[Federal Register Volume 60, Number 99 (Tuesday, May 23, 1995)]
[Proposed Rules]
[Pages 27378-27391]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-12655]
[[Page 27377]]
_______________________________________________________________________
Part II
Department of the Treasury
_______________________________________________________________________
Customs Service
_______________________________________________________________________
19 CFR Part 10 et al.
Rules of Origin for Textile and Apparel Products; Proposed Rule
Federal Register / Vol. 60, No. 99 / Tuesday, May 23, 1995 / Proposed
Rules
[[Page 27378]]
DEPARTMENT OF THE TREASURY
Customs Service
19 CFR Parts 10, 12 and 102
RIN 1515-AB71
Rules of Origin for Textile and Apparel Products
AGENCY: Customs Service, Department of the Treasury.
ACTION: Notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: This document proposes to amend the Customs Regulations to
implement the provisions of section 334 of the Uruguay Round Agreements
Act (``the Act'') regarding the country of origin of textile and
apparel products. Except for the purpose of identifying products of
Israel, the proposed rules would govern the determination of the
country of origin of imported textile and apparel products for purposes
of laws enforced by the Customs Service. The proposed rules also
implement the provisions of section 334 of the Act regarding the
treatment of components that are cut to shape in the United States from
foreign fabric, exported for assembly, and returned to the United
States. The document also implements previously-enacted provisions
regarding the treatment of articles assembled or produced in a
Caribbean Basin Initiative beneficiary country wholly from U.S.-
produced components, materials or ingredients.
DATES: Comments must be received on or before June 22, 1995.
ADDRESSES: Written comments (preferably in triplicate) may be addressed
to the Regulations Branch, U.S. Customs Service, Franklin Court, 1301
Constitution Avenue, N.W., Washington, D.C. 20229. Comments submitted
may be inspected at the Regulations Branch, Office of Regulations and
Rulings, Franklin Court, 1099 14th Street, N.W., Suite 4000,
Washington, D.C.
FOR FURTHER INFORMATION CONTACT: Phil Robins, Office of Regulations and
Rulings (202-482-7029).
SUPPLEMENTARY INFORMATION:
Background
On December 8, 1994, President Clinton signed into law the Uruguay
Round Agreements Act (``the Act''), Public Law 103-465, 108 Stat. 4809.
Subtitle D of Title III of the Act deals with textiles and includes
section 334 (codified at 19 U.S.C. 3592) which concerns rules of origin
for textile and apparel products.
Paragraph (a) of section 334 provides that the Secretary of the
Treasury shall prescribe rules implementing the principles contained in
paragraph (b) for determining the origin of ``textiles and apparel
products''. Paragraph (a) further provides that such rules must be
promulgated in final form not later than July 1, 1995.
Paragraph (b) of section 334 incorporates the following provisions:
(1) For purposes of the customs laws and the administration of
quantitative restrictions and except as otherwise provided for by
statute, general rules for determining when a ``textile or apparel
product'' originates in a country, territory, or insular possession,
and is the growth, product, or manufacture of that country, territory,
or insular possession; (2) special origin rules for goods classifiable
under certain specified tariff headings and subheadings; (3) a
``multicountry rule'' for determining origin when the origin of a good
cannot be determined under the preceding provisions of paragraph (b);
(4) special rules governing the treatment of components that are cut to
shape in the United States from foreign fabric, exported for assembly,
and returned to the United States; and (5) an exception to the
application of section 334 that specifically provides for the continued
application of the administrative practices that were applied
immediately before the enactment of the Act to determine the origin of
textile and apparel products from Israel, unless such practices are
modified by the mutual consent of the United States and Israel.
Paragraph (c) of section 334 provides that section 334 shall apply
to goods entered, or withdrawn from warehouse, for consumption on or
after July 1, 1996. Paragraph (c) further provides that section 334
shall not apply to goods entered or withdrawn from warehouse on or
before January 1, 1998, that are covered by contracts of sale which
were entered into, with all material terms fixed, before July 20, 1994,
and which are filed, with an accompanying certification, with the
Commissioner of Customs within 60 days after the date of the enactment
of the Act. On January 27, 1995, Customs published in the Federal
Register (60 FR 5457) a notice setting forth the procedures for filing
such contracts and certifications.
The purpose of this document is to set forth for public comment
proposed regulations implementing the principles contained in section
334(b) of the Act, with a view to promulgation of final regulations by
July 1, 1995, as mandated by section 334(a) of the Act.
Discussion of Proposed Rules
On January 3, 1994, Customs published T.D. 94-4 in the Federal
Register (59 FR 110) setting forth interim regulations for determining
the origin of goods from Canada and Mexico other than for the purposes
of determining eligibility for preference under the North American Free
Trade Agreement (NAFTA). T.D. 94-4 set forth these interim rules as a
new Part 102 of the Customs Regulations (19 CFR Part 102), entitled
``Rules of Origin'', and also set forth consequential conforming
interim amendments to existing sections within Parts 12 and 134 of the
Customs Regulations (19 CFR Parts 12 and 134). These interim
regulations were made immediately effective for trade from Canada and
Mexico pursuant to Annex 311 of the NAFTA. No final action on these
interim regulatory amendments has been taken.
Also on January 3, 1994, Customs published a document in the
Federal Register (59 FR 141) that proposed to amend Sec. 102.0 of the
interim regulations published as T.D. 94-4 so that the Part 102
provisions would also apply to country of origin determinations ``for
purposes of the Customs and related laws and the navigation laws of the
United States'' for goods from all countries. This document also
proposed to amend various provisions within Parts 4, 10, 12, 134 and
177 of the Customs Regulations (19 CFR Parts 4, 10, 12, 134 and 177) to
ensure that the rules contained in Part 102 would control wherever
language requiring a country of origin determination appears in those
other regulatory provisions. Final action also has not been taken on
these proposed regulatory amendments.
In keeping with the intended function of Part 102 as the repository
for origin rules under the uniform rules of origin principle reflected
in the January 3, 1994, proposal mentioned above, Customs proposes in
this document to implement those provisions of section 334(b) of the
Act that have broad application under the terms of the statute by
amending the Part 102 provisions and by amending other regulatory
provisions as necessary to conform to those Part 102 changes. With
regard to the remaining provisions of section 334(b) (that is, the
special rules governing the treatment of components that are cut to
shape in the United States from foreign fabric, exported for assembly,
and returned to the United States) and with one exception as discussed
further below, Customs proposes to implement those provisions by
amending that portion of Part 10 of the Customs Regulations (19 CFR
Part [[Page 27379]] 10) that concerns articles assembled abroad with
United States components because the subject provisions of section
334(b) are more appropriate to that context. In addition, it is
proposed to make a number of amendments to existing regulatory
provisions to ensure that those existing provisions will be consistent
with the new regulatory proposals implementing section 334(b) of the
Act. The proposed amendments are discussed in more detail below.
A. Proposed Amendments to Part 10
Section 334(b)(4)(A) of the Act
Section 334(b)(4)(A) of the Act provides that the value of a
component that is cut to shape (but not to length, width, or both) in
the United States from foreign fabric and exported to another country,
territory, or insular possession for assembly into an article that is
then returned to the United States: (1) Shall not be included in the
dutiable value of such article; and (2) may be applied toward
determining the percentage referred to in General Note 7(b)(i)(B) of
the Harmonized Tariff Schedule of the United States (HTSUS), subject to
the limitation provided in that note.
Subheading 9802.00.80, HTSUS, provides a duty exemption for
fabricated components of U.S. origin that are assembled abroad and
returned to the United States. Under current textile rules of origin,
textile components that are cut to shape in the United States from
foreign fabric qualify as U.S.-origin fabricated components under
subheading 9802.00.80, HTSUS. The effect of section 334(b)(4)(A) of the
Act is to continue the duty exemption for those components,
notwithstanding the fact that under the origin principles in section
334(b) of the Act such components would no longer qualify as products
of the United States (see the ``cutting versus assembly'' discussion in
connection with the proposed amendments to Part 102 below). In
addition, section 334(b)(4)(A) in effect continues the present practice
of allowing the value of such cut-to-shape textile components to be
applied toward the 35 percent value-content requirement, up to the 15
percent maximum limitation for materials produced in the United States,
for purposes of the Caribbean Basin Initiative (CBI) duty-free program
established by the Caribbean Basin Economic Recovery Act, as amended
(19 U.S.C. 2701 et seq.), and reflected in General Note 7, HTSUS.
Although section 334(b)(4)(A) of the Act is a separate statutory
provision and does not amend or otherwise affect subheading 9802.00.80,
HTSUS, Customs believes that the references to ``component'' and
``assembly'' in the Act were intended to mirror the concepts of,
including the types of operations traditionally permitted under,
subheading 9802.00.80, HTSUS. Accordingly, Customs believes that the
appropriate place for regulatory implementation of this aspect of the
Act would be following the existing Part 10 regulations applicable to
subheading 9802.00.80, HTSUS, because some of those existing regulatory
provisions appear to be equally relevant for purposes of this provision
of the Act. Therefore, Customs proposes to add a new Sec. 10.25 (19 CFR
10.25) that would reflect the relevant terms of section 334(b)(4)(A) of
the Act and that would also provide for the applicability of certain of
those existing regulatory standards and procedures (for example, the
U.S. component valuation principles, the assembly and incidental
operations principles, and the documentation requirements).
