CLA-2 RR:TC:TE 959203 jb
K. M. Oh
Sam Jung Hwagong Co., Ltd.
1594-7, Bongchun-Dong, Kwanak-Ku
Seoul, Korea
RE: Country of origin determination for a baseball cap; 19 CFR
102.21(c)(4); most important assembly
Dear Mr. Oh:
This is in reply to your letter dated May 7, 1996,
requesting a country of origin determination for a baseball cap
which will be imported into the United States sometime on or
after July 1, 1996. A sample was submitted to this office for
examination.
FACTS:
The submitted merchandise consists of a baseball cap
composed of either 100 percent cotton or 65 percent cotton and 35
percent polyester fabric. The manufacturing operations are as
follows:
Scenario A
Korea
- fabric lamination and cutting.
Vietnam
- peak is sewn.
Korea
- crown is sewn;
- sweatband is sewn;
- peak, crown and sweatband are assembled;
- plastic adjustable back is sewn;
- top button is placed;
- trimming;
- blocking;
- packing.
Scenario B
Korea
- fabric lamination and cutting.
Vietnam
- crown is sewn.
Korea
- peak is sewn;
- sweatband is sewn;
- peak, crown and sweatband are assembled;
- plastic adjustable back is sewn;
- top button is placed;
- trimming;
- blocking;
- packing.
Scenario C
Korea
- fabric laminating and cutting.
Vietnam
- peak is sewn;
- sweatband is sewn.
Korea
- crown is sewn;
- peak, crown and sweatband are assembled;
- plastic adjustable back is sewn;
- top button is placed;
- trimming;
- blocking;
- packing.
Scenario D
Korea
- fabric lamination and cutting.
Vietnam
- crown is sewn;
- sweatband is sewn.
Korea
- peak is sewn;
- peak, crown and sweatband are assembled;
- plastic adjustable back is sewn;
- top button is placed;
- trimming;
- blocking;
- packing.
Scenario E
Korea
- fabric lamination and cutting.
Vietnam
- peak is sewn;
- crown is sewn.
Korea
- sweatband is sewn;
- peak, crown and sweatband are sewn together;
- plastic adjustable back is sewn;
- top button is placed;
- trimming;
- blocking;
- packing.
ISSUE:
What is the country of origin of the subject 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withdrawn from warehouse, for consumption, on and after July 1,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, 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 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".
Paragraph (e) 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":
6505.90 (1) If the good consists of
two or more components, a
change to subheading
6505.90 from any other heading, provided that the change is the result of
the good being
wholly assembled in a
single country, territory, or insular possession.
The subject baseball cap is classifiable in subheading
6505.90.2060, HTSUSA. As the baseball cap is not wholly
assembled in a single country in any of the scenarios you have
described in your letter, 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 (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 one country, paragraph (c)(3) is not applicable.
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". In the opinion of this office, in scenario A,
country of origin is conferred by Korea, where the crown is sewn
and the peak, crown and sweatband are assembled. In scenario B,
country of origin is conferred by Vietnam, where the crown is
sewn. In scenario C, country of origin is conferred by Korea,
where the crown is sewn and the peak, crown and sweatband are
assembled. In scenario D, country of origin is conferred by
Vietnam, where the crown is sewn. In country E, the country of
origin is conferred by Vietnam, where the crown is sewn.
HOLDING:
In scenario A the country of origin of the subject baseball
cap is Korea.
In scenario B the country of origin of the subject baseball
cap is Vietnam.
In scenario C the country of origin of the subject baseball
cap is Korea.
In scenario D the country of origin of the subject baseball
cap is Vietnam.
In scenario E the country of origin of the subject baseball
cap is Vietnam.
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 in 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
Tariff Classification Appeals
Division