OT:RR:CTF:FTM H304835 PJG
Christopher W. Lucas
Blue Star Imports L.P.
77 Hot Metal Street
Pittsburgh, Pennsylvania 15203
Re: Country of origin of women’s knit undergarments
Dear Mr. Lucas:
This ruling is in response to your letters, dated May 21, 2019 and June 28, 2019, filed by Blue Star Imports L.P. (“Blue Star”), a subsidiary of American Eagle Outfitters, Inc., requesting a binding ruling on the country of origin of three products, specifically, a seamless boybrief (style 6749), a seamless basic thong (style 6750), and a seamless rib carryover bralette (style 2593).
Your request was forwarded by the National Commodity Specialist Division to this office for a response. For each style product, you submitted a sample of the tubular fabric as well as the finished product. We are returning the samples to you with this ruling.
FACTS:
You describe the boybrief (style 6749) as follows:
a seamless, low-rise, full-coverage underwear, for women. It features self-start waistbands, back gusset seams, a change in knit pattern for the crotch portion, and elasticized leg openings. The main body consists of 90% nylon and 10% elastane and the gusset consists of 68% nylon, 24% cotton, and 8% elastane.
You describe the seamless basic thong (style 6750) as follows:
a seamless, low-rise, high-cut underwear, for women. It features self-start waistbands, back gusset seams, a change in knit pattern for the crotch portion, and elasticized leg openings. The main body consists of 90% nylon and 10% elastane and the gusset consists of 68% nylon, 24% cotton, and 8% elastane.
You describe the seamless rib carryover bralette (style 2593) as follows:
a seamless brassiere consisting of ribbed, stretchable fabric, with no lining, padding, wires, or clasp mechanism. The Bralette features a scooped front and back neckline, thick straps, and a self-start bottom band. The main body consists of 93% nylon and 7% elastane. The front of the Bralette is double layered. The self-start bottom band consists of 88% nylon and 12% elastane.
According to your description, the production process in China and Vietnam are the same for the boybrief (style 6749) and seamless basic thong (style 6750), except that with regard to the boybrief, you state that in China the “[t]ubular knitting takes place, with a change in knit pattern for the waistline and gusset,” and with regard to the seamless basic thong, you state that in China the “[t]ubular knitting takes place, with a change in knit pattern for the waistline, gusset, and material around what will become the leg openings.” Otherwise, the processing is described as follows for both products:
[China] – The nylon, cotton, and elastane are obtained in [China]…..The tubular material is then dyed and cut to the approximate size of the apparel. No lines of demarcation are drawn for subsequent cutting. The bottom of the tubular material is temporarily stitched for ease of transport (and later unstitched in Vietnam, after dyeing).
Vietnam – After shipment of the tubular material from [China] to Vietnam, the leg openings are cut using pattern paper. Sewing is then carried out in the following sequence: (i) elastic is sewn around the leg openings; (ii) the back gusset seam is sewn shut, connecting the front and back parts of tubular material to form the final shape of the [product]; and (iii) bar tack seams are sewn to secure the back crotch-seam edges. The [product] is then labelled and packaged for export to the United States.
According to your description, the production process in China and Vietnam for the bralette (style 2593) is as follows:
[China] – The nylon and elastane are obtained in [China]. Tubular knitting takes place, with a change in knit pattern for the self-start bottom band. The tubular material is dyed and cut to the approximate size of the apparel. No lines of demarcation are drawn for subsequent cutting.
Vietnam – After shipment of the tubular material from [China] to Vietnam, the arm openings and neckline are cut using pattern paper. The fold-over elastic is then sewn along the arm openings and front and back neckline, and flatlock sewing is performed on the shoulder straps to connect the front and back parts of the tubular material to form the final shape of the Bralette. The Bralette is then labelled and packaged for export to the United States.
In your submission, you state that the bralette (style 2593) does not have a lining fabric. However, the sample that you submitted does have a lining fabric, which provides bust support.
