HQ 953132: Internal Advice request on the classification and country oforigin of diapers.

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 953132

                         April 26, 1993

CLA-2 CO:R:C:T  953132 HP

CATEGORY:  Classification

TARIFF NO.:   6209.20.5040

Mr. Steven A. Knox
District Director
U.S. Customs Service
Second and Chestnut Streets
Philadelphia, PA 19106

RE:  Internal Advice request on the classification and country of
origin of diapers.

Dear Mr. Knox:

     This is in reference to a shipping container of cloth
diapers detained by you in March, 1992.  After consulting with
FNIS Ann White and the Office of Trade Operations, we have agreed
to treat the importer's request for review as a Request for
Internal Advice.  Please reference your Entry Number 1101-92-
433-0911679-6, dated March 20, 1992, detained March 26, 1992.

FACTS:

     The merchandise at issue is described by the importer as
follows:

          100% cotton fabric, single ply with sewing
          lines (to hold stitches) in roll form would
          be imported into Jamaica from a third country
          [in this case China].

          Details of diaper manufacturing process

          -    Cloth is received in 900 foot long by
               30" width [rolls].  Cloth is single ply,
               single width.

          -    Cloth is laid out on a 48 foot long
               table, straightened and flattened out.

          -    A pattern is placed on the cloth and
               outlined in washable marking pen.  It is
               then cut lengthwise.

          -    Two layers of cloth are used per diaper.

          -    A bundle of 10 dozen pieces of cloth are
               rolled up and delivered to a storage
               shelf for distribution to sewing station
               operators who fold the cloth into shape
               and sew the two center panel stitches
               only.

          -    Goods are then looked at by a Q.C.
               inspector, moved to the Chief
               inspector[']s station and after approval
               they are delivered to a second sewing
               station which trims and hems the top and
               bottom.

          -    Goods are inspected again.  If approved
               they are moved to a third sewing station
               for bar tacking of all four corners.

          -    Goods are then moved to trimming and
               final inspection.

          -    The diapers are then moved to another
               section for folding and packaging in one
               dozen lots.  They are then moved to a
               pressing machine for packing in 50 dozen
               bundles.

                              * * *

          Diaper Specifications

          -    100% gauze cotton woven prefolded
               diapers, bartacked.
          -    Six layers thick in the middle and four
               layers thick on the sides, sewn in the
               middle, hemmed, and bartacked.
          -    Measurement:  12" x 16"
          -    Diapers to be used by infants with age
               equivalent ranging from newborn to two
               years.  Diapers are sold to diaper
               services.

ISSUE:

     How are these goods classified under the HTSUSA?  What is
there country of origin for quota/visa purposes?

LAW AND ANALYSIS:

Classification

     The General Rules of Interpretation (GRIs) to the HTSUSA
govern the classification of goods in the tariff schedule.  GRI 1
states, in pertinent part, that such "classification shall be
determined according to the terms of the headings . . . ." 
Heading 6209, HTSUSA, provides for babies' woven garments and
clothing accessories.  The diapers at issue are appropriately
classified herein.

Country of Origin

     Textile commodities produced in more than one foreign
country are subject to the country of origin requirements
delineated in section 12.130 of the Customs Regulations
(19 C.F.R.  12.130).  These regulations provide that:

          . . . a textile product . . . which consists
          of materials produced or derived from, or
          processed in, more than one foreign . . .
          country shall be a product of that foreign .
          . . country where it last underwent a
          substantial transformation.

 12.130(b).  A textile product undergoes a substantial
transformation when it is ". . . transformed by means of
substantial manufacturing or processing  operations into a new
and different article of commerce."

     Section 12.130 of the regulations outlines the criteria used
to determine the country of origin for textiles and textile
products.  Specifically, this provision of the regulations is
considered in determining whether a textile product has undergone
substantial manufacturing or processing operations, and what
constitutes a new and different article of commerce.  The factors
considered are not exhaustive.  In fact,  "one or any combination
of criteria may be determinative, and additional factors may be
considered."  In determining whether merchandise has undergone
substantial manufacturing or processing operations, we consider
the (1) physical change in the material or the article; (2) time
involved; (3) complexity of the operations; (4) level or degree
of skill and/or technology required; and (5) value added to the
article in each country.

     Customs has long held that producing diapers from plain
cotton fabric suitable for multiple uses is considered a
substantial transformation when the manufacturing and processing
operations include, inter alia, cutting to length and width or
length alone, complex folding to create the diaper's unique
multi-layer middle portion, hemming and/or overlocking the edges,
and finishing and packaging.  HRL 950849 of March 24, 1992; HRL
953078 of January 25, 1993.  Contra HRL 087950 of January 9,
1991; HRL 088321 of March 7, 1991 (merely cutting fabric into
squares and hemming insufficient to constitute substantial
manufacturing process).  As was demonstrated by the importer at
conference with the Assistant Commissioner, Commercial Operations
and members of my staff, the Chinese fabric has regular lines of
either differing weave or high density which have no use other
than as markers to be used in the cutting, folding and sewing of
the diapers.  It is our opinion that the weave structure of the
fabric confirms the fact that the material is intended for use as
diapers.  The changing of the weaves is performed at additional
cost and for the specific purpose of creating markers for
folding.  As a result, no substantial transformation takes place. 
The diapers are therefore considered a product of China.

HOLDING:

     As a result of the foregoing, the instant merchandise is
classified as woven cotton diapers of China, classified under
subheading 6209.20.5040, HTSUSA, textile category 239.

     The designated textile and apparel category may be
subdivided into parts.  If so, visa and quota requirements
applicable to the subject merchandise may be affected.  Since
part categories are the result of international bilateral
agreements which are subject to frequent negotiations and
changes, to obtain the most current information available, we
suggest that the importer check, close to the time of shipment,
the Status Report On Current Import Quotas (Restraint Levels), an
issuance of the U.S. Customs Service, which is updated weekly and
is available at the local Customs office.

     Due to the changeable nature of the statistical annotation
(the ninth and tenth digits of the classification) and the
restraint (quota/visa) categories, the importer should contact
the local Customs office prior to importing the merchandise to
determine the current status of any import restraints or
requirements.

     The holding in this ruling applies only to the specific
factual situation and merchandise identified in the ruling
request. This position is clearly set forth in  177.9(b)(1),
Customs Regulations (19 C.F.R.  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 C.F.R.  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. In such a case, it is recommended that a
new ruling request be submitted in accordance with  177.2,
Customs Regulations (19 C.F.R.  177.2).

                           Sincerely,



                      John Durant, Director
                   Commercial Rulings Division