HQ 956636: Country of origin of pants, shorts, and shirts; Section12.130, Customs Regulations

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 956636

                         October 21, 1994

CLA-2  CO:R:C:T 956636 CAB

CATEGORY:  Classification

Scott E. Rosenow, Esq.
Stein Shostak Shostak & O'Hara
1620 L Street, N.W.
Washington, D.C. 20036-5605

RE:  Country of origin of pants, shorts, and shirts; Section
12.130, Customs Regulations

Dear Mr. Rosenow:

     This is in response to your inquiry of June 9, 1994,
requesting a country of origin ruling on behalf of Bugle Boy
Industries of Simi Valley, California, concerning certain boys'
pants, shirts, and shorts.  Samples were submitted for examination.

FACTS:

     The merchandise at issue is a pair of pants, shorts, and a
shirt.  The pants which are constructed of 100 percent woven cotton
fabric contain a waistband, zippered fly front, side pockets, a
rear patch pocket, and double front pleats.  The shorts are made of
100 percent woven cotton fabric, have a partial elasticized
waistband with belt loops, a zippered fly front, side pockets, and
a rear patch pocket.  The 100 percent woven cotton shirt contains
short sleeves, a fully opened front with buttons for closure, a
breast pocket with a "Bugle Boy" insignia, and a rear pleat
extending from the top of the neck area to the hemmed bottom.  

     The processing of the garments is as follows:  Fabric used to
make the pants, shorts, and shirt will be cut into garment pieces
and sewn into a completed garment in one country.  This country may
be Indonesia, the Philippines, Bangladesh, Sri Lanka, or Taiwan. 
The finished garment will then be shipped to China to undergo a
"wrinkle free process".  The process involves pre-washing the
garments and dipping them in a chemical which results in the
wrinkle free condition.  The garments are then pressed, hangtags
are attached, and packaged for exportation to the United States.  

ISSUE:

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

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
operation;

     (iii)          The complexity of the manufacturing or
processing operation;

     (iv)      The level or degree of skill and/or technology in
the manufacturing or               processing operations; and,

     (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)(iv) specifically
provides that the cutting of fabric into parts and the assembly of
those parts into the completed article will be a manufacturing
operation that will usually result in an article being considered
a product of the country in which those operations occurred.  


     Section 12.130(e)(2), Customs Regulations, describes the
manufacturing or processing operations from which an article will
usually not be considered to be a product of a particualr country
by virtue of merely having undergone the particular operations. 
Section 12.130(e)(2)(iv), Customs Regulations, provides examples of
some these simple operations that will not effect the country of
origin of an article.  These enumerated examples are as follows: 
one or more finishing operations on yarn, fabrics, or other textile
articles, such as showerproofing, superwashing, bleaching,
decating, fulling, shrinking, mercerizing, or similar operations. 
Section 12.130(e)(2)(i) includes packaging operations as a simple
operation that will not effect the origin of a product.  
 
     In this instance, the wrinkle free processing and packaging in
China are simple finishing operations that amount to the simple
manufacturing operations cited in Section 12.130(e)(2)(i)&(iv). 
This processing does not confer country of origin because it does
not amount to a substantial manufacturing operation.  The cutting
and assembly process completed within one of the enumerated
countries, however, is a substantial manufacturing operation
specifically provided for in Section 12.130(e)(1)(iv).  Therefore,
the garments in question are products of the country in which they
are cut and assembled.

HOLDING:

     The subject merchandise are products of the country where the
fabric is cut and assembled into the finished garment.

     This ruling is issued pursuant to the provisions of Part 177
Customs Regulations (19 CFR Part 177).  The holding in this ruling
only applies to the specific factual situation presented and the
merchandise identified in the ruling request.  If the information
furnished is not accurate or complete, or there is a change in the
factual situation, this ruling will no longer be valid.  In such an
event, a new ruling request should be submitted.

                                   Sincerely,



                                   John Durant, Director
                                   Commercial Rulings Division