CLA-2 RR:CC:TE 959304 NLP
Mr. William J. LeClair
Trans-Border Customs Services, Inc
One Trans-Border Drive
P.O Box 800
Champlain, NY 12919
RE: Modification of NYRL 818218; country of origin determination
for comforters, quilted spreads, pillow shams, sheets, pillow
cases and bed skirts; 19 CFR 102.21(c)(2), (4) and (5);
102.21(d)
Dear Mr. LeClair:
On February 10, 1996, our New York office issued to you, on
behalf of Lawrence Home Fashions, Inc., New York Ruling Letter
(NYRL ) 818218, which dealt with the classification and country
of origin of comforters, bedspreads and bedding sets imported
from Canada. After reviewing this ruling, we have determined
that the country of origin determination set forth for some of
these items is incorrect and this ruling modifies those
determinations. Pursuant to section 625, Tariff Act of 1930 (19
U.S.C. 1625), as amended by section 623 of Title VI (Customs
Modernization) of the North American Free Trade Agreement
Implementation Act (Pub. L. No. 103-182, 107 Stat. 2057 (1993))
(hereinafter, section 625), notice of the proposed modification
of NYRL 818218 was published July 24, 1996, in the CUSTOMS
BULLETIN, Volume 30, Number 29/30. No comments were received in
response to the notice.
FACTS:
The articles at issue are a comforter, a quilted bedspread
and three bedding sets. We will describe each of the items and
their respective manufacturing operations.
ITEM #1- COMFORTER
The comforter is comprised of a 50% polyester and 50% cotton
outer shell fabric and batting material made of 100% polyester
nonwoven fiberfill fabric. The manufacturing operations are as
follows:
Pakistan
50% polyester/50% cotton fabric for the outer shell is
sourced
Canada
fabric for the batting is sourced
fabric for the outer shell is bleached, dyed, printed,
cut and sewn
comforter is stuffed, quilted and assembled
6 millimeter piping is inserted in the edge seam on all
four sides
ITEM #2- QUILTED BEDSPREAD
The top surface is made from a 50% polyester and 50% cotton
fabric and a batting material made of 100% polyester nonwoven
fiberfill fabric. The comforter's backing fabric is a plain
white 50% polyester/50% cotton lightweight muslin type fabric.
The bedspread has been quilt stitched through all three layers.
Pakistan
fabric for the top surface of the bedspread is sourced
Canada
fabric for the batting is sourced
fabric for the backing is sourced
fabric for the top surface is bleached, dyed, printed,
cut and sewn
bedspread is assembled
ITEM #3- BEDDING SET
This item consists of a comforter, pillow sham and bed
skirt. As stated in NYRL 818218, this set meets the requirements
for "goods put up in sets for retail sale" pursuant to GRI 3(b).
The essential character is imparted by the comforter.
Comforter: the top surface is made of a 50% polyester and
50% cotton fabric. It is stuffed with a batting material
made of 100% polyester nonwoven fiberfill fabric. The comforter's backing material is a plain white 50% polyester/50%
cotton lightweight muslin type fabric.
Pakistan
fabric for the top surface of the comforter is sourced
Canada
fabric for the batting is sourced
fabric for the comforter's backing is sourced
fabric for the top surface is bleached, dyed, printed,
cut and sewn
comforter is stuffed and assembled
Sham: is made of a 50% polyester and 50% cotton fabric.
Pakistan
fabric is sourced
Canada
fabric is bleached, dyed, printed, cut and sewn
sham is assembled
Bed skirt: The skirt component is made of a 50% polyester
and 50% cotton fabric. The platform portion is made of
a man-made nonwoven fabric.
Pakistan
fabric for the skirt component is sourced
Canada
fabric for the skirt component is bleached, dyed,
printed, cut and sewn
fabric for the platform portion is sourced
bed skirt is assembled
ITEM #4- BEDDING SET
This item consists of a comforter and sheet set. As stated
in NYRL 818218, this set meets the requirements for "goods put up
in sets for retail sale" pursuant to GRI 3(b). The essential
character is imparted by the comforter.