With regard to the second aspect of section 334(b)(4)(A) of the
Act, which allows the value of textile components cut to shape in the
United States to be applied toward the 35 percent value-content
requirement under the CBI duty-free program, Customs proposes to
reflect this provision in the context of the CBI implementing
regulations by adding a new paragraph (d) to Sec. 10.195 (19 CFR
10.195). Although modeled on present paragraph (c) of that section, the
following particular points are noted regarding this new paragraph (d):
(1) The proposed text mentions the percentage ``referred to in
paragraph (c)'' (that is, the 15 percent maximum attributable to U.S.
materials) rather than the percentage referred to in paragraph (a)
(that is, the overall 35 percent value-content requirement), in order
to clarify that the new allowance operates as part of, or an
alternative to, but not in addition to, the pre-existing 15 percent
allowance for U.S.-produced materials; and (2) contrary to present
Sec. 10.195(c), which refers to materials produced in the ``customs
territory of the U.S. (other than the Commonwealth of Puerto Rico)''
and thus reflects the specific terms of the CBI statute (19 U.S.C.
2703(a)(1)), the text of this new Sec. 10.195(d) refers to a textile
component that is cut to shape in the ``U.S. (including the
Commonwealth of Puerto Rico)'', because Customs believes that the
reference to the ``United States'' in section 334(b)(4)(A) of the Act
was intended to cover Puerto Rico.
Section 334(b)(4)(B) of the Act
Section 334(b)(4)(B) of the Act provides that no article (except a
textile or apparel product) assembled in whole of components described
in section 334(b)(4)(A) of the Act, or of such components and
components that are products of the United States, in a CBI beneficiary
country shall be treated as a foreign article, or as subject to duty,
if the components after exportation from the United States, and the
article itself before importation into the United States, do not enter
into the commerce of any foreign country other than such a beneficiary
country.
U.S. Note 2(b), Subchapter II, Chapter 98, HTSUS, provides that no
article (except a textile article, apparel article, or petroleum, or
any product derived from petroleum, provided for in heading 2709 or
2710) may be treated as a foreign article or as subject to duty if the
article is assembled or processed in a CBI beneficiary country in whole
of fabricated components that are a product of the United States or if
the article is processed in a CBI beneficiary country in whole of
ingredients (other than water) that are a product of the United States,
provided that neither the fabricated components, materials or
ingredients after exportation from the United States, nor the article
itself before importation into the United States, enters the commerce
of any foreign country other than a CBI beneficiary country. The effect
of section 334(b)(4)(B) of the Act is to continue this Note 2(b)
treatment for textile and apparel articles which would meet the
requirements of the Note but for the fact that, under the origin
principles in section 334(b) of the Act, components cut to shape in the
United States from foreign fabric would no longer qualify as products
of the United States.
Customs notes that the provisions of Note 2(b) discussed above have
not been implemented in the Customs Regulations. Accordingly, based on
the same rationale stated above regarding the addition of new
Sec. 10.25 to implement section 334(b)(4)(A) of the Act, Customs
proposes to add a new Sec. 10.26 (19 CFR 10.26) which would cover both
Note 2(b) and the provisions of section 334(b)(4)(B) of the Act. To
reflect that these are discrete statutory provisions, paragraph (a) of
the proposed new section covers only Note 2(b) and paragraph (b)
thereof covers only the provisions of section 334(b)(4)(B) of the Act.
Paragraph (c) sets forth definitions or rules for purposes of the
section and includes, as subparagraph (c)(3), a rule regarding
[[Page 27380]] entry into the commerce (of a non-beneficiary country)
which is modeled on the ``imported directly'' principle contained in
Sec. 10.193 of the CBI implementing regulations.
Customs proposes to define the terms ``textile article'', ``apparel
article'', and ``textile or apparel product'' for purposes of new
Sec. 10.26 more narrowly than the term ``textile or apparel product''
is defined for purposes of the new Part 102 provisions (see the below
discussion of the proposed Part 102 amendments in regard to the
latter). As noted above, Sec. 10.26(a) would implement the provisions
of U.S. Note 2(b), Subchapter II, Chapter 98, HTSUS, and Sec. 10.26(b)
would implement section 334(b)(4)(B) of the Act. With regard to the
scope of the terms ``textile article'' and ``apparel article'' as used
in Note 2(b), in T.D. 91-88, 25 Cust.Bull. 226, Customs issued an
interpretive rule which concluded that articles (other than footwear
and parts of footwear) classifiable in HTSUS provisions that have a
textile and apparel category number designation should be considered
``textile'' and ``apparel'' articles for purposes of Note 2(b).
Footwear and parts of footwear were determined in this interpretive
rule not to constitute ``textile'' and ``apparel'' articles under Note
2(b). As indicated above, Customs believes that the primary purpose of
section 334(b)(4)(B) of the Act is to preserve the current duty
exemption granted under Note 2(b) for articles assembled abroad from
components cut to shape in the United States from foreign fabric. For
example, under Customs current interpretation of Note 2(b), foreign
fabric components cut to shape in the United States that are assembled
in a CBI beneficiary country into a footwear upper or assembled into
gloves classifiable in a provision that does not have a textile quota
category number have been considered to be outside the scope of the
articles excluded from this duty exemption. If, however, the term,
``textile or apparel product'' as used in Sec. 334(b)(4)(B) of the Act
is interpreted to cover the same articles covered by the term ``textile
or apparel product'' as used elsewhere in section 334(b) of the Act
[which include footwear and parts thereof and many articles that are
not classified in quota provisions], Customs would fail to give effect
to the legislative purpose behind this provision. Indeed, under such an
interpretation this provision would be nullified by the exception
contained therein, since no good can be ``assembled in whole of
components [cut to shape from foreign fabric in the United States] * *
*'' and still be considered to fall outside the scope of goods excluded
from the duty-free treatment allowed under the provision in question.
Therefore, solely for purposes of section 334(b)(4)(B) of the Act, it
is proposed to define the term ``textile or apparel product'' to
reflect the same interpretation previously given by Customs to the
terms ``textile article'' and ``apparel article'' under Note 2(b).
B. Proposed Amendments to Part 102
The proposed amendments to Part 102 set forth in this document
specifically implement sections 334(b) (1)-(3) and (5) of the Act.
These proposed changes affect Part 102 and other provisions of the
Customs Regulations.
The proposed amendments to Part 102 set forth in this document
represent the view of Customs on the application of the principles
contained in sections 334(b) (1)-(3) and (5) and are intended to be
used in all determinations of whether a textile good is the product of
a particular country, territory, or possession, except where other
statutory authority provides for application of a different origin
standard. Accordingly, starting on July 1, 1996, the final regulations
resulting from these proposed regulatory texts would take precedence
over any other conflicting provisions in Part 102 or elsewhere in the
Customs Regulations but would not control origin determinations
regarding textile and apparel products of Israel.
Scope of ``Textile or Apparel Product''
Section 334(b) of the Act sets forth principles governing the
determination of the origin of ``a textile or apparel product'' for
purposes of laws enforced by Customs. However, nowhere in the
legislation is ``textile or apparel product'' defined. Customs believes
that the principles in section 334(b) were intended to be applicable to
essentially the same goods to which Customs has applied the principles
of Sec. 12.130 of the Customs Regulations (19 CFR 12.130).
Section 12.130, which Customs currently follows in determining the
country of origin of textile products for most purposes, specifically
states that its provisions cover textiles and textile products subject
to section 204, Agricultural Act of 1956, as amended (7 U.S.C. 1854),
that is, merchandise which is the subject of an international textile
agreement. Customs has interpreted this to include all goods
classifiable in Section XI of the HTSUS and all goods classifiable
outside Section XI under a provision that has a textile and apparel
category number designation. However, Customs has ruled that while the
provisions of Sec. 12.130 are specifically applicable only for
international textile agreement purposes, the principles of Sec. 12.130
are applicable to all textiles and textile products for all purposes
(i.e., quota, marking and duty assessment).
The United States is a signatory to the Agreement Establishing the
World Trade Organization (the WTO Agreement) and to the Agreement on
Textiles and Clothing annexed thereto. In the Annex to the Agreement on
Textiles and Clothing, textile and clothing products are defined by
means of a listing of subheadings in the international Harmonized
Commodity Description and Coding System, or Harmonized System (which
has been implemented in the United States in the HTSUS). The
subheadings listed in the Annex to the Agreement on Textiles and
Clothing include some provisions which presently do not have a textile
and apparel category number currently associated with them. They also
do not include every provision contained in Harmonized System/HTSUS
Section XI (which covers textiles and textile articles).
Customs notes that sections 101(d)(4), 331 and 332 of the Act
specifically refer to the Agreement On Textiles And Clothing of the WTO
Agreement. Moreover, section 332 of the Act amended the second sentence
of section 204 of the Agricultural Act of 1956 to specifically
authorize the President to issue, in order to carry out a multilateral
agreement (``including but not limited to the Agreement on Textiles and
Clothing'' of the WTO Agreement), regulations governing the entry or
withdrawal from warehouse of articles covered by such an agreement that
are the products of countries which are not parties to the agreement or
to which the United States does not apply the agreement.
