CSMS Message: 00-001250

TO: ALL ABI BROKERS.

FROM: SUSAN S THOMAS

SUBJECT: CBTPA IMPLEMENT INSTRUCTIONS

DATE: 10/20/2000

OCTOBER 20, 2000

ENT-14 FO:TP:IA:TT SST

TO: ALL DIRECTORS, FIELD OPERATIONS
ALL PORT DIRECTORS

FROM: DIRECTOR, TRADE PROGRAMS

SUBJECT: TBT-00-023 IMPLEMENTATION INFORMATION FOR THE
CARIBBEAN BASIN TRADE PARTNERSHIP ACT (CBTPA) FOR
TEXTILE AND APPAREL PRODUCTS (19 CFR 10.221 THROUGH 227)

BACKGROUND:

TITLE II OF THE TRADE AND DEVELOPMENT ACT OF 2000 ("THE ACT"),
WHICH WAS SIGNED INTO LAW ON MAY 18, 2000, AUTHORIZED THE
EXPANSION OF TRADE BENEFITS TO DESIGNATED COUNTRIES IN THE
CARIBBEAN BASIN. THIS TRADE PROGRAM PROVIDES FOR THE ENTRY OF
SPECIFIC TEXTILE AND APPAREL ARTICLES FREE OF DUTY AND FREE OF
ANY QUANTITATIVE RESTRICTIONS, LIMITATIONS OR CONSULTATION
LEVELS, AS WELL AS OTHER BENEFITS TO NON-TEXTILE PRODUCTS. THIS
NOTICE IS TO ADDRESS THE REQUIREMENTS FOR THE ENTRY OF TEXTILE
AND APPAREL PRODUCTS UNDER THE CBTPA.

THE PRESIDENT IS AUTHORIZED TO DESIGNATE A CARIBBEAN BASIN
COUNTRY AS AN ELIGIBLE BENEFICIARY COUNTRY BASED ON SEVERAL
CRITERIA ESTABLISHED IN THE ACT. THE PREFERENTIAL TARIFF
TREATMENT PROVIDED UNDER CBTPA IS EFFECTIVE UNTIL THE EARLIER OF
SEPTEMBER 30, 2008 OR THE DATE ON WHICH THE FREE TRADE AREA OF
THE AMERICAS (FTAA) OR ANOTHER FREE TRADE AGREEMENT IS
IMPLEMENTED WITH RESPECT TO THE UNITED STATES AND THE CBTPA
BENEFICIARY COUNTRY. THE TRADE COMMUNITY WILL BE NOTIFIED IF
CBTPA ELIGIBILITY IS CHANGED FOR ANY BENEFICIARY COUNTRY.

SECTION 211 OF THE ACT OUTLINES THE TREATMENT OF CERTAIN TEXTILE
AND APPAREL ARTICLES FOR CBTPA. WEARING APPAREL ARTICLES THAT
MEET THE SPECIFIC PREFERENTIAL CATEGORIES MAY ENTER INTO THE
CUSTOMS TERRITORY OF THE UNITED STATES FREE OF DUTY AND FREE OF
ANY QUANTITATIVE RESTRICTIONS, LIMITATIONS, OR CONSULTATION
LEVELS, EXCEPT THOSE NOTED BELOW.

ENTRY REQUIREMENTS FOR CLAIMING CBTPA TREATMENT

IN ORDER FOR A CLAIM TO BE ACCEPTED UNDER THE CBTPA PREFERENTIAL
TARIFF TREATMENT FOR TEXTILE AND APPAREL PRODUCTS, ALL OF THE
FOLLOWING REQUIREMENTS MUST BE MET:

1. THE DESIGNATED BENEFICIARY COUNTRY HAS IMPLEMENTED AND
FOLLOWS, OR IS MAKING SUBSTANTIAL PROGRESS TOWARD
IMPLEMENTING THE REQUIREMENTS AND RELEVANT PROCEDURES OF
CHAPTER 5 OF THE NORTH AMERICAN FREE TRADE AGREEMENT (NAFTA).
TO DATE, EFFECTIVE OCTOBER 2, 2000, ONLY THE FOLLOWING
COUNTRIES HAVE BEEN IDENTIFIED BY USTR AS MEETING THOSE
REQUIREMENTS:

BELIZE HAITI
COSTA RICA HONDURAS
DOMINICAN REPUBLIC JAMAICA
EL SALVADOR NICARAGUA
GUATEMALA PANAMA

2. THE GOOD IS CLASSIFIED UNDER HARMONIZED TARIFF SCHEDULE OF
THE UNITED STATES (HTSUS) TARIFF ITEM NUMBER 9802.00.80 OR
9820.11, ALONG WITH THE ASSOCIATED CHAPTER 1-97 NUMBER. FOR
THE LIST OF 9802.00.80 AND 9820.11 HTSUS NUMBERS, REFER TO
PREFERENTIAL GROUPINGS LISTED BELOW,

