CLA-2-RR:NC:TA:349 K81860
Mr. Pradeep K. Srivastava
Textrade
145 S. Lincolnway
North Aurora, IL 60542
RE: Classification, marking and country of origin determination for cotton sheet sets; 19 CFR 102.21(c)(2); tariff shift
Dear Mr. Srivastava:
This is in reply to your letter dated October 20, 2003, received by this office on December 9, 2003, requesting a classification, marking and country of origin determination for cotton sheet sets which will be imported into the United States.
FACTS:
The subject merchandise consists of bed sheet sets. A sample was not submitted. The sheet sets will contain a flat sheet, fitted sheet and one or two pillowcases. They will be made from 100 percent cotton woven fabric. The fabric may be dyed or printed. The manufacturing operations for the sheet sets are as follows:
INDIA:
-cotton fabric is woven.
-fabric dyed or printed and finished.
-fabric is shipped to Sri Lanka.
SRI LANKA:
-fabric is cut to size and shape.
-fabric is sewn/hemmed/elasticized, creating the pillowcases and sheets.
-pillowcases and sheets are packed in sets and shipped.
As the stated manufacturing processes do not include napping or any embellishment, for the purpose of this ruling it is assumed that the sheet sets will not be napped and that they will not contain any embroidery, lace, braid, edging trimming, piping or applique work.
ISSUE:
What are the classification, marking and country of origin of the subject merchandise?
CLASSIFICATION:
Although referred to as sets, the bed sheet sets do not meet the qualifications of “goods put up in sets for retail sale” as the components of the sets are classifiable within the same subheading. Therefore, each item in the set will be classified separately.
The applicable subheading for the printed pillowcases will be 6302.21.9010, Harmonized Tariff Schedule of the United States Annotated (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 rate of duty will be 6.8 percent ad valorem. The rate of duty for 2004 will be 6.7 percent ad valorem.
The applicable subheading for the printed sheets will be 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 rate of duty will be 6.8 percent ad valorem. The rate of duty for 2004 will be 6.7 percent ad valorem.
The applicable subheading for the dyed pillowcases will be 6302.31.9010, HTSUSA, which provides for bed linen, table linen, toilet linen and kitchen linen: other bed linen: of cotton: other: not napped… pillowcases, other than bolster cases. The rate of duty will be 6.8 percent ad valorem. The rate of duty for 2004 will be 6.7 percent ad valorem.
The applicable subheading for the dyed sheets will be 6302.31.9020, HTSUSA, which provides for bed linen, table linen, toilet linen: other bed linen: of cotton: other: not napped… sheets. The rate of duty will be 6.8 percent ad valorem. The rate of duty for 2004 will be 6.7 percent ad valorem.
The pillowcases fall within textile category designation 360 and the flat and fitted sheets fall within textile category designation 361. The designated textile and apparel categories and their quota and visa status are the result of international agreements that are subject to frequent renegotiations and changes. To obtain the most current information, we suggest that you check, close to the time of shipment, the Textile Status Report for Absolute Quotas, which is available at our Web site at www.cbp.gov. In addition, the designated textile and apparel categories may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected and should also be verified at the time of shipment.
COUNTRY OF ORIGIN - LAW AND ANALYSIS:
Section 334 of the Uruguay Round Agreements Act (codified at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996. Section 102.21, Customs Regulations (19 C.F.R. 102.21), published September 5, 1995, in the Federal Register, implements Section 334 (60 FR 46188). Section 334 of the URAA was amended by section 405 of the Trade and Development Act of 2000, enacted on May 18, 2000, and accordingly, section 102.21 was amended (68 Fed. Reg. 8711). Thus, the country of origin of a textile or apparel product shall be determined by the 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 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) in pertinent part 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:"
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.
Subheadings 6302.21 and 6302.31 are not included in the paragraph (e)(2) exception to the above tariff shift rule. As the fabric comprising the sheets and pillowcases is formed in a single country, that is, India, as per the terms of the tariff shift requirement, country of origin is conferred in India.
MARKING:
You have also requested a ruling on whether the proposed marking “Made in Sri Lanka” is an acceptable country of origin marking for the bed sheet sets.
The marking statute, Section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article.
The origin rules indicate that the country of origin of the finished sheet sets is India, the country where the fabric was formed by a fabric-making process. The proposed marking “Made in Sri Lanka” does not indicate the correct country of origin as determined above. Since the proposed marking is in direct conflict with the origin determination made pursuant to Section 102.21, it does not satisfy the marking requirements of 19 U.S.C. 1304 and, thus, is not acceptable country of origin marking for the bed sheet sets.
However, a phrase such as “Made in India, Further Processed in Sri Lanka” indicates that the country of origin of the finished sheet sets is India which is consistent with the origin rules for bed linen under Section 102.21, Customs Regulations. Marking the sheet sets as “Made in India, Further Processed in Sri Lanka” will satisfy the marking requirements of 19 U.S.C. 1304 and would be an acceptable country of origin marking for the finished sheet sets.
HOLDING:
The country of origin of the sheet sets is India. Based upon international textile trade agreements products of India are subject to quota and the requirement of a visa.
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, 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 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.
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. If you have any questions regarding the ruling, contact National Import Specialist John Hansen at 646-733-3043.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division