The tariff classification of footwear produced in El Salvador and the eligibility for preferential treatment under the Dominican Republic – Central America Free Trade Agreement (DR-CAFTA).

N252920 May 22, 2014 CLA-2-64:OT:RR:NC:N3:447 CATEGORY: Classification TARIFF NO.: 6404.19.3960 John T. Hyatt The Irwin Brown Company 212 Chartres Street New Orleans, LA 70130 RE: The tariff classification of footwear produced in El Salvador and the eligibility for preferential treatment under the Dominican Republic – Central America Free Trade Agreement (DR-CAFTA).  Dear Mr. Hyatt:In your letters dated November 13, 2013, March 3, 2014, and April 27, 2014, you requested a tariff classification ruling on behalf of Co Expo, Ltd., Grand Cayman, British West Indies, for shoe covers assembled in El Salvador from originating and non-originating materials. Your request concerns the classification and eligibility for preferential duty treatment for the footwear under the Dominican Republic-Central America-United States Free Trade Agreement (U.S./DR-CAFTA).  A sample of the shoe cover, identified as style no. 33 01 1628 Tan Hypalone Sole with 100% Poly White Taffeta Top, was submitted with your first letter. In your March letter, you state that the shoe covers were intended to protect the environment in a hospital or nursing-type setting from contamination by the wearer and the shoe covers have no protective features and are not designed to protect the wearer. The Certificates of Origin for the upper and outer sole materials submitted with your April letter show that the 100 percent poly textile material, a woven fabric of man-made filament yarn, is sourced from China, and the outer sole material, a woven fabric visibly coated with rubber/plastic, is from the United States. In El Salvador, these materials are cut, sewn, and further manufactured into shoe covers incorporating fittings and trimmings such as a sewn-in elastic strap at the topline, a stainless steel snap, a ribbon, and a label sewn at the back, from originating countries such as El Salvador and the United States. The shoe covers are valued over $3 and less than $6.50 per pair. The applicable subheading for the shoe covers, style no. 33 01 1628 Tan Hypalone Sole with 100% Poly White Taffeta Top, will be 6404.19.3960, Harmonized Tariff Schedule of the United States (HTSUS), which provides for footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials: footwear with outer soles of rubber or plastics: not sports or athletic footwear; footwear of the slip-on type, that is held to the foot without the use of laces or buckles or other fasteners, except footwear that is “protective,” and except footwear having a foxing or foxing-like band; footwear that is not less than 10 percent by weight of rubber or plastics: other: other: for women. The rate of duty will be 37.5% ad valorem. General Note 29, of the HTSUS sets forth the criteria for determining whether a good is originating under the U.S./DR-CAFTA. General Note 29(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that For the purposes of this note, subject to the provisions of subdivisions (c), (d), (m) and (n) thereof, a good imported into the customs territory of the United States is eligible for treatment as an originating good under the terms of this note if— (i) the good is a good wholly obtained or produced entirely in the territory of one or more of the parties to the Agreement; (ii) the good was produced entirely in the territory of one or more of the parties to the Agreement, and— (A) each of the non-originating materials used in the production of the good undergoes an applicable change in tariff classification specified in subdivision (n) of this note; … General Note 29(b)(ii)(A) and 29(n) Chapter 64, Chapter Rule 1(2), which states “a change to any other tariff item of Chapter 64 from any other subheading.” The non-originating textile material comprising the upper from China is classified in chapter 54, HTSUS, the provision for woven fabric of man-made yarn. Based on the facts provided, the shoe covers, style no. 33 01 1628 Tan Hypalone Sole with 100% Poly White Taffeta Top described above qualifies for preferential treatment because it makes the required tariff shift to chapter 64 from chapter 54 under the U.S./DR-CAFTA, upon compliance with all applicable laws, regulations, and agreements. The shoe covers will therefore be entitled to a free rate of duty 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/.  This ruling is being issued under the provisions of Part 177 of the Customs 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, contact National Import Specialist, Stacey Kalkines at [email protected].Sincerely, Gwenn Klein Kirschner Acting Director National Commodity Specialist Division