3. A CBTPA TEXTILE CERTIFICATE OF ORIGIN, COMPLETED BY THE
EXPORTER, IS IN POSSESSION OF THE IMPORTER AND AVAILABLE UPON
REQUEST TO U.S. CUSTOMS WHEN THE CLAIM IS MADE. THE FORMAT
CAN BE FOUND IN 19 CFR 10.224 OF THE CUSTOMS REGULATIONS
(PUBLISHED IN THE FEDERAL REGISTER DATED OCTOBER 5, 2000).
CERTIFICATES OF ORIGIN WILL NOT BE REQUIRED FOR:

A. ARTICLES FOR WHICH THE PORT DIRECTOR HAS, IN WRITING, WAIVED
THE REQUIREMENTS FOR A CERTIFICATE OF ORIGIN BECAUSE THE PORT
DIRECTOR IS SATISFIED THAT THE ARTICLE QUALIFIES FOR
PREFERENTIAL TREATMENT,
B. A NON-COMMERCIAL IMPORTATION,
C. A COMMERCIAL IMPORTATION OF AN ARTICLE WHOSE VALUE DOES NOT
EXCEED $2,500, PROVIDED THAT A STATEMENT AS IDENTIFIED IN
19 CFR 10.226 (D)(III) IS SUBMITTED,

4. FOR ARTICLES SUBJECT TO QUANTITATIVE LIMITATIONS, THE LEVELS
MUST STILL BE AVAILABLE AT THE TIME OF THE CLAIM; OTHERWISE,
PAYMENT OF DUTY IS REQUIRED UNDER THE ASSOCIATED CHAPTER 1-97
NUMBER,

5. THE MERCHANDISE MUST BE IMPORTED DIRECTLY FROM A DESIGNATED
BENEFICIARY COUNTRY LISTED ABOVE, AND,

6. THE MERCHANDISE MUST BE AN APPAREL ARTICLE CLASSIFIABLE IN
HTSUS CHAPTERS 61, OR 62, OR HEADINGS 6501, 6502, 6503, 6504,
OR SUBHEADINGS 6406.99 OR 6505.90 OR TEXTILE LUGGAGE
CLASSIFIED IN CHAPTER 42.

PLEASE NOTE THAT ALL EXISTING IMPORTING REQUIREMENTS, INCLUDING
THE REQUIREMENTS FOR THE CURRENT TEXTILE DECLARATION AND ANY
APPLICABLE TEXTILE VISA REQUIREMENTS, HAVE NOT CHANGED. THE
ABOVE DOCUMENTATION REQUIREMENTS ARE IN ADDITION TO ANY OTHER
ENTRY DOCUMENTS.

IMPORTER RESPONSIBILITIES

BEFORE MAKING A CLAIM, THE FOLLOWING REQUIREMENTS MUST BE MET BY
THE IMPORTER:

1. MUST HAVE RECORDS TO EXPLAIN HOW IT CAME TO THE CONCLUSION
THAT THE TEXTILE OR APPAREL ARTICLE QUALIFIES FOR
PREFERENTIAL TREATMENT,

2. MUST HAVE ESTABLISHED AND IMPLEMENTED INTERNAL CONTROLS WHICH
PROVIDE FOR THE PERIODIC REVIEW OF THE ACCURACY OF THE
CERTIFICATES OF ORIGIN,

3. MUST HAVE SHIPPING PAPERS THAT SHOW HOW THE ARTICLE MOVED
FROM THE CBTPA BENEFICIARY COUNTRY TO THE UNITED STATES, AND,

4. MUST BE PREPARED TO EXPLAIN, UPON REQUEST FROM CUSTOMS, HOW
THE RECORDS AND INTERNAL CONTROLS MENTIONED ABOVE JUSTIFY ITS
CLAIM FOR PREFERENTIAL TREATMENT.

