CLA-2-63:OT:RR:NC:N3:349
Mr. Ameet Shah
Culp Inc.
7209 Hwy 158 East
Stokesdale, NC 27357
RE: Country of origin and status under the Haiti Hemispheric Opportunity through Partnership Encouragement Act of 2008 (“HOPE II”) and the Haiti Economic Lift Program Act of 2010 (“HELP”) of mattress and pillow covers imported from Haiti; 19 CFR 102.21(c)(2); tariff shift
Dear Mr. Shah:
In your letter dated November 21, 2018, you requested a country of origin and trade preference program ruling for certain mattress and pillow covers which are the subject of two prior classification rulings. No samples were submitted with the current ruling request.
The mattress cover, referred to as “iComfort,” is made from three fabrics. The top and sides of the cover are composed of 88 percent polyester and 12 percent nylon knit fabric. The fabric has the appearance of quilting. The bottom is made from a woven fabric composed of 67 polyester, 31 percent rayon and 2 percent Lycra. Triangular panels made from a woven man-made fiber pile fabric form the four corners. The top and bottom are joined by a zipper. A small 1.75 inch wide full width flap extends down from one end. The flap is made from the pile fabric and it features half of a zipper.
The mattress cover, referred to as “Rhapsody,” is made from three fabrics. The top panel is a 100 percent polyester knit compound fabric, the sides are made from 100 percent polyester woven suede fabric laminated to a knit backing and the bottom panel is made from a 50 percent cotton and 50 percent polyester woven fabric printed with a non-skid section. The suede sides extend partially around the bottom. There is a zippered opening completely around the bottom panel. Fabric strips are sewn across the bottom panel extending from the side to form handles. In a recent e-mail correspondence, you confirmed that none of the fabrics are both dyed and printed and accompanied by two or more of the following operations: bleaching, shrinking, fulling, napping, decating, permanent stiffening, weighting, permanent embossing or moireing.
The pillow cover, referred to as “Cloud,” is made from 98 percent polyester and 2 percent Lycra knit compound fabric. It has a zippered opening along one long side.
The classification of the “iComfort” mattress cover was previously determined to be 6304.91.0040, Harmonized Tariff Schedule of the United States (HTSUS). See NY Ruling N154095.
The classification of the “Rhapsody” mattress cover was previously determined to be 6304.93.0000, HTSUS, and the classification of the pillow cover, “Cloud,” was determined to be 6304.91.0040, HTSUS. See NY Ruling N244280.
In this ruling request, you state that these three items will be cut, sewn and assembled in Haiti from fabric(s) entirely of Chinese origin. Any sewing thread(s), label(s), and zipper(s) used in the covers will be of U.S. origin. The completed covers will be shipped directly from Haiti to the United States.
ISSUE:
What is the country of origin and status under the Haiti Hemispheric Opportunity through Partnership Encouragement Act of 2008 (HOPE II) and the Haiti Economic Lift Program Act of 2010 (HELP) of the mattress and pillow covers?
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)(1) states, in pertinent part:
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.
The exception in paragraph (e)(2) covers, in pertinent part, goods of HTSUS subheading 6304.93. except for goods classified as of cotton or of wool or consisting of fiber blends containing 16 percent or more by weight of cotton. The following rules apply to goods covered under paragraph (e)(2):
(2)(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;
(2)(ii) If the country of origin cannot be determined under paragraph (e)(2)(i) of this section, except for goods of HTSUS subheading 6117.10 that are knit to shape or consist of two or more component parts, the country of origin is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.
In accordance with the tariff shift rules, above, the country of origin of the mattress and pillow covers is conferred in China, the country in which the fabric comprising the items is formed by the fabric making process. The origin of the “iComfort” mattress cover and the “Cloud” pillow cover is determined under 19 CFR 102.21(c)(2) and 19 CFR 102.21 (e)(1). The origin of the “Rhapsody” mattress cover is determined under 19 CFR 102.21 (c)(2) and 19 CFR 102.21(e)(2)(ii).
