HQ 957912: Country of origin of sewing thread; 19 CFR 12.130; spinning of fibers results in a substantialtransformation; HRL 953255 (5/14/93).

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 957912
                         August 15, 1995
CLA-2 CO:R:C:T 957912 SK

CATEGORY: Classification

Lisa Kuo
Singapore Spinners Private Ltd.
7, Lorong Tukang Lima
Jurong Town
Singapore 2261

RE: Country of origin of sewing thread; 19 CFR 12.130; spinning of fibers results in a substantial
transformation; HRL 953255 (5/14/93).

Dear Ms. Kuo:

     This is in response to your letter, dated April 26, 1995, in which you request a country of
origin determination for sewing thread.  No samples were provided to Customs.

FACTS:
  
     The sewing thread the subject of this country of origin determination is manufactured in
both the People's Republic of China and Singapore.  You state that single 100 percent polyester
spun (staple fiber) yarn is imported into Singapore from the People's Republic of China.  In
Singapore, two or three plies of this single yarn are twisted together to form what you refer to as
"sewing thread."  As you refer to the subject merchandise as "sewing thread," this office assumes
that dressing will also be imparted to the thread in Singapore.

ISSUE:

     What is the country of origin of the subject merchandise?
 



                              - 2 -

LAW AND ANALYSIS:

     Section 12.130(b) of the Customs Regulations (19 CFR 12.130(b)) provides that textile
products that are processed in more than one country or territory shall be products of that country
or territory where they last underwent a substantial transformation.   Substantial transformation
is said to occur when an article has been transformed into a new and different article of commerce
by means of substantial manufacturing or processing.

     Section 12.130(d) of the Customs Regulations sets forth criterion which are to be applied
in determining whether a substantial transformation has taken place.  Section 12.130(d)(1)
provides 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(e)(1) states, inter alia, that an article or material usually will be a product
of a particular foreign territory or country if it has undergone in that foreign territory or country
the spinning of fibers into yarn.  See Section 12.130(e)(1)(ii).

     Section 12.130(e)(2) of the Customs Regulations states that an article or material usually
will not be considered a product of a particular foreign territory or country by merely having
undergone dyeing and/or printing of fabrics or yarns.  See 12.130(e)(2)(v).

     The thread produced in the People's Republic of China is a single 100 percent polyester
spun yarn.  The yarn is twisted from two or three plies into sewing thread in Singapore.  Customs
has consistently held that twisting and plying operations are "simple assembly" operations and do
not constitute substantial manufacturing or processing operation.  See Headquarters Ruling
Letters (HRL's) 952574, dated April 5, 1993, and 953255, dated May 14, 1993.  We further note
that the additional act of dressing thread (if this process is even performed in Singapore), is even
less costly and complicated a process than the dyeing of yarn.  As the dyeing of yarn is not
deemed a substantial manufacturing operation, as per Section 12.130(e)(2)(v) set forth above, it
follows that dressing must also be deemed a simple manufacturing process.







                              - 3 -


HOLDING:

     The country of origin of the sewing thread is the People's Republic of China as it is in this
country that the subject merchandise last undergoes a substantial transformation.  The spinning of
fibers into yarn in the People's Republic of China is a substantial manufacturing operation which
transforms fibers into a new and different article of commerce (yarn).

     The country of origin 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 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 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