CLA-2-63:OT:RR:NC:N3:351
Mr. Kyle B. Hunter
Composite Containers LLC
2094 Wambaw Creek Road
Charleston, SC 29492
RE: The tariff classification, country or origin, and marking of an unfinished Flexible Intermediate Bulk
Container (FIBC) shell from China
Dear Mr. Hunter:
In your letter dated September 3, 2025, you requested a ruling on the tariff classification, country of origin,
and marking of an unfinished FIBC shell. You provided a corner section of an unfinished FIBC shell to this
office, and it will be retained for training purposes.
SKU #SS 47X39X41 TLBS, described as an “Unfinished FIBC Shell” is intended to be assembled into a
completed StackSack™ IBC after importation. The unfinished FIBC shell consists of two layers of 100
percent woven polypropylene (PP) strips coated on both sides with 80 percent PP and 20 percent
polyethylene (PE) for the side walls and one layer for the bottom of the bag. The coating is not visible to the
naked eye. The polypropylene strips forming the fabric from which the FIBC is made measure less than 5
millimeters in width. As it meets the width requirement of Section XI, Legal Note 1(g) of the Harmonized
Tariff Schedule of the United States (HTSUS), the material used in the construction of the unfinished FIBC
shell is considered a textile fabric for tariff purposes. The open top, rectangular shaped bag measures 47
inches in length by 39 inches in width by 41 inches in height. The bag features 8 pre-sewn pockets, two rows
of 100 percent PP webbing sewn along the circumference of the bag, and a PP webbing lifting loop located at
each of the four corners for lifting the bag. The unfinished FIBC Shell weighs more than one kilogram. You
state that corrugated plastic or plywood panels will be inserted into the pre-sewn pockets after importation
and the top edge of the side walls will be sewn closed creating a StackSack™ IBC.
You also state that the unfinished FIBC shells will be imported in two different varieties. The first variety
contains only side walls and no bottom panels. The second variety contains a bottom panel which may be
imported with or without a discharge spout at the bottom of the bag. The type of unfinished shell imported
depends on the customer purchasing StackSack™ IBC.
The manufacturing operations for the Unfinished FIBC Shells are as follows:
China:
· The PP strips are woven into fabric and dyed.
· The PP fabric is coated on both sides with PP and PE and formed into side walls.
· The thread, PP webbing, yellow rope and blue rope lock are produced.
· The fabric is ultrasonically cut.
· The pre-sewn pockets are produced.
· A bottom panel with or without a discharge spout may be sewn onto the bag, depending on the
variety of the bag.
· The PP webbing and PP webbing loops are sewn onto the bag.
· The unfinished FIBC bag is shipped to the United States for further processing.
The United States (further processing after importation):
· Corrugated plastic and plywood panels are produced, cut to size, and inserted into the 8 pre-sewn
pockets.
· The top edge of the FIBC bag is sewn shut.
· The completed item is called a StackSack™ IBC.
· Produce the lid panel for the FIBC bag.
ISSUE:
What is the classification, country of origin, and marking for the Unfinished FIBC Shells?
CLASSIFICATION:
The applicable subheading for the Unfinished FIBC shells with only side walls and no bottom panel will be
6307.90.9891, HTSUSA, which provides for “Other made up articles, including dress patterns: Other: Other:
Other: Other: Other.” The rate of duty will be 7 percent ad valorem.
The applicable subheading for the Unfinished FIBC Shells with a bottom panel, with or without the discharge
spout will be 6305.32.0010, HTSUSA, which provides for “Sacks and bags, of a kind used for the packing of
goods: Of man-made textile materials: Flexible intermediate bulk containers: Weighing one kg or more.”
The rate of duty will be 8.4 percent ad valorem.
The applicable subheading for the Finished FIBC Shells will be 6305.32.0010, HTSUSA, which provides for
“Sacks and bags, of a kind used for the packing of goods: Of man-made textile materials: Flexible
intermediate bulk containers: Weighing one kg or more.” The rate of duty will be 8.4 percent ad valorem.
COUNTRY OF ORIGIN:
Section 334 of the Uruguay Round Agreements Act (“URAA”) (codified at 19 U.S.C. 3592), enacted on
December 8, 1994, provides the rules of origin for textiles and apparel products for purposes of the customs
laws and the administration of quantitative restrictions, unless otherwise provided by the statute, entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996. Section 3592 has been described as
Congress’s expression of substantial transformation as it relates to textile and apparel products. Section
102.21 of the Code of Federal Regulations (19 CFR 102.21), implements the URAA.
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.” Since the unfinished FIBC shells
are wholly obtained or produced in a single country, that is, China, the country of origin is conferred in
China.
COUNTRY OF ORIGIN MARKING:
Section 304 of the Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that unless excepted, every
article of foreign origin imported into the United States shall be marked in a conspicuous place as legibly,
indelibly, and permanently as the nature of the article (or its container) will permit, in such a manner as to
indicate to the ultimate purchaser in the United States, the English name of the country of origin of the
article. Congressional intent in enacting 19 U.S.C. 1304 was “that the ultimate purchaser should be able to
know by an inspection of the marking on the imported goods the country of which the goods is the product.
