CLA-2 RR:TC:TE 966237 TMF
6302.22.2010, 6302.22.2020
Muhammad Owais, Managing Director
NIDA Textile Mills (T) Ltd.
P.O. Box 22745
Dar Es Salaam, TANZANIA
RE: Cotton and polyester/cotton bedsheets of Tanzania; AGOA eligibility
(19 C.F.R. §10.211-217); Country of Origin (19 C.F.R. §102.21)
Dear Mr. Owais:
This is in response to your request dated October 29, 2002. This correspondence was received January 13, 2003. In your letter, you requested a determination as to whether certain cotton and polyester/cotton bed sheets from Tanzania qualify for preferential treatment under the African Growth and Opportunity Act (hereinafter referred to as “AGOA”).
We received your correspondence along with a sample sheet set and eleven swatches of greige and forty-three styles of printed bed linen swatches for our review.
FACTS:
You state that your factory is a dyeing/printing/finishing facility that contains a cutting/stitching/packaging unit. As set forth in your request, you indicated that the goods are made from 100% cotton and blended polyester and cotton fabric from Pakistan, India and China as Tanzania does not have a “wide width” weaving facility.
Your submission includes a flow chart of the procedure in Tanzania which is labeled as a dyeing and printing process that includes: singeing and sizing; scouring and bleaching; drying; heat setting and bleaching; printing; curing; finishing; calendering and folding. From this process, the subject greige fabric will be formed into finished printed fabric that will be cut, stitched and sewn to form bedsheets and pillowcases that will be ultimately exported to the United States. We note that the flow chart is labeled as a “dyeing-printing process flow chart.” However, the dyeing process in not indicated in the flow chart, and none of the forty-three fabric swatches appear to be dyed.
In your submission you indicated that the sample would be sent to our attention according to how it would be packaged for exportation to the U.S. We note that the subject bed sheet set consists of two pillowcases; one fitted bed sheet and one flat bed sheet which arrived in clear packaging. Based on their condition as submitted, we will consider whether the subject bed sheet set qualifies as a “set” within the Harmonized Tariff Schedule of the United States Annotated.
ISSUE:
What is the classification of the subject bed sheets pursuant to the Harmonized Tariff Schedule of the United States Annotated?
Whether the subject merchandise qualifies for preferential treatment under the AGOA?
What is the country of origin of the subject merchandise?
LAW AND ANALYSIS:
Merchandise is classifiable under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA) in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that classification shall 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, and if the headings or legal notes do not require otherwise, the remaining GRIs 2 through 6 may be applied.
Additionally, the Harmonized Commodity Description and Coding System Explanatory Notes (ENs) are the official interpretation of the Harmonized System at the international level. While neither legally binding nor dispositive, the ENs provide a commentary on the scope of each heading of the HTSUSA. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
In the instant case, the subject articles are bed linens that consist of machine woven flat and fitted sheets and two pillowcases. Bed linen merchandise is provided pursuant to GRI 1 in heading 6302, HTSUSA. In the instant case, the set, which is comprised of machine woven flat and fitted sheets and two pillowcases, was submitted in clear packaging without the contents indicated.
Heading 6302 provides for bed linen, table linen, toilet linen and kitchen linen. EN 63.02 states that bed linen includes, in pertinent part, sheets and pillowcases. It also states that bed linen is usually made of cotton or flax, but sometimes also of hemp, ramie or man-made fibers, etc.
You stated in your correspondence that the subject greige was made from cotton and polyester yarns. You also stated by email correspondence that the composition of the various styles of greige is as follows:
1. 100% COTTON
2. 70% COTTON 30% POLYESTER
3. 50% COTTON 50% POLYESTER
4. 55% COTTON 45% POLYESTER
5. 45% COTTON 55% POLYESTER
We note that in this instance where products of Chapter 63 contain two or more textile materials, the fabric’s composition is controlled by the one textile material which predominates by weight.
In this instance, number 1 is exclusively of cotton. For numbers 2 and 4, we find cotton is the chief weight material. With number 5, the polyester is the chief weight material. With number 3, no textile material predominates in weight, thus as provided by note 2(A) of Section XI, the goods will be classified “as if consisting wholly of that one textile material which is covered by the heading which occurs last in numerical order among those which equally merit consideration.” Even a slight change in the fiber content may result in a change of classification, which could affect the duty rate and the visa and quota requirements. Further, the 50/50 blend, may be subject to Customs and Border Protection’s (CBP) laboratory analysis at the time of importation, and if the fabric is other than a 50/50 blend, the sheet sets may be reclassified by CBP at that time.