PREFERENTIAL GROUPINGS

A CLAIM FOR PREFERENTIAL TARIFF TREATMENT UNDER CBTPA MAY BE
MADE IF THE TEXTILE OR APPAREL ARTICLE QUALIFIES UNDER ONE OF
THESE GROUPINGS:

1. APPAREL ARTICLES ASSEMBLED IN ONE OR MORE SUCH BENEFICIARY
COUNTRIES FROM FABRICS WHOLLY FORMED AND CUT IN THE UNITED
STATES, FROM YARNS WHOLLY FORMED IN THE UNITED STATES
(INCLUDING FABRICS NOT FORMED FROM YARNS, IF SUCH FABRICS ARE
CLASSIFIABLE IN HEADING 5602 OR 5603 AND ARE WHOLLY FORMED
AND CUT IN THE UNITED STATES) THAT ARE ENTERED UNDER
SUBHEADING 9802.00.8044. THIS APPLIES TO ALL FABRICS AND
YARNS CONTAINED IN THE PRODUCT, EXCEPT FOR THE ALLOWANCES
PROVIDED UNDER FINDINGS AND TRIMMINGS, DE-MINIMIS AND THE
INTERLINING EXCEPTIONS. (9802.00.8044) (19 CFR 10.223(A)(1))

2. APPAREL ARTICLES ASSEMBLED IN ONE OR MORE SUCH BENEFICIARY
COUNTRIES FROM FABRICS WHOLLY FORMED AND CUT IN THE UNITED
STATES, FROM YARNS WHOLLY FORMED IN THE UNITED STATES,
(INCLUDING FABRICS NOT FORMED FROM YARNS, IF SUCH FABRICS ARE
CLASSIFIABLE IN HEADING 5602 OR 5603 AND ARE WHOLLY FORMED
AND CUT IN THE UNITED STATES), THAT ARE ENTERED UNDER CHAPTER
61 OR 62 OF THE HTSUS AND IF AFTER SUCH ASSEMBLY, THE
ARTICLES WOULD HAVE QUALIFIED FOR ENTRY UNDER SUBHEADING
9802.00.80 OF THE HTSUS BUT FOR THE FACT THAT THE ARTICLES
WERE EMBROIDERED OR SUBJECTED TO STONE-WASHING,
ENZYME-WASHING, ACID WASHING, PERMA-PRESSING, OVEN-BAKING,
BLEACHING, GARMENT-DYEING, SCREEN PRINTING OR OTHER SIMILAR
PROCESSES. THIS APPLIES TO ALL FABRICS AND YARNS CONTAINED
IN THE PRODUCT, EXCEPT FOR THE ALLOWANCES PROVIDED UNDER
FINDINGS AND TRIMMINGS, DE-MINIMIS AND THE INTERLINING
EXCEPTIONS. (9820.11.03) (19 CFR 10.223(A)(2))

NOTE: MERCHANDISE THAT QUALIFIES FOR 9802 SHOULD NOT
ALSO USE HTSUS NUMBER 9820.11.03.

3. APPAREL ARTICLES (OTHER THAN THOSE IDENTIFIED IN 9820.11.18)
CUT IN ONE OR MORE SUCH BENEFICIARY COUNTRIES FROM FABRIC
WHOLLY FORMED IN THE UNITED STATES FROM YARNS WHOLLY FORMED
IN THE UNITED STATES (INCLUDING FABRICS NOT FORMED FROM
YARNS, IF SUCH FABRICS ARE CLASSIFIABLE IN HEADING 5602 OR
5603 AND ARE WHOLLY FORMED IN THE UNITED STATES), IF SUCH
ARTICLES ARE ASSEMBLED IN ONE OR MORE SUCH BENEFICIARY
COUNTRIES WITH THREAD FORMED IN THE UNITED STATES. THIS
APPLIES TO ALL FABRICS AND YARNS CONTAINED IN THE PRODUCT,
EXCEPT FOR THE ALLOWANCES PROVIDED UNDER FINDINGS AND
TRIMMINGS, DE-MINIMIS AND THE INTERLINING EXCEPTIONS.
(9820.11.06) (19 CFR 10.223 (A)(3))

4. APPAREL ARTICLES (OTHER THAN SOCKS PROVIDED FOR IN HEADING
6115 OF THE HTSUS) KNIT TO SHAPE IN A BENEFICIARY COUNTRY
FROM YARNS WHOLLY FORMED IN THE UNITED STATES; KNITTED
APPAREL ARTICLES (EXCEPT T-SHIRTS, OTHER THAN UNDERWEAR,
CLASSIFIABLE IN SUBHEADINGS 6109.10.00 AND 6109.90.10 AND
DESCRIBED IN SUBHEADING 9820.11.12) CUT AND WHOLLY ASSEMBLED
IN ONE OR MORE SUCH BENEFICIARY COUNTRIES FROM FABRICS FORMED
IN ONE OR MORE SUCH BENEFICIARY COUNTRIES OR FROM FABRICS
FORMED IN ONE OR MORE SUCH BENEFICIARY COUNTRIES OR THE
UNITED STATES FROM YARNS WHOLLY FORMED IN THE UNITED STATES
(INCLUDING FABRICS NOT FORMED FROM YARNS, IF SUCH FABRICS ARE
CLASSIFIABLE IN HEADING 5602 OR 5603 OF THE TARIFF SCHEDULE
AND ARE FORMED IN ONE OR MORE SUCH BENEFICIARY COUNTRIES).
THIS APPLIES TO ALL FABRICS AND YARNS CONTAINED IN THE
PRODUCT, EXCEPT FOR THE ALLOWANCES PROVIDED UNDER FINDINGS
AND TRIMMINGS, DE-MINIMIS AND THE INTERLINING EXCEPTIONS.
(9820.11.09) (19 CFR 10.223 (A)(4))

