CLA-2-94:OT:RR:NC:N4:463
Denise Smalls-Altagracia
Kohl's
N56 W17000 Ridgewood Dr.
Menomonee Falls, WI 53051
RE: The country of origin of a quilt and sham sets
Dear Ms. Smalls-Altagracia:
This ruling is being issued in response to your letter dated May 7, 2024, requesting a country-of-origin determination for quilt and sham sets in various sizes. In lieu of a sample, a picture and product descriptions were provided.
Based upon the provided information and subsequent communications, the subject quilt and sham sets, with style no. QuiltVC2024, are described as a reversible quilt with either one or two quilted shams (depending upon the quilt size). They will be imported in the following sizes:
Twin/Twin XL Quilt: 65" x 93"
Quilted Sham: 20" x 26"
Full/Queen Quilt: 86" x 93"
Quilted Shams: 20" x 26" (2 shams included)
King/California King Quilt: 102" x 93"
Quilted Shams: 20" x 36" (2 shams included)
The face and reverse of the quilts and the face and reverse of the shams are made of 100% polyester woven microfiber fabric sandwiching a layer of 100% polyester batting or 100% cotton batting. The quilts and shams are sewn with perpendicular stitches creating a quilted square pattern on both the face and reverse. The quilt has a functional 1/2" binding, which is not embroidery, lace, braid, edging, trimming, piping or applique. See image below:
The manufacturing operations are as follows:
CHINA:
The 100% polyester (90 gsm) microfiber greige fabric is woven.
The fabric is shipped to Vietnam.
VIETNAM:
The face fabric undergoes dyeing, as well as bleaching and shrinking.
The reverse fabric undergoes dyeing and printing, as well as bleaching and shrinking.
The fabric is cut into panels for the quilts and the shams.
The Vietnamese-origin 100% polyester batting (130 gsm), or 100% cotton batting (180 gsm), is placed between the face and reverse fabrics and sewn to create quilting.
The binding is sewn on to close the quilt and the sham.
The quilt is packaged with either one or two shams (depending on the size) and exported to the United States.
CLASSIFICATION:
This office notes that although classification was not requested, the country of origin of a textile article requires that it first be classified.
Classification under the Harmonized Tariff Schedule of the United States (HTSUS) is made in accordance with the General Rules of Interpretation (GRIs). GRI 1 provides that the classification of goods shall be determined according to the terms of the headings of the tariff schedule and any relative section or chapter notes. If the goods cannot be classified solely based on GRI 1, and if the headings and legal notes do not otherwise require, the remaining GRIs 2 through 6 may then be applied in order.
You suggest that, in their imported condition, the subject quilts and shams qualify as GRI 3(b) sets and are classified in subheading 9404.40.9022, HTSUS. We agree.
When interpreting and implementing the Harmonized Tariff Schedule of the United States (HTSUS), the Explanatory Notes (ENs) of the Harmonized Commodity Description and Coding System may be utilized. The ENs, while neither legally binding nor dispositive, provide a guiding commentary on the scope of each heading, and are generally indicative of the proper interpretation of the HTSUS. CBP believes the ENs should always be consulted. See T.D. 89-80, 54 Fed. Reg. 35127, 35128 (August 23, 1989).
The ENs to the HTSUS, General Rules of Interpretation (GRI), at GRI 3(b), X, provide that the term "goods put up in sets for retail sale" means goods that: (a) consist of at least two different articles which are, prima facie, classifiable in different headings; (b) consist of articles put up together to meet a particular need or carry out a specific activity; and (c) are put up in a manner suitable for sale directly to users without repacking.
Using GRI 1 and GRI 6, the quilt will be classified in subheading 9404.40, HTSUS, and the sham classified in subheading 9404.90, HTSUS. Since the quilts and shams (a) consist of at least two different articles classified in different [sub]headings, (b) are put up together for the purpose of outfitting a bed, and (c) will be packaged together for sale to consumers without repacking, they meet the requirements of a GRI 3(b) set.
Goods classifiable as "sets" under GRI 3(b) of the HTSUS are classified as if they consisted of the component or components when taken together, which can be regarded as conferring on the set, as a whole, its essential character-see EN X to the GRIs. The comforter is more substantial than the shams, of greater manufacturing complexity, of greater bulk, of greater utility, and represent the focal point of the set. (See New York Ruling Letters (NYRLs) N338830, N303203, N295851, N240391, N143316, and N105456.)
The applicable classification for the QuiltVC2024 quilt and sham sets will be subheading 9404.40.9022, HTSUS, 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: Quilts, bedspreads, eiderdowns and duvets (comforters): Other: With outer shell of man-made fibers." The general rate of duty will be 12.8% ad valorem.
COUNTRY OF ORIGIN:
There is no current rule to determine the country of origin of a textile article classified in subheading 9404.40.9022, HTSUS. Prior to 2022, the corresponding HTSUS classification was subheading 9404.90.8522. Therefore, we will follow the rule corresponding to this prior classification, below. (See NYRL N338830.)
Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 334 of the Uruguay Round Agreements Act ("Section 334") provides the 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 CFR 102.21) implements Section 334. Pursuant to 19 CFR 102.21, the country of origin of a textile or apparel product shall be determined by sequential application of the general rules set forth in paragraphs (c)(1) through (c)(5).
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 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) provides the rules that apply to determine the country of origin of a textile or apparel product under paragraph (c)(2) of this section. The applicable rule, that corresponding to heading 9404.90, HTSUS, states:
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.
We note that the classification previously corresponding to the comforter, subheading 9404.90.8522, HTSUS, is among those listed in the paragraph (e)(2) exception to the above tariff shift rule. Therefore, we apply 19 CFR 102.21(e)(2)(i), which provides:
(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:
Since the face fabric of the subject quilt is dyed, bleached and shrunk, but not printed, the 19 CFR 102.21(e)(2)(i) exception, above, is inapplicable. (See Headquarters Ruling Letters H309368 and H304571.)
19 CFR 102.21(e)(2)(ii) provides:
(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;
Since the outer fabric comprising the subject comforter and sham sets was formed by a fabric-making process in China, in accordance with the tariff shift rules in 19 CFR 102.21(e)(2)(ii), above, the country of origin of the quilt and sham sets is China.
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 internet at https://hts.usitc.gov/current.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. If the facts are modified in any way, or if the goods do not conform to these facts at the time of importation, you should bring this to the attention of CBP and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of Title 19 of the Code of Federal Regulations (19 C.F.R. Part 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 Seth Mazze at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division