HQ 959533: Country of origin determination for canopies; 19 CFR102.21(c)(5); last country in which an important assembly ormanufacturing process occurred

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 959533

August 22, 1996
CLA-2 RR:TC:TE 959533 jb

CATEGORY: Classification

Brenda A. Jacobs, Esq.
Powell, Goldstein, Frazer & Murphy
1001 Pennsylvania Avenue, N.W., 6th Floor
Washington, D.C. 20004

RE: Country of origin determination for canopies; 19 CFR
102.21(c)(5); last country in which an important assembly or
manufacturing process occurred

Dear Ms. Jacobs:

This is in reply to your letter dated July 25, 1996, on
behalf of Joe Sharp Manufacturing, requesting a country of origin
determination for certain canopies which will be imported into
the United States.

FACTS:

The subject merchandise consists of three styles of canopies
(no style numbers were indicated). The manufacturing processes
are as follows:

CANOPY I

The first canopy measures 9-1/2 feet by 9-1/2 feet and is
made of a blue 150 denier polyester fabric 1/4 ounce urethane
coating with DWR and CPAI-84 fire retardant. The manufacturing
operations are as follows:

TAIWAN

- fabric is formed.

UNITED STATES or KOREA or THAILAND

- fabric is formed.

MEXICO

- fabric is cut to shape;
- equal parts of the fabric formed in the two different
countries is sewn together along with small tie down strips
or hook and loop findings;
- inspecting;
- folding;
- packing;
- shipping.

CANOPY II

The second canopy measures 9-1/2 feet by 12 feet and is made
of a blue 150 denier polyester fabric 1/4 ounce urethane coating
with DWR and CPAI-84 fire retardant. The manufacturing
operations are as follows:

TAIWAN

- fabric is formed.

UNITED STATES or KOREA or THAILAND

- fabric is formed.

MEXICO

- fabric is cut;
- equal parts of the fabric formed in the two different
countries is sewn together along with small tie down strips
or hook and loop findings;
- inspecting;
- folding;
- packing;
- shipping.

CANOPY III

The third canopy measures 10 feet by 10 feet and is made of
a white 250 denier polyester fabric 3/4 ounce urethane coating
with DWR and CPAI-84 fire retardant. The manufacturing
operations are as follows:

TAIWAN

- fabric is formed.

UNITED STATES or KOREA or THAILAND

- fabric is formed.

MEXICO

ISSUE:

What is the country of origin of the subject merchandise?

LAW AND ANALYSIS:

On December 8, 1994, the President signed into law the
Uruguay Round Agreements Act. Section 334 of that Act (codified
at 19 U.S.C. 3592) provides new rules of origin for textiles and
apparel entered, or withdrawn from warehouse, for consumption, on
and after July 1, 1996. On September 5, 1995, Customs published
Section 102.21, Customs Regulations, in the Federal Register,
implementing Section 334 (60 FR 46188). Thus, effective July 1,
1996, the country of origin of a textile or apparel product shall
be determined by sequential application of the general rules set
forth in paragraphs (c)(1) through (5) of 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 the
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."

Paragraph (e) 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:"

6301-6306 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.

The subject canopies are classified in heading 6306,
Harmonized Tariff Schedule of the United States (HTSUS). In the
scenarios you describe in your submission each of the canopies
consists of fabric sourced in more than one country.
Accordingly, the terms of the tariff shift are not applicable.

Paragraph (c)(3) states that "Where the country of origin of
a textile or apparel product cannot be determined under paragraph
(c)(1) or (2) of this section":

(i) If the good was knit to shape, the country of origin of
the good is the single country, territory, or insular
possession in which the good was knit; or

(ii) Except for goods of heading 5609, 5807, 5811,
6213, 6214, 6301 through 6306, and 6308, and subheadings
6209.20.5040, 6307.10, 6307.90, and 9404.90, if the good was
not knit to shape and the good was wholly assembled
in a single country, territory, or insular
possession, the country of origin of the good is the country,
territory, or insular possession in which the
good was wholly assembled.

As the subject merchandise is not knit, and heading 6306,
HTSUS, is excepted from provision (ii), Section 102.21 (c)(3) is
inapplicable.

Section 102.21 (c)(4) states, "Where the country of origin
of a textile or apparel product cannot be determined under
paragraph (c)(1), (2) or (3) of this section, the country of
origin of the good is the single country, territory or insular
possession in which the most important assembly or manufacturing
process occurred". It is the opinion of this office that in the
case of the subject canopies, the most important manufacturing
process occurs at the time of the fabric making. As the fabric
for the canopies is sourced in more than one country, and no one
fabric is more important than the other, country of origin cannot
be readily determined based on the fabric making process. As
such, paragraph (c)(4) is not applicable.

Paragraph (c)(5) states, "Where the country of origin of a
textile or apparel product cannot be determined under paragraph
(c)(1), (2), (3) or (4) of this section, the country of origin of
the good is the last country, territory, or insular possession in
which an important assembly or manufacturing process occurred."
Accordingly, in the case of the three canopies, country of origin
is conferred by the last country in which an important assembly
occurred, that is, Mexico.

HOLDING:

The country of origin of the subject three canopies is
Mexico.

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 sections states that a ruling letter, either
directly, by reference, or by implication, is accurate and
complete in every material respect.

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.

Sincerely,

John Durant, Director
Tariff Classification Appeals
Division

HQ 959533: Country of origin determination for canopies; 19 CFR102.21(c)(5); last country in which an important assembly ormanufacturing process occurred

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