LIMITATIONS ON BENEFITS
IMPORTS OF APPAREL ARTICLES UNDER SUBHEADING
9820.11.09 SHALL BE LIMITED, IN THE ONE-YEAR
PERIOD BEGINNING ON OCTOBER 1, 2000, TO AN
AGGREGATE QUANTITY NOT TO EXCEED 250,000,000
SQUARE METER EQUIVALENTS. SUCH IMPORTS OF APPAREL
ARTICLES SHALL BE LIMITED DURING ONE-YEAR PERIODS.
PLEASE SEE THE SUBCHAPTER XX NOTES IN THE HTSUS
FOR SPECIFIC QUANTITIES AND THE APPROPRIATE QBT
FOR REPORTING INSTRUCTIONS TO BE ISSUED.

5. T-SHIRTS, OTHER THAN UNDERWEAR, CLASSIFIABLE IN SUBHEADINGS
6109.10.00 AND 6109.90.10 OF THE HTSUS, MADE IN ONE OR MORE
DESIGNATED BENEFICIARY COUNTRIES FROM FABRIC FORMED IN ONE OR
MORE SUCH COUNTRIES FROM YARNS WHOLLY FORMED IN THE UNITED
STATES. THIS APPLIES TO ALL FABRICS AND YARNS CONTAINED IN
THE PRODUCT, EXCEPT FOR THE ALLOWANCES PROVIDED UNDER
FINDINGS AND TRIMMINGS, DE-MINIMUS AND THE INTERLINING
EXCEPTIONS. (9820.11.12) (19 CFR 10.223 (A)(5))

LIMITATIONS ON BENEFITS
IMPORTS OF T-SHIRTS UNDER SUBHEADING 9820.11.12
SHALL BE LIMITED, IN THE ONE-YEAR PERIOD BEGINNING
ON OCTOBER 1, 2000, TO AN AGGREGATE QUANTITY NOT
TO EXCEED 4,200,000 DOZEN. SUCH IMPORTS OF SUCH
T-SHIRTS SHALL BE LIMITED DURING ONE-YEAR PERIODS.
PLEASE SEE THE SUBCHAPTER XX NOTES IN THE HTSUS
FOR SPECIFIC QUANTITIES AND THE APPROPRIATE QBT TO
BE ISSUED FOR REPORTING INSTRUCTIONS.

6. BRASSIERES CLASSIFIABLE IN SUBHEADING 6212.10 OF THE HTSUS,
BOTH CUT AND SEWN OR OTHERWISE ASSEMBLED IN THE UNITED STATES
OR ONE OR MORE DESIGNATED BENEFICIARY COUNTRIES OR BOTH. THIS
APPLIES TO ALL FABRICS AND YARNS CONTAINED IN THE PRODUCT,
EXCEPT FOR THE ALLOWANCES PROVIDED UNDER FINDINGS AND
TRIMMINGS, DE-MINIMIS AND THE INTERLINING EXCEPTIONS.
(9820.11.15) (19 CFR 10.223 (A)(6))

SPECIAL RESTRICTIONS
FOR PURPOSES OF SUBHEADING 9820.11.15, IMPORTS OF
BRASSIERES OF A PRODUCER OR AN ENTITY CONTROLLING
PRODUCTION, DURING THE 1-YEAR PERIOD BEGINNING ON
OCTOBER 1, 2001, AND DURING EACH OF THE SIX
SUCCEEDING 1-YEAR PERIODS, SHALL BE ELIGIBLE
FOR PREFERENTIAL TREATMENT ONLY IF THE AGGREGATE
COST OF FABRIC COMPONENTS FORMED IN THE UNITED
STATES THAT ARE USED IN THE PRODUCTION OF ALL SUCH
ARTICLES OF THAT PRODUCER OR ENTITY DURING THE
PRECEDING 1-YEAR PERIOD IS AT LEAST 75 PERCENT OF
THE AGGREGATE DECLARED CUSTOMS VALUE OF THE FABRIC
CONTAINED IN ALL SUCH ARTICLES OF THAT PRODUCER OR
ENTITY THAT ARE ENTERED DURING THE PRECEDING
1-YEAR PERIOD. REFER TO SUBCHAPTER XX U.S. NOTE 2
(D) OF THE HTSUS.

