CLA-2-58:RR:NC:TA:352 F86977
Mr. Terry Leong
Leolen, Inc.
1837 Hoolaulea
Pearl City, HI 96782
RE: The tariff classification of two appliques from China.
Dear Mr. Leong:
In your letter dated April 30, 2000 you requested a tariff classification ruling.
Two sets of components used to manufacture appliqued motifs accompanied your request for a ruling. The sets include a woven ground fabric cut to a rectangular or square shape. The ground fabric may be composed of 100% cotton or may be composed of a polyester/cotton blend. In addition, each set consists of various cut shapes of woven fabric which are designed to be sewn to the ground fabric creating a motif of either a little boy in one case or a little girl in the other case. Among the cut shapes made from various fabrics are hats, pants, dresses, shirts, hands and feet. The individual pieces used in the applique will be cut in the United States from either domestically produced or foreign made fabric and shipped to China where the items will be assembled by sewing the cut fabric pieces onto the ground fabric creating the motif. After assembly in China, the appliqued squares will be returned to the United States where they will be incorporated into various home furnishings (quilts, blankets etc.) as decorative accents.
The Explanatory Notes to Heading 5810, HTS, which are the official interpretation of the scope of the Heading at the international level, states that among the goods considered to be embroidery in the piece, in strips or in motifs is applique work. The note states that applique work consists of a ground textile fabric on which are sewn various other items. The Note goes on to specify various items and reads in part:
Ornamental motifs of textile or other materials. These motifs are usually a textile fabric (including lace), of a texture different from the ground fabric and cut in various patterns which are sewn to the ground fabric; in certain cases, the ground fabric is removed at the places covered by the applied motif.
The goods before us for consideration are precisely described by this part of the Explanatory Notes to Heading 5810 and therefore fall with in the scope of this Heading.
Subheading Note 2(A) of Section XI states that products classifiable in Chapters 56 to 63 that consist of a mixture of two or more textile materials are classified as if consisting wholly of that one textile material which predominates by weight over each other single textile material. In addition Subheading Note 2(B) states in part:
For the application of this rule
In the case of embroidery of heading 5810 and goods thereof, only the ground fabric shall be taken into account. However, embroidery without visible ground, and goods thereof, shall be classified with reference to the embroidery threads alone.
Since the ground fabric may be composed of cotton or cotton polyester/blends, the appliqued motifs will be considered to be composed of that fiber that predominates by weight in the ground fabric in accordance with Subheading Note 2 to Section XI.
The applicable subheading for the motifs in which the cotton predominates by weight in the ground fabric will be 5810.91.0020, Harmonized Tariff Schedule of the United States (HTS), which provides for embroidery in the piece, in strips, or in motifs, other embroidery, of cotton, other. The rate of duty will be 3.4 percent ad valorem.
The applicable subheading for the motifs in which the polyester predominates by weight in the ground fabric will be 5810.92.1000, Harmonized Tariff Schedule of the United States (HTS), which provides for embroidery in the piece, in strips, or in motifs, other embroidery, of man-made fibers, badges, emblems and motifs. The rate of duty will be 5.9 percent ad valorem.
It should be noted that if you supply the cut parts or the ground fabric to the Chinese manufacturer at no cost, the cost or value of those items form part of the dutiable value of the motif and must be added to the cost of the applique work if not already included.
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 Alan Tytelman at 212-637-7092.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division