CLA-2 RR:TC:TE 958626 jb
Leonard L. Rosenberg, Esq.
Sandler Travis & Rosenberg, P.A.
The Waterford
5200 Blue Lagoon Drive
Miami, Florida 33126-2022
RE: Country of origin determination of tote bags and cosmetic
bags; 19 C.F.R. 102.21; 102.21(c)(4), country of origin is the
country in which the most important manufacturing process
occurred; 102.21(c)(5), country of origin is the last country in
which an important manufacturing process occurred
Dear Mr. Rosenberg:
This is in response to your letter, dated October 31, 1995,
on behalf of your client, Jaclyn, Inc., in which you request a
country of origin determination for five styles of bags. This
office was provided with samples of the unfinished and finished
articles, as well as detailed descriptions of the manufacturing
processes which occur in "Country A" and "Country B". As per
your request, the samples will be returned under separate cover.
FACTS:
The merchandise and production processes are described as
follows:
STYLE NO. L-1570
Description:
A large oversized tote bag with a front logo (either
textile label or embossed non- textile patch),
a top opening
secured by a
zipper with a
pull tab,
handles and a
gusseted
bottom. The
bag is
approximately
23 inches
across, 16-1/2
inches in
length and 5-1/2 inches wide
and features an
outer surface
and handles
composed of a
woven man-made
fiber fabric.
The bag is
lined and the
gusset is
covered with
PVC.
Processes:
Scenario 1:
Country A
1. Cut material into parts;
2. Emboss logo and sew to body panel;
3. Glue cardboard to top inside collar;
4. Sew zipper on inside collar;
5. Sew handles in rolls, cut handles to length and
sew on to zipper panel.
Country B
1. Attach country of origin label to inside lining
panel;
2. Sew inside lining panels and attach to top
collar;
3. Sew the front and back panels to create body of
bag;
4. Insert lining into body and sew zipper panel,
cut loose threads, clean and pack in
polybags/export cartons.
Scenario 2:
Country B
1. Cut material into parts;
2. Emboss logo and sew to body panel;
3. Sew handles in rolls, cut specific handles and
sew onto top of body
panels without inside collar;
4. Sew side seams of body panels up to collar area
to create body of bag.
Country A
1. Glue cardboard to top inside collar;
2. Sew zipper on inside collar;
3. Sew inside lining and country of origin label
and sew lining to top collar;
4. Connect lining and collar to body of bag, cut
loose threads, clean and pack in
polybags/export cartons.
STYLE L-2142-2
Description:
An insulated cosmetic carry-all measuring approximately 5-1/2 inches in length, 5 inches in width and 8-1/2
inches across. The bag features a handle on the top and an
expandable pocket in the front. The outer surface of
the bag and the piping that is inserted into certain seams
are made from a woven man-made fiber fabric, and the bag is lined
with PVC and foam insulation.
Processes:
Scenario 1:
Country A
1. Cut material into parts;
2. Sew front flap, foam, and piping to create pocket
flap;
3. Sew velcro on to PVC lining flap;
4. Sew front pocket, foam, PVC sheeting and velcro to
create pocket panel;
5. Sew handles and piping with PVC filler inside.
Country B
1. Link front pocket panel, side panels, pocket flap,
zipper and tab and piping by
sewing to create front/side panel;
2. Sew handle to main body panel, foam and PVC;
3. Sew panel, lining, and foam to create main body
panel;
4. Connect main body panel to front/side panel;
5. Sew in country of origin label, trim inside bag and
sew PVC binding to cover seams;
6. Turn bag, cut loose threads, clean and pack in
polybags/export cartons.
Scenario 2:
Country B
1. Cut material into parts;
2. Sew handle to main body panel, foam and PVC;
3. Create main panel by sewing main panel fabric,
lining and foam.
Country A
1. Sew velcro on to PVC lining flap;
2. Sew front flap, foam and piping to create pocket
flap;
3. Sew front pocket panel, side pocket, foam, PVC and
velcro to create front/side panel;
4. Connect main body panel to front/side panel and sew
to zipper and tab and piping;
5. Sew in country of origin label, trim inside bag and
sew PVC binding to cover seams;
6. Turn bag, cut loose threads, clean and pack in
polybags/export cartons.
STYLE L-2528-6
Description:
A small dome-shaped pouch, measuring approximately 6-1/2
inches across, 5 inches in length and 3 inches in width. The
outer surface of the bag is a woven
man-made fiber fabric with an inner
lining of PVC. A logo (non-textile
embossed patch or small textile
label) is stitched to the outside
of the bag and the top is secured
by a zipper with a pull tab.
Processes:
Scenario 1:
Country A
1. Cut material into parts;
2. Sew logo into main body panel;
3. Sew zipper, collar lining and tab to create zipper
panel assembly;
4. Stitch side/gusset panels to PVC lining.
Country B
1. Stitch main body panel to PVC lining;
2. Stitch lined main body panel, lined side/gusset
panels and zipper panel together;
3. Attach country of origin label and stitch binding to
cover inside seams;
4. Turn bag, cut loose threads, clean and pack in
polybags/export cartons.
Scenario 2:
Country B
1. Cut material into parts;
2. Fold logo and sew to body panel;
3. Sew zipper to collar and attach zipper tab creating
zipper assembly;
Country A
1. Stitch side/gusset panels to PVC lining and connect
with zipper panel;
2. Stitch main body panel to PVC lining;
3. Stitch lined body panel, lined side gusset panels
and zipper panel together;
4. Attach country of origin label and stitch binding to
cover inside seams;
5. Cut loose threads, clean and pack in polybags/export
cartons.
