CLA-2 CO:R:C:T 088423 HP
Ms. Susan Moretti
Attorney in Fact
TLR-Total Logistics Resource, Inc.
P.O. Box 30419
Portland, OR 97230
RE: Whether sets of garments which are not packed together in such a manner that they are readily identifiable as suits at the time of importation are classifiable as such depends upon the intent of the importer. Documentation; track suit; purchase order; CSD 92-11
Dear Ms. Moretti:
This is in reply to your letter of November 21, 1990, concerning the tariff classification of shorts and track suits, produced in Malaysia or Hong Kong, under the Harmonized Tariff Schedule of the United States Annotated (HTSUSA). Please reference your client J.M. Associates, Inc. The shorts have been ruled upon by our New York office; please reference New York Ruling Letter (NYRL) 858700.
FACTS:
The merchandise at issue consists of two combinations of unisex jackets and pants. The first, style Y306 jacket and style Y206 pants, consists of a jacket with a full front opening, a zipper extending to the top of the collar, zippered slant pockets at the waist, elasticized cuffs and waist, and a rear yoke extending more than halfway down the back and covering a mesh liner. The pants have an elasticized waist with no break, side seam pockets, and zippers extending half way up the leg from the elasticized cuffs. Both garments are constructed of 100% woven nylon. You state that these garments will be manufactured in different companies in Malaysia, then sent to a consolidator for shipment to the United States.
Although imported in equal quantities on the same ship, entered on the same entry, and sold as "sets" in the United States, the garments will be packaged separately at the time of importation. Purchase orders submitted with your request indicate that the tops and bottoms will each be pre-packed in cartons of thirty.
The second combination, style U900, consists of a jacket with a full front zippered opening, zippered, slant pockets at the waist, elasticized cuffs and waist, a drawstring at the waist, and a rear yoke extending more than half way down the back and covering a mesh liner. The trousers have zippers extending from the cuffs to the waist, have adjustable snap tabs at the waist, and are unlined. They are constructed of 100% woven nylon.
ISSUE:
Whether the combinations are considered track suits under the HTSUSA?
LAW AND ANALYSIS:
Style U900
In HRL 087511 of January 14, 1991, we stated:
It is our opinion that "necessary changes in points of detail," from knitted track suits to woven, allow the presence of a liner with the ability to both breathe and to wick away perspiration. Track suits with a woven outer shell and an inner lining capable of imparting the characteristics enumerated above are therefore classifiable in heading 6211, HTSUSA, as track suits.
Style U900, therefore, is clearly a track suit.
Styles Y306/Y206
Style Y306/Y206 is clearly constructed and designed as a track suit. However, as we state above:
these garments will be manufactured in different companies in Malaysia, then sent to a consolidator for shipment to the United States. Although imported in equal quantities on the same ship, entered on the same entry, and sold as "sets" in the United States, the garments will be packaged separately at the time of importation. Purchase orders submitted with your request indicate that the tops and bottoms will each be pre-packed in cartons of thirty.
We must therefore decide whether a track suit, which is wearing apparel made up of, without exception, more than one component, may be classified as a track suit when those multiple components are separately packaged as described above.
At issue is whether this merchandise, upon entering the United States is to be classified based upon its "condition as imported," or how it is "put up for retail sale." Following the "condition as imported" principle, since the track suit components are not imported together, they must be classified as separates. The latter precept holds that since the components are said to be marketed as sets, "put up [together] for retail sale," the merchandise may be classified as a track suit. See HRL 083458 of August 31, 1990 (Asana Yoga suit, shirt and pants primarily marketed and sold together (put up for retail sale), imported as one top and one bottom in polyurethane bag (condition as imported), classifiable as ensemble).
While it is undoubtedly true that the "retail sale" option places a heavy burden upon Customs field personnel, i.e., authenticating importers' claims as to how their merchandise will be sold, it is our opinion that allowing packaging to govern how wearing apparel which is invariably made up of more than one matching component is classified, e.g., track suits, suits, pajamas (see HRL 088101 of February 26, 1991 ("garments fit the general description of typical men's pajama bottoms and should be classified as such, whether imported separately or with tops as sets [emphasis added])), has overwhelming potential for abuse. Therefore, whether sets of garments which are not packed together in such a manner that they are readily identifiable as suits at the time of importation are classifiable as such depends upon the intent of the importer. If, at the time of importation, the importer has bona fide intention to sell the suit components as suits, as evidenced by the documentation in the entry package, then the merchandise, in the absence of evidence to the contrary, is classifiable as suits. If, at the time of importation, the importer has bona fide intention to sell the suit components separately, as evidenced by the documentation in the entry package, then the merchandise, in the absence of evidence to the contrary, is classified as separates. If information is received that the garments are merchandised in a manner not consonant with the entered classification, action under 19 U.S.C 1592 may of course be appropriate.
*In the instant matter, your letter requests a binding ruling for, inter alia, a "track suit." In addition, the purchase orders submitted with your request describe 12,000 pieces of both jackets and pants, in corresponding sizes and colors. This, when combined with your statement that the garments will be sold as track suits, provides the justification for classification as such.
HOLDING:
As a result of the foregoing, the instant merchandise is classified as follows:
Track Suit Trousers
... under subheading 6211.43.0040, HTSUSA, textile category 648, as track suits, ski-suits and swimwear; other garments, other garments, women's or girls', of man-made fibers, track suits, trousers. The applicable rate of duty is 17 percent ad valorem.
Track Suit Jackets
... under subheading 6211.43.0050, HTSUSA, textile category 635, as track suits, ski-suits and swimwear; other garments, other garments, women's or girls', of man-made fibers, track suits, other. The applicable rate of duty is 17 percent ad valorem.
The designated textile and apparel category may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected. Since part categories are the result of international bilateral agreements which are subject to frequent negotiations and changes, to obtain the most current information available, we suggest that you check, close to the time of shipment, the Status Report On Current Import Quotas (Restraint Levels), an issuance of the U.S. Customs Service, which is updated weekly and is available at your local Customs office.
Due to the changeable nature of the statistical annotation (the ninth and tenth digits of the classification) and the restraint (quota/visa) categories, you should contact your local Customs office prior to importing the merchandise to determine the current status of any import restraints or requirements.
Sincerely,
John Durant, Director
Commercial Rulings Division