Customs believes that, in order to reflect the overall context in
which section 334 of the Act was enacted, the regulations implementing
the principles of section 334(b) must, with slight technical
modifications, have reference to the subheadings listed in the Annex to
the Agreement on Textiles and Clothing of the WTO Agreement. Customs
believes that, in the absence of a specific statutory definition,
Customs is required to determine the scope of section 334. In doing
this, Customs has considered the wording of section 334, its
development, and the context in which it was enacted.
Accordingly, it is the position of Customs that the regulations
implementing section 334(b) of the Act should apply to (1) all goods
classifiable in Section XI of the HTSUS and (2) with [[Page 27381]] one
exception, all goods classifiable under any subheading outside Section
XI that is listed in the Annex to the Agreement on Textiles and
Clothing of the WTO Agreement. This will avoid any possibility of
interpreting ``apparel product'' to include apparel products consisting
entirely of plastic or other nontextile component parts, which clearly
are not intended to be covered by section 334 of the Act.
The one exception to the subheadings listed in the WTO Agreement
concerns subheading 9113.90 which provides for watch straps, watch
bands, watch bracelets, and parts thereof. That subheading is further
broken down in the HTSUS into two 8-digit subheadings, only one of
which, subheading 9113.90.40, provides for goods of textile materials.
Customs believes that it would be inappropriate to treat clearly
nontextile goods as falling within the scope of ``textile or apparel
article'' as used in section 334(b) of the Act. Accordingly, the
definition of ``textile or apparel product'' in the proposed Part 102
regulatory texts set forth in this document includes a reference to
subheading 9113.90.40 but does not refer to subheading 9113.90.80 which
covers the remainder of the goods falling under subheading 9113.90.
Customs recognizes that, by referring to the Agreement on Textiles
and Clothing, the proposed rules of origin in this document will cover
some goods not presently considered to be within the purview of
Sec. 12.130 (for example, wadding and gauze impregnated or coated with
medicinals, umbrellas, automobile seat belts, parachutes, watch straps,
doll clothing).
General Approach in Proposed Rules
Customs proposes to implement the section 334(b) origin principles
within Part 102 as a new Sec. 102.21. This proposed new Sec. 102.21
includes an applicability provision (paragraph (a)) to clarify the
scope of the section, various definitions of terms used in the section
(paragraph (b)), five general origin rules (paragraph (c)) which apply
in a hierarchical and sequential manner, a special provision for sets
(paragraph (d)), and specific change in tariff classification rules
(paragraph (e)) which apply for purposes of the second general origin
rule. The proposed regulatory texts, and the section 334(b) principles
which they implement, are discussed in more detail below.
Proposed Sec. 102.21 would supersede those provisions of
Secs. 102.1 through 102.20 for those products that fall within the
scope of Sec. 102.21, except for the purpose of identifying products of
Israel for which Secs. 102.1 through 102.20 will remain in effect.
Customs expects that Part 102 will have been made effective for all
imports prior to July 1, 1996, when Sec. 102.21 will become effective.
Wholly Obtained or Produced
The first Sec. 102.21 general origin rule (paragraph (c)(1))
provides 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. This rule sets forth the principle
contained in section 334(b)(1)(A) of the Act. The definition of ``a
good wholly obtained or produced'' contained in present Sec. 102.1(g)
would apply for purposes of this proposed rule.
Change in Tariff Classification
Where a textile or apparel product is not wholly obtained or
produced in a single country, territory, or insular possession, the
second general origin rule (paragraph (c)(2)) provides that the country
of origin of such a good is the single country, territory, or insular
possession in which each material incorporated in the good underwent an
applicable change in tariff (HTSUS) classification specified in
paragraph (e). The proposed tariff shift rules contained in paragraph
(e) reflect the views of Customs on the results obtained when the
principles of section 334(b) of the Act are applied to specific textile
goods. Because Customs believes that the tariff shift approach
represents the most transparent and predictable method for determining
origin under the principles contained in section 334(b) of the Act, an
attempt has been made to reflect the application of those principles
within the proposed tariff shift rules to the greatest extent
practicable.
Assembly Versus Cutting
Under the rulings presently issued by Customs, the country of
origin of some textile products, particularly apparel products, is
often determined on the basis of where the components thereof were cut
to shape. Since promulgation of Sec. 12.130 in 1984, it has been
suggested to Customs that cutting components from fabric is an
extremely minor manufacturing operation and thus should not determine
origin. The position of Customs in regard to cutting, however, was not
predicated on the time or expense involved in that operation. Rather,
it was based on the physical change of the fabric and the result of the
cutting operation--a change from material which could be used for a
number of different purposes to a garment part that was dedicated to a
specific use in a specific type of garment.
Under section 334(b)(1)(D) of the Act, which applies to all goods
not covered by the preceding provisions of paragraph (b)(1) other than
goods covered by the special rules of section 334(b)(2), a textile or
apparel product has its origin in the country, territory, or possession
in which it is wholly assembled from its component pieces. In addition,
the ``multicountry rule'' of section 334(b)(3) of the Act discussed
below refers to the place in which the most important assembly or
manufacturing process occurs or the last place in which important
assembly or manufacturing occurs.
In view of the overall approach taken in section 334(b) of the Act,
including the fact that assembly is mentioned in three contexts as a
process conferring origin while no mention whatsoever is made of
cutting, and in view of its historical context, Customs believes that
section 334(b) was intended to eliminate cutting from playing any role
in determining the country of origin of textile and apparel products.
Accordingly, many of the tariff shift rules contained in paragraph (e)
of proposed new Sec. 102.21 have been drafted to reflect this
consideration.
Fabric-Making Process
Section 334(b)(1)(C) of the Act provides that if the product is a
fabric, its country of origin is the country, territory, or insular
possession in which ``the constituent fibers, filaments, or yarns are
woven, knitted, needled, tufted, felted, entangled, or transformed by
any other fabric-making process''. In view of the wording of this
statutory provision, Customs proposes to define the term ``fabric-
making process'' for purposes of proposed new Sec. 102.21 as including
only processes which advance basic materials (fibers, yarns, etc.) into
a fabric, thereby excluding any process which starts with a fabric and
ends up with a different type of fabric. Because of the existence of
spunbonded fabrics, which are produced by extruding polymers directly
into fabric form, the term ``polymers'' has been included in the
proposed definition. In addition, since twine, cordage, or rope may be
used to make a textile fabric (for example, a fabric of heading 5608),
those terms have also been included in the proposed definition.
Scope of ``Wholly Assembled''
The ``wholly assembled'' principle of section 334(b)(1)(D) of the
Act as discussed above has been assimilated into the tariff shift rules
under paragraph (e) of proposed Sec. 102.21. In
[[Page 27382]] addition, because the tariff shift rules will not always
yield an origin result, this principle has also been incorporated
within the third general origin rule under paragraph (c) of proposed
Sec. 102.21 with specific reference to goods not knit to shape which
are not covered by the special rules of section 334(b)(2) of the Act
and thus remain subject to the section 334(b)(1)(D) principle. For
purposes of Sec. 102.21, Customs proposes a definition of ``wholly
assembled'' which would embody the following principles:
1. The entire good must be assembled, and the assembly must take
place in a single country, territory, or insular possession. This is
intended to reflect the concept of ``wholly'' and to ensure, consistent
with the overall aim of the section 334(b) principles, the attribution
of a good to only one country, territory, or insular possession.
2. The assembly must, at a minimum, involve two separate components
that are combined to form the good. Section 334(b)(1)(D) of the Act
uses the terminology ``wholly assembled * * * from its component
pieces.'' Since the statute uses the plural ``pieces'', Customs
believes that Congress intended that the assembled good incorporate
more than one previously separate component. Accordingly, while it may
be argued that folding a fabric over on itself and stitching that fold
in place is an assembly, Customs does not believe that such a process
constitutes an assembly ``from its component pieces.'' Also, Customs
will not normally consider materials used to join components (for
example, sewing thread, rivets) as falling within the purview of the
term ``components'' as that term is used in this context.
3. Minor attachments and embellishments (for example, appliques,
beads, spangles, embroidery, buttons) which do not appreciably affect
the identity of the good are not required to be added to the good in
the country, territory, or insular possession where the ``component
pieces'' are assembled into the good in order for that good to qualify
as ``wholly assembled'' in a single country, territory, or insular
possession. This principle is included in the proposed definition
because, once assembled, the product exists whether or not minor
attachments and embellishments are attached and because Customs does
not believe that Congress intended that a simple process, such as
attaching a few buttons or beads to a good, should be allowed to
nullify the assembly rule of origin principle. Moreover, Customs notes
that the origin result would be the same even if the addition of minor
attachments and embellishments were to disqualify the good from being
``wholly assembled'' in one country, territory, or insular possession.
