Applying Section XI Note 7 Criteria to Borderline Linen Goods
Applying Section XI Note 7 requires auditing mill edge finishes, drawn threads, and cutting geometry to prevent high-duty Chapter 63 customs reclassifications.
Harmonized System Section XI Note 7
Classification Standard
International customs regulations employ specific legal provisions to determine the finished or unfinished state of imported textile articles. Within the global trade framework, Harmonized System Section XI Note 7 establishes the precise criteria for what constitutes made up goods rather than simple fabrics. This legal note defines the boundary where unfinished rolled goods transition into finished articles such as hemmed towels or packed table linens.
It does not apply to simple woven fabrics that have been subjected to basic cutting without further finishing work.
Textile Definition
The note lays down several distinct conditions under which a textile material is classified as made up. For example, any fabric that is hemmed, rolled at the edges or assembled by sewing falls under this provision. Fabric that has been produced in finished sizes with unthreaded fringes or separated by cutting dividing threads also satisfies the definition.
Thus, a linen table runner with hemmed ends and raw selvedges meets the criteria under the Harmonized System Section XI Note 7 because of the manual or mechanical edge treatment. Unfinished yardage with raw edges remains classified under the standard fabric headings.
Duty Application
The classification of a product under this note dictates the applicable import duty rate. Finished linens often face higher tariffs than simple unfinished woven fabrics. Importers must review the precise finishing steps to ensure compliance with customs declarations.