Comforter: the outer shell of the comforter is made of a 50%
polyester and 50% cotton fabric and is stuffed with a
batting material made of 100% polyester nonwoven fiberfill fabric.
Pakistan
fabric for the outer shell is sourced
Canada
fabric for the batting is sourced
fabric for the outer shell is bleached, dyed, printed,
cut and sewn
comforter is stuffed, quilted and assembled
Sheets and pillowcases: are made of a 50% polyester and 50%
cotton fabric. The fitted sheet is fully elasticized and cut
and hemmed on all four sides. The flat sheet contains one
selvage edge and is hemmed on all four sides.
Pakistan
fabric is sourced
Canada
fabric is bleached, dyed, printed, cut and sewn
sheets and pillowcases are assembled
ITEM #5- BEDDING SET
This item is a bed in a bag set consisting of : a comforter,
a flat sheet, a fitted sheet, two pillow cases, two pillow shams
and a bed skirt. As stated in NYRL 818218, this set meets the
requirements for "goods put up in sets for retail sale" pursuant
to GRI 3(b). The essential character is imparted by the
comforter.
Comforter: the top surface of the comforter is made of a 50%
polyester and 50% cotton fabric and it is stuffed with a
batting material made of 100% polyester nonwoven fiberfill fabric. The comforter's backing fabric is made from a plain
white 50% polyester/50% cotton lightweight muslin type fabric.
Pakistan
fabric for the top surface is sourced
Canada
fabric for the batting is sourced
fabric for the comforter's backing is sourced
fabric for the top surface is bleached, dyed, printed,
cut and sewn
comforter is stuffed and assembled
Sheets and pillowcases: are made of a 50% polyester and 50%
cotton fabric.
Pakistan
fabric is sourced
Canada
fabric is bleached, dyed, printed, cut and sewn
sheets and pillowcases are assembled
Sham: is made of the 50% polyester and 50% cotton fabric
Pakistan
fabric is sourced
Canada
fabric is bleached, dyed, printed, cut and sewn
sham is assembled
Bed skirt: the skirt component is made of a 50% polyester
and 50% cotton fabric. The platform component is made from a
nonwoven fabric.
Pakistan
fabric for the skirt is sourced
Canada
fabric for the platform is sourced
fabric for the skirt is bleached, dyed, printed, cut
and sewn
bed skirt is assembled
ISSUE:
What is the country of origin of the subject merchandise?
LAW AND ANALYSIS:
Pursuant to the Uruguay Round Agreements Act, new rules of
origin will be effective for textile products entered, or
withdrawn from warehouse for consumption, on or after July 1,
1996. These rules were published in the Federal Register, 60
Fed. Reg. 46188 (September 5, 1995). Section 102.21, Customs
Regulations (19 CFR Section 102.21), sets forth the general rules
which determine country of origin. The country of origin of a
textile product will be determined by a hierarchy of rules set
forth in paragraphs (c)(1) through (c)(5) of Section 102.21.
Section 102.21(c)(1) sets forth the general rule for
determining the country of origin of a textile product in which
the good is wholly obtained or produced in a single country,
territory, or insular possession. It states the following: "The
country 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.
Section 102.21(c)(2) provides for instances where the
country of origin of a textile product cannot be determined under
Section 102.21(c)(1). Section 102.21(c)(2) provides the
following:
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.
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." Two
provisions are applicable in this instance, to wit:
6301-6306 The country of origin of a good classifiable under
heading 6301 through 6306 is the country,
territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.
9404.90 The country of origin of a good classifiable under
subheading
9404.90 is the country, territory, or insular
possession in which
the fabric comprising the good was formed by a
fabric-making
process.
The subject merchandise consists of a comforter, a quilted
bedspread and three bedding sets. In NYRL 818218, Customs
determined that the comforter was classified in subheading
9404.90.8522, Harmonized Tariff Schedule of the United States
(HTSUS) and the quilted bedspread was classified in subheading
9404.90.9555, HTSUS. NYRL 818218 also held that the bedding sets
met the qualifications of "goods put up in sets for retail sale"
and that the comforters imparted the essential character in all
three sets. As such, the proper classification for these items
was in subheading 9404.90.8522, HTSUS.