For example, where fabric from Country A is cut in Country B, all the
cut pieces are assembled into a shirt in Country C, and the buttons are
attached to the shirt in Country D, even if it were argued that the
shirt does not qualify as ``wholly assembled'' in Country C, that shirt
would still have its origin in Country C by application of the first
``multicountry rule'' under section 334(b)(3) of the Act because
Country C is the country in which the most important assembly or
manufacturing process occurs. For essentially the same reasons, the
proposed definition of ``wholly assembled'' also contains an exception
for minor subassemblies (for example, collars, cuffs, plackets,
pockets).
Special Rules for Certain HTSUS Headings and Subheadings
Section 334(b)(2)(A) of the Act provides that the origin of a good
classifiable under one of the HTSUS provisions enumerated therein
``shall be determined under subparagraph (A), (B), or (C) of paragraph
(1), as appropriate''. Subparagraph (A) provides for products ``wholly
obtained or produced'' in a country, territory, or possession.
Subparagraph (B) provides rules for determining the country of origin
of yarn, thread, twine, cordage, rope, cable, and braiding.
Subparagraph (C) sets out a rule of origin for fabric.
The words ``as appropriate'' in section 334(b)(2)(A) of the Act
appear to have created some confusion regarding the application of that
statutory provision. In this regard it has been suggested to Customs,
for example, that because neither a bed sheet nor a comforter (each of
which is classifiable in a tariff provision listed in section
334(b)(2)(A)) is a fabric, it would not be appropriate to determine the
origin of the sheet or comforter by resorting to subparagraph (1)(C)
which on its face covers only fabric. Customs does not agree with this
suggested interpretation because all of the HTSUS provisions listed in
section 334(b)(2)(A) cover goods that have been advanced beyond the
form of (in other words, have been made from) yarn, thread, etc., or
fabric. Accordingly, the suggested interpretation would make a nullity
of section 334(b)(2)(A).
Customs believes that the words ``as appropriate'' in section
334(b)(2)(A) of the Act are simply intended to alert the reader to use
common sense. For example, when determining the origin of a bed sheet
cut and finished in Country B from fabric woven in Country A, the
appropriate rule is subparagraph (1)(C) which concerns the origin of
fabrics. Subparagraph (1)(A) cannot be used because the sheet was not
wholly produced in a single country, and subparagraph (1)(B), which
concerns yarns, twine, etc., obviously is not applicable because the
sheet is made from a fabric. The proposed tariff shift rules set forth
in this document for goods classified in the HTSUS provisions
enumerated in section 334(b)(2)(A) of the Act have been drafted to
reflect this position.
Knit-To-Shape Garments
Section 334(b)(2)(B) of the Act provides that ``a textile or
apparel product which is knit to shape'' shall be considered to
originate in the country, territory, or insular possession in which it
is knit. This statutory provision is reflected in proposed Sec. 102.21
both under the third general origin rule (paragraph (c)(3)) and in the
tariff shift rules under paragraph (e).
While Sec. 12.130(e)(2)(iii) of the Customs Regulations presently
addresses the assembly of ``knit-to-shape component parts'', section
334(b)(2)(B) of the Act applies the knit-to-shape concept to the
imported article as a whole. Because of the wording used in
Sec. 12.130, the present position of Customs is that if a garment
contains at least one major knit-to-shape component, the presence of
that component will preclude the assembly of that garment from
conferring origin.
Customs believes that the phrase ``knit to shape'' should be
defined for purposes of proposed new Sec. 102.21. Accordingly, focusing
on the entire article (as opposed to the components comprising that
article), Customs proposes to define the phrase ``knit to shape'' as
referring to a good with an exterior surface wholly comprised of fabric
knitted directly to the shape used in the good (except for neck and
front opening trim), with no consideration being given to minor cutting
or trimming. This means that if an article consists of more than one
component, all exterior components (except for neck and front opening
trim) must be formed by knitting into the general shape that they are
found in the article in order for the knitting to confer origin.
Multicountry Rule
In some cases the proposed tariff shift rules were drafted to
reflect an origin result that would be reached for specific goods by
application of the ``multicountry rule'' contained in section 334(b)(3)
of the Act. The ``multicountry rule'' provides that where the origin of
a good cannot be determined under the general or special
[[Page 27383]] rules set forth in section 334(b)(1) or (2) of the Act,
the good shall be considered to have its origin either in the country,
territory, or insular possession in which the most important assembly
or manufacturing process occurs or (in effect, if two or more equally
important assembly or manufacturing processes are attributable to
different countries, territories or insular possessions) in the last
country, territory, or insular possession in which important assembly
or manufacturing occurs. The two parts of this ``multicountry rule''
are also set forth separately as the proposed fourth (paragraph (c)(4))
and fifth (paragraph (c)(5)) general origin rules in recognition of the
fact that the tariff shift rules will not always yield an origin
result.
Treatment of Sets
A set is two or more articles, each classifiable under a different
tariff heading, which, when packaged together, meet a particular need
or carry out a specific activity. As such, the entire set is usually
classifiable as a unit under a single tariff subheading. In T.D. 91-7,
25 Cust. Bull. 7 (1991), Customs determined that each component not
substantially transformed as a result of its inclusion in a set must be
individually marked to indicate its own country of origin. This marking
requirement is applicable to all goods, not just textiles. In addition,
in order to prevent circumvention of international textile agreements,
Customs, at the direction of the Committee for the Implementation of
Textile Agreements, has for years been requiring that textile
components of a set be broken out on a Customs Form 7501 (Customs
Entry/Entry Summary) to meet quota/visa requirements.
Section 334(b) of the Act, and the legislative history relating
thereto, are silent on the determination of the country of origin of
sets. Customs believes that this omission was not inadvertent and that
Congress intended that the present practice of Customs continue for
purposes of applying the origin principles contained in section 334(b).
Accordingly, Customs proposes to include in new Sec. 102.21 a paragraph
(d) to provide that in the case of goods which are classifiable as sets
and which include one or more components that are textile or apparel
products, the country, territory, or insular possession of origin of
each such textile or apparel component shall be determined separately
under the rules set forth in paragraph (c) of Sec. 102.21.
Comments
Before adopting the proposed amendments as a final rule,
consideration will be given to any written comments (preferably in
triplicate) timely submitted to Customs. Comments submitted will be
available for public inspection in accordance with the Freedom of
Information Act (5 U.S.C. 552), Sec. 1.4, Treasury Department
Regulations (31 CFR 1.4), and Sec. 103.11(b), Customs Regulations (19
CFR 103.11(b)), on regular business days between the hours of 9:00 a.m.
and 4:30 p.m. at the Regulations Branch, Office of Regulations and
Rulings, Franklin Court, 1099 14th Street, NW., Suite 4000, Washington,
DC.
Executive Order 12866
This document does not meet the criteria for a ``significant
regulatory action'' as specified in E.O. 12866.
Regulatory Flexibility Act
Pursuant to the provisions of the Regulatory Flexibility Act (5
U.S.C. 601 et seq.), it is certified that, if adopted, the proposed
amendments will not have a significant economic impact on a substantial
number of small entities. Accordingly, the proposed amendments are not
subject to the regulatory analysis or other requirements of 5 U.S.C.
603 and 604.
Paperwork Reduction Act
The collection of information requirements contained in this notice
of proposed rulemaking have been submitted to the Office of Management
and Budget for review in accordance with the Paperwork Reduction Act of
1980 (44 U.S.C. 3504(h)). Comments on the collection of information
should be sent to the Office of Management and Budget, Attention: Desk
Officer for the Department of the Treasury, Office of Information and
Regulatory Affairs, Washington, DC. 20503. A copy should also be sent
to Customs at the address set forth previously.
The collection of information in these proposed regulations is in
Sec. 10.25. This information is used by Customs to determine whether
articles assembled abroad from textile components cut to shape in the
United States from foreign fabric are entitled to reduced or duty-free
treatment under section 334(b)(4)(A) of the Act or under the CBI. The
likely respondents are business organizations including importers,
exporters, and manufacturers.
Estimated total annual reporting and/or recordkeeping burden: 750
hours.
Estimated average annual burden per respondent/recordkeeper: 1.5
hours.
Estimated number of respondents and/or recordkeepers: 500.
Estimated annual frequency of responses: 2,000.
Drafting Information: The principal author of this document was
Francis W. Foote, Office of Regulations and Rulings, U.S. Customs
Service. However, personnel from other offices participated in its
development.
List of Subjects
19 CFR Part 10
Customs duties and inspection, Imports, Reporting and recordkeeping
requirements.
19 CFR Part 12
Customs duties and inspection, Labeling, Marking, Reporting and
recordkeeping requirements, Textiles and textile products.
19 CFR Part 102
Customs duties and inspections, Imports, Reporting and
recordkeeping requirements, Rules of origin, Trade agreements.
Proposed Amendments to the Regulations
For the reasons stated above, it is proposed to amend Parts 10, 12
and 102, Customs Regulations (19 CFR Parts 10, 12 and 102), as set
forth below.
PART 10--ARTICLES CONDITIONALLY FREE, SUBJECT TO A REDUCED RATE,
ETC.