Although the goods were packaged as a set and submitted to our office, only one heading within the tariff provides for bed linen. Within that heading, the sheets and pillowcases of each sheet set is classified within the same eight-digit subheading. Thus, the flat and fitted sheets and pillowcases are classifiable separately pursuant to GRI 1 in subheading 6302, HTSUSA.
Therefore, the subject bed linens are classified as follows:
In the case of the printed, flat and fitted bed sheets that are made of 100 percent cotton, or for which the chief weight is cotton, they are classified within subheading 6302.21.9020, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of cotton: Other: Not napped: sheets.”
In the case of the printed pillowcases that are 100 percent cotton, or for which the chief weight is cotton, they are classified within subheading 6302.21.9010, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of cotton: Other: Not napped: Pillowcases, other than bolster cases.”
In the case of the flat and fitted bed sheets for which the chief weight is polyester, they are classified in subheading 6302.22.2020, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…sheets.”
In the case of the printed pillowcases for which the chief weight is polyester, they are classified in subheading 6302.22.2010, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…Pillowcases.”
In the case of the printed bed sheets which are made of a 50/50 blend of cotton and polyester, they are classified in subheading 6302.22.2020, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…sheets.”
In the case of the printed bed pillowcases which made of a 50/50 blend of cotton and polyester, they are classified subheading 6302.22.2010, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…Pillowcases.”
AGOA Preference
The Trade and Development Act of 2000 ("the Act") was signed into law on May 18, 2000 (Pub. L. 106-200, 114 Stat. 251). Title I of the Act concerns trade benefits for sub-Saharan Africa and is referred to as the African Growth and Opportunity Act ("AGOA"). Section 112 of the Act (codified at 19 U.S.C. 3721) specifies the textile and apparel articles that are eligible for duty-free and quota-free treatment when imported directly into the customs territory of the U.S. from a beneficiary sub-Saharan African country. Section 3108 of the Trade Act of 2002 (Pub. L. 107-210, 116 Stat. 933), enacted on August 6, 2002, amended the AGOA to modify the treatment accorded to textile and apparel articles imported from beneficiary sub-Saharan African countries.
Presidential Proclamation 7350 dated October 2, 2000, published in the Federal Register on October 4, 2000 (65 FR 59321), implemented the AGOA by designating the eligible beneficiary sub-Saharan African countries and amending Chapter 98, Harmonized Tariff Schedule of the United States ("HTSUS") (including the creation of new subchapter XIX) to facilitate the entry of the specific textile and apparel articles eligible for preferential treatment under the AGOA. The enhanced trade benefits provided by the AGOA are available to eligible textile and apparel articles imported directly from a country (1) that is designated as a beneficiary sub-Saharan African country and (2) which the U.S. Trade Representative ("USTR") has determined by a proclamation published in the Federal Register has satisfied the requirements of the AGOA and therefore should be afforded the tariff treatment authorized in such Act. Such countries shall be enumerated in U.S. Note 1, Subchapter XIX, Chapter 98, HTSUS, whenever the USTR issues a Federal Register notice as described herein. See Presidential Proclamation 7350, Annex, dated October 2, 2000, 65 Fed. Reg. 59321.
Tanzania was designated as a beneficiary sub-Saharan African country under AGOA by Presidential Proclamation on October 2, 2000. USTR issued a determination finding that this sub-Saharan country has adopted an effective visa system and related procedures to prevent unlawful transshipment and the use of counterfeit documents in connection with shipments of textile and apparel articles and has implemented and follows, or is making substantial progress toward implementing and following, the customs procedures required by the AGOA, effective February 4, 2002. See 67 Fed. Reg. 6313, dated February 11, 2002.
The textile provisions of AGOA are limited to the production of textile and apparel articles with an exception for handmade or folklore textile merchandise within subheading 9819.11.27, HTSUSA. As these provisions do not include bed sheets and pillowcases, the subject bed linens are not eligible for AGOA preferential treatment. For a complete list of the textile and apparel articles that are eligible for preferential treatment under AGOA, please see 19 C.F.R. §10.213.
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) provided 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. Section 334 has since been amended by the issuance of Section 405 within Title IV of the Trade and Development Act of 2000 (68 FR 37) and the implementing regulations, 19 C.F.R. 102.21, have been amended accordingly (See 68 FR 8711).
Paragraph (c)(1) states: "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 sheet set is not wholly obtained or produced in a single country, territory or insular possession, paragraph (c)(1) of Section 102.21 is not applicable.