STYLE L-2506
Description:
A small duffel-shaped pouch with a logo (a circular non-textile embossed patch or small textile label) on one side.
The bag's opening has a zipper with a pull tab closure, and
its outer surface is a woven man-made fiber fabric lined
with PVC. The bag has circular panels that are reinforced
with textile cord/webbing inserted into the seams.
Processes:
Scenario 1:
Country A
1. Cut material into parts;
2. Sew logo to body panel;
3. Sew body panel, lining and zipper together and
attach zipper tab;
4. Sew end panels and linings together;
5. Sew webbing/piping and stitch it to end panels.
Country B
1. Sew body panel, end panels, and turn bag;
2. Sew in country of origin label and bind seams;
3. Turn bag, cut loose threads, finish, pack in
polybags/export cartons.
Scenario 2:
Country B
1. Sew logo to body panel;
2. Sew zipper to body panel and lining, attach zipper
tab.
Country A
1. Sew end panels and lining together;
2. Sew webbing and stitch it to end panels;
3. Sew body panel and end panels and turn bag;
4. Sew in country of origin label and bind seams;
5. Turn bag, cut loose threads, finish and pack in
polybags/export cartons.
STYLE L-1665-16
Description:
A small flat rectangular shaped cosmetic bag made primarily
from one body panel measuring approximately 9 inches across
and 7 inches in length. The outer surface of the bag is a
woven man-made fiber fabric with a PVC lining. The bag
features a top opening secured by a zipper with a pull tab
and the interior seams are covered with PVC binding.
Production:
Scenario 1:
Country A
1. Cut material into body panel;
2. Fold and sew body panel to lining and zipper;
3. Add zipper tab and turn bag.
Country B
1. Sew country of origin label and close sides by
sewing;
2. Stitch binding over seams for clean finish;
3. Turn bag, trim loose threads, finish and pack into
polybags/export cartons.
Scenario 2:
Country B
1. Cut material into body panel;
2. Fold and sew panel, lining and zipper tape;
3. Add zipper tab.
Country A
1. Turn bag, sew country of origin label and close
sides by sewing;
2. Stitch binding over seams;
3. Turn bag, finish and pack into polybags/export
cartons.
ISSUE:
What is the country of origin of the submitted merchandise?
LAW AND ANALYSIS:
On December 8, 1994, the President signed into law the
Uruguay Round Agreements Act. Section 334 of that Act 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, 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
foreign material 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". Each of the subject items would be classified in a
provision in heading 4202, HTSUSA. The tariff shift for heading
4202 textile goods requires the merchandise to be wholly
assembled in a single country. As the subject merchanidse is not
wholly assembled in a single country, paragraph (c)(2) of Section
102.21 is inapplicable.
Paragraph (c)(3) states that "Where the country of origin of
a textile or apparel product cannot be determined under paragraph
(c)(1) or (c)(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
in a single country, section (c)(3) of Section 102.21 is
inapplicable.
Paragraph (c)(4) states that "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". In the case of the subject merchandise, the most
important manufacturing operations are those which connect the
primary body panels, thereby establishing the identity of the
merchandise. As such, for Style L-1570, the most important
manufacturing operations occur in Country B in scenario 1 and 2.
For styles L-214-2, L-2528-6 and L-2506, the most important
manufacturing operations occur in Country B in scenario 1, and
Country A in scenario 2.
Paragraph (c)(5) states that "Where the country of origin of
a textile or apparel product cannot be determined under paragraph
(c)(1), (2), (3) or (4) of this section, the country of origin of
the good is the last country, territory or insular possession in
which an important assembly or manufacturing process occurred".
In the case of Style L-1665-16, the assembly operations occurring
in countries A and B are equally important. Because this
particular style is made primarily of one body panel, both the
process of folding the body panel and connecting it to the
zipper, and the process of closing the side seams are equally
important. In this situation (c)(5) directs us to the last
country in which an important manufacturing operation occurred.
Accordingly, in scenario 1 the country of origin is Country B and
in scenario 2 the country of origin is Country A,
HOLDING:
The country of origin of Styles L-1570, L-2142-2, L-2528-6
and L-2506 is determined by Section 102.21 (c)(4), that is, the
country in which the most important manufacturing process
occurred. Accordingly, for Style L-1570 country of origin is
conferred by Country B in scenarios 1 and 2. For Style L-2142-2
country of origin is conferred by Country B in scenario 1 and
Country A in scenario 2. For Style L-2528-6 country of origin is
conferred by Country B in scenario 1 and Country A in scenario 2.
For Style L-2506 country of origin is conferred by Country B in
scenario 1 and Country A in scenario 2.
The country of origin of Style L-1665-16 is determined by
Section 102.21 (c)(5), that is, the last country in which an
important manufacturing process occurred. Accordingly, country
of origin is conferred by Country B in scenario 1 and Country A
in scenario 2.
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 and
complete in every material respect.
Should it be subsequently determined that the information
furnished is not complete and does not comply with 19 CFR
177.9(b)(1), the ruling will be subject to modification or
revocation. In the event there is a change is the facts
previously furnished, this may affect the determination of
country of origin. Accordingly, if there is any change in the
facts submitted to Customs, it is recommended that a new ruling
request be submitted in accordance with 19 CFR 177.2.
Sincerely,
John Durant, Director
Textiles Classification Appeals
Division