HQ 957845: Tariff classification and North American Free Trade Agreement eligibility for a pullman suitcase.

us-cbp-cross-rulings-hq-957845HQ 957845: Tariff classification and North American Free Trade Agreement eligibility for a pullman suitcase.Guidance

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.





                            HQ 957845

                           May 4, 1995

CLA-2 R:C:T 957845 ch

CATEGORY:  Classification

TARIFF NO.:  4202.12.6000

Rahul Singh
Gadjraj & Sons Import & Export
6600 N.W. 82 Avenue
Miami, Florida  33166

RE:  Tariff classification and North American Free Trade
     Agreement eligibility for a pullman suitcase.

Dear Mr. Singh:

     This is in response to your letter, dated February 9, 1995,
requesting a ruling on the tariff classification and the
applicability of North American Free Trade Agreement (NAFTA)
preferential treatment for a pullman suitcase.  Your request was
forwarded to this office for a response.  No sample was
submitted.  
     
FACTS:

     The following materials and components will be exported from
China to Mexico:

Item                          Composition

Zipper                        Iron Wire
Locks and Keys                Iron
Piping                        Iron
Wheel Plates                  Iron
Wheels                        Iron and Rubber
Rivets                        Iron
Handles                       Rubber
Washers                       Iron
Metal Frame                        Iron

Item (Continued)                   Composition

Clip-on                       Plastic
Zipper Pullers                Iron
Corner Board                  Wood Pulp
Name Tags                     PVC/Plastic
Wood Board                         Plywood
Thread                        60 percent Cotton/40 percent
Polyester
Material                      60 percent Jute/40 percent
Polyester
Poly Strip                         60 percent Cotton/40 percent
Polyester

In Mexico, the jute fabric will be cut to specific size and the
components will be assembled by means of sewing and riveting
operations.  The finished suitcases will be inspected and packed
prior to exportation to the United States.  The packing cartons
will be manufactured in the United States.  

ISSUES:

     What is the proper tariff classification for the suitcase?

     Does the suitcase qualify for NAFTA preferential treatment? 

LAW AND ANALYSIS:

                          Classification

     The pullman suitcase is classifiable in subheading
4202.12.6000, HTSUS, which provides in part for suitcases, with
outer surface of vegetable fibers and not of pile or tufted
construction (other than cotton).  

                   NAFTA Preference Eligibiity

     General Note 12(b), HTSUS, provides in pertinent part that:

     For the purposes of this note, goods imported into the
     customs territory of the United States are eligible for the
     tariff treatment and quantitative limitations set forth in
     the tariff schedule as "goods originating in the territory
     of a NAFTA party" only if --

     (i)  they are goods wholly obtained or produced entirely in
          the territory of Canada, Mexico and/or the United
          States; or

     (ii) they have been transformed in the territory of Canada,
          Mexico and/or the United States so that --

          (A)  except as provided in subdivision (f) of this
               note, each of the non-originating materials used
               in the production of such goods undergoes a change
               in tariff classification described in subdivisions
               (r), (s) and (t) of this note or the rules set
               forth therein, or

          (B)  the goods otherwise satisfy the applicable
               requirements of subdivisions (r), (s) and (t)
               where no change in tariff classification is
               required, and the goods satisy all other
               requirements of this note; or

     (iii)     they are goods produced entirely in the territory
               of Canada, Mexico and/or the United States
               exclusively from originating materials.

     In this instance, by virtue of General Note 12(b)(ii)(A),
the pullman suitcase is an originating good for NAFTA purposes. 
General Note 12(b)(ii)(A) specifies in pertinent part that goods
which undergo a change in tariff classification described in
subdivision (t) qualify as originating goods.  General Note
12(t), Chapter 42, Rule 3, provides:

     A change to subheading 4202.12 from any other chapter,
     except from headings 5407, 5408 or 5512 through 5516 or
     tariff items 5903.10.15, 5903.10.18, 5903.10.20, 5903.10.25,
     5903.20.15, 5903.20.18, 5903.20.20, 5903.20.25, 5903.90.15,
     5903.90.18, 5903.90.20, 5903.90.25, 5906.99.20, 5906.99.25,
     5907.00.05, 5907.00.15 or 5907.00.60.

Thus, if the materials and parts exported from China are
separately classifiable in chapters other than Chapter 42, HTSUS,
and are not one of the enumerated exceptions to the rule, the
finished pullman suitcase will qualify for NAFTA preferential
treatment.

     The suitcase is comprised of parts composed of iron,
plastic, rubber and wood.  Articles composed of these materials
are generally classified in Chapters 73, 39, 40 and 44, HTSUS,
respectively.  Woven fabric weighing predominently of jute
materials is classifiable in Chapter 53, subheading 5310.90.0000,
HTSUS.  The cotton thread is classified in Chapter 52, HTSUS. 
Moreover, the reference to poly strip predominently of cotton
would appear to meet the description of a narrow fabric,
classifiable in Chapter 58, heading 5806, HTSUS.  Therefore, the
parts and materials exported from China are not classifiable in
Chapter 42, HTSUS, at the time of importation into Mexico. 
Furthermore, the parts and materials are not specifically
excepted from General Note 12(t), Chapter 42, Rule 3. 
Consequently, the finished suitcase qualifies for NAFTA
preferential treatment.

HOLDING:

     The subject merchandise is classifiable under subheading
4202.12.6000, HTSUS, which provides for trunks, suitcases, vanity
cases, attache cases, briefcases, school satchels and similar
containers:  with outer surface of textile materials:  of
vegetable fibers and not of pile or tufted construction:  other. 
The textile category is 870.

     The merchandise is eligible for preferential treatment under
the NAFTA.  At this time, the applicable rate of duty for such
goods from Mexico is 5.2 percent ad valorem.  

                         Sincerely,




                         John Durant, Director
                         Commercial Rulings Division

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