CLA-2: R:C:T 957274 PR
Ms. Ann Williams
A.N. Deringer, Inc.
173 Service Road
Champlain, N.Y. 12919
RE: Country of Origin and Classification of Greige Cotton Fabric
Dear Ms. Williams:
This is in reply to your letter of August 25, 1994, on
behalf of Radley Cotton Mills, Ltd., Montreal, Canada, concerning
the country of origin and classification of greige cotton fabric.
Our ruling on the matter follows.
FACTS:
A sample was submitted. As requested, the sample is being
returned. The sample is a length of green dyed woven fabric.
Printed in the selvage are small six pointed black designs--each
approximately one square centimeter and separated by
approximately 1-1/2 centimeters. Laboratory analysis indicates
that the sample is wholly of cotton and constructed with a 3 X 1
twill. It weighs 204.2 grams per square meter and has an average
yarn number of 33 with 44.9 single yarns per centimeter in the
warp and 23.6 single yarns per centimeter in the filling. It is
stated that the fabric will be imported in 160 centimeter widths.
According to the submission, the fabric will be woven in
India and shipped as greige goods to Canada. In Canada it is
bleached, dyed, printed, and preshrunk.
The importer believes that the fabric is classifiable as an
unnapped printed cotton twill fabric, weighing over 200 grams per
square meter, in subheading 5209.52.0020, Harmonized Tariff
Schedule of the United States Annotated.
ISSUE:
Two issues are presented. The first issue is the
classification of the imported fabric--is it classifiable as a
dyed fabric, or as a printed fabric. The second issue is whether
that fabric is a product of India or Canada.
LAW AND ANALYSIS:
Classification
In order to be classifiable under subheading 5209.52.0020,
fabric must meet all the requirements imposed by its superior
heading and subheading, including the requirement that the fabric
be printed. While the instant fabric has printed designs on the
selvage, we do not believe that the fabric is either commonly or
commercially known as a printed fabric. While such printing may
be useful for identifying fabric in the production of an article,
we are not aware of any useful or decorative purpose served by
that printing after the fabric is cut to shape. Accordingly,
Customs is of the view that printing on the selvage of a fabric
will not normally result in a printed fabric.
Subheading 5209.32.0020, HTSUSA, provides for unnapped dyed
cotton twill fabric. In the absence of convincing evidence that
the printed designs on the selvage of the sample fabric will be
readily visible in the finished product made from that fabric,
Customs considers the fabric not to be printed and, therefore,
classifiable in subheading 5209.32.0020.
Country of Origin
General Note 12, HTSUSA, which incorporates Article 401 of
the North American Free Trade Agreement (NAFTA) into United
States law, contains the rules for determining if a good
originates for duty reduction purposes in the territory of a
NAFTA party. In order to be a good originating in Canada under
the Article 401 rules, (1) the yarns forming the subject fabric
must be spun in Canada; (2) the fabric must be woven in Canada;
and (3) the fabric must be dyed in Canada. Accordingly, the
fabric does not qualify as originating in Canada under the
Article 401 rules.
Section 102, Customs Regulations (19 CFR 102), contains
the rules authorized by Annex 311 of NAFTA for determining
whether a NAFTA party is the country of origin for all purposes
not covered by Article 401. In order to be considered a product
of Canada under the 102 rules, the fabric must be dyed,
printed, and undergo two other specified processes. Because the
subject fabric is not considered to be printed, under the 102
rules that fabric is not a product of Canada.
HOLDING:
The subject fabric is a product of India and is classifiable
under the provision for unnapped dyed cotton twill woven fabric
weighing over 200 grams per square meter, in subheading
5209.32.0020, HTSUSA, with duty at the rate of 8.8 percent ad
valorem. The applicable textile restraint category is 317.
The designated textile and apparel category may be
subdivided into parts. If so, visa and quota requirements
applicable to the subject merchandise may be affected. Since
part categories are the result 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.
This ruling is issued pursuant to the provisions of Part 177
Customs Regulations (19 CFR Part 177). If the specific factual
situation is not as described above, this ruling may not be
valid. In such an event, it is recommended that a new ruling
request be submitted.
Sincerely,
John Durant, Director
Commercial Rulings Division