IMPORTERS CANNOT MAKE CLAIMS UNDER THIS PROVISION UNTIL
OCTOBER 1, 2001.

7. TEXTILE LUGGAGE ASSEMBLED IN A DESIGNATED BENEFICIARY COUNTRY
FROM FABRIC WHOLLY FORMED AND CUT IN THE UNITED STATES FROM
YARN WHOLLY FORMED IN THE UNITED STATES THAT IS ENTERED UNDER
SUBHEADING 9802.00.8046. THIS APPLIES TO ALL FABRICS AND
YARNS CONTAINED IN THE PRODUCT, EXCEPT FOR THE ALLOWANCES
PROVIDED UNDER FINDINGS AND TRIMMINGS, DE-MINIMIS AND THE
INTERLINING EXCEPTIONS. (9802.00.8046) (19 CFR 10.223 (A)(10))

8. KNITTED OR CROCHETED APPAREL ARTICLES (EXCEPT T-SHIRTS, OTHER
THAN UNDERWEAR, CLASSIFIABLE IN SUBHEADINGS 6109.10.00 AND
6109.90.10 AND DESCRIBED IN SUBHEADING 9820.11.12) CUT AND
ASSEMBLED IN ONE OR MORE SUCH COUNTRIES FROM FABRICS WHOLLY
FORMED IN THE UNITED STATES FROM YARNS WHOLLY FORMED IN THE
UNITED STATES (INCLUDING FABRICS NOT FORMED FROM YARNS, IF
SUCH FABRICS ARE CLASSIFIABLE IN HEADING 5602 OR 5603 AND ARE
WHOLLY FORMED IN THE UNITED STATES) IF SUCH ASSEMBLY IS WITH
THREAD FORMED IN THE UNITED STATES. THIS APPLIES TO ALL
FABRICS AND YARNS CONTAINED IN THE PRODUCT, EXCEPT FOR THE
ALLOWANCES PROVIDED UNDER FINDINGS AND TRIMMINGS, DE-MINIMIS
AND THE INTERLINING EXCEPTIONS. (9820.11.18) (19 CFR 10.223 (A)(12))

9. TEXTILE LUGGAGE ASSEMBLED FROM FABRIC CUT IN A DESIGNATED
BENEFICIARY COUNTRY FROM FABRIC WHOLLY FORMED IN THE UNITED
STATES FROM YARN WHOLLY FORMED IN THE UNITED STATES. THIS
APPLIES TO ALL FABRICS AND YARNS CONTAINED IN THE PRODUCT,
EXCEPT FOR THE ALLOWANCES PROVIDED UNDER FINDINGS AND
TRIMMINGS, DE-MINIMIS AND THE INTERLINING EXCEPTIONS.
(9820.11.21) (19 CFR 10.223 (A)(11))

10.APPAREL ARTICLES BOTH CUT (OR KNIT-TO-SHAPE) AND SEWN OR
OTHERWISE ASSEMBLED IN ONE OR MORE BENEFICIARY COUNTRIES
FROM FABRICS OR YARN NOT FORMED IN THE UNITED STATES OR
IN ONE OR MORE SUCH COUNTRIES, PROVIDED THAT SUCH APPAREL
ARTICLES OF SUCH FABRICS OR YARNS WOULD BE CONSIDERED AN
ORIGINATING GOOD UNDER THE TERMS OF GENERAL NOTE 12(T) TO
THE HTSUS WITHOUT REGARD TO THE SOURCE OF THE FABRIC OR
YARN IF SUCH APPAREL ARTICLE HAD BEEN IMPORTED FROM THE
TERRITORY OF CANADA OR THE TERRITORY OF MEXICO DIRECTLY
INTO THE CUSTOMS TERRITORY OF THE UNITED STATES. THE
FABRICS AND YARNS IN QUESTION INCLUDE

A. FINE COUNT COTTON KNITTED FABRICS FOR CERTAIN APPAREL (SEE
GENERAL NOTE 12(T), CHAPTER 61, CHAPTER RULES 61.27(A),
61.30(A) AND 61.32(A)),
B. LINEN FABRICS,
C. SILK FABRICS,
D. COTTON VELVETEEN,
E. FINE WALE CORDUROY,
F. HARRIS TWEED,
G. CERTAIN WOVEN FABRICS MADE WITH ANIMAL HAIRS (SEE GENERAL
NOTE 12(T), CHAPTER 62, CHAPTER RULE 2 (D)),
H. CERTAIN LIGHTWEIGHT, HIGH THREAD COTTON POLY-COTTON WOVEN
FABRICS (SEE GENERAL NOTE 12(T), CHAPTER 62,CHAPTER RULE (E), AND
I. CERTAIN LIGHTWEIGHT, HIGH THREAD COUNT BROADWOVEN FABRICS
USED IN PRODUCTION OF MEN'S AND BOYS' SHIRTS (SEE GENERAL
NOTE 12(T), CHAPTER 62.SR29, SUBHEADING RULE A-I).
(9820.11.21) (19 CFR 10.223 (A)(7))

