CLA-2-94:OT:RR:E:NC:TA:349
Ms. Sophia Spoltore
Milgram Freight Services Ltd.
407 McGill
Montreal, Canada H2Y 2G7
RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), for mattresses from Canada; Article 509
Dear Ms. Spoltore:
In your letter dated February 4, 2008 you requested a ruling on the status of mattresses from Canada under the NAFTA. This request is made on behalf of Primo International, a Division of Primo Bedding Company Inc.
The subject merchandise consists of innerspring mattresses. You submitted a photograph, specification sheet and a bill of materials. The outer shell is made from a 52 percent polypropylene and 48 percent polyester woven fabric. The mattresses contain several layers of polyurethane plastic foam in different thicknesses including some with convoluted surfaces, an innerspring unit, cotton padding, nonwoven fabric and double edge side supports. Double edge side supports are butterfly or hourglass shaped springs added along the edge of an innerspring unit to increase support at the edges of the mattress. The shell fabric is woven in Turkey and the double edge side supports are made in China. You have indicated that all of the remaining components are produced in either Canada or the United States.
The applicable tariff provision for the mattresses will be 9404.29.9090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for mattress supports; articles of bedding and similar furnishing (for example, mattresses, quilts, eiderdowns, cushions, pouffes and pillows) fitted with any material or of cellular rubber or plastics, whether or not covered: mattresses: of other materials: other… other. The general rate of duty will be 6 percent ad valorem.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that
For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if--
(i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or
(ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that--
(A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein, or
(B) the goods otherwise satisfy the applicable requirements of subdivisions (r), (s) and (t) where no change in tariff classification is required, and the goods satisfy all other requirements of this note; or
(iii) they are goods produced entirely in the territory of Canada, Mexico and/or the United States exclusively from originating materials…
Based on the facts provided, the goods described above qualify for NAFTA preferential treatment, because they will meet the requirements of HTSUS General Note 12(b)(ii)(A). For subheading 9404.29, HTSUS, the appropriate subdivision (t) change in tariff classification rule specifies a change to subheadings 9404.10 through 9404.30 from any other chapter. The shell fabric and the edge supports are stated to be the only non-originating components. When the woven shell fabric leaves Turkey it is classified in heading 5407, HTSUS and when the double edge supports leave China they are classified in subheading 7320, HTSUS. As those components undergo the requisite change in tariff classification the mattresses qualify for the preferential treatment.
The goods will therefore be entitled to a Free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.
This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181).
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