HQ 087364: Blank Emblems

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 087364
                         August 28, 1990




CLA-2  CO:R:C:G  087364  JS

CATEGORY:  Classification

TARIFF NO.:  5810.92.0040

John F. Cowen
Phillip T. Cowen
  Customhouse Brokers
1918 Elizabeth
Brownsville, TX 78520

RE:  Blank Emblems

Dear Mr. Cowen:

     This is in reference to your letter of May 18, 1990, on
behalf of The Penn Companies, requesting classification of blank
emblems with merrow stitching on the edges.  A sample at various
stages of completion was provided for our inspection.

FACTS:

     The merchandise at issue is a blank emblem made of 100
percent polyester twill ground fabric with a polyurethane
adhesive film backing.  The fabric is fed into a clicking machine
in 48" x 50" lengths, which is then cut into the 4 1/2" x 2 1/2"
emblem shapes which become the final product.  Polyester yarn is
then used to merrow stitch all four edges of the cut fabric.  The
stitched product is then inspected and packaged in clear plastic
bags in varying counts, and imported into the United States for
sale by The Penn Companies.  The purchasing companies will then
embroider or imprint the blank emblems with names or logos.

ISSUE:

     Whether the merrow stitching around the edge of a blank
emblem constitutes embroidery for purposes of classification
under the Harmonized Tariff Schedule of the United States
Annotated ("HTSUSA")?





LAW AND ANALYSIS:

     Classification of merchandise under the HTSUSA is in
accordance with the General Rules of Interpretation ("GRI"),
taken in order.  GRI 1 provides that classification shall be
determined according to the terms of the headings and any
relative section or chapter notes.

     Heading 5810, HTSUSA, provides for embroidery in the piece.
The Explanatory Notes, the official interpretation of the Tariff
at the international level, state that heading 5810 includes
"embroidery in which the embroidering thread does not usually
cover the whole of the ground fabric, but appears in the form of
patterns on the surface or around its edges.  The stitches used
are varied and include running stitch, chain-stitch, back or
lock-stitch, herring-bone stitch, pointe de poiste, seed-stitch,
loop-stitch, buttonhole stitch."

     The merrow stitching bordering the blank emblems at issue
satisfies the foregoing criteria: the polyester yarn does not
cover the whole of the ground fabric, and it appears around its
edges in stitching similar to the above exemplars.

     Since the blank emblems, although not ready for direct use,
have been advanced to the shape of the finished article, they are
considered unfinished articles in accordance with GRI 2(a), which
states that any reference in a heading to an article shall be
taken to include a reference to that article unfinished, provided
that, as entered, the unfinished article has the essential
character of the finished article; classification in heading
5810, HTSUSA, is thus appropriate.

HOLDING:

     The merchandise at issue is classified in subheading
5810.92.0040, HTSUSA, which provides for embroidery in the
piece, in strips or in motifs: other embroidery, of man-made
fibers, badges, emblems and motifs, dutiable at the rate of 8.4
percent ad valorem.

     Due to the changeable nature of the statistical annotation
(the ninth and tenth digits of the classification) and the
restraint (quota/visa) categories, the importer should contact
its local Customs office prior to importation of this
merchandise to determine the current status of any import
restraints or requirements.

                                   Sincerely,


                                   John Durant, Director
                                   Commercial Operations Division