11.APPAREL ARTICLES BOTH CUT (OR KNIT-TO-SHAPE) AND SEWN OR
OTHERWISE ASSEMBLED IN ONE OR MORE SUCH BENEFICIARY
COUNTRIES, FROM FABRICS OR YARN DESIGNATED BY THE APPROPRIATE
U.S. GOVERNMENT AUTHORITY IN THE FEDERAL REGISTER AS FABRICS
OR YARN NOT AVAILABLE IN COMMERCIAL QUANTITIES IN THE UNITED
STATES, UNDER ANY TERMS AS SUCH AUTHORITY MAY PROVIDE
(9820.11.27) (19 CFR 10.223 (A)(8))

TO DATE, NO SUCH FABRICS HAVE BEEN IDENTIFIED.

12.HANDLOOMED, HANDMADE OR FOLKLORE TEXTILE AND APPAREL GOODS.
THE GOODS COVERED BY THIS PROVISION WILL BE NEGOTIATED
BETWEEN THE PRESIDENT AND THE CARIBBEAN BASIN COUNTRIES.
THE PORTS AND THE TRADE COMMUNITY WILL BE NOTIFIED WHEN
SUCH AGREEMENTS ARE MADE. (9820.11.30)

SPECIAL DEFINITIONS

WHOLLY FORMED -- WHEN USED WITH REFERENCE TO YARNS OR THREAD,
MEANS THAT ALL OF THE PRODUCTION PROCESSES, STARTING WITH THE
EXTRUSION OF FILAMENT OR THE SPINNING OF ALL FIBERS INTO YARN OR
BOTH AND ENDING WITH A YARN OR PLIED YARN, TOOK PLACE IN A
SINGLE COUNTRY, AND WHEN USED WITH REFERENCE TO FABRICS, MEANS
THAT ALL OF THE PRODUCTION PROCESSES, STARTING WITH POLYMERS,
FIBERS, FILAMENTS, TEXTILE STRIPS, YARNS, TWINE, TUFTING,
FELTING, ENTANGLING OR OTHER PROCESS, TOOK PLACE IN A SINGLE
COUNTRY.

KNIT TO SHAPE -- APPLIES TO ANY APPAREL ARTICLE OF WHICH 50
PERCENT OR MORE OF THE EXTERIOR SURFACE AREA IS FORMED BY MAJOR
PARTS THAT HAVE BEEN KNITTED OR CROCHETED DIRECTLY TO THE SHAPE
USED IN THE APPAREL ARTICLE, WITH NO CONSIDERATION BEING GIVEN
TO PATCH POCKETS, APPLIQUES, OR THE LIKE. MINOR CUTTING,
TRIMMING, OR SEWING OF THOSE MAJOR PARTS WILL NOT EFFECT THE
DETERMINATION OF WHETHER AN APPAREL ARTICLE IS "KNIT-TO-SHAPE".

IMPORTED DIRECTLY -- REFER TO THE DEFINITION 19 CFR 10.223 (B)(2).

FINDINGS AND TRIMMINGS GENERAL RULE: AN ARTICLE OTHERWISE
ELIGIBLE FOR PREFERENTIAL TREATMENT SHALL NOT BE INELIGIBLE FOR
SUCH TREATMENT BECAUSE THE ARTICLE CONTAINS FINDINGS OR
TRIMMINGS OF FOREIGN ORIGIN, IF THE VALUE OF SUCH FINDINGS AND
TRIMMINGS DO NOT EXCEED 25 PERCENT OF THE COST OF THE COMPONENTS
OF THE ASSEMBLED ARTICLE. EXAMPLES OF FINDINGS AND TRIMMINGS ARE
SEWING THREAD (EXCEPT IF THE THREAD IS UNDER 9820.11.06 OR
9820.11.18), HOOKS AND EYES, SNAPS, BUTTONS, `BOW BUDS',
DECORATIVE LACE TRIM, ELASTIC STRIPS, AND ZIPPERS, INCLUDING
ZIPPER TAPES AND LABELS. ELASTIC STRIPS ARE CONSIDERED FINDINGS
OR TRIMMINGS ONLY IF THEY ARE EACH LESS THAN 1 INCH IN WIDTH AND
USED IN THE PRODUCTION OF BRASSIERES.

