The country of origin determination for aramid tire cord

N305998 September 27, 2019 CLA-2-54:OT:RR:NC:N3:351 CATEGORY: Country of Origin Ms. Elizabeth R. Morris Rodgers & Brown Customs Brokers, Incorporated 2 Cumberland Street Charleston, SC 29401 RE: The country of origin determination for aramid tire cord Dear Ms. Morris: In your letter dated August 23, 2019, you requested a country of origin determination on behalf of your client, PHP Fibers, Incorporated. Samples of the tire cord were submitted and will be retained. The imported product – Aramid SEC tire cord- 1500D/3. The imported cord is made from aramid fibers that are extruded in the United States. Aramid fibers are in the class of high-performance fibers, synthetic products characterized by their strength. Although the supports are not listed, we would assume that the yarn is put up on industrial supports. The product, Aramid SEC tire cord-1500D/3 is composed of 100 percent Aramid fibers. The Aramid fibers are synthetic filament fibers extruded in the United States. The fibers are laid parallel to each other forming a flat yarn which is exported to China. In China, the flat yarn is spun into a 3 ply yarn. PHP stated that this is cabling the yarn. For classification purposes this is a three ply yarn. PHP also stated that no other fibers are incorporated into the spinning of the final product. The final 3 ply yarn is impregnated with a chemical latex coating. Classification of this yarn would be under heading 5402. 11.6000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for synthetic filament yarn (other than sewing thread), not put up for retail sale, including synthetic monofilament of less than 67 decitex: High tenacity yarn of nylon or other polyamides: Of aramids: Multiple, (Folded) or Cabled. The rate of duty will be 8 percent ad valorem. COUNTRY OF ORIGIN - LAW AND ANALYSIS: On December 8, 1994, the President signed into law the Uruguay Round Agreements Act. Section 334 of that Act (codified at 19 U.S.C. 3592) provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996. On September 5, 1995, Customs published Section 102.21, Customs Regulations, in the Federal Register, implementing Section 334 (60 FR 46188). Thus, effective July 1, 1996, the country of origin of a textile or apparel product shall be determined by sequential application of the general rules set forth in paragraphs (c)(1) through (5) of Section 102.21. Paragraph (c)(1) states that “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 that “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 that “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 requirements5401–5406        A change to heading 5401 through 5406 from any other heading, provided that the change is the result of an extrusion process. Although the foreign material, the latex coating, meets the terms of the tariff shift the change, it does not result from an extrusion process. Accordingly, Section 102.21(c)(2) is inapplicable.Section 102.21(c)(3) states that, “Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of this section”:    (i) If the good was knit to shape, the country of origin of the good is the single country, territory, or insular possession in which the good was knit; or    (ii) Except for goods of heading 5609, 5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings 6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to shape and the good was wholly assembled in a single country, territory, or insular possession, the country of origin of the good is the country, territory, or insular possession in which the good was wholly assembled.As the subject merchandise is neither knit, nor wholly assembled (fibers extruded in U.S. yarn is spun in China), in a single country, Section 102.21 (c)(3) is inapplicable. Section 102.21 (c)(4) states, “Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2) or (3) of this section, the country of origin of the good is the single country, territory or insular possession in which the most important assembly or manufacturing process occurred.” The extrusion of the fibers into a yarn constitutes the most important assembly process. The country of origin for the Aramid SEC tire cord-1500D/3 will be conferred in the United States. Please note that separate Federal Trade Commission marking requirements exist regarding country of origin, fiber content, and other information that must appear on many textile items. You should contact the Federal Trade Commission, Division of Enforcement, 6th and Pennsylvania Avenue, N.W., Washington, D.C., 20580, for information on the applicability of these requirements to this item. Information can also be found at the FTC website www.ftc.gov (click on “For Business” and then on “Textile, Wool, Fur”). 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 or 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). 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 Adleasia Lonesome via email at adleasia.a.lonesome@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division