CLA-2 CO:R:C:G 084874 CC
Mr. Steven L. Markowitz
President
Max Kahn Curtain Corporation
261 Fifth Avenue
New York, N.Y. 10016
RE: Classification and country of origin for a bedspread
Dear Mr. Markowitz:
This letter is in response to your inquiry of June 15, 1989,
requesting country of origin and tariff classification
determinations for a bedspread under the Harmonized Tariff
Schedule of the United States Annotated (HTSUSA). A sample was
submitted for examination.
FACTS:
The sample at issue, style number BS2-682, is a quilted
bedspread assembled in Haiti. It consists of three layers of
fabric quilted together and a half ruffle drop. The top layer
and the ruffle are made of 100 percent woven polyester fabric,
and the filling is made of 100 percent polyester fiberfill. The
backing is composed of 100 percent polyester warp knit tricot.
According to your submissions, unmarked, uncut fabric of
100 percent woven polyester, fiberfill, and backing are imported
into Haiti on separate bolts. There the three types of fabric
are layered and sewn together by a quilting machine and then are
cut to length and width to form the body of the bedspread. The
sides of the bedspread are sewn by overlocking, and the top edge
is hemmed. Identical woven fabric to be used for the dust ruffle
is cut to length and width and hemmed with a shirttail hem. The
ruffle is then attached to three sides of the bedspread by
shirred stitching, creating a dust ruffle. The bedspread is then
packaged.
ISSUE:
Whether the submitted merchandise is classifiable in Heading
6304, HTSUSA, or in Heading 9404, HTSUSA?
Whether the processing done in Haiti is sufficient to effect
a substantial transformation for country of origin purposes for
the submitted merchandise?
LAW AND ANALYSIS:
Classification
Classification of merchandise under the HTSUSA is in
accordance with the General Rules of Interpretation (GRI's),
taken in order. GRI 1 provides that classification shall be
determined according to the terms of the headings and any
relative section or chapter notes.
Heading 6304, HTSUSA, provides for other furnishing
articles, excluding those of Heading 9404, HTSUSA. One of the
articles specifically provided for in Heading 6304 is bedspreads.
According to the Explanatory Notes, the official interpretation
of the HTSUSA at the international level, Heading 6304 includes
bedspreads, but does not include bed coverings of Heading 9404.
The Explanatory Notes to Heading 9404 state that this heading
covers the following articles:
(B) Articles of bedding and similar furnishing which are
sprung or stuffed or internally fitted with any
material (cotton, wool, horsehair, down synthetic
fibers, etc.) or are of cellular rubber or plastics
(whether or not covered with woven fabric, plastics,
etc.). For example:
...
(2) Quilts and bedspreads ...
The submitted bedspread contains an internal layer of
fiberfill. The bedspread would be considered internally fitted
with fiberfill, and, according to the Explanatory Notes, would be
classifiable in Heading 9404, HTSUSA.
Country of Origin
Section 12.130 of the Customs Regulations (19 CFR 12.130)
provides that a textile product that is processed in more than
one country or territory shall be a product of that country or
territory where it last underwent a substantial transformation.
A textile product will be considered to have undergone a
substantial transformation if it has been transformed by means of
substantial manufacturing or processing operations into a new and
different article of commerce.
Section 12.130(d) of the Customs Regulations sets forth
criteria in determining whether a substantial transformation of a
textile product has taken place. This regulation states that
these criteria are not exhaustive; one or any combination of
criteria may be determinative, and additional factors may be
considered.
Section 12.130(d)(2) of the regulations states that in
determining whether merchandise has been subjected to substantial
manufacturing or processing operations, the following factors
will be considered in each country: the physical change in the
material or article, the time involved in manufacturing or
processing operations, the complexity of the operations, the
level or degree of skill and/or technology required, and the
value added to the article.
Processing of the submitted merchandise consists basically
of the following operations: layering three types of fabric and
sewing them together; cutting the layered fabric to length and
width to form a bedspread; overlocking the sides of the
bedspread; cutting fabric to length and width to form a dust
ruffle; and sewing the dust ruffle to the bedspread. In applying
the criteria for determining country of origin under 19 CFR
12.130, we believe that the processing operations performed in
Haiti on the submitted merchandise are substantial. Therefore,
the last substantial transformation for the submitted merchandise
occurs in Haiti.
HOLDING:
The merchandise at issue is classified under subheading
9404.90.9040, HTSUSA, which provides for articles of bedding and
similar furnishing internally fitted with any material, other,
other, other, other. The rate of duty is 14.5 percent ad
valorem.
The country of origin of the submitted merchandise is Haiti.
Sincerely,
John Durant, Director
Commercial Rulings Division