Paragraph (c)(2) states: "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 materials 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)(1) states, in pertinent part, that: "The following rules will apply for purposes of determining the country of origin of a textile or apparel product under paragraph (c)(2) of this section:"
HTSUS Tariff shift and/or other requirements
6301-6306 Except for goods of heading 6302 through 6304 provided for in paragraph (e)(2) of this section, 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 [emphasis added].
Thus, in the case of the subject merchandise that is 100 percent of cotton (or having a chief weight of cotton), the country of origin is where the fabric-making process occurs as subheading 6302.21, HTSUSA, is not provided for within paragraph (e)(2).
Paragraph (e)(2) states, in pertinent part, that: “[f]or goods of HTSUS …subheading [ ] 6302.22…, except for goods classified under these headings or subheadings as of cotton or of wool or consisting of fiber blends containing 16 percent or more by weight of cotton [emphasis added]:
(i) The country of origin of the good is the country, territory, or insular possession in which the fabric comprising the good was both dyed and printed when accompanied by two or more of the following finishing operations: bleaching, shrinking, fulling, napping, decating, permanent stiffening, weighting permanent embossing or moireing.
* * *
In the case of the articles with a chief weight of polyester or a 50/50 blend of polyester and cotton fabric, the articles are classified in subheading 6302.22, HTSUSA, which is specifically provided in paragraph (e)(2). However, these articles are excluded from paragraph (e)(2) because the fabric’s cotton fiber content by weight exceeds 16 percent. Therefore, the country of origin is determined by paragraph (e)(1), which provides, in pertinent part, that the country of origin is where the fabric-making process occurs. Therefore, in the case of the cotton sheet set and the polyester and cotton sheet sets, the origin of the flat and fitted sheets and the pillowcases is Pakistan, India or China.
HOLDING:
In the case of the printed, flat and fitted bed sheets (which are made of 100 percent cotton, or for which the chief weight is cotton), they are classified within subheading 6302.21.9020, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of cotton: Other: Not napped…Sheets.” The general column one duty rate is 6.8 percent ad valorem. The applicable visa category number is 361.
In the case of the printed pillowcases (which are made of 100 percent cotton, or for which the chief weight is cotton), they are classified within subheading 6302.21.9010, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of cotton: Other: Not napped: Pillowcases, other than bolster cases.” The general column one duty rate is 6.8 percent ad valorem. The applicable visa category number is 360.
In the case of the flat and fitted bed sheets (for which the chief weight is polyester), they are classified in subheading 6302.22.2020, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other.” The general column one duty rate is 11.6 percent ad valorem. The applicable visa category number is 666.
In the case of the printed pillowcases (for which the chief weight is polyester), they are classified in subheading 6302.22.2010, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…Pillowcases.” The general column one duty rate is 11.6 percent ad valorem. The applicable visa category number is 666.
In the case of the printed bed sheets which are made of a 50/50 percent blend of cotton and polyester, they are classified in subheading 6302.22.2020, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…sheets.” The applicable visa category number is 666.
In the case of the printed bed sheets which made of a 50/50 percent blend of cotton and polyester, they are classified in subheading 6302.22.2010, HTSUSA, which provides for “bed linen, table linen, toilet linen and kitchen linen: Other bed linen, printed: Of man-made fibers: Other…Pillowcases.” The applicable visa category number is 666.
In the case of the cotton sheet set and the polyester and cotton sheet sets, the origin of the flat and fitted sheets and the pillowcases is where the fabric was formed, i.e., Pakistan, India or China.
The designated textile and apparel category may be subdivided into parts. If so, the 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 you check, close to the time of shipment, the Status Report On Current Import Quotas (Restraint Levels), an internal issuance of the Customs and Border Protection which is updated weekly and is available for inspection at your local Customs office. The Status Report on Current Import Quotas (Restraint Levels) is also available on the Customs Electronic Bulletin Board (CEBB) which can be found on the Customs and Border Protection Website at www.customs.gov.
Due to the changeable nature of the statistical annotation (the ninth and tenth digits of the classification) and the restraint (quota/visa) categories, you should contact your local CBP office prior to importation of this merchandise to determine the current status of any import restraints or requirements.
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 C.F.R. 177.9(b)(1). This section states that a ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). Should it be subsequently determined that the information furnished is not complete and does not comply with 19 C.F.R. 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 CBP, it is recommended that a new ruling request be submitted in accordance with 19 C.F.R. 177.2.
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported.
Sincerely,
Myles B. Harmon, Director
Commercial Rulings Division