CLA-2-56:RR:NC:N3:351 I81818

Rodney Ralston
Trans-Border Customs Services, Inc.
1 Trans-Border Drive
P.O. Box 800
Champlain, NY 12919

RE: The tariff classification of yarn kits.

Dear Mr. Ralston:

In your letter dated May 10, 2002, on behalf of your client, S. R. Kertzer, Ltd. you requested a tariff classification ruling.

You submitted two samples of yarn kits. The first, FMIG, contains three hanks. One is called Kitty and it is actually a narrow knit fabric, 72% viscose/28% polyamide, which is intended to be used as yarn. It is marked “Made in Italy.” The other two hanks are called Fizz and described as an “eyelash” yarn apparently because of its appearance and construction: the polyester yarn is knit or otherwise looped and a two-inch length of it is inserted through each loop and doubled over, creating the so-called eyelash effect. According to a simple desk test performed in our offices its decitex exceeds 10,000, so according to Note 3(b) of Section XI, Harmonized Tariff Schedule of the United States (HTS), it is classifiable as twine or cord, not yarn. It, too, is marked “Made in Italy.”

The two hanks of Fizz and one of Kitty are packaged together in a clear plastic cylinder with instructions for knitting a scarf. We consider FMIG to be a set according to the definition in General Rule of Interpretation (GRI) 3(b). Explanatory Note X to GRI 3(b) defines “goods put up in sets for retail sale.” Such goods: (a) consist of at least two different articles that are classifiable in different headings, (b) consist of products put up together to meet a particular need or carry out a specific activity, and (c) are put up in a manner suitable for sale directly to users without repacking. It is the opinion of this office that the knitting kit in question satisfies all of these conditions, and it will be considered a set for classification purposes.

The essential character of the set must be determined in accordance with GRI 3(b). We believe that the essential character of this set is imparted by FIZZ, the fancier of the two components, the one that is meant to be the more prominent part of the finished scarf, according to the photos included in the package.

The applicable subheading for FIMG will be 5607.50.4000, HTS, which provides for twine, cordage, ropes and cables...of other synthetic fibers, other. The rate of duty will be 4.3 percent ad valorem.

The second set is called FT. It contains one hank of Fizz and one hank of 100% New Zealand wool; in a telephone call, you stated that it may sometimes be 85% wool. The instructions call for worsted wool, so we assume this to be combed. We also consider this a set. However, the essential character is not clearly imparted by either single component. In accordance with GRI 3(c), it will be classified under the subheading that occurs last in numerical order among those which equally merit consideration.

The competing HTS provisions are 5607.50.4000 (Fizz) and 5109.10.9000, which provides for yarn of wool . . ., put up for retail sale: containing 85% or more by weight of wool . . .: other: other: other. The subheading that occurs last in numerical order is 5607.50.4000 and that will be the classification for FT as well.

Your letter does not state the country of origin of the kits. However, besides the marking on the the individual skeins, FIMG is marked with the address of the importer in Canada. Section 134.46, Customs Regulations (19 CFR 134.46), deals with cases in which the name of any foreign country or locality other than the country or locality in which the article was manufactured or produced, appears on an imported article or its container, and those words, letters or names may mislead or deceive the ultimate purchaser as to the actual country of origin. In such a case, there shall appear, legibly and permanently, in close proximity to such words, letters, or name, and in at least a comparable size, the name of the country of origin preceded by "Made in," Product of," or other words of similar meaning.

In order to satisfy the close proximity requirement, the country of origin marking must generally appear on the same side(s) or surface(s) in which the name or locality other than the actual country of origin appears.

Your inquiry does not provide enough information for us to give a classification ruling on FCK Sheep. Your request for a classification ruling should include the weight of each ball and if it has been carded and/or combed. When this information is available, you may wish to consider resubmission of your request. We are returning the samples, but we have taken a length of each, as well as the instructions, for our files.

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 Mitchel Bayer at 646-733-3102.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division