CLA-2-60:RR:NC:TA:351 D80021

Ms. Mary Riale

ZVIL, Inc.

224 West 35th Street

New York, N.Y. 10001

RE: The tariff classification of an embroidered fabric from Japan.

Dear Ms. Riale:

In your letter dated July 10, 1998 you requested a classification ruling.

You submitted a sample of a 72% triacetate, 28% rayon woven fabric which has embroidered and beaded designs on it. In a telephone conversation you stated that the ground fabric is dyed and weighs over 100 grams per square meter. Your letter stated that the ground fabric is woven in Japan. It is shipped to the United States where it is cut into pieces measuring approximately 12 by 20 inches. These pieces are then shipped to Hong Kong where embroidery and beading of separate designs on the fabric pieces is performed. There are multiple designs/embroideries to each fabric piece. This merchandise is then returned to the United States where the pieces are cut, further processed and used as beaded or embroidered parts of wearing apparel. You request the classification and marking requirements of these pieces in condition as they are exported from Hong Kong to the United States.

The applicable subheading for the knit fabrics will be 5810.92.9080, Harmonized Tariff Schedule of the United States (HTS), which provides for embroidery in the piece, in strips or in motifs; other embroidery; of man-made fibers; other; other; other. The duty rate, which is predicated upon the construction of the ground fabric, will be 16.2. percent ad valorem.

With regard to the issue of the embroidered fabric's country of origin, we note that on December 8, 1994, the President signed into law the Uruguay Round Agreements Act. Section 334 of that Act provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on or after July 1, 1996.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." Since the embroidered fabric is not wholly obtained or produced in a single country, territory or insular possession, paragraph (c)(1) is not applicable.

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 foreign material 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 shall apply for purposes of determining the country of origin of a textile or apparel product under paragraph (c)(2) of this section:"

5810.91-5810.99 (1) For embroidered fabric, the country of origin is the country, territory, or insular possession in which the fabric was produced by a fabric-making process.

Since the fabric was produced by the process of weaving in Japan, the embroidered fabric's country of origin is Japan, and the merchandise should be marked to indicate this fact.

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 19 C.F.R. §177.9(b)(1), which states that each ruling letter is issued on the assumption that all of the information furnished and incorporated in the ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.

Should it be subsequently determined that the information furnished is not complete and does not comply with 19 C.F.R. §177.9(b)(1), the ruling will be subject to modification or

revocation. A change in the facts previously furnished may affect the determination of country of origin. Thus, if there is any change in the facts provided to Customs, it is recommended that a new ruling request be submitted in accordance with 19 C.F.R. §177.2.

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 Camille Ferraro at 212-

466-5885.

Sincerely,

Robert B. Swierupski

Director,

National Commodity

Specialist Division