CLA-2-61:OT:RR:NC:N3:356
Mr. Davis Barlow
Kelly Global Logistics, Inc.
9901 NW 106th Street, Suite 18 Medley, FL 33178
RE: The tariff classification, country of origin marking, and eligibility under 9802.00.5060 of men’s T-shirts from Honduras, El Salvador, and the Dominican Republic
Dear Mr. Barlow:
In your letter dated August 9, 2024, on behalf of your client, L2 Brands, LLC (“L2”), you requested a ruling on the classification, country of origin marking, and eligibility and documentary requirements under subheading 9802.00.5060, Harmonized Tariff Schedule of the United States (HTSUS), of men’s T-shirts from Honduras, El Salvador, and the Dominican Republic. The submitted samples will be retained in our office.
Style EZ100 is a men’s T-shirt constructed from 100% cotton, lightweight jersey knit fabric. Style EZ100 features a rib knit crew neckline; short, hemmed sleeves; a screen-printed design on the chest, and a straight, hemmed bottom.
The applicable subheading for Style EZ100 will be 6109.10.0012, HTSUS, which provides for: T-shirts, singlets, tank tops and similar garments, knitted or crocheted: Of cotton: Men’s or boys’: Other T-shirts: Men’s. The general rate of duty will be 16.5 percent ad valorem.
Your request also concerns the eligibility of Style EZ100 under subheading 9802.00.5060, HTSUS. Subheading 9802.00.5060 provides a partial or complete duty exemption for articles exported from and returned to the United States after having been advanced in value or improved in condition by repairs or alterations, provided that the documentary requirements of Section 10, Customs Regulations (19 CFR § 10.8) are satisfied. Pursuant to 19 CFR § 10.8, the importer must submit a declaration executed by the person who performed the repairs or alterations, and a declaration of his own containing various attestations. Articles eligible under subheading 9802.00.5060 are subject to a duty upon the value of the repairs or alterations pursuant to Note 3 to Subchapter II, Chapter 98, HTSUS.
You state that the producer of subject garments imports them into the United States as “blanks”; i.e., without the screen-printed designs. After importation, L2 purchases the garments from the U.S. importer and exports them to its related company, League C.A. LTDA de C.V. (“LCA”) in El Salvador. When U.S. companies place orders for screen-printed T-shirts, LCA removes the producer’s original country of origin tags, applies country of origin marking and other information via heat transfer to the inner necklines, and screen prints the garments. The garments are then reimported into the United States.
U.S. Customs and Border Protection has previously ruled that both screen printing and re-labeling of garments are acceptable alterations for the purposes of 9802.00.5060, HTSUS. See, for example, HQ H014657, dated November 8, 2007. Accordingly, upon reimportation, the screen-printed and relabeled T-shirts will be eligible for tariff treatment under 9802.00.5060, HTSUS, provided the documentary requirements of 19 CFR 10.8 are satisfied.
You have also asked about the proper country of origin marking of the screen-printed T-shirts. Please note that although you state the blank T-shirts are “manufactured” in Honduras, El Salvador, and the Dominican Republic, you have not provided sufficient information to enable us to determine their countries of origin pursuant to 19 CFR Part 102. Nevertheless, for the purposes of this ruling, we will assume that the countries of origin of the garments are correct as claimed.
The screen printing and relabeling of the garments in El Salvador does not change their original countries of origin. Accordingly, upon reimportation, the screen-printed garments must be marked with their original countries of origin. Additional marking that identifies the country where the garments are screen printed (e.g., “screen printed in El Salvador”) is not required.
Additionally, you have requested a ruling on the specific information that needs to be included on the 19 CFR § 10.8 declarations at time of reimportation. However, 19 CFR § 10.8 provides that the authority for determining the sufficiency of this information lies with the Center director. Accordingly, questions regarding documentary requirements may be directed to the Apparel, Footwear, and Textiles Center of Excellence and Expertise.
Finally, we note that although your ruling request concerns men’s T-shirts identified as Style EZ100, you state that L2 also plans to import boys’, women’s, and girls’ T-shirts and subject them to the re-export, screen printing/relabeling, and reimportation operations described above. Please be advised that this ruling applies only to Style EZ100. If you wish to obtain a ruling on the remaining garments, you may submit a separate request.
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 at https://hts.usitc.gov/.
The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.
This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Maryalice Nowak at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division