OT:RR:NC:N2:349
Ms. Penny Zhang
Evergrace Home Inc
5 Floor Sun Shine Mansion, 2000 Pudong Avenue Shanghai 200135 China
RE: Classification and country of origin determination for a tufted puff; 19 CFR 102.21(c)(2); 19 CFR 102.21(e)(2)(ii); tariff shift
Dear Ms. Zhang:
This is in reply to your letter dated September 4, 2024, requesting a classification and country of origin determination for hand towels with a sponge core, which will be imported into the United States. Samples of the hand towels were submitted with your request and will be retained for training purposes.
FACTS:
The sample, Item #EG2409001, which you describe as a Noodle Hand Towel, is a gray colored puff which consists of a round piece of polyurethane foam, approximately 1 inch thick, completely covered with 100 percent polyester tufted fabric. The tufts are created by inserting polyester chenille yarn into a polyester woven fabric to form a looped pile outer surface. The item features a 100 percent cotton narrow woven fabric hanging loop that measures approximately 7 inches long and comprises 2.2 percent of the product's total weight. The puff measures approximately 5 inches in diameter. You state the Noodle Hand Towel will be used to dry and wipe hands after washing.
The sample, Item #EG2409002, which you describe as a Noodle Hand Towel With Spider Legs, is a pink colored puff which consists of a round piece of polyurethane foam, approximately 1 inch thick, completely covered with 100 percent polyester tufted fabric. The tufts are created by inserting polyester chenille yarn into a polyester woven fabric to form a looped pile outer surface. The item features eight black spider legs formed with knit polyester fabric filled with fiber fill and a 100 percent cotton narrow woven fabric hanging loop that measures approximately 7 inches long and comprises 1.7 percent of the product's total weight. The puff measures approximately 7 inches in diameter. You state the Noodle Hand Towel With Spider Legs will be used to dry and wipe hands after washing.
The manufacturing operations are as follows:
China
Vietnam
ISSUE:
What are the classification and country of origin of the subject merchandise?
CLASSIFICATION:
The applicable subheading for the Noodle Hand Towel, item #EG2409001, and Noodle Hand Towel With Spider Legs, item #EG2409002, will be 6302.93.1000, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Bed linen, table linen, toilet linen and kitchen linen: Other: Of man-made fibers: Pile or tufted construction. The rate of duty will be 6.2 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 - 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 produced in both China and Vietnam, and 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
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.
Item EG2409001, identified as a Noodle Hand Towel and item #EG2409002, identified as a Noodle Hand Towel With Spider Legs are both classified under subheading 6302.93. Subheading 6302.93 is included in the paragraph (e)(2) exception to the above tariff shift rules (6301-6306); therefore, Section 102.21(e)(2) must be considered. Section 102.21(e)(2) states, in pertinent part:
(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;
(ii) If the country of origin cannot be determined under paragraph (e)(2)(i) of this section...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;
As the fabrics comprising the puffs are not printed, Section 102.21(e)(2)(i) is inapplicable; therefore, we must consider Section 102.21(e)(2)(ii). The fabrics used to make the shell of the puff and spider legs are formed by the fabric-making process in China and the narrow woven cotton fabric hanging loop is formed in Vietnam.
Section 102.21(c), "General Rules," inter alia, state the requirements or conditions of Sections 102.12 through 102.19, where appropriate, are applicable when determining origin under Section 102.21(c)(1) through (5). Section 102.13 "De Minimis" states the following, in pertinent part:
(c) Foreign components or materials that do not undergo the applicable change in tariff classification set out in Section 102.21 or satisfy the other applicable requirements of that section when incorporated into a textile or apparel product covered by that section shall be disregarded in determining the country of origin of the good if the total weight of those components or materials is not more than 7 percent of the total weight of the good.
You have stated that the woven fabric forming the hanging loop is not more than 7 percent of the total weight of the good for both item #EG2409001 and item #EG2409002; therefore, the narrow woven cotton fabric is disregarded in determining the country of origin of the good in accordance with Section 102.13. The country of origin is the single country in which the remaining fabrics are formed by the fabric making process, that is, China.
HOLDING:
The applicable subheading for the Noodle Hand Towel, item #EG2409001 and Noodle Hand Towel With Spider Legs, item #EG2409002, was classified under 6302.93.1000, HTSUS. The country of origin is China.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly 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. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (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 the Customs and Border Protection 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, please contact National Import Specialist Kim Wachtel at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division