HAITI ECONOMIC LIFT PROGRAM ACT (HELP) – LAW AND ANALYSIS:
In your letter you specifically request this ruling also address whether these items are eligible under Haiti Hemispheric Opportunity through Partnership Encourangement Act of 2006 or 2008 (“HOPE I” or “HOPE II”) or the Haiti Economic Lift Program Act of 2010 (“HELP”).
Based on the information you have provided above for mattress covers, “iComfort” and “Rhapsody,” and pillow cover, “Cloud,” subheading 9820.63.05, HTSUS, provides the applicable trade preference legislation to consider whether these made-up articles are eligible for duty-free treatment.
Subheading 9820.63.05, HTSUS, established under the HELP Act which modifies the Haiti HOPE II Act was effective on November 1, 2010 and provides for:
Made-up textile articles described in U.S. note 6(r) to this subchapter and imported directly from Haiti or the Dominican Republic.
Chapter 98, Subchapter XX, HTSUS, U.S. Note 6(r) states:
For purposes of heading 9820.63.05, any made-up textile article described in subdivision (r)(ii) of this note that is wholly assembled, or knit-to-shape, in Haiti from any combination of fabrics, fabric components, components knit-to-shape or yarns and is imported directly from Haiti or the Dominican Republic shall enter the United States free of duty, without regard to the source of the fabric, fabric components, components knit-to-shape or yarns from which the article is made.
The made-up textile articles that are eligible for the treatment provided under subdivision (r)(i) of this note are the made-up textile articles that are described in the following statistical reporting numbers of the tariff schedule, as in effect on May 23, 2010:
5601.10.2000, 5601.22.0090, 5601.29.0010, 5601.29.0020, 5601.29.0090, 5701.10.9000, 5701.90.1030, 5701.90.2010, 5701.90.2020, 5701.90.2030, 5702.31.1000, 5702.31.2000, 5702.32.1000, 5702.32.2000, 5702.39.2010, 5702.42.2090, 5702.50.2000, 5702.50.4000, 5702.50.5200, 5702.50.5600, 5702.91.3000, 5702.91.4000, 5702.92.1000, 5702.92.9000, 5702.99.0500, 5702.99.1500, 5703.10.2000, 5703.10.8000, 5703.20.1000, 5703.20.2010, 5703.20.2090, 5703.30.2000, 5703.30.8030, 5703.30.8080, 5704.10.0010, 5704.10.0090, 5705.00.2005, 5705.00.2015, 5705.00.2030, 5807.10.0510,
5807.10.0520, 5807.90.0510, 5807.90.0520, 6301.30.0010, 6301.30.0020, 6301.40.0010, 6301.40.0020, 6301.90.0010, 6301.90.0020, 6301.90.0030, 6302.39.0010, 6302.60.0010, 6302.60.0020, 6302.60.0030, 6302.91.0005, 6302.91.0015, 6302.91.0035, 6302.91.0045, 6302.91.0050, 6304.11.2000, 6304.11.3000, 6304.19.3040, 6304.19.3060, 6304.91.0020, 6304.91.0040, 6304.91.0050, 6304.91.0070, 6304.92.0000, 6304.93.0000, 6304.99.1500, 6304.99.3500, 6304.99.6010, 6304.99.6020, 6304.99.6040, 6305.20.0000, 6305.32.0010, 6305.32.0020, 6305.32.0050, 6305.32.0060, 6305.39.0000,
6305.90.0000, 6307.10.1020, 6307.10.1090, 6307.90.3010, 6307.90.3020, 6307.90.8910, 6307.90.8940, 6307.90.8945, 6308.00.0020, 6406.10.7700, 6406.10.9020, 6406.10.9040, 6406.10.9060, 6406.10.9090, 9404.90.1000 or 9404.90.9505.
The mattress and pillow covers are wholly assembled in Haiti and imported directly from Haiti into the United States. The items are also included on the list of statistical reporting numbers provided for under subheading 9820.63.05, HTSUS. Based on the information provided, mattress covers, “iComfort” and “Rhapsody” and pillow cover, “Cloud,” are eligible for preferential treatment under 9820.63.05, HTSUS. The duty rate is Free.
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 the World Wide Web at https://hts.usitc.gov/current.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).
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 Kim Wachtel at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division