CLA-2-44:OT:RR:NC:N1:130
Ms. Annie Chik
ACT Logistics
253-10 Northern Blvd.
Manhasset, NY 11362
RE: The tariff classification of wood flooring products from Vietnam
Dear Ms. Chik:
In your letter, dated December 6, 2021, you requested a binding classification ruling on behalf of your client, HF Design. The request was returned to you for additional information, which was received by this office on January 4, 2022. At this time, you are also seeking a country of origin ruling. This request addresses multiple wood flooring products. Photos and product information were submitted for our review.
Item 1, identified as Cortlandt Manor/Avaron/Angora/Sea Harbor, is multilayer, “engineered”, wood flooring panels constructed of eight plies (or layers). The face ply consists of an oak (Quercus spp.) wood veneer measuring approximately 1mm in thickness. The panel substrate is made up of seven layers of acacia (Acacia spp.) wood veneer. No ply exceeds 6mm in thickness. The panel measures 10mm in overall thickness. The grain of each veneer is oriented at a 90-degree angle to those of the successive plies. The panels are tongued and grooved on all edges and ends. The panels are each 1500mm in length; you do not indicate the width. The panels are coated with stain and a clear UV-cured material that does not obscure the grain of the face ply.
Item 2, identified as Montara, is multilayer, “engineered”, wood flooring panels constructed of nine plies. The face ply consists of an oak (Quercus spp.) wood veneer measuring approximately 2mm in thickness. The panel substrate is made up of eight layers of acacia (Acacia spp.) wood veneer. No ply exceeds 6mm in thickness. The panel measures 12mm in overall thickness. The grain of each veneer is oriented at a 90-degree angle to those of the successive plies. The panels are tongued and grooved on all edges and ends. The panels are each 2100mm in length; you do not indicate the width. The panels are coated with stain and a clear UV-cured oil material that does not obscure the grain of the face ply.
Item 3, identified as Brentwood Hills/Saw Grass/Newport, is multilayer, “engineered”, wood flooring panels constructed of nine plies. The face ply consists of an oak (Quercus spp.) wood veneer measuring approximately 3mm in thickness. The panel substrate is made up of eight layers of acacia (Acacia spp.) wood veneer. No ply exceeds 6mm in thickness. The panel measures 15mm in overall thickness. The grain of each veneer is oriented at a 90-degree angle to those of the successive plies. The panels are tongued and grooved on all edges and ends. The panels are each 1900mm in length; you do not indicate the width. The panels are coated with stain and a clear UV-cured material that does not obscure the grain of the face ply.
All three items are flooring panels that meet the definition of “plywood”, which is specifically provided for in heading 4412, Harmonized Tariff Schedule of the United States (HTSUS). “Plywood” is defined in the Explanatory Notes to the Harmonized System (ENs) for heading 4412 as a panel “consisting of three or more sheets of wood glued and pressed one on the other and generally disposed so that the grains of successive layers are at an angle.” The instant panels consist of eight or nine layers and the grain of each layer is oriented at a 90-degree angle to those of the successive layers. Therefore, the panels are of a plywood construction and are classifiable in heading 4412.
The applicable subheading for Items 1, 2, and 3 will be 4412.33.3225, HTSUS, which provides for Plywood, veneered panels and similar laminated wood: Other plywood consisting solely of sheets of wood (other than bamboo), each ply not exceeding 6 mm in thickness: Other, with at least one outer ply of nonconiferous wood of the species alder (Alnus spp.), ash (Fraxinus spp.), beech (Fagus spp.), birch (Betula spp.), cherry (Prunus spp.), chestnut (Castanea spp.), elm (Ulmus spp.), eucalyptus (Eucalyptus spp.), hickory (Carya spp.), horse chestnut (Aesculus spp.), lime (Tilia spp.), maple (Acer spp.), oak (Quercus spp.), plane tree (Platanus spp.), poplar and aspen (Populus spp.), robinia (Robinia spp.), tulipwood (Liriodendron spp.) or walnut (Juglans spp.): Not surface covered, or surface covered with a clear or transparent material which does not obscure the grain, texture or markings of the face ply: Other: Wood flooring. The rate of duty will be 8 percent ad valorem.
For each of the panels, you describe a scenario wherein the substrate plywood is manufactured in Vietnam. European oak veneers originating in France or Germany are bonded to the substrate in Vietnam. The panels are then profiled with tongue and groove joinery, finished, and coated in Vietnam.
Section 134.1(b) of the Customs Regulations (19 CFR 134.1(b)) provides that the "[c]ountry of origin" means the country of manufacture, production or growth of any article of foreign origin entering the United States. Further work or material added to an article in another country must effect a substantial transformation in order to render such other country the "country of origin" within the meaning of Part 134, Customs Regulations (19 CFR Part 134). Substantial transformation requires that "[t]here must be a transformation; a new and different article must emerge, ‘having distinctive name, character, or use.’" Anheuser-Busch Brewing Association v. United States, 207 U.S. 556, 28 S. Ct 204 (1908).
The substrate material manufactured in Vietnam is plywood. The lamination of the oak veneer onto this substrate plywood does not effect a substantial transformation, as the resulting product remains plywood. Furthermore, the profiling and finishing do not transform the plywood. We also note that the substrate plywood and finished flooring panels are both classifiable in heading 4412. Because the substrate plywood is of Vietnam origin, and no substantial transformation is effected by the addition of the French or German oak veneers, the country of origin for the complete flooring panels is Vietnam.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the World Wide Web at https://hts.usitc.gov/current. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 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 Laurel Duvall at [email protected]. Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division