CERTAIN INTERLININGS GENERAL RULE: AN ARTICLE OTHERWISE
ELIGIBLE FOR PREFERENTIAL TREATMENT SHALL NOT BE INELIGIBLE FOR
SUCH TREATMENT BECAUSE THE ARTICLE CONTAINS CERTAIN INTERLININGS
OF FOREIGN ORIGIN, IF THE VALUE OF SUCH INTERLININGS (AND ANY
FINDINGS AND TRIMMINGS) DOES NOT EXCEED 25 PERCENT OF THE COST
OF THE COMPONENTS OF THE ASSEMBLED ARTICLE. INTERLININGS
ELIGIBLE FOR THE TREATMENT DESCRIBED ABOVE INCLUDE ONLY A CHEST
TYPE PLATE, A `HYMO' PIECE, OR `SLEEVE HEADER', OF WOVEN OR
WEFT-INSERTED WARP KNIT CONSTRUCTION AND OF COARSE ANIMAL HAIR
OR MAN-MADE FILAMENTS.

DE MINIMIS RULE: AN ARTICLE OTHERWISE ELIGIBLE FOR PREFERENTIAL
TREATMENT SHALL NOT BE INELIGIBLE FOR SUCH TREATMENT BECAUSE THE
ARTICLE CONTAINS FIBERS OR YARNS NOT WHOLLY FORMED IN THE UNITED
STATES OR ONE OR MORE BENEFICIARY CARIBBEAN BASIN COUNTRIES IF
THE TOTAL WEIGHT OF ALL SUCH FIBERS AND YARNS IS NOT MORE THAN 7
PERCENT OF THE TOTAL WEIGHT OF THE ARTICLE.

SPECIAL ORIGIN RULE: FOR PURPOSES OF SUBHEADINGS 9802.0080,
9820.11.03, 9820.11.06 AND 9820.11.18, AN APPAREL ARTICLE
OTHERWISE ELIGIBLE FOR PREFERENTIAL TREATMENT UNDER SUCH
SUBHEADINGS SHALL NOT BE INELIGIBLE FOR SUCH TREATMENT BECAUSE
THE ARTICLE CONTAINS NYLON FILAMENT YARN (OTHER THAN ELASTOMERIC
YARN) CLASSIFIABLE UNDER SUBHEADING 5402.10.30, 5402.10.60,
5402.31.30, 5402.31.60, 5402.32.30, 5402.32.60, 5402.41.10,
5401.41.90, 5402.51.00 OR 5402.61.00 OF THE HTSUS IF THE ORIGIN
OF THE YARN IS FROM CANADA, MEXICO OR ISRAEL.

VERIFICATION OF CLAIMS FOR PREFERENTIAL TARIFF TREATMENT UNDER
CBTPA (19 CFR 10.225 -- 10.227)

A CLAIM FOR PREFERENTIAL TARIFF TREATMENT MUST BE BASED ON A
VALID CERTIFICATE OF ORIGIN THAT IS IN THE POSSESSION OF THE
IMPORTER AT THE TIME THAT THE CLAIM IS MADE. THE DECISION TO
GRANT PREFERENTIAL TARIFF TREATMENT IS THE RESPONSIBILITY OF THE
U.S. CUSTOMS SERVICE IN COMPLIANCE WITH THE ELIGIBILITY
CRITERIA. IMPORTERS SHOULD BE PREPARED TO PROVIDE THE
CERTIFICATE OF ORIGIN TO CONFIRM QUALIFICATION WITHIN 30 DAYS.
CUSTOMS OFFICERS AT THE PORTS SHOULD REQUEST THE CERTIFICATE OF
ORIGIN FROM THE IMPORTER TO CONFIRM QUALIFICATION. BACKUP
DOCUMENTATION SUCH AS MILL INVOICES MAY ALSO BE REQUESTED FROM
THE IMPORTER. A VERIFICATION OF A CLAIM FOR PREFERENTIAL TARIFF
TREATMENT MAY INVOLVE, BUT NEED NOT BE LIMITED TO, A REVIEW OF:

1. ALL RECORDS REQUIRED TO BE MADE, KEPT, AND MADE AVAILABLE TO
CUSTOMS BY THE IMPORTER OR ANY OTHER PERSON UNDER 19 CFR 163;

2. DOCUMENTATION AND OTHER INFORMATION IN A CBTPA BENEFICIARY
COUNTRY REGARDING THE COUNTRY OF ORIGIN OF AN ARTICLE AND ITS
CONSTITUENT MATERIALS, INCLUDING, BUT NOT LIMITED TO,
PRODUCTION RECORDS, INFORMATION RELATING TO THE PLACE OF
PRODUCTION, THE NUMBER AND IDENTIFICATION OF THE TYPES OF
MACHINERY USED IN THE PRODUCTION, AND THE NUMBER OF WORKERS
EMPLOYED IN PRODUCTION; AND

3. EVIDENCE IN A CBTPA BENEFICIARY COUNTRY TO DOCUMENT THE USE
OF U.S. MATERIALS IN THE PRODUCTION OF THE ARTICLE IN
QUESTION, SUCH AS PURCHASE ORDERS, INVOICES, BILLS OF LADING
AND OTHER SHIPPING DOCUMENTS, AND CUSTOMS IMPORT AND
CLEARANCE DOCUMENTS.

