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HQ 958970




April 25, 1996
CLA-2 RR:TC:TE 958970 jb

CATEGORY: CLASSIFICATION

Steven S. Weiser, Esq.
Arthur W. Bodek, Esq.
Brett Harris, Esq.
Siegel, Mandell & Davidson, P.C.
1200 G Street, N.W., Suite 800
Washington, D.C. 20005

RE: Country of origin determination for skirts; 19 CFR important assembly or manufacturing process

Dear Messrs. Weiser, Park, and Harris:

This is in reply to your letter dated February 21, 1996, on behalf of your client, Liz Claiborne, Inc., requesting a country of origin determination for certain skirts which will be imported into the United States sometime on or after July 1, 1996.

FACTS:

The submitted merchandise consists of women's traditional lined woven textile skirts (with no pleats or pockets), constructed from either cotton, wool or man-made fibers; each skirt will feature a one-piece textile lining. The manufacturing operations are as follows:

SCENARIO I

Country A

- fabric is woven;
- skirt body is cut from fabric into multiple components; - skirt body is sewn.

Country B

- fabric for lining is woven;
- lining is cut.

Country C

- skirt body and skirt lining are sewn together.

SCENARIO II

Country A

- fabric is woven;
- skirt body is cut from fabric into one component; - sewing of component to itself to form a tube.

Country B

- fabric for lining is woven;
- lining is cut.

Country C

- skirt body and skirt lining are sewn together.

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 Section 334 of that Act provides new rules of origin for textiles and apparel entered, or withdrawn from warehouse, for consumption, on and after July 1, 1996.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." In the case of the subject merchandise, as the skirts are not wholly obtained or produced in a single country, territory or insular possession, 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":

6201-6208 (1) If the good consists of two or more component parts, a change to an assembled good of heading
6201 through 6208 from unassembled components, provided that the change is the result of the good being wholly assembled in a single country, territory or insular possession.

The subject skirts are classified in heading 6204, HTSUSA. In scenario 2 the one piece skirt body and the skirt lining are the components which comprise the finished skirt. As the one piece skirt body and the skirt lining are sewn together in a single country, the tariff shift is applicable to scenario 2. Accordingly, country of origin is conferred by Country C, the country in which the skirts' component parts are wholly assembled.

In scenario 1 a different set of circumstances presents itself because the skirt is comprised of multiple components. Assembly occurs in two countries, that is, Country A, where the multiple components for the skirt body are sewn together, and Country C, where the skirt body and the skirt lining are assembled. As such, paragraph (c)(2) of section 102.21 is inapplicable to scenario 1.

Paragraph (c)(3) states that "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1) or (2) of this section":

(i) If the good was knit to shape, the country of origin of the good is the single country, territory, or insular possession in which the good was knit; or

(ii) Except for goods of heading 5609, 5807, 5811, 6213, 6214, 6301 through 6306, and 6308, and subheadings 6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was not knit to shape and the good was wholly assembled in a single country, territory, or insular possession, the country of origin of the good is the country, territory, or insular possession in which the good was wholly assembled.

As the subject merchandise is neither knit nor wholly assembled is a single country, Section 102.21 (c)(3) is inapplicable.

Section 102.21 (c)(4) states, "Where the country of origin of a textile or apparel product cannot be determined under paragraph (c)(1), (2) or (3) of this section, the country of origin of the good is the single country, territory or insular possession in which the most important assembly or manufacturing process occurred". In scenario 1 the assembly of the multiple components comprising the skirt body constitutes the most important manufacturing process. It is the opinion of this office that in regard to this particular case, when comparing the assembly processes occurring in Country A and Country C, the most important assembly occurs in Country A because it is the skirt body which actually forms the merchandise and gives the merchandise its identity. Accordingly, in scenario 1, the assembly of the skirt body from its multiple component parts constitutes the most important manufacturing process.

HOLDING:

In scenario 1 the country of origin of the subject skirt is Country A.

In scenario 2 the country of origin of the subject skirt is Country C.

This ruling is issued pursuant to the provisions of Part 177, Customs Regulations (19 CFR Part 177). If the specific factual situation is not as described above, this ruling may not be valid. In such an event, it is recommended that a new ruling request be submitted.

Sincerely,


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