CLA 2-OT:RR:E:NC:TAB:354
Mr. Jason W. Nichols
Renfro Corporation
661 Linville Road
Mount Airy, NC 27030
RE: Classification and country of origin determination for socks; 19 CFR 102.21(c)(2); tariff shift
Dear Mr. Nichols:
This is in reply to your letter dated March 26, 2008, requesting a classification and country of origin determination for socks which will be imported into the United States.
FACTS:
The subject merchandise consists of socks that will be knit to shape in Hong Kong, that you state will be made up of either cotton, synthetic fibers, or artificial fibers. The socks will then be sent to China where the toes will be seamed shut. The socks will be boarded (an ironing process to remove wrinkles), stacked, inspected and paired. Also, any loose threads will be removed by clipping. The goods will also be packaged for retail sale, and are then imported into the U.S.
ISSUE:
What are the classification and country of origin of the subject merchandise?
CLASSIFICATION:
The applicable subheading for the cotton socks will be 6115.95.9000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for panty hose, tights, stockings, socks and other hosiery…knitted or crocheted: other: other: of cotton: other. The general rate of duty will be 13.5% ad valorem.
The applicable subheading for the socks made of synthetic fiber will be 6115.96.9020, HTSUS, which provides for other pantyhose, tights, stockings, socks and other hosiery, other: of synthetic fibers: other: other, other. The rate of duty will be 14.6% ad valorem.
The applicable subheading for the socks made of artificial fibers will be 6115.99.19.20, HTSUS, which provides for panty hose, tights, stockings, socks and other hosiery, knitted or crocheted, other: of other textile materials: of artificial fibers: other: other. The rate of duty will be 14.6% 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/.
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at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996.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, “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, “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,
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
6101 – 6117 (3) If the good is knit to shape, except for goods of subheading 6117.10 provided for in paragraph (e)(2) of this section, a change to 6101 through 6117 from any heading outside that group, provided that the knit to shape components are knit in a single country, territory, or insular possession.
As the socks are knit to shape in a single country, that is, Hong Kong, as per the terms of the tariff shift requirement, country of origin is conferred in Hong Kong.
HOLDING:
The country of origin of the socks is Hong Kong.
The cotton socks fall within textile category 332. The synthetic and artificial socks fall within textile category 632. With the exception of certain products of China, quota/visa requirements are no longer applicable for merchandise which is the product of World Trade Organization (WTO) member countries. Quota and visa requirements are the result of international agreements that are subject to frequent renegotiations and changes. To obtain the most current information on quota and visa requirements applicable to this merchandise, we suggest you check, close to the time of shipment, the “Textile Status Report for Absolute Quotas” which is available on our web site at www.cbp.gov. For current information regarding possible textile safeguard actions on goods from China and related issues, we refer you to the web site of the Office of Textiles and Apparel of the Department of Commerce at otexa.ita.doc.gov.
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 Deborah Marinucci at 646-733-3054.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division