FAILURE TO PROVIDE EITHER THE CERTIFICATE OF ORIGIN OR THE
REQUESTED DOCUMENTATION WILL RESULT IN THE DENIAL OF THE CLAIM.

SPECIAL ACCESS PROGRAM AND QUOTA\VISA REQUIREMENTS

ALL QUOTA\VISA REQUIREMENTS AND GUARANTEED ACCESS LEVELS (GAL)
APPLICABLE UNDER THE BILATERAL TEXTILE AGREEMENTS WILL REMAIN IN
EFFECT FOR ARTICLES THAT DO NOT QUALIFY FOR PREFERENTIAL TARIFF
TREATMENT. BECAUSE THE REQUIREMENTS FOR ENTRY ARE MORE LENIENT
UNDER 9802.00.8015, IMPORTERS MAY STILL USE THIS PROGRAM.
NOTE: QUOTA REPORTING UNDER THE GALS AND VISA REQUIREMENTS STILL
APPLY. ALSO, NORMAL COLUMN 1 DUTY WOULD APPLY TO THE DUTIABLE
PORTION.

MERCHANDISE THAT IS REPORTED TO QUOTA OR GALS THAT IS LATER
CLAIMED TO BE ELIGIBLE FOR PREFERENTIAL TARIFF TREATMENT UNDER
CBTPA REMAINS CHARGED TO THE ABSOLUTE QUOTAS OR GALS.

ALL APPLICABLE VISA REQUIREMENTS REMAIN IN EFFECT, EVEN FOR
MERCHANDISE ELIGIBLE FOR PREFERENTIAL TARIFF TREATMENT.

OTHER ISSUES

TEXTILE AND APPAREL ARTICLES ENTERED AT THE NORMAL DUTY RATES
BECAUSE THE IMPORTER DID NOT POSSESS A VALID CERTIFICATE OF
ORIGIN TO MAKE A CLAIM, THAT HAVE MET THE ABOVE PROVISIONS, CAN
AVAIL THEMSELVES OF ALL THE AVAILABLE POST ENTRY PROCEDURES WITH
THE EXCEPTION OF NAFTA 520 (D).

ENTRIES FOR ARTICLES CLASSIFIED IN THE FOLLOWING HTSUS NUMBERS
CAN BE FILED ABI:

9802.00.8044
9802.00.8046
9820.11.03
9820.11.06
9820.11.15
9820.11.18
9820.11.21
9820.11.24
9820.11.27
9820.11.30

AT THIS TIME, CLAIMS FOR HTSUS NUMBERS 9820.11.09 AND 9820.11.12
CAN NOT BE ACCEPTED. YOU WILL BE ADVISED BY A QBT WHEN THESE
PROVISIONS BECOME AVAILABLE. UNTIL THAT TIME, ALL ENTRIES MUST
BE FILED AS TYPE "01." POST ENTRY AMENDMENTS WILL BE ACCEPTED
FOR THESE ENTRIES ONCE THE QBT IS ISSUED.

ACTION:

WITH THE EXCEPTIONS NOTED ABOVE, FOR IMPORTS THAT WERE ENTERED
ON OR AFTEROCTOBER 2, 2000, CLAIMS FOR PREFERENTIAL TARIFF TREATMENT
UNDER CBTPA MAY BE MADE IF ALL NECESSARY REQUIREMENTS ARE MET FOR THE
FOLLOWING COUNTRIES:

BELIZE HAITI
COSTA RICA HONDURAS
DOMINICAN REPUBLIC JAMAICA
EL SALVADOR NICARAGUA
GUATEMALA PANAMA

INFORMATION:

IF YOU HAVE ANY QUESTIONS CONCERNING THIS TRADE PROGRAM WITH
RESPECT TO TEXTILES AND APPAREL PRODUCTS, PLEASE CALL SUSAN THOMAS
AT (202) 927-3719, GINA TAYLER AT (202) 927-4882, CHERIE PARSONS
AT (202) 927-7002 OR BOB ABELS AT (202) 927-1959.

\S\
ELIZABETH G. DURANT

CC: EXECUTIVE DIRECTOR, FIELD OPERATIONS