MAR-2 OT:RR:NC:N1:102
Ms. Maria B. Gibbons
Beta International Inc.
8303 Millet Street
Houston, TX 77012
RE: THE COUNTRY OF ORIGIN MARKING OF BALL VALVE KITS ASSEMBLED IN THE UNITED STATES
Dear Ms. Gibbons:
This is in response to your letter dated September 23, 2011 requesting a ruling on whether the proposed marking “Assembled and Tested in the USA From Globally Sourced Components” is an acceptable country of origin marking for ball valves assembled in the United States. A marked sample was not submitted with your letter for review.
The articles in question are described as foreign ball valve kits, the components of which are assembled together with U.S. components in the United States to produce finished ball valves. The assembly operations include complete assembly of all the kit components, pressure testing, coating, painting, marking and final inspection of the complete ball valves. The marking of the completed valve includes the attachment of a metal tag marked “Assembled and Tested in the USA from Globally Sourced Components”. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) 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 USC 1304.
Section 134.1(d), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. 19 CFR 134.1(d)(1) states that if an imported article will be used in manufacture, the manufacturer may be the ultimate purchaser if the manufacturer subjects the imported article to a process which results in a substantial transformation of the article. An article used in manufacture which results in an article having a name, character or use differing from that of the constituent article will be considered substantially transformed and that the manufacturer or processor will be considered the ultimate purchaser of the constituent materials. Pursuant 19 CFR 134.35, in such circumstances, the imported article is excepted from marking and only the outermost container is required to be marked. Based on the information made available, all the imported components contained in the valve kits are used by Beta International in the production of finished valves and are not sold in their condition as imported. Accordingly, we find that the imported kits are substantially transformed into articles with a new name, character or use, when processed in the United States to produce finished valves, and that Beta International is the ultimate purchaser of such kits. In accordance with 19 CFR 134.35, the imported kits, provided they are used by Beta International in the assembly of completed valves and not sold separately in their condition as imported, are excepted from individual marking and only the outermost containers of the imported articles must be marked with country of origin. Whether an article may be marked with the phrase "Made in the USA" or similar words denoting U.S. origin is an issue under the authority of the Federal Trade Commission (FTC). With respect to your inquiry as to the acceptability of your proposed markings, which will be indicated on the metal tag affixed to the ball valves after assembly in the United States, .we suggest that you contact the Federal Trade Commission, Division of Enforcement, 6th and Pennsylvania Avenue, NW, Washington, D.C. 20508, as to whether the proposed markings satisfy there requirements.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR Part 177).
A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact National Import Specialist Kenneth T. Brock at (646) 733-3009.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division