Country of Origin Marking; Men’s and Women’s Swimwear; Boxes; hangtags; Honduras; U.S. address; see garment

HQ W559559 March 12, 1996 CLA-2 RR:TC:SM W559559 MLR CATEGORY: Classification Jonathan M. Fee, Esq. Grunfeld, Desiderio, Lebowitz & Silverman LLP 1201 West Peachtree Street, N.E., Suite 4860 Atlanta, Georgia 30309 RE: Country of Origin Marking; Men’s and Women’s Swimwear; Boxes; hangtags; Honduras; U.S. address; see garment Dear Mr. Fee: This is in reference to your letter of November 13, 1995, requesting a ruling on behalf of Kellwood Company (“Kellwood”), concerning the country of origin marking on boxes and hangtags for certain men’s and women’s swimwear from Honduras. Sample boxes and hangtags were submitted with your request. FACTS: It is stated that men’s and women’s swimwear are assembled in Honduras by Kellwood using fabric components cut in the U.S., and that they are imported under subheading 9802.00.80, Harmonized Tariff Schedule of the United States (HTSUS). The swimwear is then sold to Kellwood’s distributor TYR Sport, Inc. (“TYR”). Kellwood also manufactures identical swimwear in the U.S., and in the future, Kellwood may manufacture the swimwear in other countries. It is stated that the swimwear made in Honduras will have a permanent sewn-in label marked “Assembled in Honduras of U.S. Components.” The hangtag will be attached to the garment in Honduras by means of a plastic “Swift Tack” or a string, and it will not be sewn to the garment. The back cover of the hangtag includes the printed notations “®U.S.A.,” “©U.S.A.,” and “Printed in U.S.A.” in small print near the bottom edge. The cardboard box in which the swimwear is packaged in Honduras is approximately eight inches long, five and one-fourth inches wide, and one inch deep. It is stated that the box is not glued or taped shut so that the ultimate purchaser in a retail store can open it and view or try on the garment. Kellwood expects that the retailer may sometimes remove the garments from the boxes for display on hangers, on shelves, or in various loose displays. The back cover of the box contains the words “For a catalog of TYR merchandise send $3.00 along with name and address to: TYR Sport, Inc. 15661 Container Lane, Huntington Beach, CA 92649.” Kellwood wishes to use the same retail box and hangtag for all merchandise, regardless of its country of origin. It is proposed to mark the boxes and hangtags “Product of U.S.A., Honduras, or (other country); See Garment Label” or “Country of Origin on Garment Label.” The words would be printed on the same side of the box as TYR’s U.S. address and in lettering of comparable size. It is also stated that the words would be printed on the same side of the hangtag as the reference to TYR’s U.S. trademark and copyright, also in letters of comparable size. ISSUE: Whether the boxes in which the swimwear is packaged, and the hangtags affixed to the swimwear may be marked “Product of U.S.A. or Honduras, or (other country); See Garment Label” or “Country of origin on Garment Label.” LAW AND ANALYSIS: 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. Congressional intent in enacting 19 U.S.C. 1304 was “that the ultimate purchaser should be able to know by an inspection of the marking on the imported goods the country of which the goods is the product. The evident purpose is to mark the goods so that at the time of purchase the ultimate purchaser may, by knowing where the goods were produced, be able to buy or refuse to buy them, if such marking should influence his will.” United States v. Friedlaender & Co. Inc., 27 CCPA 297, 302, C.A.D. 104 (1940). Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.46, Customs Regulations (19 CFR 134.46), requires that in any case in which the words “United States,” or “American,” the letters “U.S.A.,” any variation of such words or letters, or the name of any city or locality in the United States, or the name of any foreign country or locality other than the country or locality in which the article was manufactured or produced, appears on an imported article or its container, there shall appear, legibly and permanently, in close proximity to such words, letters, or name, and in at least a comparable size, the name of the country of origin preceded by “Made in,” “Product of,” or other words of similar meaning. The purpose of this section is to prevent the possibility of misleading or deceiving the ultimate purchaser as to the actual origin of the imported goods. Please note that Customs has published a notice of proposed rulemaking in the “Federal Register” on November 16, 1995, to amend 19 CFR 134.46 (60 Fed. Reg. 57559). You cite Headquarters Ruling Letter (HRL) 735093 dated September 8, 1993, where an importer of brassieres repacked them in a cardboard box for retail sale. Like Kellwood’s box, the brassiere box was unsealed, and the garment could be examined at the point of retail sale. The brassiere box also contained a printed U.S. address on the bottom end flap, which Customs stated triggered 19 CFR 134.46. Customs declined to rule that the boxes were exempt from labeling, and disapproved use of the words “Tailored in” as an appropriate origin indicator for brassieres. However, Customs ruled that “...either the Philippines, Mexico, Indonesia or Pakistan -- See Garment Label for Details” was acceptable, if this marking was placed on the same size of the box as the U.S. address and in lettering of comparable size. You also state that C.S.D. 80-29 dated July 10, 1979, is similar to Kellwood’s situation, which allowed an importer of garments to use a marking legend “Imported and Distributed by Name, Address and ZIP Code, Country of Origin on Contents” on disposable containers that it distributed to its foreign suppliers for individual packaging of its imported garments. Additionally, “Refer to Neck Label for Country of Origin” was found acceptable on a plastic bag underneath a U.S. address in HRL 732374 dated July 7, 1989. In HRL 734469 dated September 30, 1992, Customs also held that a hangtag attached to sunglasses, which was marked with a U.S. address and the words “Made in Country indicated on Sunglasses” was acceptable. In this case, it is stated that the swimwear will have a permanent sewn-in label with its proper country of origin. We find that as in HRL 735095, the ultimate purchaser is likely to remove the swimwear from the box for examination. We also find that TYR’s address on the back of the box triggers the requirements of 19 CFR 134.46 because the ultimate purchaser could believe that the swimwear was made by TYR in the U.S. However, as in HRL 735095, we find that the words “Product of U.S.A., Honduras, or (other country); See Garment Label” or “Country of Origin on Garment Label” will satisfy the requirements of 19 CFR 134.46 because these words are placed near the U.S. address and are in comparable size lettering. Similarly, as in HRL 734469, we find that “Product of U.S.A., Honduras, or (other country); See Garment Label” or “Country of Origin on Garment Label” on the back of the hangtag will be acceptable. Please note that after July 1, 1996, the country of origin of the swimwear may change. Please see the Final Rule of the Rules of Origin for Textile and Apparel Products, published at 60 Fed. Reg. 46188, 46193 (September 5, 1995). HOLDING: On the basis of the information submitted, TYR’s address on the back of the box triggers the requirements of 19 CFR 134.46. However, we find that the words “Product of U.S.A., Honduras, or (other country); See Garment Label” or “Country of Origin on Garment Label” will satisfy the requirements of 19 CFR 134.46 because these words are placed near the U.S. address, are in comparable size lettering, and the ultimate purchaser is likely to remove the swimwear for examination. Similarly, this marking is acceptable on the back of the hangtag. A copy of this ruling letter should be attached to the entry documents filed at the time the goods are entered. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction. Sincerely, John Durant, Director Tariff Classification Appeals Division