HQ 957759: Country of origin determination for wedding dress; 19 CFR12.130 (b)(d)(e); sewing constitutes substantial assembly

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 957759
                                 
                          June 13, 1995

CLA  R:C:T  957759  jb

CATEGORY:  CLASSIFICATION

Josefa M. Dizon
Embassy of the Philippines
1600 Massachusetts Avenue, N.W.
Washington D.C. 20036

RE:  Country of origin determination for wedding dress; 19 CFR
12.130 (b)(d)(e); sewing      constitutes substantial assembly

Dear Ms. Dizon:

     This letter is in response to your inquiry of March 10,
1995, on behalf of Mr. Joel S. Rodriguez, Manager of the Apparel
& Accessories Merchandising Dept., Philippine International
Trading Corporation, requesting a country of origin determination
for a wedding dress.  A sample wedding dress was submitted to
this office for examination.

FACTS:

     The wedding dress is made of 100 percent woven polyester and
nylon fabrics with heavy beading around the neckline, shoulder,
sleeves, bodice and the lower front center panel.  The dress also
features tapered lace with beading along the bottom of the dress
and train.

     The processing of the garment is as follows:

     - Fabric and laces are made either in Japan or Hong Kong,
and sent to China for cutting;
     - The cut pieces are shipped to the Philippines for hand and
machine embroidery (of laces,         sleeves, bodice, skirt and
train), assembly, sewing and hand finishing;
     - The merchandise is then pressed, hangtags and labels are
attached and packaged for        exportation to the U.S.

ISSUE:

     What is the country of origin of the merchandise at issue?

LAW AND ANALYSIS:

     Section 12.130 of the Customs Regulations (19 CFR 12.130)
sets forth the principles of country of origin for textiles and
textile products subject to Section 204 of the Agricultural Act
of 1956, as amended (7 U.S.C. 1854).

     Pursuant to 19 CFR 12.130(b), the standard of substantial
transformation governs the country of origin determination where
textiles and textile products are processed in more than one
country.  The country of origin of textile products is deemed to
be that foreign territory or country where the article last
underwent a substantial transformation.  Substantial
transformation is said to occur when the article has been
transformed into a new and different article of commerce by means
of substantial manufacturing or processing.
     
     The factors to be applied in determining whether or not a
manufacturing operation is substantial are set forth in 19 CFR
12.130(d).  Section 12.130(e)(1) 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)(iv) provides that an article or
material usually will be a product of a particular foreign
territory or country when there has been both a cutting of fabric
into parts and the assembly of those parts into the completed
article.

     Section 12.130(e)(1)(v) states that an article will be a
product of a particular foreign country, when it has undergone
prior to importation into the U.S. in that foreign country:

     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 of all cut pieces of suit-type jackets, suits and
     shirts).

     We have previously held that cutting of fabric into pattern
pieces constitutes a substantial transformation of the fabric,
resulting in the apparel pieces becoming a product of the country
where the fabric is cut.  Customs has also held that the mere
assembly of goods entailing simple combining operations, trimming
or joining together by sewing is not enough to substantially
transform the components of an article into a new and different
article of commerce. (See HQ 082747, dated February 23, 1989; HQ
086665, dated March 23, 1990; HQ 951169, dated April 1, 1992; HQ
951437, dated July 17, 1992).

     It is our opinion that the assembly operations performed in
the Philippines go beyond  simple assembly operations.  The
different levels of assembly, such as embroidery, sewing and hand
finishing involve the complexity contemplated by Section
12.130(e)(1)(v), as for example, that found in the assembly and
tailoring of all cut pieces of suit-type jackets, suits and
shirts.  See also HQ 954475 dated October 21, 1993 and HQ 957309,
dated March 9, 1995, where wedding dresses were determined to be
the product of the country in which the assembly occurred.


     The assembly executed in the Philippines materially changes
the garment from the constituent garment parts to the finished
product by means of a substantial assembly and constitutes a
substantial transformation in the country of assembly.  The
manufacturing operations fall squarely within the language of
Section 12.120(e)(1)(v).

HOLDING:

     The country of origin of the submitted merchandise is the
Philippines.  It is at the assembly process, in the Philippines
that the textile product undergoes a substantial transformation
and is transformed into a new and different article of commerce.

     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 the 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, 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