ISSUE:
What is the country of origin of the subject women’s knit undergarments?
LAW AND ANALYSIS:
Section 334 of the Uruguay Round Agreements Act (“URAA”) (codified at 19 U.S.C. § 3592), enacted on December 8, 1994, provides rules of origin for textiles and apparel products entered, or withdrawn from warehouse, for consumption on or after July 1, 1996. Section 102.21 of the Code of Federal Regulations (19 C.F.R. § 102.21), implements the URAA. The country of origin of a textile or apparel products will be determined by sequential application of paragraphs (1) through (5) of section 102.21 (19 C.F.R. § 102.21(c)(1) – (5)).
Paragraph (c)(1) of section 102.21 (19 C.F.R. § 102.21(c)(1)) states that “[t]he 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.” The three subject merchandise were not wholly obtained or produced in a single country, therefore, 19 C.F.R. § 102.21(c)(1) is inapplicable.
Paragraph (c)(2) of section 102.21 (19 C.F.R. § 102.21(c)(2)) states that “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) of section 102.21 (19 C.F.R. § 102.21(e)) states, in relevant part, that “[t]he following rules will 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
6101- 6117 (1) If the good is not knit to shape and consists of two or more component parts, except for goods of subheading 6117.10 provided for in paragraph (e)(2) of this section, a change to an assembled good of heading 6101 through 6117 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory, or insular possession.
(2) If the good is not knit to shape and does not consist of two or more component parts, except for goods of subheading 6117.10 provided for in paragraph (e)(2) of this section, a change to heading 6101 through 6117 from any heading outside that group, except from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5806, 5809 through 5811, 5903, 5906 through 5907, 6001 through 6006, knitted or crocheted articles of heading 9619, and subheading 6307.90, and provided that the change is the result of a fabric-making process.
(3) If the good is knit to shape, except for goods of subheading 6117.10 provided for in paragraph (e)(2) of this section, a change to 6101 through 6117 from any heading outside that group, except from knitted or crocheted articles of heading 9619, provided that the knit to shape components are knit in a single country territory or insular possession.
6210-6212 (1) If the good consists of two or more component parts, a change to an assembled good of heading 6210 through 6212 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to heading 6210 through 6212 from any heading outside that group, except from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809 through 5811, 5903, 5906 through 5907, 6001 through 6006, and 6217, subheading 6307.90, and from an assembled women’s or girls’ garment, made up of fabrics of heading 5602, 5603, 5903, 5906, or 5907, of heading 9619 or a girls’, boys’, men’s, or women’s garment, other than knitted or crocheted garments and other than a women’s or girls’ singlet or other undershirt, brief, panty, negligee, bathrobe, dressing gown, or a similar article from any other heading, provided that the change is the change is the result of a fabric-making process.
Paragraph (b)(3) (19 C.F.R. § 102.21(b)(3)) defines “knit to shape” as “any good of which 50 percent or more of the exterior surface area is formed by major parts that have been knitted or crocheted directly to the shape used in the good, with no consideration being given to patch pockets, appliques, or the like. Minor cutting, trimming, or sewing of those major parts will not affect the determination of whether a good is ‘knit to shape.’” Moreover, in Headquarters Ruling Letter (“HQ”) 961828, dated July 27, 1998, U.S. Customs and Border Protection (“CBP”) stated that knit panels in which the final shape is indicated by “clear, continuous, lines of demarcation” are considered “knit to shape.”
Paragraph (b)(4) (19 C.F.R. § 102.21(b)(4)) defines “major parts” as “integral components of a good but does not include collars, cuffs, waistbands, plackets, pockets, linings, paddings, trim, accessories, or similar parts.”