1. The general authority citation for Part 10 and the specific
authority citations for Secs. 10.191-10.198 continue to read, and a
specific authority citation for Secs. 10.25 and 10.26 is added to read,
as follows:
Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized
Tariff Schedule of the United States), 1321, 1481, 1484, 1498, 1508,
1623, 1624;
* * * * *
Sections 10.25 and 10.26 also issued under 19 U.S.C. 3592;
* * * * *
Sections 10.191-10.198 also issued under 19 U.S.C. 2701 et seq.;
* * * * *
2. Sections 10.25 and 10.26 are added under the heading ``Articles
assembled abroad with United States components'' to read as follows:
Sec. 10.25 Textile components cut to shape in the United States and
assembled abroad.
Where a textile component is cut to shape (but not to length,
width, or both) in the United States from foreign fabric and exported
to another country, territory, or insular possession for assembly into
an article that is then returned to the United States and entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996, the
value of the textile component shall not be included in the dutiable
value of [[Page 27384]] the article. For purposes of determining
whether a reduction in the dutiable value of an imported article may be
allowed under this section:
(a) The terms ``textile component'' and ``fabric'' have reference
only to goods covered by the definition of ``textile or apparel
product'' set forth in Sec. 102.21(b)(4) of this chapter;
(b) The operations performed abroad on the textile component shall
conform to the requirements and examples set forth in Sec. 10.16
insofar as they may be applicable to a textile component; and
(c) The valuation and documentation provisions of Secs. 10.17,
10.18, 10.21 and 10.24 shall apply.
Sec. 10.26 Articles assembled or processed in a beneficiary country in
whole of U.S. components or ingredients; articles assembled in a
beneficiary country from textile components cut to shape in the United
States.
(a) No article (except a textile article, apparel article, or
petroleum, or any product derived from petroleum, provided for in
heading 2709 or 2710, Harmonized Tariff Schedule of the United States
(HTSUS)) shall be treated as a foreign article or as subject to duty:
(1) If the article is assembled or processed in a beneficiary
country in whole of fabricated components that are a product of the
United States; or
(2) If the article is processed in a beneficiary country in whole
of ingredients (other than water) that are a product of the United
States; and
(3) Neither the fabricated components, materials or ingredients
after their exportation from the United States, nor the article before
its importation into the United States, enters into the commerce of any
foreign country other than a beneficiary country.
(b) No article (except a textile or apparel product) entered, or
withdrawn from warehouse, for consumption on or after July 1, 1996,
shall be treated as a foreign article or as subject to duty:
(1) If the article is assembled in a beneficiary country in whole
of textile components cut to shape (but not to length, width, or both)
in the United States from foreign fabric; or
(2) If the article is assembled in a beneficiary country in whole
of both textile components described in paragraph (b)(1) and components
that are products of the United States; and
(3) Neither the components after their exportation from the United
States, nor the article before its importation into the United States,
enters into the commerce of any foreign country other than a
beneficiary country.
(c) For purposes of this section:
(1) The terms ``textile article'', ``apparel article'', and
``textile or apparel product'' cover all articles, other than footwear
and parts of footwear, that are classifiable in an HTSUS subheading
which carries a textile and apparel category number designation;
(2) The term ``beneficiary country'' has the meaning set forth in
Sec. 10.191(b)(1); and
(3) A component or an article shall be deemed to have not entered
into the commerce of any foreign country other than a beneficiary
country if:
(i) The component was shipped directly from the United States to a
beneficiary country, or the article was shipped directly to the United
States from a beneficiary country, without passing through the
territory of any non-beneficiary country; or
(ii) Where the component or article passed through the territory of
a non-beneficiary country while en route to a beneficiary country or
the United States:
(A) The invoices, bills of lading, and other shipping documents
pertaining to the component or article show a beneficiary country or
the United States as the final destination and the component or article
was neither sold at wholesale or retail nor subjected to any processing
or other operation in the non-beneficiary country; or
(B) The component or article remained under the control of the
customs authority of the non-beneficiary country and was not subjected
to operations in that non-beneficiary country other than loading and
unloading and activities necessary to preserve the component or article
in good condition.
3. In Sec. 10.195, paragraphs (d) and (e) are redesignated as
paragraphs (e) and (f) respectively and a new paragraph (d) is added to
read as follows:
Sec. 10.195 Country of origin criteria.
* * * * *
(d) Textile components cut to shape in the U.S. The percentage
referred to in paragraph (c) of this section may be attributed in whole
or in part to the cost or value of a textile component that is cut to
shape (but not to length, width, or both) in the U.S. (including the
Commonwealth of Puerto Rico) from foreign fabric and exported to a
beneficiary country for assembly into an article that is then returned
to the U.S. and entered, or withdrawn from warehouse, for consumption
on or after July 1, 1996. For purposes of this paragraph, the terms
``textile component'' and ``fabric'' have reference only to goods
covered by the definition of ``textile or apparel product'' set forth
in Sec. 102.21(b)(4) of this chapter.
* * * * *
PART 12--SPECIAL CLASSES OF MERCHANDISE
1. The authority citation for Part 12 continues to read in part as
follows:
Authority: 5 U.S.C. 301; 19 U.S.C. 66, 1202 (General Note 20,
Harmonized Tariff Schedule of the United States (HTSUS)), 1624;
* * * * *
Sections 12.130 and 12.131 also issued under 7 U.S.C. 1854;
* * * * *
Sec. 12.130 [Amended]
2. In Sec. 12.130:
a. The last sentence of paragraph (b) is amended by adding after
``Mexico'' the words ``, and the origin of textile and apparel products
covered by Sec. 102.21 of this chapter,'';
b. The last sentence of the introductory text of paragraph (d) is
amended by adding after ``Mexico'' the words ``, and the origin of
textile and apparel products covered by Sec. 102.21 of this chapter,'';
and
c. The introductory text of paragraph (e)(1) is amended by adding
after ``Mexico'' the words ``and except for textile and apparel
products''.
PART 102--RULES OF ORIGIN
1. The authority citation for Part 102 is revised to read as
follows:
Authority: 19 U.S.C. 66, 1202 (General Note 20, Harmonized
Tariff Schedule of the United States), 1624, 3314, 3592.
2. Section 102.0 is amended by removing the word ``This'' at the
beginning of the first sentence and adding, in its place, the words
``Except in the case of goods covered by Sec. 102.21, this'' and by
adding a sentence at the end to read as follows:
Sec. 102.0 Scope.
* * * The rules for determining the country of origin of textile
and apparel products set forth in Sec. 102.21 apply for the foregoing
purposes and for the other purposes stated in that section.
2. Section 102.11 is amended by adding an introductory paragraph
before paragraph (a) to read as follows:
Sec. 102.11 General rules.
The following rules shall apply for purposes of determining the
country of origin of imported goods other than textile and apparel
products covered by Sec. 102.21.
* * * * *
3. Section 102.21 is added to read as follows:
Sec. 102.21 Textile and apparel products.
(a) Applicability. Except for purposes of determining whether goods
originate [[Page 27385]] in Israel or are the growth, product, or
manufacture of Israel, and except as otherwise provided for by statute,
the provisions of this section shall control the determination of the
country of origin of imported textile and apparel products for purposes
of the Customs laws and the administration of quantitative
restrictions. The provisions of this section shall apply to goods
entered, or withdrawn from warehouse, for consumption on or after July
1, 1996.
(b) Definitions. The following terms shall have the meanings
indicated when used in this section:
(1) Country of origin. The term ``country of origin'' means the
country, territory, or insular possession in which a good originates or
of which a good is the growth, product, or manufacture.
(2) Fabric-making process. A ``fabric-making process'' is any
manufacturing operation which begins with polymers, fibers, filaments
(including strips), yarns, twine, cordage, or rope, and results in a
textile fabric.
(3) Knit to shape. The term ``knit to shape'' applies to any good
with an exterior surface area wholly comprised of one or more fabrics
knitted or crocheted directly to the shape used in the good (except for
fabric used for trimming the neck or front opening). Minor cutting or
trimming of fabric will not affect the determination of whether a good
is ``knit to shape.''
(4) Textile or apparel product. A ``textile or apparel product'' is
any good classifiable in Chapters 50 through 63, Harmonized Tariff
Schedule of the United States (HTSUS), and any good classifiable under
one of the following HTSUS headings or subheadings:
3005.90
3921.12.15
3921.13.15
3921.90.2550
4202.12.40-80
4202.22.40-80
4202.32.40-95
4202.92.15-30
4202.92.60-90
6405.20.60
6406.10.77
6406.10.90
6406.99.15
6501
6502
6503
6504
6505.90
6601.10-99
7019.10.15
7019.10.28
7019.20
8708.21
8804
9113.90.40
9404.90.10
9404.90.80-95
9502.91
9612.10.9010
(5) Wholly assembled. The term ``wholly assembled'' when used with
reference to a good means that all components, of which there must be
at least two, preexisted in essentially the same condition as found in
the finished good and were combined to form the finished good in a
single country, territory, or insular possession. Minor attachments and
minor embellishments (for example, appliques, beads, spangles,
embroidery, buttons) not appreciably affecting the identity of the
good, and minor subassemblies (for example, collars, cuffs, plackets,
pockets), will not affect the status of a good as ``wholly assembled''
in a single country, territory, or insular possession.
