CLA-2 RR:TC:TE 959347 jb
Marilyn O'Connor
The Quiltex Company, Inc.
168-39th Street
Brooklyn, NY 11232
RE: Country of origin determination for infant comforter, crib
sheet, headboard, side bumper, dust ruffle and diaper
stacker; 19 CFR 102.21(c)(2); tariff shift; 19 CFR
102.21(c)(4); most important assembly or manufacturing
process
Dear Ms. O'Connor:
This is in reply to your letter dated May 13, 1996,
requesting a country of origin determination for an infants'
comforter, crib sheet, headboard, side bumper, dust ruffle, and
diaper stacker.
FACTS:
The subject merchandise at issue, which you claim to be a
set, consists of a comforter, crib sheet, headboard, side bumper,
dust ruffle, and diaper stacker, made out of 65 percent polyester
and 35 percent cotton printed woven fabrics. Some of the items
also contain a 100 percent nonwoven polyester fabric filling.
The comforter features embroidery, piping, ruffles, an appliqued
"Peter Pan" design, and a polyester filling. The fitted crib
sheet, which is hemmed on four sides, features elasticized
corners and is not decorated. The headboard bumper is semi-circular in shape and features five self fabric ties, a ruffle,
embroidery, a "Peter Pan" applique, and a polyester filling. The
side bumpers feature self fabric ties at several points, a
ruffled top edge, and a polyester filling. The dust ruffle
features a plain white woven platform section and a ruffled
skirt. The diaper stacker is pyramidal in shape and features a
cardboard platform insert, ruffles around the slit opening and a
flap which overlaps the ruffled opening.
The manufacturing operations are as follows:
1. Comforter
TAIWAN
- border fabric is formed;
- back print fabric is formed.
PHILIPPINES
- center panel fabric is formed;
- applique;
- trim;
- embroidery;
- polyester filling is formed;
- cutting;
- sewing.
*We assume that the total weight of the center panel is more
than seven percent of the total weight of the finished comforter.
2. Crib sheet
TAIWAN
- fabric is formed.
PHILIPPINES
- elastic is formed;
- cutting;
- sewing.
3 & 4. Headboard and Side bumper
TAIWAN
- fabric is formed.
PHILIPPINES
- polyester filling is formed;
- cutting;
- sewing.
5. Dust ruffle
TAIWAN
- fabric is formed.
PHILIPPINES
- cutting;
- sewing.
6. Diaper Stacker
TAIWAN
- fabric is formed.
PHILIPPINES
- cutting;
- sewing.
ISSUE:
What is the country of origin of the submitted merchandise?
LAW AND ANALYSIS:
Classification
Classification of merchandise under the Harmonized Tariff
Schedule of the United States Annotated (HTSUSA) is in accordance
with the General Rules of Interpretation. GRI 1 requires that
classification be determined according to the terms of the
headings and any relative section or chapter notes. Where goods
cannot be classified solely on the basis of GRI 1, the remaining
GRI will be applied, in the order of their appearance.
The Explanatory Notes to the Harmonized Commodity
Description and Coding System (EN) to GRI 3(b) define "goods put
up for retail sale" as follows:
(a) consist of at least two different articles which are,
prima facie, classifiable in different headings.
Therefore, for example, six fondue forks cannot be regarded as a
set within the meaning of this Rule;
(b) consist of products or articles put up together to meet
a particular need or carry out a specific activity; and
(c) are put up in a manner suitable for sale directly to
users without repacking (e.g., in boxes or cases or on
boards).
In your letter you refer to the submitted merchandise as a
set. Although the subject merchandise meets two of the requisite
criteria as per GRI 3(b), that is, the merchandise consists of
two or more components that are classifiable in different
headings and it is put up in a manner suitable for sale without
repacking, it does not meet the third criteria. The subject
merchandise does not consist of articles put up together to meet
a particular need or carry out a specific activity. Although all
of the articles are intended for the use of infants, the diaper
stacker is distinguishable because it is not an article used in a
baby's crib like the other articles. As the subject merchandise
fails to meet the definition of "goods put up for retail sale",
each article must be classified separately. The comforter is
classified in subheading 9404.90.8522, HTSUSA, the crib sheet is
classifiable in subheading 6302.22.2020, HTSUSA, the side bumper,
headboard and diaper stacker are classifiable in subheading
6307.90.9989, HTSUSA, and the dust ruffle is classified in
subheading 6303.92.2000, HTSUSA..
Country of origin
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
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":
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.
6307.90 The country of origin of a good classifiable
under subheading 6307.90 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 crib sheet and dust ruffle are classifiable in
heading 6302, HTSUSA, and heading 6303, HTSUSA, respectively.
As the fabric comprising this merchandise is formed in a single
country, that is, Taiwan, as per the terms of the tariff shift,
the country of origin for both the crib sheet and dust ruffle is
Taiwan. The subject diaper stacker is classifiable in heading
6307, HTSUSA. Similarly, as the fabric comprising the submitted
diaper stacker is formed in a single country, that is Taiwan, as
per the terms of the tariff shift, the country of origin of the
diaper stacker is Taiwan. The comforter, headboard and side
bumper are comprised of fabrics formed in more than one country,
and as such, a single country of origin cannot be determined when
applying the applicable tariff shift rule.
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 comforter, headboard and side bumper are not
knit to shape and headings 9404.90, HTSUSA and 6307.90, HTSUSA,
are excepted from provision (ii), paragraph (c)(3) is
inapplicable.
Paragraph (c)(4) states that, "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 subject comforter,
headboard and sideboard, the most important manufacturing
operation occurs at the time of the fabric formation. As the
fabric formation for this merchandise occurs in more than one
country, country of origin cannot be readily determined based on
the fabric making process. As such, paragraph (c)(4) is not
applicable.
Paragraph (c)(5) states that, "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 subject
comforter, headboard and side bumper, the last country in which
an important manufacturing operation occurs is the Philippines.
HOLDING:
The country of origin of the subject crib sheet, dust ruffle
and diaper stacker is Taiwan.
The country of origin of the subject comforter shell,
headboard and side bumper is the Philippines.
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 is issued
on the assumption that all of the information furnished in the
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