CLA-2-63:OT:RR:NC:N3:351
Mr. David Tang
New Century Customs Broker Inc
267 South San Gabriel Blvd, Suite A San Gabriel, CA 91776
RE: The tariff classification and country of origin determination of a dog bed from China
Dear Mr. Tang:
In your letter dated June 16, 2023, you requested a tariff classification and country of origin determination ruling on behalf of your client, Brentwood Originals. In lieu of a sample, photographs of a dog bed were provided with your request.
Style number 6816, described as “Outdoor Dog Bed,” is a dog bed intended to be used as a comfortable place for a dog to sleep. The dog bed consists of a dog bed cover and five removable cushion inserts. The dog bed cover is composed of 100 percent polyester woven, dyed with UV suppressor, fabric. The five cushion inserts, composed of an outer shell of 100 percent polyester woven fabric and stuffed with 100 percent polyester fiberfill, are inserted into a zippered opening along the base of the four sides and at the bottom center of the cover to form the completed bed. The completed square shaped dog bed measures 40 inches square by 4 inches in height and features a same fabric handle. The dog bed is available in two different colors: cobalt and navy stripe. The dog bed cover is machine washable.
You state the manufacturing operations for the dog bed are as follows:
Taiwan:
- Outer cover: 100 percent polyester fabric is woven, dyed, and shipped in rolls to China.
China:
- Cushion Insert Covers: 100 polyester fabric is woven.
- 100 percent polyester fiberfill, sewing thread, and zippers are produced.
- Fabric is cut to shape and size.
- Fabric is sewn and hemmed to create a dog bed outer cover and cushion inserts.
- Cushion inserts are stuffed with 100 percent polyester fiberfill and sewn closed.
- Cushion inserts are inserted into dog bed cover and zippered closed.
- Completed dog bed is packaged and shipped to the United States.
ISSUES: What is the classification and country of origin for the dog bed?
CLASSIFICATION:
The applicable subheading for the dog bed will be 6307.90.9891, Harmonized Tariff Schedule of the United States Annotated, (HTSUSA), which provides for “Other made up articles, including dress patterns: Other: Other: Other: Other: Other.” The rate of duty will be 7 percent ad valorem.
COUNTRY OF ORIGIN - LAW AND ANALYSIS: Section 334 of the Uruguay Round Agreements Act (“URAA”) (codified at 19 U.S.C. § 3592), enacted on December 8, 1994, provides the rules of origin for textile and apparel products entered, or withdrawn from warehouse for consumption on and after July 1, 1996. Section 334 of the URAA was amended by section 405 of title IV of the Trade and Development Act of 2000, Public Law 106-200, 114 Stat. 251. Section 102.21 of Title 19 of the Code of Federal Regulations (19 C.F.R. § 102.21), implements the URAA. Thus, the country of origin of a textile or apparel products will be determined by the sequential application of the general rules set forth in paragraphs (c)(1) through (5) of section 102.21 and, where appropriate to the specific context, by application of the additional requirements or conditions of section 102.12 through 102.19 of this part.
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 6307.90 The country of origin of a good classifiable under subheading 6307.90 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process.
The fabrics for the dog bed are manufactured in Taiwan and China. The outer cover of the dog bed is woven in Taiwan. The cushion insert fabric is woven in China. As you have stated that the weight of the cushion insert fabric is more than 7 percent of the total weight of the finished dog bed, the cushion insert fabric cannot be disregarded when determining the country of origin under the De Minimis rule per 19 CFR 102.13 (c). Hence, the dog bed does not meet the terms of the tariff shift and paragraph (c)(2) of Section 102.21 is inapplicable. 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 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.” As the subject merchandise is not knit to shape and subheading 6307.90 is excepted from provision (ii), Section 102.21(c)(3) is inapplicable.
Section 102.21 (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.” The most important manufacturing process occurs at the time of the fabric making. Since the fabric for the dog bed is formed in two different countries, and no one fabric is more important than the other, the country of origin cannot be made based on the fabric making process. As such, Section 102.21(c)(4) is inapplicable. Paragraph (c)(5) states, “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 dog bed, country of origin is conferred by the last country in which an important assembly or manufacturing process occurred, that is, China.
HOLDING:
The applicable subheading for the dog bed will be 6307.90.9891, HTSUSA, with a duty rate of 7 percent ad valorem. The country of origin of the dog bed is China.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 6307.90.9891, HTSUSA, unless specifically excluded, are subject to an additional 7.5 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.15, in addition to subheading 6307.90.9891, HTSUSA, listed above. The HTSUSA is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china, respectively.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUSA and the accompanying duty rates are provided on the World Wide Web at https://hts.usitc.gov/current.
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.
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 Kristine Dodge at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division