CLA-2-62:RR:E:NC:3:353
Rene L Barreda
Border Brokerage, Inc.
P.O. Box 450381
Laredo, TX
RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of disposable headgear from Mexico; Article 509
Dear Mr./Ms. Barreda:
In your letter dated March 1, 2007, on behalf of Eastern Technologies, Inc. (ETI), you requested a ruling on the status of disposable headgear from Mexico under the NAFTA.
The submitted samples are OREX™ Item #s CS1503 Standard Hood, CS3355 Deluxe “Splash Resistant” Hood, CS1503RP “RP” Hood, CS1511 Skull Cap and CS1510 Sheik’s Hood. All the items are disposable, used by workers in the nuclear power industry and are constructed of 100% nonwoven man-made fiber fabric.
Item # CS1503 Standard Hood features a hook and loop closure and extends to the shoulders. Item # CS3355 Deluxe “Splash Resistant” Hood is the same as #CS1503 with the added feature of being splash resistant. Item # CS1503RP “RP” Hood features a hook and loop closure, extends to the shoulders and has “RP” printed front and back. Item # CS1511 Skull Cap covers the crown of the head and ties in the back. Item # CS1510 Sheik’s Hood covers the crown of the head, ties in the back and is shoulder length in the back.
The operations in Mexico are as follows:
Chinese-origin nonwoven fabric of heading 5603 is imported into Mexico.
The nonwoven fabric is cut into component parts and assembled in Mexico
The product will be used at a nuclear power plant in Mexico
After one-time use, the items will be imported into the U.S. for disposal by ETI’s proprietary process, which dissolves the OREX™ material without creating waste.
The applicable tariff provision for the Item #s CS1503 Standard Hood, CS3355 Deluxe “Splash Resistant” Hood, CS1503RP “RP” Hood, CS1511 Skull Cap and CS1510 Sheik’s Hood will be 6505.90.8015, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Hats and other headgear, knitted or crocheted, or made up from lace, felt or other textile fabric…Other: Other: Of man-made fibers: Other: Not in part of braid, Nonwoven disposable headgear without peaks or visors. The general rate of duty will be 18.7 cents per kilogram plus 6.8 percent ad valorem.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that
For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if--
(i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or
(ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that--
(A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein, or
(B) the goods otherwise satisfy the applicable requirements of subdivisions (r), (s) and (t) where no change in tariff classification is required, and the goods satisfy all other requirements of this note; or
(iii) they are goods produced entirely in the territory of Canada, Mexico and/or the United States exclusively from originating materials; or
(iv) they are produced entirely in the territory of Canada, Mexico and/or the United States but one or more of the nonoriginating materials falling under provisions for "parts" and used in the production of such goods does not undergo a change in tariff classification because--
(A) the goods were imported into the territory of Canada, Mexico and/or the United States in unassembled or disassembled form but were classified as assembled goods pursuant to general rule of interpretation 2(a), or
(B) the tariff headings for such goods provide for and specifically describe both the goods themselves and their parts and is not further divided into subheadings, or the subheadings for such goods provide for and specifically describe both the goods themselves and their parts,
provided that such goods do not fall under chapters 61 through 63, inclusive, of the tariff schedule, and provided further that the regional value content of such goods, determined in accordance with subdivision (c) of this note, is not less than 60 percent where the transaction value method is used, or is not less than 50 percent where the net cost method is used, and such goods satisfy all other applicable provisions of this note.
Based on the facts provided, the goods described above qualify for NAFTA preferential treatment, because they will meet the requirements of HTSUS General Note 12(b)(ii)(A) and 12(t) 65.2. The goods will therefore be entitled to a Free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.
Ruling requests are limited to 5 items of the same class or kind. Your request covers 11 items. Should you decide to request rulings on the remaining 6 items, we suggest the coveralls (3 items, #s CS1302, CS1304 and CS3313) be grouped into one request, the bootliners (2 items, #s CS1601 and CS3316) in another request, and the hard hat cover (1 item, # CS1801) in a third request. Provide samples of the coveralls, #s CS1302, CS1304 and CS3313 and the bootliners, #s CS1601 and CS3316. When this information is available, you may wish to consider resubmission of your request. Mail your request to U.S. Customs and Border Protection, Customs Information Exchange, 10th Floor, One Penn Plaza, New York, NY 10119, attn: Binding Rulings Section. If your request was submitted electronically and the information required does not involve sending a sample, you can re-submit your request and the additional information electronically.
This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181).
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 Kenneth Reidlinger at 646-733-3053.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division