(c) General rules. Subject to paragraph (d) of this section, the
country of origin of a textile or apparel product shall be determined
by sequential application of paragraphs (c) (1) through (5) of this
section and, in each case where appropriate to the specific context, by
application of the additional requirements or conditions of
Secs. 102.12 through 102.19 of this part.
(1) 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.
(2) 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 each 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.
(3) 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) 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.
(4) 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.
(5) 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.
(d) Treatment of sets. Where a good classifiable in the HTSUS as a
set includes one or more components that are textile or apparel
products and a single country of origin for all of the components of
the set cannot be determined under paragraph (c) of this section, the
country of origin of each component of the set that is a textile or
apparel product shall be determined separately under paragraph (c) of
this section.
(e) Specific rules by tariff classification. 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:
----------------------------------------------------------------------------------------------------------------
HTSUS Tariff shift and/or other requirements
----------------------------------------------------------------------------------------------------------------
3005.90.......................... If the good contains pharmaceutical substances, a change to subheading
3005.90 from any other heading; or, If the good does not contain
pharmaceutical substances, a change to subheading 3005.90 from any other
heading, except from heading 5007, 5111 through 5113, 5208 through 5212,
5309 through 5311, 5407 through 5408, 5512 through 5516, 5601 through 5603,
5801 through 5804, 5806, 5809, 5903, 5906 through 5907, and 6001 through
6002.
3921.12.15....................... A change to subheading 3921.12.15 from any other heading.
3921.13.15....................... A change to subheading 3921.13.15 from any other heading.
3921.90.2550..................... A change to subheading 3921.90.2550 from any other heading.
4202.12.40-4202.12.80............ A change to subheading 4202.12.40 through 4202.12.80 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
[[Page 27386]]
4202.22.40-4202.22.80............ A change to subheading 4202.22.40 through 4202.22.80 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
4202.32.40-4202.32.95............ A change to subheading 4202.32.40 through 4202.32.95 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
4202.92.15-4202.92.30............ A change to subheading 4202.92.15 through 4202.92.30 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
4202.92.60-4202.92.90............ A change to subheading 4202.92.60 through 4202.92.90 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
5001-5002........................ A change to heading 5001 through 5002 from any other chapter.
5003............................. A change to heading 5003 from any other heading, provided that the change is
the result of garnetting. If the change to heading 5003 is not the result of
garnetting, the country of origin of the good is the country of origin of
the good prior to its becoming waste.
5004-5006........................ (1) If the good is of staple fibers, a change to heading 5004 through 5006
from any heading outside that group, provided that the change is the result
of a spinning process.
(2) If the good is of filaments, a change to heading 5004 through 5006 from
any heading outside that group, provided that the change is the result of an
extrusion process.
5007............................. A change to heading 5007 from any other heading, provided that the change is
the result of a fabric-making process.
5101-5103........................ A change to heading 5101 through 5103 from any other chapter.
5104............................. A change to heading 5104 from any other heading.
5105............................. A change to heading 5105 from any other chapter.
5106-5110........................ A change to heading 5106 through 5110 from any heading outside that group,
provided that the change is the result of a spinning process.
5111-5113........................ A change to heading 5111 through 5113 from any heading outside that group,
provided that the change is the result of a fabric-making process.
5201............................. A change to heading 5201 from any other chapter.
5202............................. A change to heading 5202 from any other heading, provided that the change is
the result of garnetting. If the change to heading 5202 is not the result of
garnetting, the country of origin of the good is the country of origin of
the good prior to its becoming waste.
5203............................. A change to heading 5203 from any other chapter.
5204-5207........................ A change to heading 5204 through 5207 from any heading outside that group,
provided that the change is the result of a spinning process.
5208-5212........................ A change to heading 5208 through 5212 from any heading outside that group
provided the change is the result of a fabric-making process.
5301-5305........................ (1) Except for waste, a change to heading 5301 through 5305 from any other
chapter.
(2) For waste, a change to heading 5301 through 5305 from any heading outside
that group, provided that the change is the result of garnetting. If the
change is not the result of garnetting, the country of origin of the good is
the country of origin of the good prior to its becoming waste.
5306-5307........................ A change to heading 5306 through 5307 from any heading outside that group,
provided that the change is the result of a spinning process.
5308............................. (1) Except for paper yarns, a change to heading 5308 from any other heading,
provided that the change is the result of a spinning process.
(2) For paper yarns, a change to heading 5308 from any other heading, except
from heading 4707, 4801 through 4806, 4811, and 4818.
5309-5311........................ A change to heading 5309 through 5311 from any heading outside that group,
provided that the change is the result of a fabric-making process.
5401-5406........................ A change to heading 5401 through 5406 from any other heading, provided that
the change is the result of an extrusion process.
5407-5408........................ A change to heading 5407 through 5408 from any heading outside that group,
provided that the change is the result of a fabric-making process.
5501-5502........................ A change to heading 5501 through 5502 from any other chapter, provided that
the change is the result of an extrusion process.
5503-5504........................ A change to heading 5503 through 5504 from any other chapter, except from
Chapter 54.
5505............................. A change to heading 5505 from any other heading, provided that the change is
the result of garnetting. If the change is not the result of garnetting, the
country of origin of the good is the country of origin of the good prior to
its becoming waste.
5506-5507........................ A change to heading 5506 through 5507 from any other chapter, except from
Chapter 54.
5508-5511........................ A change to heading 5508 through 5511 from any heading outside that group,
provided that the change is the result of a spinning process.
5512-5516........................ A change to heading 5512 through 5516 from any heading outside that group,
provided that the change is the result of a fabric-making process.
5601............................. (1) A change to wadding of heading 5601 from any other heading, except from
heading 5105, 5203, and 5501 through 5507.
(2) A change to flock, textile dust, mill neps, or articles of wadding, of
heading 5601 from any other heading or from wadding of heading 5601.
5602-5603........................ A change to heading 5602 through 5603 from any heading outside that group,
provided that the change is the result of a fabric-making process.
5604............................. (1) If the textile component is of continuous filaments, including strips, a
change of those filaments, including strips, to heading 5604 from any other
heading, except from heading 5001 through 5007, 5401 through 5408, and 5501
through 5502, and provided that the change is the result of an extrusion
process.
(2) If the textile component is of staple fibers, a change of those fibers to
heading 5604 from any other heading, except from heading 5004 through 5006,
5106 through 5110, 5204 through 5207, 5306 through 5308, and 5508 through
5511, and provided that the change is the result of a spinning process.
[[Page 27387]]
5605-5606........................ If the good is of continuous filaments, including strips, a change of those
filaments, including strips, to heading 5605 through 5606 from any other
heading, except from heading 5001 through 5007, 5401 through 5408, and 5501
through 5502, and provided that the change is the result of an extrusion
process; or
If the good is of staple fibers, a change of those fibers to heading 5605
through 5606 from any other heading, except from heading 5106 through 5110,
5204 through 5207, 5306 through 5308, and 5508 through 5511, and provided
that the change is the result of a spinning process.
5607............................. If the good is of continuous filaments, including strips, a change of those
filaments, including strips, to heading 5607 from any other heading, except
from heading 5001 through 5007, 5401 through 5406, and 5501 through 5511,
and provided that the change is the result of an extrusion process; or
If the good is of staple fibers, a change of those fibers to heading 5607
from any other heading, except from heading 5106 through 5110, 5204 through
5207, 5306 through 5308, and 5508 through 5511, and provided that the change
is the result of a spinning process.
5608............................. (1) A change to netting of heading 5608 from any other heading, except from
heading 5804, and provided that the change is the result of a fabric-making
process.
(2) A change to fishing nets or other made up nets of heading 5608:
(a) If the good does not contain nontextile attachments, from any other
heading, except from heading 5804 and 6002, and provided that the change is
the result of a fabric-making process; or
(b) If the good contains nontextile attachments, from any heading, including
a change from another good of heading 5608, provided that the change is the
result of the good being wholly assembled in a single country, territory, or
insular possession.
5609............................. (1) If the good is of continuous filaments, including strips, a change of
those filaments, including strips, to heading 5609 from any heading, except
from heading 5001 through 5007, 5401 through 5406, 5501 through 5502, and
5604 through 5607, and provided that the change is the result of an
extrusion process.
(2) If the good is of staple fibers, a change of those fibers to heading 5609
from any other heading, except from heading 5106 through 5110, 5204 through
5207, 5306 through 5308, 5508 through 5511, and 5604 through 5607, and
provided that the change is the result of a spinning process.
5701-5705........................ A change to heading 5701 through 5705 from any other chapter.
5801-5803........................ A change to heading 5801 through 5803 from any other heading, including a
heading within that group, except from heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, and
6002, and provided that the change is the result of a fabric-making process.
5804.10.......................... A change to subheading 5804.10 from any other heading, except from heading
5608, and provided that the change is the result of a fabric-making process.
5804.21-5804.30.................. A change to subheading 5804.21 through 5804.30 from any other heading,
provided that the change is the result of a fabric-making process.
5805............................. A change to heading 5805 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
and 5512 through 5516, and provided that the change is the result of a
fabric-making process.
