NY A87950
November 21,1996
CLA-2-61:RR:NC:WA:N5:356 A87950
Mr. Jordan Tong
Golden Lake Sourcing Corporation
550 Jessie Street
San Francisco, CA 94103
RE: The tariff classification and status under the North American
Free Trade Agreement (NAFTA), of jackets from Mexico and
Canada; Article 509.
Dear Mr. Tong:
In your letter dated September 18, 1996, and in subsequent
information submitted on October 15, 1996 and November 6, 1996, you
requested a ruling on the status of a knit jacket from Mexico and
Canada under the NAFTA.
Style CHG-05 is a men's unlined jacket constructed from 100
percent polyester, finely knit fabric which is napped on the inside
and outside surfaces. The garment features a full front opening
with a zippered closure; a convertible collar; long sleeves with
elasticized cuffs; two side pockets with zipper closures; and a
drawstring bottom.
You have stated in your correspondence that the polyester
knit fabric will be imported into both Canada and Mexico from
Taiwan. In Canada, the imported fabric will be cut to shape and
assembled into jackets. The same operations will be performed on
the fabric imported into Mexico.
The applicable tariff provision for Style CHG-05 will be
6101.30.2010, Harmonized Tariff Schedule of the United States
Annotated (HTSUSA), which provides for men's, or boys' overcoats,
carcoats, capes, cloaks, anoraks, (including ski-jackets), wind-
breakers and similar articles, knitted or crocheted other than
those of heading 6103: of man-made fibers: other: other: men's.
The general rate of duty will be 29.6 percent ad valorem.
Style CHG-05 falls within textile category designation 634.
Based upon international textile trade agreements, products of
Mexico and Canada are not presently subject to visa requirements or
quota restraints.
Since quota and visa restrictions are the results of
international bilateral agreements which are subject to frequent
renegotiations and changes, to obtain the most current information
available, we suggest that you check, close to the time of
shipment, the Status Report on Current Import Quotas (Restraint
Levels) , an internal issuance of the U.S. Customs Service, which
is available for inspection at your local Customs office.
The jacket does not qualify for preferential treatment under
the NAFTA because the fabric used in the production of the good
does not satisfy the tariff classification shift required by
General Note 12(t)/61.1 ( HTS).
The jacket may qualify for a preferential duty rate under the
Tariff Preference Levels (TPL) found in the HTS, Section XI,
Additional U.S. Notes 3 (a) and 3(b). Since the garment is cut and
sewn in Canada and in Mexico, it qualifies for the reduced duty
rate if imported in a quantity up to that specified in Additional
U.S. Notes 3(f) and 3 (g), Section XI, HTS, provided that the
merchandise is accompanied by a Certificate of Eligibility.
Under the Tariff Preference Levels, the jacket will be
dutiable at 6 percent ad valorem when imported from Canada and will
be free of duty when imported from Mexico.
This ruling is being issued under the provisions of Part 181
of the Customs Regulations (19 C.F.R. 181).
A copy of this ruling letter 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
this ruling, contact National Import Specialist Mary Ryan at 212-466-5877.
Should you wish to request an administrative review of this
ruling, submit a copy of this ruling and all relevant facts and
arguments within 30 days of the date of this letter, to the
Director, Office of Regulations and Rulings, U.S. Customs Service,
1301 Constitution Ave. N.W., Franklin Court, Washington, D.C.
20229.
Sincerely,
Roger Silvestri
Director
National Commodity
Specialist Division