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NY L88250




November 23, 2005

CLA2-RR:NC:TA:349 L88250

CATEGORY: CLASSIFICATION

Ms. Carolyn B. Malina
Lands’ End, Inc.
5 Lands’ End Lane
Dodgeville, WI 53595

RE: Classification and country of origin determination for a stroller blanket and a car seat cover; Products of the West Bank, the Gaza Strip or a Qualifying Industrial Zone; General Note 3(a)(v); 19 CFR 102.21(c)(2); tariff shift,

Dear Ms. Malina:

This is in reply to your letter dated October 24, 2005, requesting a classification and country of origin determination for a stroller blanket and a car seat cover which will be imported into the United States. You state in your letter that the manufacturing operations in Jordan will occur in the Qualifying Industrial Zone (QIZ) of Al Tajamouat Industry City.

FACTS:

The subject merchandise consists of a stroller blanket and a car seat cover. Samples were submitted. The stroller blanket, style # 50660, is made from a 100 percent polyester knit fleece fabric. It measures approximately 31 x 36 inches and has rounded corners. The edges are finished with a knit fabric binding. The car seat cover, style # 51005, is designed to cover the car seat and the infant sitting in the seat. It is not the type of cover that goes over the plastic shell of the seat and under the infant. The cover is made from two layers of 100 percent polyester knit fleece fabric. The edges are fully elasticized which will secure the cover to the car seat. Two zippers and a flap allow access to the child without removing the cover from the seat.

The manufacturing operations for the a stroller blanket and a car seat cover are as follows:

TAIWAN:
-polyester fabrics are knit and finished. -fabrics are shipped to Jordan.

JORDAN (Qualifying Industrial Zone):
-fabric is cut to size and shape.
-components are sewn together forming the blanket and cover. -stroller blanket and car seat cover are packaged and shipped.

You have also indicated that accessories such as labels, elastic, hook and loop fasteners, thread, zippers, polybags and cartons will be obtained from Hong Kong, Taiwan, Israel and Jordan.

ISSUE:

What are the classification and country of origin of the subject merchandise?

CLASSIFICATION:

The applicable subheading for the style 50660 stroller blanket will be 6301.40.0020, Harmonized Tariff Schedule of the United States Annotated (HTSUSA), which provides for blankets and traveling rugs: blankets (other than electric blankets) and traveling rugs, of synthetic fibers other. The general rate of duty will be 8.5 percent ad valorem.

The applicable subheading for the style 51005 car seat cover will be 8708.99.8080, HTSUSA, which provides for Parts and accessories of the motor vehicles of headings 8701 to 8705: other parts and accessories: other: other: other: otherother. The general rate of duty will be 2.5% ad valorem

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.

Section 102.21(b)(5) defines what is considered a textile or apparel product by listing the specific chapters, headings and subheadings that are included. Although the car seat cover is made from textile fabric, subheading 8708.99, HTSUSA, is not included as a textile or apparel product and therefore the provisions of section 102.21 do not apply to the cover. The country of origin of the car seat cover is the country where the components were substantially transformed. In this case, the country of origin of the car seat cover is Jordan. The stroller blanket is a textile product and subject to the country of origin rules in 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 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 materials 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) in pertinent part 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":

HTSUS Tariff shift and/or other requirements

6301-6306 Except for goods of heading 6302 through 6304 provided for in paragraph (e)(2) of this section, the country of origin of a good classifiable under heading 6301 through 6306 is the country, territory or insular possession in which the fabric comprising the good was formed by a fabric making process.

As the fabric comprising the stroller blanket was formed in a single country, that is, Taiwan, as per the terms of the tariff shift requirement, country of origin of the stroller blanket is conferred in Taiwan.

STATUS UNDER THE UNITED STATES-ISRAEL FREE TRADE AGREEMENT

Pursuant to the authority conferred by section 9 of the U.S.-Israel Free Trade Area Implementation Act of 1985 (19 U.S.C. §2112 note), the President issued Proclamation No. 6955 dated November 13, 1996 (published in the Federal Register on November 18, 1996 (61 Fed. Reg. 58761)), which modified the Harmonized Tariff Schedule of the United States Annotated (by creating a new General Note 3(a)(v)) to provide duty-free treatment to articles which are the product of the West Bank, Gaza Strip or a qualifying industrial zone, provided certain requirements are met. Such treatment was effective for products of the West Bank, Gaza Strip or a qualifying industrial zone entered or withdrawn from warehouse for consumption on or after November 21, 1996.

Under General Note 3(a)(v), HTSUSA, articles the products of the West Bank, Gaza Strip or a qualifying industrial zone which are imported directly to the U.S. from the West Bank, Gaza Strip, a qualifying industrial zone or Israel qualify for duty-free treatment, provided the sum of 1) the cost or value of materials produced in the West Bank, Gaza Strip, a qualifying industrial zone or Israel, plus 2) the direct costs of processing operations performed in the West Bank, Gaza Strip, a qualifying industrial zone or Israel, is not less than 35% of the appraised value of such articles when imported into the U.S. An article is considered to be a product of the West Bank, Gaza Strip or a qualifying industrial zone if it is either wholly the growth, product or manufacture of one of those areas or a new and different article of commerce that has been grown, produced or manufactured in one of those areas.

Based upon the above production information the stroller blanket and car seat cover are cut and sewn in one of the Jordanian Qualifying Industrial Zones, namely Al Tajamouat Industry City. However, the stroller blanket has been determined to be a product of Taiwan under the applicable rules of origin for textiles. The stroller blanket does not qualify for preferential treatment. The car seat cover meets the country of origin requirements in the West Bank, Gaza Strip or a qualifying industrial zone, specifically, in Jordan, and is considered to be a product of the West Bank, Gaza Strip or a qualifying industrial zone.

With respect to the requirement that the articles be imported directly, General Note 3(a) (v)(B) (1) provides in pertinent part that:

Articles are "imported directly" for purposes of this paragraph if— (1) they are shipped directly from West Bank, the Gaza Strip, a qualifying industrial zone or Israel into the United States with out passing through the territory of any intermediate country;

Based on the facts presented, it appears that the car seat cover will satisfy this requirement.

We are unable to state definitively that the car seat cover will or will not satisfy the 35 percent value content requirement. Whether the requirement is satisfied can only be ascertained when the "appraised value" of the car seat cover sets is determined at the time of entry into the United States.

HOLDING:

The country of origin of the stroller blanket is Taiwan. It is not eligible for preferential treatment. The country of origin of the car seat cover is Jordan. If the car seat cover is produced in an approved Qualifying Industrial Zone, it will be considered to be products of the West Bank, Gaza Strip or QIZ and will be eligible for duty free treatment under General Note 3(a)(v), HTSUSA, assuming that it is imported directly from the West Bank, Gaza Strip, QIZ or Israel, and the 35 percent value content requirement is satisfied.

The stroller blanket falls within textile category designation 666. Quota and visa status are the result of international agreements that are subject to frequent renegotiations and changes. To obtain the most current information as to whether quota and visa requirements apply to this merchandise, we suggest that you check, close to the time of shipment, the “Textile Status Report for Absolute Quotas” available at our web site at www.cbp.gov. In addition, you will find current information on textile import quotas, textile safeguard actions and related issues at the web site of the Office of Textiles and Apparel, at otexa.ita.doc.gov.

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 John Hansen at 646-733-3043.

Sincerely,

Robert B. Swierupski
Director,

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