The appropriate tariff classification for the boybrief (style 6749) and seamless basic thong (style 6750) is subheading 6108.22.9020, HTSUSA, which provides for “Women’s or girls’ slips, petticoats, briefs, panties, night dresses, pajamas, negligees, bathrobes, dressing gowns and similar articles, knitted or crocheted: Briefs and panties: Of man-made fibers: Other: Women’s.”
The appropriate tariff classification for the bralette (style 2593) is subheading 6212.10.9020, HTSUSA, which provides for “Brassieres, girdles, corsets, braces, suspenders, garters and similar articles and parts thereof, whether or not knitted or crocheted: Brassieres: Other: Other: Of man-made fibers.”
Applying the tariff shift rule of paragraph (e) for the boybrief (style 6749), the tariff shift occurring in Vietnam meets the requirements of the rule in 6101-6117 (1). Specifically, we apply the rule in 6101-6117 (1), because the knit tubular component is not knit to shape since it lacks clear, continuous lines of demarcation and consists of two or more component parts, in particular, the elastic and the body fabric. The tariff shift to heading 6108, HTSUS, from the unassembled components occurs in Vietnam, therefore, the country of origin for the boybrief (style 6749) can be determined by application of section 102.21(c)(2) and is Vietnam. See HQ 959539 (August 13, 1996).
Applying the tariff shift rule of paragraph (e) for the seamless basic thong (style 6750), the tariff shift occurring in Vietnam fails to meet the requirements of the rule in 6101-6117 (3). Specifically, we apply the rule in 6101-6117 (3), because the knit tubular component is knit to shape since it has clear, continuous lines of demarcation. There is no tariff shift to heading 6108, HTSUS, since the knit tubular component is classified as an unfinished garment of heading 6108, HTSUS. Therefore, section 102.21(c)(2) is inapplicable, and to determine the country of origin of the seamless basic thong (style 6750), we continue applying the general rules set forth by 19 C.F.R. § 102.21(c).
Applying the tariff shift rule of paragraph (e) for the bralette (style 2593), the tariff shift occurring in Vietnam meets the requirements of the rule in 6210-6212 (1). We apply the rule in 6210-6212 (1), because the subject bralette is not knit to shape since it does not have clear, continuous lines of demarcation. Also, the bralette consists of two or more components, specifically, the bralette body fabric, the interior fabric, and the elastic, which are wholly assembled in Vietnam. See 19 C.F.R. § 102.21(b)(6). Accordingly, the country of origin for the bralette (style 2593) is determined by application of section 102.21(c)(2) and is Vietnam.
To determine the country of origin of the seamless basic thong (style 6750), we apply paragraph (c)(3) of section 102.21 (19 C.F.R. § 102.21(c)(3)), which states that where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of section 102.21:
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; or
Except for fabrics of chapter 59 and goods of heading 5609, 5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings 6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to shape and the good was wholly assembled in a single country, territory, or insular possession, the country of origin of the good is the country, territory, or insular possession in which the good was wholly assembled.
The seamless basic thong (style 6750) is knit to shape in a single country, China. The item in question meets the definition of “knit to shape” and has clear and continuous lines of demarcation knit directly in the fabric that forms the entire outline of the panty and includes a self-start waistband. Accordingly, as the subject merchandise is knit to shape in China, section 102.21(c)(3) applies, and the country of origin of the seamless basic thong is China.
HOLDING:
The country of origin of the subject women’s knit undergarments is as follows:
(1) seamless basic thong (style 6750) – China, pursuant to 19 C.F.R.
§ 102.21(c)(3);
(2) boybrief (style 6749) – Vietnam, pursuant to 19 C.F.R. § 102.21(c)(2); and,
(3) bralette (style 2593) – Vietnam, pursuant to 19 C.F.R. § 102.21(c)(2).
A copy of this ruling letter should be attached to the entry documents filed at the time this merchandise is entered. If the documents have been filed without a copy, this ruling should be brought to the attention of the Customs officer handling the transaction.
Sincerely,
Yuliya A. Gulis, Chief
Food, Textiles and Marking Branch