CLA-2-62:OT:RR:NC:TA:357
Mr. Nicholas D’Andrea
Delmar International
147-55 175th St.
Jamaica, NY 11434
RE: The tariff classification of a women’s coat from Ukraine; partial duty exemption for U.S. origin fur trim
Dear Mr. D’Andrea:
In your letter dated September 24, 2009, on behalf of Polaris Handelsges, Vienna, Austria, you requested a tariff classification ruling. A sample was submitted and will be returned as you requested.
The item in question, style #M193501, is a women’s coat with a shell made from a 100% cotton woven fabric and a lining of woven polyester quilted to a thin batting. The garment has a full front opening with a zipper closure covered by a flap with three buttoned tabs, long sleeves with rib knit storm cuffs, slant pockets at the waist and a permanent hood with a detachable fur ruff.
The applicable subheading for the style #M193501 will be 6202.12.2050, Harmonized Tariff Schedule of the United States (HTSUS), which provides for other women’s overcoats, carcoats, capes, cloaks and similar coats, of cotton. The rate of duty will be 8.9 percent ad valorem.
The furskins used to manufacture the ruff of this coat are of United States origin. Processing that occurs in the United States prior to export to Ukraine for assembly include wetting, stretching, cutting, sewing, taping, closing and ironing. In addition, according to your letter, the furskins may be tanned or dyed, then cut to size and finished into a hood trim piece. Upon receipt in Ukraine the fur pieces will be assembled to the coats by buttoning, with no further manufacturing processes performed while abroad.
You asked whether these ruffs would be eligible for a duty allowance under Heading 9802, HTS.
Subheading 9802.00.80, HTSUS, provides a partial duty exemption for:
[a]rticles … assembled abroad in whole or in part of
fabricated components, the product of the United
States, which (a) were exported in condition ready for
assembly without further fabrication, (b) have not lost
their physical identity in such articles by change in
form, shape, or otherwise, and (c) have not been
advanced in value or improved in condition abroad
except by being assembled and except by operations
incidental to the assembly process, such as cleaning,
lubricating and painting.
All three requirements of subheading 9802.00.80, HTSUS, must be satisfied before a component may receive a duty allowance. An article entered under this tariff provision is subject to duty upon the full value of the imported assembled article, less the cost or value of qualifying U.S. components assembled therein, provided there has been compliance with the documentation requirements of 19 CFR 10.24.
In this case the assembly of the United States origin ruffs to the coats is an acceptable assembly under HTS 9802. As such, they are eligible for a duty allowance under HTS 9802.00.8068, upon compliance with the documentary requirements of section 10.24, Customs Regulations (19 CFR 10.24).
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/.
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 William Raftery at (646) 733-3047.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division