CLA 2-OT:RR:NC:N3:349
Ms. Teresa Shen
Value Source International Co., Ltd.
Shartex Plaza, 6th Floor
88 South Zunyi Road
Changning District, Shanghai, China 200333
RE: Classification and country of origin determination for duvet cover sets; 19 CFR 102.21(c)(1); wholly obtained or produced in a single country; 19 CFR 102.21(c)(2); tariff shift; 19 CFR 102.23(a); manufacturer identification
Dear Ms. Shen:
This is in reply to your letter dated February 13, 2014, requesting a classification and country of origin determination for duvet cover sets which will be imported into the United States.
FACTS:
The subject merchandise consists of duvet cover sets. A photograph of the set was submitted with your request. It consists of a duvet cover and two pillow shams. They are made from 100 percent cotton woven fabric that is not printed or napped. The components are packaged together in retail packaging. The cotton fabric is woven, mercerized, dyed and subject to an after finish in Factory A. The fabric is shipped to Factory B where it is cut to size and shape, pleated, sewn to form the cover and shams, finished and packaged. Both Factory A and Factory B are located in China.
ISSUE:
What are the classification and country of origin of the subject merchandise?
CLASSIFICATION:
Without a sample of the imported duvet cover set we are unable to advise you of the proper classification of your merchandise. However, non-printed cotton duvet cover sets consisting of a duvet cover and two pillow shams, imported together in retail packaging are considered to be “goods put up in sets for retail sale” and are usually classified under subheading 6302.31, Harmonized Tariff Schedule of the United States (HTSUS). Your request specifically concerns the country of origin of the duvet cover sets. As the rules of origin for heading 6302 do not require a classification beyond the six-digit level an exact classification determination is not necessary in this case and we will proceed with a country of origin determination.
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at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996.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 duvet cover sets were wholly obtained or produced in a single country, that is, China, country of origin is conferred in China.
In addition to the country of origin determination you ask as to which of the two factories in China confers origin. This information is needed to construct the required manufacturer identification code. Section 102.23, Customs Regulation (19 C.F.R. 102.23) states in part:
(a) Textile or Apparel Product Manufacturer Identification. All commercial importations of textile or apparel products must identify on CBP Form 3461 (Entry/Immediate Delivery) and CBP Form 7501 (Entry Summary), and in all electronic data transmissions that require identification of the manufacturer, the manufacturer of such products through a manufacturer identification code (MID) constructed from the name and address of the entity performing the origin-conferring operations pursuant to Sec. 102.21 or Sec. 102.22, as applicable. The code must be accurately constructed using the methodology set forth in the appendix to this part, including the use of the two-letter International Organization for Standardization (ISO) code for the country of origin of such products. When a single entry is filed for products of more than one manufacturer, the products of each manufacturer must be separately identified. Importers must be able to demonstrate to CBP their use of reasonable care in determining the manufacturer. If an entry filed for such merchandise fails to include the MID properly constructed from the name and address of the manufacturer, the port director may reject the entry or take other appropriate action. For purposes of this paragraph, “textile or apparel products” means goods classifiable in Section XI, Harmonized Tariff Schedule of the United States (HTSUS), and goods classifiable in any 10-digit HTSUS number outside of Section XI with a three-digit textile category number assigned to the specific subheading.
We have determined that the country of origin for the duvet cover sets is China where all processing operations take place. To determine which factory within China is the “origin-conferring” entity pursuant to Section 102.21, we need to look at each operation separately and apply the rules of origin for textiles. As both factories are in the same country, paragraph (c)(1) of Section 102.21 does not provide guidance.
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
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.
Cotton duvet cover sets classifiable under subheading 6302.31, HTSUS, would not fall within the subheadings provided for in the paragraph (e)(2) exception. As the fabrics forming the duvet cover sets are formed in a single factory, that is, Factory A, following the terms of the tariff shift requirement, the “entity performing the origin-conferring operation” is Factory A and that is the manufacturer to be used to construct the MID.
HOLDING:
The country of origin of the duvet cover sets is China.
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,
Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division