MAR 2-05 CO:R:C:V 732900 pmh
Mr. James S. O'Kelly
Barnes, Richardson & Colburn
475 Park Avenue South
New York, N.Y. 10016
RE: Country of origin marking of compact discs
Dear Mr. O'Kelly:
This is in response to your letter of November 17, 1989, on
behalf of your client, Disque Americ, Inc., of Drummondville,
Quebec, Canada, requesting a ruling on the proper country of
origin marking requirements for imported compact discs. This
ruling only applies to future imports. We regret the delay in
responding.
FACTS:
According to your letter, your client manufactures compact
discs for various U.S. distributors. Each U.S. customer
distributes the discs under its own private label and supplies
its own retail packaging in which the discs will be distributed
in the U.S. The retail package identifies the name and domestic
address of the U.S. distributor, preceded by words such as
"Distributed by," "Product of," "Manufactured by," or
"Manufactured for." Your client affixes an adhesive label
bearing the words "Made in Canada" to the retail package in close
proximity to the U.S. customer's name and domestic address. In
addition, the label on each individual disc bears the words "Made
in Canada."
You have submitted several samples of discs in their retail
packaging. Three of these are in blister packs in which the
label on the individual disc is visible. One disc is packaged in
a carton encased in clear plastic wrap; the disc is not visible.
The disc in The retail carton bears the words "Distributed by the
Special Music Company" and the domestic address of that company
on the back panel of the carton. An adhesive label bearing the
words "Made in Canada" is affixed to the carton in close
proximity to the name and address of the U.S. company and under
the plastic wrap. The three discs in blister packs each bear the
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name and address of a U.S. distributor on the back panel of the
blister pack. One such name and address is preceded by the words
"A Product of," another by the words "Manufactured by," and
another by the words "Manufactured and Distributed by." The
adhesive label bearing the words "Made in Canada" is affixed to
each package in close proximity to the name and address of the
U.S. distributor and inside the plastic of the blister pack. In
addition, each of the discs is visible through a window in the
blister pack and the label on each disc bears the words "Made in
Canada."
ISSUE:
Whether the country of origin marking on each of the
submitted sample compact discs satisfies the requirements of 19
U.S.C. 1304.
LAW AND ANALYSIS:
Section 304 of the Tariff Act of 1930, as amended (19 U.S.C.
1304), provides that, unless excepted, every article of foreign
origin imported into the U.S. shall be marked in a conspicuous
place as legibly, indelibly, and permanently as the nature of
the article (or its container) will permit, in such a manner as
to indicate to the ultimate purchaser in the U.S. the English
name of the country of origin of the article.
Part 134, Customs Regulations (19 CFR Part 134), implements
the country of origin marking requirements and exceptions of 19
U.S.C. 1304. Section 134.46, Customs Regulations (19 CFR
134.46), requires that when the name of any city or locality in
the U.S., or the name of any foreign country or locality other
than the country or locality in which the article was
manufactured or produced, appears on an imported article or its
container, there shall appear, legibly and permanently, in close
proximity to such words, letters or name, and in at least a
comparable size, the name of the country of origin preceded by
"Made in," "Product of," or other words of similar meaning. The
purpose of this section is to prevent the possibility of
misleading or deceiving the ultimate purchaser as to the country
of origin.
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In this case, the adhesive label bearing the name of the
country of origin is, itself, conspicuously and permanently
affixed to each retail package. We find that the retail package
which consists of a carton sealed in plastic wrap and bearing the
words "Distributed by the Special Music Company" clearly
indicates that the compact disc is a product of Canada. The
packaging is in compliance with the requirements of 19 U.S.C.
1304 and 19 CFR 134.46. However, with regard to the three
compact discs in blister packs, it is our opinion that an
ultimate purchaser would be confused as to the country of origin
of the discs. Although these three packages also bear the "Made
in Canada" adhesive label, the words "A Product of,"
"Manufactured by," and "Manufactured and Distributed by," which
alternatively precede the name and address of the U.S.
distributor on each package, are extremely misleading. This is
particularly so due to the fact that these same words are so
commonly used to indicate origin. In fact, as noted above, 19
CFR 134.46 specifically suggests using the words "A Product of,"
to identify the country of origin. Customs has long held the
words "Manufactured by" to be "words of similar meaning" as "Made
in" or "Product of." In addition, we find that the words "Made
in Canada" which appear on the label of the disc in lettering
1/16" are not sufficient to remedy the confusing and misleading
marking on the retail package.
HOLDING:
Compact discs that are sold in packages bearing the name and
address of a U.S. company preceded by the words "Distributed by"
and bearing an adhesive label "Made in Canada" that is
conspicuous and in close proximity to such name and address, are
in compliance with 19 U.S.C. 1304 and 19 CFR 134.46. Compact
discs that are sold in blister packs bearing the name and address
of a U.S. company preceded by the words "A Product of,"
"Manufactured by," or Manufactured and distributed by," are not
in compliance with 19 U.S.C. 1304. Such marking is misleading
and confusing, regardless of the fact that an adhesive label
"Made in Canada" appears in close proximity to the name and
address of the U.S. company.
Sincerely,
Marvin M. Amernick
Chief, Value, Special Programs,
and Admissibility Branch