CLA-2 RR:TC:TE 959547 jb
Nathan Hedaya
Hedaya Home Fashions Inc.
255 18th Street
Brooklyn, NY 11215
RE: Country of origin determination for a patchwork throw and
quilt; 19 CFR 102.21(c)(4); most important assembly or
manufacturing process; 12.130(c)
Dear Mr. Hedaya:
This is in reply to your letter dated July 22, 1996,
requesting a country of origin determination for a patchwork
throw and quilt. A sample was submitted to this office for
examination.
FACTS:
The submitted merchandise consists of a patchwork "throw"
measuring 50 inches by 60 inches and featuring an outer shell
made of 100 percent cotton fabric and a 100 percent polyester
fabric filling. You state that this item also comes in a
smaller, 35 inches by 45 inches size. The manufacturing
operations are as follows:
UNITED STATES
- outer shell fabric is formed and printed.
CHINA
- polyester filling is formed;
- assembly.
ISSUE:
1. What is the proper classification for the subject
merchandise?
2. What is the country of origin of the subject merchandise?
LAW AND ANALYSIS:
Classification
Classification of goods under the Harmonized Tariff Schedule
of the United States (HTSUS) is governed by the General Rules of
Interpretation (GRI). GRI 1 provides that classification shall
be determined according to the terms of the headings and any
relative section or chapter notes. Merchandise that cannot be
classified in accordance with GRI 1 is to be classified in
accordance with subsequent GRI taken in order.
The subject merchandise is potentially classifiable under
two headings, Heading 6304, HTSUS, which provides for other
furnishing articles, and Heading 9404, HTSUS, which provides for,
among other things, articles of bedding and similar furnishing.
There is no provision in the nomenclature or the Explanatory
Notes to the Harmonized Commodity Description and Coding System
(EN) to heading 9404, HTSUS, which specifies that articles which
are potentially classifiable under Heading 9404, HTSUS, must be
able to cover a bed. However, it is Customs opinion that
implicit in an article being considered "bedding" is that it be
capable of serving a primary function of covering a bed
sufficiently so as to make such use practicable.
After conferring with numerous mattress and bed linen
manufacturers in the United States, Customs has determined that
there are standard commercial sizes for mattresses and bed
coverings. The standard sizes are as follows:
Mattress Sizes Quilts and Bedspread Sizes
Twin 39" X 75" 66" X 86"
Full 54" X 75" 81" X 86"
Queen 60" X 80" 86" X 86"
King 78" X 80" 100" X 90"
Customs also checked with various manufacturers of crib
mattresses and received various dimensions for crib mattresses.
These are as follows:
Mattress Sizes
Crib 27" X 51"
27" X 51" 5/8
27" X 54
28" X 52"
27-1/2" X 52"
This leads us to the question of whether the subject
merchandise, in either size, is a quilt for classification
purposes. In Headquarters Ruling Letter (HQ) 957410, dated
February 3, 1995, Customs determined that articles which had the
general appearance of quilts but measured 50 inches by 50 inches
and 50 inches by 60 inches were classifiable as other textile
furnishing articles under Heading 6304, HTSUS. The rationale for
this determination was the fact that those measurements
significantly deviated from the domestic industry standard size
quilts. See also, HQ 957480, dated April 14, 1995, issued to
you, which classified similar merchandise measuring 50 inches by
50 inches in Heading 6304, HTSUS.
On the other hand, when the subject merchandise is
manufactured in the 35 inches by 45 inches size, the outcome is
different. As there is no standard size for crib bedding, it is
the opinion of this office that the merchandise manufactured in
the smaller size (35 inches by 45 inches) is suited to serve as a
crib size quilt for certain crib mattresses. Consequently, the
merchandise measuring 35 inches by 45 inches is properly
classifiable under Heading 9404, HTSUS. See also HQ 958064,
dated June 13, 1995, issued to you, where similar merchandise
measuring 35 inches by 45 inches was classified in Heading 9404,
HTSUS.
Country of origin
On December 8, 1994, the President signed into law the
Uruguay Round Agreements Act. Section 334 of that Act (codified
at 19 U.S.C. 3592) 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 of
the 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.
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 is classifiable in Headings 6304,
HTSUS, and 9404, HTSUS. As the fabric-making process for the
subject merchandise does not occur in a single country, paragraph
(c)(2) is inapplicable.
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 merchandise is not knit to shape, and
headings 6304 and 9404.90, HTSUS, are excepted by 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." It is the belief of this office that in the
case of the subject merchandise the most important manufacturing
process occurs at the time of the formation of the outer shell
fabric. It is the outer shell fabric which in essence,
identifies the merchandise, and thus creates its saleability.
Accordingly, the country of origin of the subject merchandise is
the single country in which the outer shell fabric is formed,
that is, the United States.
However, there is an exception to products from the United
States that are sent abroad for processing. Section 12.130(c),
Customs Regulations, provides that any product of the United
States which is returned after having been advanced in value or
improved in condition abroad, or assembled abroad, shall be a
foreign article.
Section 12.130 which remains in effect was originally
intended to be used to determine the country of origin of
textiles and textile products for quota/visa requirements. In
Treasury Decision (T.D.) 90-17, issued February 23, 1990, Customs
announced a change in practice and position. This change
resulted in Customs using Section 12.130 for quota, duty and
marking purposes when making country of origin determinations for
textile goods. Therefore, in accordance with T.D. 90-17 and
Section 12.130(c), the country of origin of the subject
throw/quilt is China, for quota, marking and duty purposes. The
articles may be marked "Made in China".
HOLDING:
The merchandise measuring 50 inches by 60 inches is
classified in subheading 6304.92.0000, HTSUSA, which provides
for, other furnishing articles, excluding those of heading 9404:
other: not knitted or crocheted, of cotton. The applicable rate
of duty is 7 percent ad valorem and the quota category is 369.
The merchandise measuring 35 inches by 45 inches is
classified in subheading 9404.90.8020, HTSUSA, which provides
for, mattress supports; articles of bedding and similar
furnishing (for example, mattresses, quilts, eiderdowns,
cushions, pouffes and pillows) fitted with springs or stuffed or
internally fitted with any material or of cellular rubber or
plastics, whether or not covered: other: other: of cotton, not
containing any embroidery, lace, braid, edging, trimming, piping
exceeding 6.35mm or applique work; quilts, eiderdowns, comforters
and similar articles. The applicable rate of duty is 4.9 percent
ad valorem and the quota category is 362.
The country of origin of the subject merchandise is China
and should be marked 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 section 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.
Sincerely,
John Durant, Director
Tariff Classification Appeals
Division