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NY G85641

February 12, 2001

CLA-2-42:RR:NC:3:341 G85641


TARIFF NO.: 4202.92.6000; 4202.92.9026; 4202.92.9060

Mr. Paul Vroman
Danzas AEI
20th street
Port Huron, MI. 48060

RE: The tariff classification of gun cases from Costa Rica

Dear Mr. Vroman:

In your letter dated December 13, 2000 you requested a tariff classification ruling and determination of the applicability of the Caribbean Basin Economic Act (CBERA). The request is on behalf of GWW Inc.

A sample of a specially shaped and fitted gun case, style 1215, has been submitted. Style 1215 has a covering of imitation leather that is composed of a sheeting of compact plastic sheeting and a light woven fabric backing . The fabric is considered a textile material for tariff purposes. The plastic sheeting is the exterior constituent material. You have indicated that the identical case will be covered with alternative materials as follows:

Style 1215DW - "Durawax " (100% woven cotton, impregnated with wax emulsion & acrylic). The cotton fabric is the exterior surface constituent material. 1215E - 100% Nylon Cordura
1215L - 100% Leather

Style 1215 will be assembled in Costa Rica from components and materials originating primarily in either the United States or Costa Rica. The outer covering fabric originates in Australia and the small findings and hardware of foreign origin other than the USA or Costa Rica. You have indicated that the outer covering fabric will be imported into Costa Rica in bulk rolls and cut to shape into the components necessary to cover the case. The pressed wood frame is said to be of Costa Rica origin.

The sample submitted consists of upper and lower shells of pressed wood formed to shape. The shells are the top and main body of the case. The pre-formed shells are said to be of Costa Rica origin. Based on analysis of the sample, the imitation leather components are cut to shape to fit the formed shells and are either laminated or glued to the exterior surface of the shell. The interior is specially shaped and fitted to hold the gun and accessories by means of wood blocks and dividers that are held in place by screws, nails and/or glue. The interior is fully lined with an imitation fur that appears to be glued in place. The exterior is heavily stitched with heavy gauge vinyl binding which pierces the pressed wood frame. All corners are edged with gold tone metal braces and all hardware is of similar gold tone metal. The top handle is of molded plastic and is riveted to the top frame

A. "Product of" Requirement

Because style 1215 is a textile product, (See 19 C.F.R. §102.21(b)(5) the general rules set forth in 19 C.F.R. §102.21(c)(1) through (5), which implement section 334 of the Uruguay Round Agreements Act, will be used to determine whether the lunch boxes are "products of" El Salvador for purposes of the CBERA. As the case is not wholly obtained or produced in a single country, territory, or insular possession, 19 C.F.R. §102.21(c)(1) is inapplicable.

Paragraph (c)(2) provides:

[w]here 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 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.

The gun case is classifiable under subheading 4202.92.90, HTSUS. The rule set forth under paragraph (e) for subheading 4202.92.90, HTSUS, provides:

4202.92.60 - 4202.92.90 A change to subheading 4202.92.60 through 4202.92.90 from any other heading, provided that the change is the result of the good being wholly assembled in a single country, territory, or insular possession.

The component parts of the gun case are clearly classifiable in a different heading from the finished article as the individual components are not finished cases, containers, or trunks specified in heading 4202, and the component parts are changed to an assembled good of subheading 4202.92.90 as a result of being wholly assembled in Costa Rica. Accordingly, pursuant to section 102.21, the gun case will be considered a "product of" Costa Rica.

B. Value Content Requirement

The imported foreign materials subject to cutting and assembly in Costa Rica undergo a double substantial transformation in that country and may be counted toward the 35 percent value content requirement under the CBERA. Therefore, the gun case will be entitled to preferential duty treatment under the CBERA provided it is imported directly into the U.S. and the 35% value content requirement is satisfied. A final determination regarding whether the value-content requirement is satisfied can only be made when the articles are imported when the final appraised value and cost figures are known.

On the basis of the information and sample submitted, pursuant to 19 C.F.R. §102.21, the gun case, style 1215, will be considered to be a "product of" Costa Rica. Furthermore, we find that the foreign materials imported into Costa Rica for cutting and assembly undergo a double substantial transformation. Therefore, the full cost or value of these imported materials may be counted toward the 35 percent value content requirement for purposes of qualifying the lunch box for preferential duty treatment under the CBERA. Accordingly, style 1215 will be entitled to preferential duty treatment under the CBERA, if it is classified in a CBERA- eligible tariff provision at the time of entry, it is imported directly into the U.S., and the 35 percent value-content requirement is satisfied. The current CBERA duty rate is 16 percent ad valorem. The general rate is 18.3 percent ad valorem.

The alternative textile covered cases, 1215D and 1215E are respectively classified within HTS 4202.92.60 and 4202.92.90, HTSUSA . Each would similarly be eligible for treatment within the CBERA if the same facts apply and the requirements are met.

We cannot issue a ruling regarding style 1215L, 100 % leather, without additional information. Specifically we request a more detail description of the leather to be utilized. The sample submitted appears to be of a split leather that is coated or covered on the exterior with a sheeting of embossed plastics. The correct classification is subject to the composition of the material. In addition, we require a detail description of the condition of the leather as imported into Costa Rica and all processing operations to be performed in Costa Rica. The submission should include the projected costs of the materials from which the case will be made and a detail description of the processing operations in Costa Rica with the projected cost of such operations.

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 Kevin Gorman at 212-637-7091.


Robert B. Swierupski

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