CLA 2-94:OT:RR:NC:N4:463
Christine Hagen
Al-Karam USA, Inc.
411 5th Avenue, 6th Floor
New York, NY 10016
RE: The country of origin of three decorative pillows
Dear Ms. Hagen:
This is in reply to your letter dated March 16, 2022, requesting a country of origin determination for three decorative pillows that have an outer pillow cover fabric made in China and an inner pillow shell fabric made in Pakistan. All manufacturing operations subsequent to the forming of the fabrics were performed in Pakistan. We received a representative sample, as well as product and manufacturing information. The subject decorative pillows are: The King Euro Sham, which measures 26" (L) x 34" (W), the Euro Sham, which measures 26" (L) x 26" (W), and the Bed Lumbar Sham, which measures 14" (L) x 48" (W).
The manufacturing operations are as follows: The outer pillow cover fabric is woven in China and has a fiber content of 70% rayon and 30% linen (385 gsm). The fabric is sent to Pakistan where it is dyed and cut, has a zipper and fringe sewn on, and it is labeled.
The inner pillow shell fabric is woven in Pakistan from Pakistani-spun yarn. This 100% cotton (105 gsm) inner shell is bleached, cut, sewn, stuffed with recycled polyester fill, and sewn shut in Pakistan.
The inner pillow is inserted into the outer pillow cover in Pakistan, which is then zipped shut prior to export to the United States.
The finished pillows shall be classified under Harmonized Tariff Schedule of the United States (HTSUS) subheading 9404.90.2000, which provides for “Mattress supports; articles of bedding and similar furnishing (for example, mattresses, quilts, eiderdowns, cushions, pouffes and pillows) fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics, whether or not covered: Other: Pillows, cushions and similar furnishings: 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 https://hts.usitc.gov/current. COUNTRY OF ORIGIN: To determine the country of origin and the country of origin marking of the subject merchandise, CBP must apply the statutory rules of origin set forth in Section 334 of the Uruguay Round Agreements Act (“URAA”) (codified at 19 U.S.C. § 3592), enacted on December 8, 1994, which provides the rules of origin for textiles and apparel products entered, or withdrawn from warehouse, for consumption on or after July 1, 1996. Section 102.21 of the Code of Federal Regulations (19 C.F.R. § 102.21) implements the URAA. The term “textile or apparel product” is defined by 19 C.F.R. § 102.21(b)(5) as including, in relevant part, goods that are classifiable under HTSUS subheading 9404.90. 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 (c)(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.” Since the subject merchandise is not wholly obtained or produced in a single country, territory or insular possession, paragraph (c)(1) of Section 102.21 does not apply. 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 will apply for purposes of determining the country of origin of a textile or apparel product under paragraph (c)(2) of this section:”
The rule for HTSUS subheading 9404.90 states the following: “Except for goods of subheading 9404.90 provided for in paragraph (e)(2) of this section, the country of origin of a good classifiable under subheading 9404.90 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.”
The 19 CFR 102.21(e)(2) exceptions to the 9404.90 tariff shift rule do not include HTSUS subheading 9404.90.2000, so these exceptions do not apply.
Since the fabrics of the subject pillows are not formed in a single country (the outer pillow cover fabric is woven in China and the inner pillow shell fabric is woven in Pakistan), the terms of 19 CFR 102.21(c)(2) are not met, and we must continue to 19 CFR 102.21(c)(3).
Section 102.21(c)(3) states: “Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of this section:
(i) If the good was knit to shape, the country of origin of the good is the single country, territory, or insular possession in which the good was knit; or
(ii) Except for fabrics of chapter 59 and goods of heading 5609, 5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings 6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to shape and the good was wholly assembled in a single country, territory, or insular possession, the country of origin of the good is the country, territory, or insular possession in which the good was wholly assembled.”
Since the pillows are not knit to shape, and HTSUS subheading 9404.90 is excepted from provision (ii), paragraph (c)(3) does not apply.
Paragraph (c)(4) states: “Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2) or (3) of this section, the country of origin of the good is the single country, territory or insular possession in which the most important assembly or manufacturing process occurred.”
In HQ 960337, CBP ruled that the country of origin of a decorative pillow with an outer cover fabric from one country and an inner pillow shell fabric from another country could not be determined under 19 CFR 102.21(c)(4) because the fabric formation occurred in more than one country and one fabric could be considered more important than any other fabric. Applying this same analysis to the subject pillows, paragraph (c)(4) does not apply.
Paragraph (c)(5) states that: “Where the country of origin of a textile or apparel product cannot be determined under paragraph (c) (1), (2), (3) or (4) of this section, the country of origin of the good is the last country, territory or insular possession in which an important assembly or manufacturing process occurred.” Accordingly, in the case of the subject merchandise, the last country in which an important assembly operation occurs is Pakistan.
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. Any change in the manufacturing process stated above may affect this country of origin determination and it would warrant 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 Seth Mazze at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division