Section 102.21(d) addresses the treatment of sets for
country of origin purposes. Section 102.21(d) provides the
following:
Where a good classifiable in the HTSUS as a set includes one
or more components that are textile or apparel products and a
single country of origin for all of the components of the set
cannot be determined under paragraph (c) this section, the
country of origin of each component of the set that is a
textile or apparel product shall be determined separately
under paragraph (c) this section.
Although the classification of the three bedding sets (described
herein as items #3, #4, and #5), as per an essential character
determination, is based on the comforter, as per the terms of
Section 102.21(d), the country of origin of each of the items
comprising the sets must be determined separately.
As the comforters in the bedding sets and the comforter and
quilted spread imported alone are comprised of either two or
three fabrics sourced in two countries, there is no single
country in which the fabric was formed. Accordingly, Section
102.21(c)(2) is not applicable to this merchandise.
However, the tariff shift rule may be applicable in
determining the country of origin of some of the components of
the sets. The sheets and pillowcases are classifiable in heading
6302, Harmonized Tariff Schedule of the United States (HTSUS).
The pillow shams and bed skirts are classifiable in heading 6304,
HTSUS. As the fabric comprising the pillow shams, the sheets and
pillowcases was formed by a fabric making process in a single
country, that is, Pakistan, the country of origin for these
articles is Pakistan. However, as the fabric for the bed skirt
is formed in two countries, the tariff shift rule is not
applicable to that merchandise.
Section 102.21(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 comforters, the quilted bedspread and the bed skirts
are not knit to shape and heading 6304, HTSUS, and subheading
9404.90, HTSUS, are both excepted from provision (ii), Section
102.21(c)(3) is inapplicable.
Section 102.21(c)(4) provides:
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 comforters in items #1 and #4, the fabric
making process of the comforters' outer shells constitutes the
most important manufacturing process. It is the outer shell
which actually forms the merchandise. Moreover, basing the
country of origin determination on the fabric making process as
opposed to the assembly process carries out the clear intent of
Section 334 as expressed in Section 334 (b)(2) and Part
102.21(c)(3)(ii). Accordingly, the fabric making process in
Pakistan, where the fabric for the comforters outer shells is
formed, constitutes the most important manufacturing process.
Therefore, the country of origin for these comforters is
Pakistan.
In the case of the quilted bedspread, the comforters and bed
skirts in items #2, #3 and #5, the most important manufacturing
process occurs at the time of the fabric making. As the fabric
for these articles is sourced in more than one country, and no
one fabric is more important than the other, the country of
origin cannot be readily determined based on the fabric making
process. As such, paragraph (c)(4) is not applicable to this
merchandise.
Section 102.21(c)(5) states the following:
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.
Accordingly, in the case of the quilted bedspread, the comforters
and bed skirts in items #2, #3 and #5, the country of origin is
conferred by the last country in which an important assembly or
manufacturing process occurred, that is, Canada.
HOLDING:
The country of origin for the pillow shams in items #3 and
#5 and the sheets and pillow cases in items #4 and # 5 is
Pakistan and requires a visa from Pakistan.
The country of origin for the comforters in items #1 and #4
is Pakistan and requires a visa from Pakistan.
The country of origin for the quilted bedspread, the
comforters and bed skirts in items #2, #3 and #5 is Canada.
Pursuant to the analysis and holding of this ruling, NYRL
812818 is modified accordingly.
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 19 CFR
177.9(b)(1). This sections 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.
In accordance with section 625(c)(1), Tariff Act of 1930 (19
U.S.C. 1625(c)(1)), as amended by section 623 of Title VI
(Customs Modernization) of the North American Free Trade
Agreement Implementation Act (Pub. L. 103-182, 107 Stat. 2057),
this ruling will become effective 60 days after publication in
the CUSTOMS BULLETIN. Publication of rulings or decisions
pursuant to section 625 does not constitute a change of practice
or position in accordance with section 177.10(c)(1), Customs
Regulations (19 CFR 177.10(c)(1)).
Sincerely,
John Durant, Director
Tariff Classification Appeals
Division