CLA-2-RR:NC:TA:351 C82394

Ms. Patricia Rone Worsham
Yusen Air & Sea Service (USA) Inc.
2 Whitaker St., Suite #306
Savannah, GA 31401

RE: Classification and country of origin determination for inked typewriter ribbon; 19 CFR 102.21(c)(3)

Dear Ms. Worsham:

This is in reply to your letter dated December 3, 1997, on behalf of Fuji Copian Corporation, Winnsboro, S.C., requesting a classification and country of origin determination for seamless nylon loops (inked typewriter ribbon) which will be imported into the United States from China.

FACTS:

The subject merchandise consists of inked typewriter ribbon. As per your correspondence and the representative samples submitted, a company called Kitamura in Japan manufactures woven nylon fabric. This material is sent to an unspecified company in China for the inking process. It is not clear from your letter, if wide widths of material are sent to China for slitting to 8 mm widths (per the samples), or if the material is slit by the manufacturer before shipping. However, this would not affect the country of origin determination. Subsequently, once inked, this typewriter ribbon is tied in bundles of 500 pieces, put into clear plastic bags and placed in cartons of approximately 20,000 pieces for export to the United States.

ISSUE:

What is the classification and country of origin of the subject merchandise?

CLASSIFICATION:

The applicable subheading for the woven nylon typewriter ribbon will be 9612.10.9010, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for ribbons, woven, of man-made fibers. The rate of duty will be 8.6 percent ad valorem.

This woven typewriter ribbon falls within textile category designation 621. The designated textile and apparel categories may be subdivided into parts. If so, visa and quota requirements applicable to the subject merchandise may be affected. Part categories are the result of international bilateral agreements which are subject to frequent renegotiations and changes. To obtain the most current information available, we suggest that you check, close to the time of shipment, the Status Report on Current Import Quotas (Restraint Levels), an internal issuance of the U.S. Customs Service, which is available for inspection at your local Customs office.

COUNTRY OF ORIGIN - LAW AND ANALYSIS:

On December 8, 1994, the President signed into law the Uruguay Round Agreements Act. Section 334 of that Act (codified at 19 U.S.C. 3592) provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996. On September 5, 1995, Customs published Section 102.21, Customs Regulations, in the Federal Register, implementing Section 334 (60 FR 46188). Thus, effective July 1, 1996, the country of origin of a textile or apparel product shall be determined by 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 that "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) in pertinent part states that "The following rules shall 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

9612.10.9010 A change to subheading 9612.10.9010 from any other heading, except from heading ... 5407 through 5408, 5512 through 5516... or 5806 and provided that the change is the result of a fabric-making process. The subject ribbon in this scenario, undergoes a change to subheading 9612.10.9010, HTS, from heading 5407, 5512 or 5806 and that change is not the result of a fabric making process (the ribbon is merely inked). Since this change is excluded by the rule, Section 102.21(c)(2) is inapplicable and our hierarchical application of Section 102.21(c) continues.

Section 102.21(c)(3) states that, "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of this section":

(i) 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

(ii) Except for 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.

As the subject merchandise is not wholly assembled in China, because it requires that all components (at least 2) preexisted in essentially the same condition as found in the finished good and were combined to form the finished good in a single country, territory, or insular possession, no mere assembly of two preexisting components transpired in China.

Section 102.21(c)(4) provides:

"Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2) or (3) of this section, the country of origin of the good is the single country, territory, or insular possession in which the most important assemble or manufacturing process occurred."

The relevant analysis, in the case of the manufacturing scenario described above, is provided by section 102.21 (c)(4) which look to the country, territory, or insular possession in which the "most important" assembly or manufacturing process occurred as conferring origin.

Based upon the emphasis that the law places on the fabric creation (i.e., weaving), it is the construction of the fabric itself, that is the most important process in the construction of the ribbon which took place in Japan as opposed to the mere inking of such fabric in China.

HOLDING:

The country of origin of the woven typewriter ribbon is Japan. Based upon international textile trade agreements products of Japan are subject to quota and the requirement of a visa.

The holding set forth above applies only to the specific factual situation and merchandise identified in this ruling request. This position is clearly set forth in section 19 CFR 177.9(b)(1). This sections 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 George Barth at 212-466-5884.

Sincerely,

Robert B. Swierupski
Director,
National Commodity
Specialist Division