Country of origin; 19 CFR 102.21(c)(2); tariff shift

HQ 962038 September 30, 1998 CLA-2 RR:CR:TE 962038 jb CATEGORY: Classification Edward B. Ackerman, Esq. Grunfeld, Desiderio, Lebowitz & Silverman LLP 245 Park Avenue, 33rd Floor New York, NY 10167-3397 RE: Country of origin; 19 CFR 102.21(c)(2); tariff shift Dear Mr. Ackerman: This is in reply to your letter dated July 18, 1998, requesting a country of origin determination for certain merchandise classifiable in heading 6307, Harmonized Tariff Schedule of the United States (HTSUS). FACTS: The subject merchandise consists of three styles of merchandise classifiable in subheading 6307.90.9900, HTSUSA. The manufacturing processes are as follows: Country A all the fabric, with the exception of the zipper tape, is woven Country B additional non-textile materials are sourced the zipper, comprised of metal or plastic teeth on a narrow textile strip, is assembled Country C cutting of fabric and material assembly finishing ISSUE: What is the country of origin of the subject merchandise? LAW AND ANALYSIS: 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 Section 334 of that Act provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996.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." As the subject merchandise is composed of both fabric from Country A and some additional non-textile materials from Country B, it is not wholly obtained or produced in a single country, territory or insular possession. As such , paragraph (c)(1) of Section 102.21 is inapplicable. 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 of the 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": 6307.90 The country of origin of a good classifiable under subheading 6307.90 is the country, territory, or insular possession in which the fabric comprising the good was formed by a fabric-making process. The subject merchandise is classified in subheading 6307.90, Harmonized Tariff Schedule of the United States (HTSUS). In your letter you ask whether the de minimis rule can be applied to the zipper tape in the subject merchandise. In the manufacturing operations you have described, what you refer to as "zipper tape" in Country B is actually a completed zipper. Zipper tape is the proper term for the fabric which flanks the metal/plastic teeth; once the metal/plastic teeth are added to the zipper tape, what results is a completed zipper. As the terms of the de minimis rule only apply to situations where multiple fabrics are involved, and as we have explained, the zipper is not considered a fabric but a foreign component of Country B, the zipper tape is disregarded for origin purposes. As the tariff shift directs us to focus solely on the process of fabric formation for merchandise classifiable within that subheading (and not any foreign components, such as in this case, the zipper), and the only fabric which is at issue in the case of the subject merchandise is the fabric woven in Country A, the country of origin of the subject merchandise is Country A. HOLDING: The country of origin of the subject merchandise is Country A. 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 sections states that a 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 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. Sincerely, John Durant, Director Commercial Rulings Division