5806............................. A change to heading 5806 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, and 5801 through 5803, and provided that the change is
the result of a fabric-making process.
5807............................. A change to heading 5807 from any other chapter, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5602 through 5603, and 6001 through 6002, and subheading
6307.90, and provided that the change is the result of a fabric-making
process.
5808.10.......................... (1) If the good is of continuous filaments, including strips, a change of
those filaments, including strips, to subheading 5808.10 from any heading,
except from heading 5001 through 5007, 5401 through 5406, 5501 through 5502,
and 5604 through 5607, and provided that the change is the result of an
extrusion process.
(2) If the good is of staple fibers, a change of those fibers to heading
5808.10 from any other heading, except from heading 5106 through 5113, 5204
through 5212, 5306 through 5311, 5401 through 5408, 5508 through 5516, and
5604 through 5607, and provided that the change is the result of a spinning
process.
5808.90.......................... (1) For ornamental fabric trimmings, a change to subheading 5808.90 from any
other chapter, except from heading 5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through 5408, and 5512 through 5516, and
provided that the change is the result of a fabric-making process.
(2) For nonfabric ornamental trimmings:
(a) If the trimming is of continuous filaments, including strips, a change to
subheading 5808.90 from any other heading, except from heading 5001 through
5007, 5401 through 5408, 5501 through 5502, and 5604 through 5607, and
provided that the change is the result of an extrusion process; or
(b) If the trimming is of staple fibers, a change to subheading 5808.90 from
any other heading, except from heading 5106 through 5113, 5204 through 5212,
5306 through 5311, 5401 through 5408, 5508 through 5516, and 5604 through
5607, and provided that the change is the result of a spinning process.
(3) For tassels, pompons and similar articles:
(a) If the good has been wholly assembled in a single country, territory, or
insular possession, a change to subheading 5808.90 from any other heading;
(b) If the good has not been wholly assembled in a single country, territory,
or insular possession and the good is of staple fibers, a change to
subheading 5808.90 from any other heading, except from heading 5004 through
5006, 5106 through 5110, 5204 through 5207, 5306 through 5308, and 5508
through 5511, and 5604 through 5607, and provided that the change is the
result of a spinning process; or
(c) If the good has not been wholly assembled in a single country, territory,
or insular possession and the good is of filaments, including strips, a
change to subheading 5808.90 from any other heading, except from heading
5001 through 5007, 5401 through 5406, and 5501 through 5502, and provided
that the change is the result of an extrusion process.
5809............................. A change to heading 5809 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5801 through 5802, 5804, and 5806, and provided that the
change is the result of a fabric-making process.
5810.10.......................... A change to subheading 5810.10 from any other heading.
[[Page 27388]]
5810.91-5810.99.................. A change to subheading 5810.91 through 5810.99 from any other chapter, except
from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516, 5602 through 5603, 5608, 5903, 5907,
and 6001 through 6002, and provided that the change is the result of a
fabric-making process.
5811............................. A change to heading 5811 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5601 through 5604, 5801 through 5804, 5806, 5809 through
5810, 5903, 5907, and 6001 through 6002, and subheading 6307.90, and
provided that the change is the result of a fabric-making process.
5901-5903........................ A change to heading 5901 through 5903 from any other heading, including a
heading within that group, except from heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5803,
5806, 5808, and 6002, and provided that the change is the result of a fabric-
making process.
5904............................. A change to heading 5904 from any other heading, provided that the change is
the result of the good being wholly assembled in a single country,
territory, or insular possession.
5905............................. A change to heading 5905 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5603, 5803, 5806, 5808, and 6002, and provided that the
change is the result of a fabric-making process.
5906-5907........................ A change to heading 5906 through 5907 from any other chapter, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5803, 5806, 5808, and 6002, and provided
that the change is the result of a fabric-making process.
5908............................. (1) Except for yarns, twine, cord, and braid, a change to heading 5908 from
any other heading, except from heading 5007, 5111 through 5113, 5208 through
5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5801 through
5802, 5806, 5808, and 6001 through 6002.
(2) For yarns, twine, cord, and braid:
(a) If the good is of continuous filaments, including strips, a change to
heading 5908 from any other heading, except from heading 5001 through 5007,
5401 through 5406, and 5501 through 5502, and provided that the change is
the result of an extrusion process; or
(b) If the good is of staple fibers, a change to heading 5908 from any other
heading, except from heading 5106 through 5110, 5204 through 5207, 5306
through 5308, and 5508 through 5511, and 5605 through 5607, and provided
that the change is the result of a spinning process.
5909............................. A change to heading 5909 from any other chapter, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5603, 5801 through 5804, 5806, 5808, and 6001 through
6002, and provided that the good does not contain armor or accessories of
nontextile material and provided that the change is the result of a fabric-
making process; or
A change to textile hosepiping with armor or accessories of nontextile
material, of heading 5909, from any heading, including a change from another
good of heading 5909, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
5910............................. (1) For belts and belting of braid, rope, or cord:
(a) If the good is of continuous filaments, including strips, a change of
those filaments, including strips, to heading 5910 from any other heading,
except from heading 5001 through 5006, 5401 through 5406, and 5501 through
5502, and provided that the change is the result of an extrusion process; or
(b) If the good is of staple fibers, a change of those fibers to heading 5910
from any other heading, except from heading 5106 through 5110, 5204 through
5207, 5306 through 5308, and 5508 through 5511, and provided that the change
is the result of a spinning process.
(2) For fabric belting and belts, not braids and not combined with nontextile
components, whether or not reinforced with metal or other material, a change
to heading 5910 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5801 through 5804, 5806, 5808 through 5809,
and 6001 through 6002, and provided the change is the result of a fabric-
making process.
(3) For fabric belts, including belts of braided materials, combined with
nontextile components, whether or not reinforced with metal or other
material, a change to heading 5910 from any heading, including a change from
another good of heading 5910, provided that the change is the result of the
good being wholly assembled in a single country, territory, or insular
possession.
5911.10-5911.40.................. A change to subheading 5911.10 through 5911.40 from any other heading, except
from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5804,
5806, and 6001 through 6002, and provided that the change is the result of a
fabric-making process.
5911.90.......................... (1) For goods of yarn, rope, cord, braid:
(a) If the good is of continuous filaments, including strips, a change of
those filaments, including strips, to subheading 5911.90 from any other
heading, except from heading 5001 through 5006, 5401 through 5406, and 5501
through 5502, and provided that the change is the result of an extrusion
process; or
(b) If the good is of staple fibers, a change of those fibers to subheading
5911.90 from any other heading, except from heading 5106 through 5110, 5204
through 5207, 5306 through 5308, and 5508 through 5511, and provided that
the change is the result of a spinning process.
(2) If the good is a fabric, a change to subheading 5911.90 from any other
heading, except from heading 5007, 5111 through 5113, 5208 through 5212,
5309 through 5311, 5407 through 5408, 5512 through 5516, 5602 through 5603,
5801 through 5804, 5806, 5809, and 6001 through 6002, and provided that the
change is the result of a fabric-making process.
(3) If the good is a made up article, a change to subheading 5911.90 from any
heading, including a change from another good of heading 5911, provided that
the change is the result of the good being wholly assembled in a single
country, territory, or insular possession.
6001-6002........................ A change to heading 6001 through 6002 from any heading outside that group,
provided that the change is the result of a fabric-making process.
[[Page 27389]]
6101-6117........................ (1) If the good is not knit to shape and consists of two or more component
parts, a change to an assembled good of heading 6101 through 6117 from
unassembled components, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good is not knit to shape and does not consist of two or more
component parts, a change to heading 6101 through 6117 from any heading
outside that group, except from heading 5007, 5111 through 5113, 5208
through 5212, 5309 through 5311, 5407 through 5408, 5512 through 5516, 5806,
5809 through 5811, 5903, 5906 through 5907, and 6001 through 6002, and
subheading 6307.90, and provided that the change is the result of a fabric-
making process.
(3) If the good is knit to shape, a change to heading 6101 through 6117 from
any heading outside that group, provided that the knit-to-shape components
are knit in a single country, territory, or insular possession.
6201-6208........................ (1) If the good consists of two or more component parts, a change to an
assembled good of heading 6201 through 6208 from unassembled components,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to
heading 6201 through 6208 from any heading outside that group, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907, and 6217, and subheading 6307.90, and
provided that the change is the result of a fabric-making process.
6209.10.0000-6209.20.5035........ (1) If the good consists of two or more component parts, a change to an
assembled good of subheading 6209.10.0000 through 6209.20.5035 from
unassembled components, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more component parts, a change to
subheading 6209.10.0000 through 6209.20.5035 from any other heading, except
from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806,
5809 through 5811, 5903, 5906 through 5907, and 6217, and subheading
6307.90, and provided that the change is the result of a fabric-making
process.
6209.20.5040..................... A change to subheading 6209.20.5040 from any other heading, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907, and 6217, and subheading 6307.90, and
provided that the change is the result of a fabric-making process.
