It was possible in gracia part 1 & 2. Since gracia final masterwork upper body pieces are not longer craftable.
Moreover masterwork upper body was blocking ur set bonuses. for example:
Dyna hv set gives +4.6 %p. def, +418 max HP, and +8 resist darkness. When u were wearing masterwork breast plate u was not getting this set bonus even if u had whole set geared, instead of that u get only single masterwork item bonuses.
Quote from legacy.lineage2.com :