CLA-2-61:OT:RR:NC:N3:356
Mr. John A. Schoenig
Grunfeld, Desiderio, Lebowitz, Silverman & Klestadt LLP
399 Park Avenue, 25th Floor
New York, NY 10022-4877
RE: Country of origin determination for a men’s knit garment; 19 CFR 102.21(c)(3); knit to shape.
Dear Mr. Schoenig:
This is in reply to a letter dated October 10, 2013, on behalf of Greatwind International Limited, requesting a country of origin determination for a men’s knit garment that will be imported into the United States. You state that the manufacturing operations will occur in China and Bangladesh. You have provided samples of the garment parts as they are knit in China and sent to Bangladesh, and a sample of the finished garment as it will be imported into the United States. As requested, your samples will be returned.
FACTS:
The submitted sample, Style 12233867, is a men’s pullover garment constructed from 100% wool, jersey knit fabric that measures 14 stitches per two centimeters counted in the horizontal direction. The garment has a rib knit V-neckline, long sleeves with rib knit cuffs, and a rib knit bottom.
The front panel has a rib knit self-start bottom, self-finished sides, and full fashion marks at the armholes. The V-shaped front neckline is marked by lines of dropped stitches which create a clear and continuous line of demarcation formed by a change in knit pattern.
The back panel has a rib knit self-start bottom, self-finished sides, full fashion marks at the armholes, and full fashion marks at the shoulder seams. The back neckline has partial lines of demarcation that are not continuous for the full length of the neckline.
The sleeves have a rib knit self-start bottom, self-finished sides and full fashion marks the armholes. The neck band has a self-start bottom and self-finished sides.
The manufacturing operations are as follows:
CHINA:
The front panel is knit
The back panel is knit
The right and left sleeve panels are knit
The neckband is knit
BANGLADESH:
The front and back necklines are cut along the full or partial lines of demarcation
The front and the back panels, the sleeves, and the neck component are assembled by linking to form the finished garment
ISSUE:
What is the country of origin of the subject merchandise?
CLASSIFICATION:
The applicable subheading for Style 12233867 will be 6110.11.0070, Harmonized Tariff Schedule of the United States (HTSUS), which provides for sweaters, pullovers, ... and similar articles, knitted or crocheted: of wool or fine animal hair: of wool: other: men’s or boys’. The rate of duty will be 16% ad valorem.
COUNTRY OF ORIGIN - LAW AND ANALYSIS:
Section 334 of the Uruguay Round Agreements Act (codified at 19 U.S.C. 3592), enacted on December 8, 1994, provided rules of origin for textiles and apparel entered, or withdrawn from warehouse for consumption, on and after July 1, 1996. Section 102.21, Customs Regulations (19 C.F.R. 102.21), published September 5, 1995, in the Federal Register, implements Section 334 (60 FR 46188). Section 334 of the URAA was amended by Section 405 of the Trade and Development Act of 2000, enacted on May 18, 2000, and accordingly, section 102.21 was amended (68 Fed. Reg. 8711). Thus, the country of origin of a textile or apparel product shall be determined by the 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." As the subject merchandise is not wholly obtained or produced in a single country, territory or insular possession, paragraph (c)(1) of Section 102.21 is inapplicable.
Paragraph (c)(2) states: "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 of the foreign materials 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 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 If the good is not knit to shape and consists of two or more component parts, except for goods of heading 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.
If the good is knit to shape, except for goods of heading 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 for knitted or crocheted articles of heading 9619, provided that the knit to shape components are knit in a single country, territory or insular possession.
The subject merchandise is classifiable as a men’s knit pullover in heading 6110, HTSUS. Section 102.21 (e) requires a tariff shift to headings 6101 through 6117 from any heading outside that group. In this case, a tariff shift to heading 6110, HTSUS, occurs in Bangladesh, but from components that are classifiable in heading 6117, HTSUS. As heading 6117, HTSUS, is excepted by Section 102.21 (c)(2), the tariff shift is not applicable.
Section 102.21(c)(3) applies where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) and where the merchandise consists of either a good that was knit to shape or (with the exception for goods of certain specifically enumerated headings), was wholly assembled in a single country, territory, or insular possession.
Section 102.21 (c)(3)(i) provides the following:
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; ...
Section 102.21 (b) states that:
(3) Knit to Shape: The term knit to shape applies to 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”.
(4) Major Parts: The term major parts means integral components of a good but does not include collars, cuffs, waistbands, plackets, pockets, linings, paddings, trim, accessories, or similar parts.
In the case of the subject garment, the front panel is knit to shape with a self- start bottom, self-finished sides, full fashion marks at the armholes and a clear and continuous line of demarcation at the front neckline. The sleeves are knit to shape with a self-start bottom, self-finished sides. and full fashion marks at the armholes. The back panel has partial lines of demarcation at the rear neckline that are not continuous along the entire neckline. Nevertheless, the back panel is considered knit to shape because of the shaped and finished construction of the rib knit bottom, sides, and armholes. See Headquarters ruling 961981 of September 3, 1998. Consequently, the subject garment is considered knit to shape as the term is defined above.
Accordingly, Section 102.21 (c)(3)(i) is applicable to the subject merchandise. The country of origin of the garment is China, the single country where the garment is knit to shape.
HOLDING:
The country of origin of the subject garment 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 section 19 CFR 177.9(b)(1). This section states that a ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). 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 revocation. In the event there is a change in the facts previously furnished, this may affect the determination of country of origin. Accordingly, if there is any change in the facts submitted to Customs, it is recommended that a new ruling request be submitted in accordance with 19 CFR 177.2.
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 Mary Ryan at (646) 733-3271.
Sincerely,
Gwenn Klein Kirschner
Acting Director
National Commodity Specialist Division