6209.20.5045-6209.90.9000........ (1) If the good consists of two or more component parts, a change to an
assembled good of subheading 6209.20.5045 through 6209.90.9000 from
unassembled components, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more component parts, a change to
subheading 6209.20.5045 through 6209.90.9000 from any other heading, except
from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311,
5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806,
5809 through 5811, 5903, 5906 through 5907, and 6217, and subheading
6307.90, and provided that the change is the result of a fabric-making
process.
6210-6212........................ (1) If the good consists of two or more component parts, a change to an
assembled good of heading 6210 through 6212 from unassembled components,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to
heading 6210 through 6212 from any heading outside that group, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907, 6001 through 6002, and 6217, and
subheading 6307.90, and provided that the change is the result of a fabric-
making process.
6213-6214........................ A change to heading 6213 through 6214 from any other heading, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907, and 6217, and subheading 6307.90, and
provided that the change is the result of a fabric-making process.
6215-6217........................ (1) If the good consists of two or more component parts, a change to an
assembled good of heading 6215 through 6217 from unassembled components,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to
heading 6215 through 6217 from any heading outside that group, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809
through 5811, 5903, 5906 through 5907, and 6217, and subheading 6307.90, and
provided that the change is the result of a fabric-making process.
6301-6306........................ A change to heading 6301 through 6306 from any heading outside that group,
except from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through
5806, 5809 through 5811, 5903, 5906 through 5907, and 6001 through 6002, and
subheading 6307.90, and provided that the change is the result of a fabric-
making process.
6307.10.......................... A change to subheading 6307.10 from any other heading, except from heading
5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through 5603, 5801 through 5804, 5806, 5809
through 5811, 5903, 5906 through 5907, and 6001 through 6002, and provided
that the change is the result of a fabric-making process.
6307.20.......................... A change to subheading 6307.20 from any other heading, provided that the
change is the result of the good being wholly assembled in a single country,
territory, or insular possession.
6307.90.......................... A change to subheading 6307.90 from any other heading, except from heading
5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through 5603, 5801 through 5804, 5806, 5807
through 5811, 5903, 5906 through 5907, and 6001 through 6002, and provided
that the change is the result of a fabric-making process.
[[Page 27390]]
6308............................. A change to heading 6308 from any other heading, except from heading 5007,
5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408,
5512 through 5516, 5602 through 5603, 5801 through 5804, 5806, 5809 through
5811, 5903, 5906 through 5907, and 6001 through 6002, and provided that the
change is the result of a fabric-making process.
6309-6310........................ The country, territory, or insular possession in which the good was last
collected and packaged for shipment.
6405.20.60....................... A change to subheading 6405.20.60 from any other heading, provided that the
change is the result of the good being wholly assembled in a single country,
territory, or insular possession.
6406.10.77....................... (1) If the good consists of two or more components, a change to subheading
6406.10.77 from any other heading, provided that the change is the result of
the good being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
subheading 6406.10.77 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608, 5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001 through 6002, and provided that the
change is the result of a fabric-making process.
6406.10.90....................... (1) If the good consists of two or more components, a change to subheading
6406.10.90 from any other heading, provided that the change is the result of
the good being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
subheading 6406.10.90 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608, 5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001 through 6002, and provided that the
change is the result of a fabric-making process.
6406.99.15....................... (1) If the good consists of two or more components, a change to subheading
6406.99.15 from any other heading, provided that the change is the result of
the good being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
subheading 6406.99.15 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512
through 5516, 5602 through 5603, 5608, 5801 through 5804, 5806, 5808 through
5810, 5903, 5906 through 5907, and 6001 through 6002, and provided that the
change is the result of a fabric-making process.
6501............................. (1) If the good consists of two or more components, a change to heading 6501
from any other heading, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
heading 6501 from any other heading, except from heading 5603, and provided
that the change is the result of a fabric-making process.
6502............................. (1) If the good consists of two or more components, a change to heading 6502
from any other heading, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
heading 6502 from any other heading, except from heading 5007, 5111 through
5113, 5208 through 5212, 5407 through 5408, 5512 through 5516, 5602 through
5603, 5608, 5801 through 5804, 5806, 5808 through 5810, 5903, 5906 through
5907, and 6001 through 6002, and provided that the change is the result of a
fabric-making process.
6503............................. (1) If the good consists of two or more components, a change to heading 6503
from any other heading, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
heading 6503 from any other heading, except from heading 5603, and provided
that the change is the result of a fabric-making process.
6504............................. (1) If the good consists of two or more components, a change to heading 6504
from any other heading, provided that the change is the result of the good
being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
heading 6504 from any other heading, except from heading 5007, 5111 through
5113, 5208 through 5212, 5407 through 5408, 5512 through 5516, 5602 through
5603, 5608, 5801 through 5804, 5806, 5808 through 5810, 5903, 5906 through
5907, and 6001 through 6002, and provided that the change is the result of a
fabric-making process.
6505.90.......................... (1) If the good consists of two or more components, a change to subheading
6505.90 from any other heading, provided that the change is the result of
the good being wholly assembled in a single country, territory, or insular
possession.
(2) If the good does not consist of two or more components, a change to
subheading 6505.90 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5407 through 5408, 5512 through 5516, 5602
through 5603, 5608, 5801 through 5804, 5806, 5808 through 5811, 5903, 5906
through 5907, and 6001 through 6002, and provided that the change is the
result of a fabric-making process.
6601.10-6601.91.................. A change to subheading 6601.10 through 6601.91 from any other heading,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
7019.10.15....................... (1) If the good is of filaments, a change to subheading 7019.10.15 from any
other heading, provided that the change is the result of an extrusion
process.
(2) If the good is of staple fibers, a change to subheading 7019.10.15 from
any other subheading, except from subheading 7019.10.30 through 7019.10.90
and 7019.31 through 7019.90, and provided that the change is the result of a
spinning process.
7019.10.28....................... (1) If the good is of filaments, a change to subheading 7019.10.28 from any
other heading, provided that the change is the result of an extrusion
process.
(2) If the good is of staple fibers, a change to subheading 7019.10.28 from
any other subheading, except from subheading 7019.10.30 through 7019.10.90
and 7019.31 through 7019.90, and provided that the change is the result of a
spinning process.
7019.20.......................... A change to subheading 7019.20 from any other heading, provided that the
change is the result of a fabric-making process.
[[Page 27391]]
8708.21.......................... (1) For seat belts not combined with nontextile components, a change to
subheading 8708.21 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, and
5512 through 5516, and provided that the change is the result of a fabric-
making process.
(2) For seat belts combined with nontextile components, a change to an
assembled good of subheading 8708.21 from unassembled components, provided
that the change is the result of the good being wholly assembled in a single
country, territory, or insular possession.
8804............................. (1) If the good consists of two or more component parts, a change to an
assembled good of heading 8804 from unassembled components, provided that
the change is the result of the good being wholly assembled in a single
country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to
heading 8804 from any other heading, except from heading 5007, 5111 through
5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512 through
5516, 5603, 5801 through 5804, 5806, 5809 through 5811, 5903, 5906 through
5907, and 6001 through 6002, and subheading 6307.90, and provided that the
change is the result of a fabric-making process.
9113.90.40....................... (1) If the good consists of two or more component parts, a change to an
assembled good of subheading 9113.90.40 from unassembled components,
provided that the change is the result of the good being wholly assembled in
a single country, territory, or insular possession.
(2) If the good does not consist of two or more component parts, a change to
subheading 9113.90.40 from any other heading, except from heading 5007, 5111
through 5113, 5208 through 5212, 5309 through 5311, 5407 through 5408, 5512
through 5516, 5603, 5801 through 5802, 5806, 5809, 5903, 5906 through 5907,
and 6001 through 6002, and subheading 6307.90, and provided that the change
is the result of a fabric-making process.
9404.90.10....................... A change to subheading 9404.90.10 from any other heading, except from heading
5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407 through
5408, 5512 through 5516, 5602 through 5603, 5801 through 5806, 5809 through
5811, 5903, 5906 through 5907, and 6001 through 6002, and subheading
6307.90, and provided that the change is the result of a fabric-making
process.
9404.90.80-9404.90.95............ A change to subheading 9404.90.80 through 9404.90.95 from any other heading,
except from heading 5007, 5111 through 5113, 5208 through 5212, 5309 through
5311, 5407 through 5408, 5512 through 5516, 5602 through 5603, 5801 through
5806, 5809 through 5811, 5903, 5906 through 5907, and 6001 through 6002, and
subheading 6307.90, and provided that the change is the result of a fabric-
making process.
9502.91.......................... A change to an assembled good of subheading 9502.91 from unassembled
components, provided that the change is the result of the good being wholly
assembled in a single country, territory, or insular possession.
9612.10.9010..................... A change to subheading 9612.10.9010 from any other heading, except from
heading 5007, 5111 through 5113, 5208 through 5212, 5309 through 5311, 5407
through 5408, 5512 through 5516, 5603, 5806, 5903, 5906 through 5907, and
6002, and provided that the change is the result of a fabric-making process.
----------------------------------------------------------------------------------------------------------------
Approved: May 15, 1995.
John P. Simpson,
Deputy Assistant Secretary of the Treasury.
George J. Weise,
Commissioner of Customs.
[FR Doc. 95-12655 Filed 5-22-95; 8:45 am]
BILLING CODE 4820-02-P
