CLA-2 RR:TC:TE 959168 GGD
Ms. Mary Bailey
Sears, Roebuck and Company
3333 Beverly Road
D/733IMP BC-205-A
Hoffman Estates, Illinois 60179
RE: Country of Origin and Classification Determinations for a Girl's Knit Sweater Vest; 19 CFR 102.21(c)(3); Knit-to-shape
Good
Dear Ms. Bailey:
This letter is in response to your inquiry of March 25,
1996, concerning the country of origin and classification under
the Harmonized Tariff Schedule of the United States Annotated
(HTSUSA), of a girl's knit sweater vest that will be imported
into the United States on or after July 1, 1996. A sample was
submitted with your inquiry.
FACTS:
The submitted sample is a girl's sleeveless knit sweater
vest composed of 55 percent ramie and 45 percent cotton. The
garment's back panel has approximately 5 stitches per 2
centimeters measured in the horizontal direction, and its front
panels have open crochet work satisfying the Statistical Note 3,
Chapter 61, provision for sweaters. The manufacturing processes
are as follows: -2-
CHINA - knitting of front and back panels
HONG KONG - linking, finishing, and packaging
ISSUES:
1) What is the classification of the sweater vest?
2) What is the country of origin of the garment?
LAW AND ANALYSIS:
Classification under the HTSUS is made in accordance with
the General Rules of Interpretation (GRI). Virtually all goods
are classified according to the terms of the headings of the
tariff schedule and any relative Section or Chapter Notes. In
the event that the goods cannot be classified solely on the basis
of GRI 1, and if the headings and legal notes do not otherwise
require, the remaining GRI may then be applied. The Explanatory
Notes (EN), which represent the official interpretation of the
tariff at the international level, facilitate classification by
offering guidance in understanding the scope of the headings and
GRI.
With respect to the classification issue, heading 6110,
HTSUS, provides for "Sweaters, pullovers, sweatshirts, waistcoats
(vests) and similar articles, knitted or crocheted." Statistical
Note 3 to Chapter 61, HTSUS, states that "[f]or purposes of this
chapter, statistical provisions for sweaters include garments,
whether or not known as pullovers, vests or cardigans, the outer
surfaces of which are constructed essentially with 9 or fewer
stitches per 2 centimeters measured in the horizontal direction,
and garments, known as sweaters, where, due to their
construction, the stitches on the outer surface cannot be counted
in the horizontal direction."
As noted in the FACTS section above, the construction of the
sweater vest's front and back panels satisfies the Statistical
Note 3 provision for sweaters. The sweater vest is classified in
subheading 6110.90.9040, HTSUSA, textile category 845, the
provision for "Sweaters, pullovers, sweatshirts, waistcoats
(vests) and similar articles, knitted or crocheted: Of other -3-
textile materials: Other: Sweaters for women or girls: Other:
Other: Assembled in Hong Kong from knit-to-shape component parts
knitted elsewhere."
With regard to the issue of the garment's country of origin,
we note that on December 8, 1994, the President signed into law
the Uruguay Round Agreements Act. Section 334 of that Act
provides new rules of origin for textiles and apparel entered, or
withdrawn from warehouse, for consumption, on or after July 1,
1996. On September 5, 1995, Customs published Section 102.21,
Customs Regulations, in the Federal Register, implementing
Section 334 (60 FR 46188). Thus, effective July 1, 1996, 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 (5) of Section 102.21.
Paragraph (c)(1) states that "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 merchandise is not wholly obtained or
produced in a single country, territory or insular possession,
paragraph (c)(1) is not applicable.
Paragraph (c)(2) states that "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
foreign material 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) states that "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:"
6101-6117 (3) If the good is knit to shape, a change to heading 6101 through 6117 from any heading outside that
group, provided that the knit-to-shape components are knit
in a single country, territory, or insular possession. -4-
The girl's knit sweater vest is classified under heading
6110, HTSUS. The above rule requires that a tariff shift to
heading 6110 occur. A tariff shift to heading 6110 occurs in
Hong Kong, but from components that are classifiable in heading
6117, HTSUS, which is not outside the group (heading 6101 through
6117). Since the tariff shift occurring in Hong Kong fails to
meet the requirements of the rule, origin cannot be determined by
application of section 102.21(c)(2).
Paragraph (c)(3) states that "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; ***.
Since the knit to shape components of the garment were knit
only in China, the knitting to shape of the front and back panels
in China confers the country of origin.
HOLDING:
The girl's sleeveless knit sweater vest is classified in
subheading 6110.90.9040, HTSUSA, textile category 845, the
provision for "Sweaters, pullovers, sweatshirts, waistcoats
(vests) and similar articles, knitted or crocheted: Of other
textile materials: Other: Sweaters for women or girls: Other:
Other: Assembled in Hong Kong from knit-to-shape component parts
knitted elsewhere." The applicable rate of duty is 6 percent ad
valorem.
The country of origin of the girl's sleeveless knit sweater
vest is China.
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 19 CFR
177.9(b)(1), which states that each ruling letter is issued on
the assumption that all of the information furnished and
incorporated in the ruling letter, either directly, by reference,
or by implication, is accurate and complete in every material
respect.
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 -5-
revocation. A change in the facts previously furnished may
affect the determination of country of origin. Thus, if there is
any change in the facts provided to Customs, it is recommended
that a new ruling request be submitted in accordance with 19 CFR
177.2.
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 renegotiations 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 internal
issuance of the U.S. Customs Service, which is available for
inspection 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 applicable to textile
merchandise, you should contact your local Customs office prior
to importation of this merchandise to determine the current
status of any import restraints or requirements.
Sincerely,
John Durant, Director
Tariff Classification
Appeals Division