production of the good undergoes an applicable change in tariff classification specified in subdivisions (n) of this note. In examining whether or not the cut and sewn to shape sofa fabric pieces are transformed in the territory of Honduras, the CAFTA “Change in tariff classification rule,” as provided in General Note 29 (n), Chapter 94, Note 1, HTSUS, is applicable. The rule states: A change to heading 9401 from any other heading. As the fabrics of Chinese origin are classified in Section XI (Textile and Textile Articles) with its headings of 5407 (woven) or 6005 (knit), HTSUS, outside of Section XX (Miscellaneous Manufactured Articles) with its heading of 9401 (Seats …, and parts thereof), the fabric pieces, part of one sofa upholstery kit from Honduras are eligible for CAFTA preferential duty treatment. 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 Neil H. Levy at E-mail address: neil.h.levy@cbp.dhs.gov. Sincerely, Gwenn Klein Kirschner Director National Commodity Specialist Division