HQ 086857: Country of Origin of Table linen Fabric

Native CBP ruling rendition. Applicability is fact-specific; modification/revocation relationships and original publisher date are retained. Publisher sentinel year0001 means unknown date, not a historical legal adoption.

                         HQ 086857
                       June 26, 1990


CLA-2  CO:R:C:G  086857  JS

CATEGORY:  Classification

Robert M. Paisley
Baltic Linen Company
3495 Lawson Boulevard
P.O. Box 150
Oceanside, NY 11572

RE:  Country of Origin of Table linen Fabric

Dear Mr. Paisley:

     This is in reference to your letters of May 20, 1990, and
May 30, 1990, requesting a country of origin determination on
various processing stages of table linen fabric.

FACTS:

     The samples provided for inspection consist of three pieces
of fabric, each at a different stage in the production of table
linen.  The first is a 68" x 29" length of unbleached fabric
which is in the loom state.  The second is a 54" x 28" length of
bleached finished fabric (you state that the bleaching and
finishing processes are two separate operations). The third is a
sample of a finished table napkin; it measures approximately 19
square inches and three sides are hemmed and sewn.  The fourth
side is not hemmed, but is woven as a finished edge.

     The information you provided with respect to fabric value is
that the unbleached unfinished fabric is approximately 70 percent
of the value of the final product, and that finished fabric
constitutes approximately 80 percent of the value of the final
product.

ISSUE:

     1)  What is the country of origin for fabric which is
shipped from country A in an unfinished loom state, to
country B where bleaching, shrinking, drying, calandering
and the processes of cutting and sewing into finished
table linen will be performed?

     2)  What is the country of origin of fabric which is
bleached and finished in country A, and then shipped to country B
where cutting and sewing into finished table linen will take
place?


LAW AND ANALYSIS:

     The country of origin of textiles and textile products is
determined by the application of Section 12.130 of the Customs
Regulations.  In determining the country of origin of textile
and textile products which consist of materials produced or
derived from, or processed in, more than one country, the
imported article is considered to be a product of the country in
which the last substantial transformation took place.  A
substantial transformation of a textile or textile product is
said to occur if a commodity undergoes a transformation by means
of substantial manufacturing or processing into a new and
different article of commerce.

     Section 12.130 (d) establishes criteria for determining
whether an article has been substantially transformed.  However,
the criteria set forth in 19 CFR 12.130(d) are not exhaustive;
one or any combination of these criteria may be determinative,
and additional factors may be considered.

     In accordance with 19 CFR 12.130 (d)(2), the following
factors are to be considered in determining whether merchandise
has been subjected to substantial manufacturing or processing
operations: the physical change in the material or article, the
time involved in the manufacturing or processing operations, the
complexity of the operations, the level or degree of skill and/or
technology required, as well as the value added to the article.

     Under 19 CFR 12.130 (e)(2), a material usually will not be
considered a product of a particular country if it has merely
undergone such changes as are listed, in part, below:

     (ii)  cutting to length or width and hemming or overlocking
fabrics which are readily identifiable as being intended for a
particular commercial use;

     (iv)  one or more finishing operations on yarns, fabrics or
other textile articles, such as showerproofing, superwashing,
bleaching, decating, fulling, shrinking, mercerizing, or similar
operations;

     With regard to issue one, the bleaching, shrinking and other
finishing operations conducted in country B, are not significant
enough to mark country B as the country of origin pursuant to 19
CFR 12.130 (e)(2)(iv).  The facts further indicate that the
unfinished unbleached fabric (which is produced in country A) is
approximately 70 percent of the value of the finished product.
Thus, absent any additional data concerning the complexity of the
cutting, sewing and finishing operations vis a vis the weaving
operation, Customs deems weaving to be the more complex of the
two.





     Likewise, with regard to issue 2, the cutting and sewing of
the raw bleached material into table linen does not constitute a
substantially transforming manufacturing process.  See, 19 CFR
12.130 (e)(2)(ii).  Since there is nothing to suggest that the
cutting and sewing of the fabric is in any degree a complex
operation as regards, for example, the time or level of skill
required, or that the assembly requires anything more than a
simple folding over of the edges by machine stitching, it is
Customs view that the table linen fabric has not undergone a
substantial manufacturing or processing operation.  The fact
that the finished fabric (produced in country A) is approximately
80 percent of the value of the final product supports this
conclusion.  See also, HRL 082747 (February 23, 1988), concerning
the country of origin of jeans.  Consequently, the fabric has not
been substantially transformed in Country B.  Wherever the fabric
is produced is therefore the country of origin pursuant to 19 CFR
12.130 for quota and country of origin marking purposes.


HOLDING:

     The assembly operations performed in country B do not
constitute a substantial transformation as required by 19 CFR
12.130.  The country of origin for the merchandise at issue is
Country A, and a Country A visa must accompany the goods when
shipped to another country.

                                   Sincerely,



                                   John Durant, Director
                                   Commercial Operations Division