CLA-2-52:RR:NC:N3:351 J88368

Peter G. Byrnes
Absorbent Technologies, Inc.
P.O. Box 632
101 West Mississippi Drive, Suite 300
Muscatine, IA 52761

RE: The tariff classification of upland cotton from Turkey and status under the North American Free Trade Agreement (NAFTA) of tampons made from that cotton in Canada; Article 509

Dear Mr. Byrnes:

In your letter dated Sept. 4, 2003, you requested a ruling on the classification of raw cotton from Turkey and the status under the NAFTA of tampons made from that cotton in Canada.

ISSUES:

What are the relevant tariff provisions under which the cotton may be classified, and what quota provisions may be applicable? Would a tampon made in Canada from such cotton be eligible for duty-free treatment under NAFTA?

FACTS:

In your letter and a subsequent telephone conversation with National Import Specialist Mitchel Bayer, you have stated that you import bleached, baled cotton fibers, neither carded nor combed, of Turkish origin, into both the United States and Canada, and that it is upland cotton (Gossypium Hirsutum) with a mean fiber length of one inch. You have submitted a sample of the baled cotton along with a certificate of analysis from your supplier in Turkey, Aslani Textile A.S. Please note that we have not verified the information that you have provided through laboratory testing, and will assume that your statements are correct. Upon importation, however, if the fiber is found by laboratory testing or other means to be different from that stated in this ruling, then this ruling does not apply.

CLASSIFICATION AND QUOTA:

If a Limited Global Upland Cotton Quota is in effect at the time of importation or withdrawal from warehouse, and it is claimed and certified within the 90-day time limit detailed in Chapter 99, Subchapter III, U.S. Note 6, the applicable tariff provision for the cotton will be 5201.00.12, HTS, which provides for cotton not carded or combed, having a staple length under 28.575 mm, other, described in general note 15 of the tariff schedule and entered pursuant to its provisions, with a free rate of duty, reportable under the relevant provision of tariff item number 9903.52.00, based on the Secretary of Agriculture's Special Cotton Import Quota Announcement Number.

If the quota is not in effect or if the importation is not in compliance with Chapter 99, Subchapter III, U.S. Note 6, then it would fall within the purview of Additional U.S. Note 5 of Chapter 52, HTS, which reads:

The aggregate quantity of cotton, not carded or combed, the product of any country or area including the United States, having a staple length under 28.575 mm (1-1/8 inches) (except harsh or rough cotton, having a staple length under 19.05 mm (3/4 inch)), entered under subheading 5201.00.14 during the 12-month period beginning September 20 in any year through September 19, inclusive, shall not exceed 20,207.05 metric tons (articles the product of Mexico shall not be permitted or included in the aforementioned quantitative limitation and no such articles shall be classifiable therein).

* * *

Other than as provided for in the country allocations [not listed here], articles the product of countries or areas who are not members of the World Trade Organization shall not be permitted or included in the quantitative limitations set forth in this note. [Please note that Turkey is not listed but is a member of the WTO.]

The applicable subheading for the cotton, if imported in quantities that fall within the limits described in Additional U.S. Note 5, will be 5201.00.1400, HTS, which provides for cotton, not carded or combed; having a staple length under 28.575 mm (1-1/8 inches); other; described in Additional U.S. Note 5 to this chapter and entered pursuant to its provisions. The general rate of duty will be free.

If the quantitative limits of Additional U.S. Note 5 have been reached, the applicable subheading for the cotton will be 5201.00.1800 HTS, which provides for cotton, not carded or combed; having a staple length under 28.575 mm (1-1/8 inches); other; other. The general rate of duty will be 31.4 cents per kilogram. In addition, products classified in subheading 5201.00.1800, HTS, will be subject to additional duties under tariff item numbers 9904.52.01 through 9904.52.09, as shown below:

Cotton, not carded or combed, the product of any country or area including the United States, having a staple length under 28.575 mm (1-1/8 inches) . . . provided for in subheading 5201.00.18:

If entered during the effective period of safeguards based upon value:

9904.52.01 Valued less than 35 cents/kg 51.5 cents/kg

9904.52.02 Valued 35 cents/kg or more but less than 55 cents/kg 36.6 cents/kg

9904.52.03 Valued 55 cents/kg or more but less than 75 cents/kg 24.8 cents/kg

9904.52.04 Valued 75 cents/kg or more but less than 95 cents/kg 14.8 cents/kg

9904.52.05 Valued 95 cents/kg or more but less than $1.15/kg 8.6 cents/kg

9904.52.06 Valued $1.15/kg or more but less than $1.25/kg 5.6 cents/kg

9904.52.07 Valued $1.25/kg or more but less than $1.35/kg 2.6 cents/kg

9904.52.08 Valued $1.35/kg or more No additional duty

9904.52.09 If entered during the effective period of safeguards based upon quantity announced by the Secretary of Agriculture 12 cents/kg

To obtain the most current quota information, we suggest that you check, close to the time of shipment, the Bureau of Customs and Border Protection website at www.cbp.gov; click on Imports, then Textiles and Quotas, then Commodity Status Report for Tariff Rate Quotas, then click on the week in question and scroll down to Chapter 52.

The applicable subheading for the tampons will be 5601.10.1000, HTS, which provides for ... tampons, ... and similar sanitary articles, of wadding, of cotton. The general rate of duty will be four percent ad valorem. NAFTA

Each of the non-originating materials used to make the tampons in Canada from the cotton as imported from Turkey has satisfied the changes in tariff classification required under HTSUSA General Note 12(t)/56. The tampons will be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.

You state that in addition to the baled cotton, you import comber and strips. This ruling on classification and NAFTA applies only to the baled cotton. Your inquiry does not provide enough information for us to give a classification ruling on the comber and strips. Your request for a classification ruling should include samples or better descriptions of the cotton imported in these forms. When this information is available, you may wish to consider resubmission of your request. If you decide to resubmit your request, please include a copy of this letter or reference it. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). This ruling letter is binding only as to the party to whom it is issued and may be relied on only by that party.

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