The evident purpose is to mark the goods so that at the time of purchase the ultimate purchaser may, by
knowing where the goods were produced, be able to buy or refuse to buy them, if such marking should
influence his will.” See United States v. Friedlander & Co., 27 C.C.P.A. 297, 302 (1940).
Part 134 of the U.S. Customs and Border Protection (“CBP”) Regulations (19 CFR 134) implements the
country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.1(b), CBP
Regulations (19 CFR 134.1(b)), defines “country of origin” as “the country of manufacture, production, or
growth of any article of foreign origin entering the United States. Further work or material added to an
article in another country must effect a substantial transformation in order to render such other country the
country of origin within the meaning of [the marking laws and regulations].”
Section 334 of the Uruguay Round Agreements Act (“URAA”) (codified at 19 U.S.C. 3592), enacted on
December 8, 1994, provides the rules of origin for textiles and apparel products for purposes of the customs
laws and the administration of quantitative restrictions, unless otherwise provided by the statute, entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996. Section 3592 has been described as
Congress’s expression of substantial transformation as it relates to textile and apparel products. Section
102.21 of the Code of Federal Regulations (19 CFR 102.21), implements the URAA.
The CBP regulations, 19 CFR 134.35(a), provide that an article used in the United States in manufacture
which results in an article having a name, character, or use differing from that of the imported article, the
processor in the United States who converts or combines the imported article into a different article will be
considered “ultimate purchaser” of the imported article. In such an instance, the imported article shall be
excepted from marking and only the outermost container holding the article shall be marked. As the
unfinished FIBC shells at issue are intended for further processing upon importation, at issue is whether the
operations performed in the United States convert the unfinished FIBC shells into a different article of
commerce, substantially transforming them within the meaning of 19 CFR 102.21.
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. See 19 CFR 102.21(c).
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 will
not be produced in a single country, territory or insular possession because the manufacturing operations will
occur in China and the United States, Section (c)(1) of Section 102.21 in 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,
HTSUS Tariff shift and/or other requirements
6301-6306 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 a fabric-making
process.
The completed product, described as “ StackSack™ IBC” after additional manufacturing operations
performed in the United States, is classified in heading 6305, HTSUS. In accordance with the terms of the
tariff shift requirement, the country of origin is conferred in China, the country in which the fabric was
formed by a fabric-making process. Accordingly, the operations performed in the United States do not
convert the unfinished FIBC shells into different articles of commerce within the meaning of 19 CFR 102.21.
Therefore, the processor in the United States is not the ultimate purchaser under the terms of 19 CFR
134.35(a) and the product shall be marked with China as the country of origin.
HOLDING:
The applicable subheading for the unfinished FIBC shells with bottom panel, with or without discharge spout
will be 6305.32.0010, HTSUS. The applicable subheading for the unfinished FIBC shells with side walls
only and no bottom will be 6307.90.9891, HTSUSA. The country of origin for the unfinished FIBC shells
will be China. Accordingly, the unfinished FIBC shells shall be marked “Made in China” or “Product of
China.”
Effective March 4, 2025, pursuant to U.S. Note 2(u) to Subchapter III, Chapter 99, all products of China and
Hong Kong as provided by heading 9903.01.24, HTSUSA, other than products classifiable under headings
9903.01.21, 9903.01.22, and 9903.01.23, HTSUSA, will be subject to an additional 20 percent ad valorem
rate of duty. At the time of entry, you must report the applicable Chapter 99 heading, i.e. 9903.01.24, in
addition to subheading 6305.32.0010 and 6307.90.9891, HTSUSA, listed above.
Effective April 5, 2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must
be reported with either the Chapter 99 provision under which the reciprocal tariff applies or one of the
Chapter 99 provisions covering exceptions to the reciprocal tariffs. At this time products from China, Hong
Kong, and Macau will be subject to an additional ad valorem rate of duty of 10 percent. At the time of entry,
you must report the Chapter 99 heading applicable to your product classification, i.e. 9903.01.25, in addition
to subheading 6305.32.0010 and 6307.90.9891, HTSUSA, listed above.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under
subheading 6305.32.0010 and 6307.90.9891, HTSUSA, unless specifically excluded, are subject to an
additional 7.5 percent ad valorem rate of duty. At the time of importation, you must report the Chapter 99
subheading, i.e., 9903.88.15, in addition to subheading 6305.32.0010 and 6307.90.9891, HTSUSA, listed
above.
The HTSUS is subject to periodic amendment, so you should exercise reasonable care in monitoring the
status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background
information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, including
information on exclusions and their effective dates, you may refer to the relevant parts of the USTR and CBP
websites, available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and
https://www.cbp.gov/trade/programs-administration/trade-remedies, respectively.
The tariffs and additional duties cited above are current as of this ruling’s issuance. 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 Kristine Dodge at [email protected].
Sincerely,
(for)
Denise Faingar
Designated Official Performing the Duties of the Division Director
National Commodity Specialist Division