CLA 2-OT:RR:NC:N3:349
Ms. Darlene DiBernardo
A.N. Deringer, Inc.
173 West Service Road
Champlain, NY 12919
RE: Classification and country of origin determination for a disposable towel; 19 CFR 102.21(c)(2); tariff shift
Dear Ms. DiBernardo:
This is in reply to your letter, dated October 4, 2018, on behalf of White Towel Services, Inc. requesting a classification and country of origin determination for a disposable towel which will be imported into the United States and further processed.
Our response was delayed due to laboratory analysis. The remaining portions of the submitted samples after U.S. Customs and Border Protection laboratory analysis are being retained by this office.
FACTS:
The subject merchandise, identified as a “refreshment towel,” is made from a 100 percent cotton loosely woven terry pile fabric. The towelette measures approximately 7 ½ X 8 inches and has hemmed edges. It has been treated with a light scent. The towelettes are individually packed in sealed polybags to maintain their moisture content. You state the towelettes are sold to various organizations, including, but not limited to, hotels, airlines, restaurants and spas to provide their clientele with a refreshing experience. The towelettes may be used heated, chilled or at room temperature. Each towelette is intended for a one-time use.
The manufacturing operations for the towelette are as follows:
VIETNAM:
fabric is woven.
fabric is bleached.
fabric is cut and hemmed on four sides.
towel is shipped to the United States.
UNITED STATES:
an application of water; scents or essential oils; and a preservative/anti-fungal are applied to each bleached, hemmed cloth.
the moistened towelette is packed in the polybag.
ISSUE:
What are the classification and country of origin of the subject merchandise?
CLASSIFICATION:
You contend that the classification of the towelette is 3307.90.0000, Harmonized Tariff Schedule of the United States (HTSUS). We disagree. Chapter 33, Note 4, HTSUS, provides that “[t]he expression ‘perfumery, cosmetic or toilet preparations’ in heading 3307 applies, inter alia, to the following products: scented sachets; odoriferous preparations which operate by burning; perfumed papers and papers impregnated or coated with cosmetics; contact lens or artificial eye solutions; wadding, felt and nonwovens, impregnated, coated or covered with perfume or cosmetics; animal toilet preparations.” (Emphasis added.) In addition, heading 3307, HTSUS, provides for (in pertinent part) “other perfumery, cosmetic or toilet preparations, not elsewhere specified or included.”
The instant product is of woven construction; not wadding, felt or of a nonwoven construction. Woven articles such as this are provided for elsewhere in the tariff and are, therefore, excluded from classification in Heading 3307.
Heading 6302, HTSUS, provides for bed, table, toilet and kitchen linen. The Explanatory Notes (EN), the official interpretation of the HTSUS at the international level, give the following examples of toilet linen: "hand or face towels (including roller towels), bath towels, beach towels, face cloths . . . ." The merchandise in question, which looks like the usual face cloth and would be used to wipe the hands and/or the face, falls under this provision.
The applicable subheading for the refreshment towel will be 6302.60.0030, HTSUS, which provides for “Bed linen, table linen, toilet linen and kitchen linen: Toilet linen and kitchen linen, of terry toweling or similar terry fabrics of cotton: Other.” The general rate of duty will be 9.1 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 the World Wide Web at https://hts.usitc.gov/current.
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, provides 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, “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) in pertinent part states,
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
6302 Except for goods of heading 6302 through 6304 provided for in paragraph (e)(2) of this section, the country of origin of a good classifiable under heading 6301 through 6306 is the country, territory, or insular possession in which the fabric comprising the good was formed by the fabric-making process.
As the exclusions provided for in paragraph (e)(2) do not apply and the item is woven in a single country, that is, Vietnam, as per the terms of the tariff shift requirement, the country of origin is conferred in Vietnam.
HOLDING:
The country of origin of the refreshment towel is Vietnam.
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 is issued on the assumption that all of the information furnished in connection with the ruling request and incorporated in the 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 Kim Wachtel at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division