HQ 952223: Country of Origin determination for men's pants and shorts

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 952223

                        October 26, 1992

CLA  CO:R:C:T  952223  jb

CATEGORY:  CLASSIFICATION

Mr. Alpha Chou
Ho Sing Clothing Co., Ltd.
7-1 FL.
695, Tung Hwa South Rd.
CTCI Tower
Taipei, Taiwan, R.O.C.


RE:  Country of Origin determination for men's pants and shorts

Dear Mr. Chou:

     This letter is in response to your inquiry of June 29, 1992,
requesting a country of origin determination for a pair of men's
pants and shorts.  Samples were submitted to this office for
examination.


FACTS:

     The submitted samples consist of a pair of men's pants,
Style number WR1711, and men's shorts, Style number WR717,
together with one set of cut panels and accessories for the pants
and shorts respectively, before assembly and sewing have been
completed.  

     You state that the pants and shorts are designed and
patterned using Taiwan materials, including shell fabric,
pocketing and accessories.  Sizing, marking and fabric cutting
are also performed in Taiwan.  All cut panels and accessories are
then sent to the Philippines, or any other third country, for
purposes of assembly, finishing, packing and direct shipping to
the United States.


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)



     The sewing operation performed in the third country involves
the simple assembly of several cut pattern pieces to form either
the men's pants or shorts.  The sewing does not involve the
complex sewing operation 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.  

     The cutting in Taiwan materially changes the garment into
designated garment parts.  This constitutes a substantial
transformation of that fabric.

HOLDING:

     The country or origin of the submitted merchandise, Style
numbers WR1711 (men's pants) and WR1717 (men's shorts) is Taiwan. 
It is at the cutting process, in Taiwan, 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