Classification and country of origin determination for an unfinished decorative flag; 19 CFR 102.21(c)(1); wholly obtained or produced in a single country

NY L88922 December 2, 2005 CLA2-RR:NC:N3:351 L88922 CATEGORY: Classification Jeffery E. Berman Chesta Co., Inc. 145 W. Columbus St. Pickerington, OH 43147 RE: Classification and country of origin determination for an unfinished decorative flag; 19 CFR 102.21(c)(1); wholly obtained or produced in a single country Dear Mr. Berman: This is in reply to your letter dated Nov. 22, 2005, requesting a classification and country of origin determination for an unfinished decorative flag that will be imported into the United States. FACTS: The subject merchandise consists of an unfinished decorative flag. You have submitted five samples indicating the steps in the production of a decorative flag. The fabric was produced in China. The manufacturing operations for the flag are as follows: Sample A is woven polyester fabric cut to size, approximately 43½” x 29½”. Sample B is the same piece with three sides hemmed, creating a ¾” border; it is this product that will be imported into the United States for finishing and that is the subject of this ruling. Sample C is the hemmed piece with the fourth side now folded over and stitched, creating a 3” tunnel through which a pole can be inserted. Sample C-1 is cut to show the pole tabs. Sample D is the finished flag, with flowers sublimation-printed on both sides. (According to your letter, sublimation printing is a process that takes images that are printed on paper and transfers, or sublimates, them to a substrate, in this case the polyester fabric.) As stated above, you intend to import the unfinished flag as represented by Sample B, the unprinted fabric with three sides hemmed, manufactured in China of fabric produced in China from fibers of Chinese origin. ISSUE: What are the classification and country of origin of the subject merchandise? CLASSIFICATION: The applicable subheading for unprinted fabric with three sides hemmed will be 6307.90.9889, Harmonized Tariff Schedule of the United States Annotated (HTS), which provides for other made up textile articles, other. The general rate of duty will be seven 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 World Wide Web at http://www.usitc.gov/tata/hts/. 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, provided 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 unprinted fabric with three sides hemmed was wholly obtained or produced in a single country, that is, China, country of origin is conferred in China. Further processing the imported item does not change this fact. The imported item and the finished flag must be marked to indicate its country of origin, China. HOLDING: The country of origin of the unprinted fabric with three sides hemmed is China. 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, 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 Mitchel Bayer at 646-733-3102. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division