HQ 953108: Country of origin determination for men's flannel shirt

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 953108

                          April 22, 1993

CLA-2  CO:R:C:T 953108 CAB

CATEGORY:  Classification

Mr. Grant Goldin
Scope Imports, Inc.
8020 Blankenship Drive
Houston, TX 77055

RE:  Country of origin determination for men's flannel shirt

Dear Mr. Goldin:

     This letter is in response to your inquiry of December 16,
1992, requesting a country of determination for a men's flannel
shirt.  A sample was submitted for examination.

FACTS:

     The garment in question is a men's woven 100 percent cotton
flannel shirt.  The submitted sample contains a full frontal
opening and button closure, a collar, two flap chest pockets, and
button cuffs.  

     In your submission, you state that fabric will be purchased
in rolls from China.  The fabric will then be shipped to Lesotho
where it will be marked and cut into garment pieces.  The garment
pieces will then be shipped to a factory in South Africa for
assembly by sewing.  The finished garments will be returned to
Lesotho for packing and export to the United States.

ISSUE:

     What is the country of origin for the merchandise in
question?

LAW AND ANALYSIS:

     Country of origin determinations for textile products are
subject to Section 12.130, Customs Regulations (19 CFR 12.130). 
Section 12.130 provides that a textile product that is processed
in more than one country or territory shall be a product of that
country or territory where it last underwent a substantial
transformation.  A textile product will be considered to have
undergone a substantial transformation if it has been transformed
by means of substantial manufacturing or processing operations
into a new and different article of commerce.

     Section 12.130(d), Customs Regulations, sets forth criteria
for determining whether a substantial transformation of a textile
product has taken place.  This regulation states these criteria
are not exhaustive; one or any combination of criteria may be
determinative, and additional factors may be considered.

     Section 12.130(d)(1), Customs Regulations, states that a new
and different article of commerce will usually result from a
manufacturing or processing operation if there is a change in:

     (i)  Commercial designation or identity, (ii)  Fundamental
character or (iii)  Commercial use.

     Section 12.130(d)(2), Customs Regulations, states that for
determining whether merchandise has been subjected to substantial
manufacturing or processing operations, the following will be
considered:

     (i)     The physical change in the material or article

     (ii)    The time involved in the manufacturing or processing

     (iii)   The complexity of the manufacturing or processing

     (iv)    The level or degree of skill

     (v)     The value added to the article or material  

     Section 12.130(e)(1), Customs Regulations, describes
manufacturing or processing operations from which an article will
usually be considered a product of the country in which those
operations occurred.  Section 12.130(e)(1)(v) provides the
following:

       Substantial assembly by sewing and/or tailoring of all cut
     pieces of apparel articles which have been cut from fabric
     in another foreign territory or country, or insular
     possession, into a completed garment (e.g. the complete
     assembly and tailoring of all cut pieces of suit-type
     jackets, suits, and shirts).

     According to T.D. 85-30, the final document rule
establishing 19 CFR 12.130:

       The assembly of all the cut pieces of a garment usually is
     a substantial manufacturing process that results in an
     article with a different name, character, or use than the
     cut pieces.  It should be noted that not all assembly
     operations of cut garment pieces will amount to a
     substantial assembly of those pieces.  Where either less
     than a complete assembly of all the cut pieces of a garment
     is performed in one country, or the assembly is a relatively
     simple one, then Customs will rule on the particular factual
     situation as they arise, utilizing the criteria in Section
     12.130(d).

     Customs has consistently determined that cutting fabric into
garment pieces constitutes a substantial transformation of the
fabric, whereby the apparel pieces become a product of the
country where the fabric is cut.  (See e.g. Headquarters Ruling
Letter (HRL) 952531 dated November 25, 1992; HRL 089539 dated
April 22, 1992; and HRL 951426 dated April 8, 1992).

     Also, Customs has long held that the mere assembly of goods,
entailing simple combining operations, trimming or joining
together by sewing is not enough to substantially transform the
component of an article into a new and different article of
commerce.  (See e.g. HRL 087287 dated March 9, 1989; and HRL
082747 dated February 23, 1989).

     In this instance, the sewing operation performed in South
Africa involves the simple assembly of various garment pieces. 
The sewing does not involve the complex sewing operation required
by Section 12.130(e)(1)(v).  The cutting process in Lesotho,
however, does amount to a substantial manufacturing operation.
The cutting materially changes the fabric into designated garment
pieces, which constitutes new and different articles of commerce. 
Therefore, the merchandise undergoes its last substantial
transformation in Lesotho.  

HOLDING:

     The country of origin of the instant merchandise is Lesotho.

     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
177.9(b)(1), Customs Regulations (19 CFR 177.9(b)(1)).  This
section states that a ruling letter is issued on the assumption
that all of the information furnished in connection, with the
ruling request and incorporated in the ruling letter, either
directly, by reference, or by implication is accurate and
complete in every material respect.  Should it subsequently be
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, it is
recommended that a new ruling request be submitted in accordance
with section 177.2, Customs Regulations (19 CFR 177.2).

                                   Sincerely,



                                   John Durant, Director
                                   Commercial Rulings Division