OT:RR:NC:N4:462

Stacia Keegan RIM Logistics 1303 Jack Ct Barlett, IL 60103

RE: The country of origin of an electric garage heater

Dear Ms. Keegan:

In your letter dated February 11, 2025, you requested a country of origin ruling on behalf of your client GHP.

The product under consideration is an electric garage heater, model number EG15000DH.

This heater is assembled in Vietnam from parts sourced in China and Vietnam. Much of the outer case is manufactured in Vietnam through laser cutting, bending, welding, and forming to shape. We note that key components such as the heating element, fan blade, motor, and thermostat are sourced from China.

Pursuant to Part 134, Customs Regulations (19 CFR 134) implements the country of origin marking requirements and exceptions of 19 USC 1304. Section 134.1(b), Customs Regulations (19 CFR 134.1(b)), defines country of origin as: [t]he 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 this part. A substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. A substantial transformation will not result from a minor manufacturing or combining process that leaves the identity of the article intact. See National Hand Tool Corp. v. United States, 16 CIT 308 (1992), aff'd, 989 F.2d 1201 (Fed. Cir. 1993).

In order to determine whether a substantial transformation occurs when components are assembled into completed products, all factors such as the components used to create the product and manufacturing processes that these components undergo are considered in order to determine whether a product with a new name, character, and use has been produced. No one factor is decisive, and assembly/manufacturing operations that are minimal will generally not result in a substantial transformation.

This office reviewed the assembly process and parts breakdown submitted in your request and is of the opinion that the Chinese parts, including the heating element, fan, and motor, provide this heater with its basic nature. The parts manufactured in Vietnam enclose and enhance these Chinese components. As the Chinese components undergo a simple assembly process to form the completed heater and are not changed to the point that they emerge with a new name, character, or use that is different from what they possessed prior to processing, we hold the opinion that they are not substantial transformed in Vietnam. Thus, from the details submitted, the country of origin for this electric garage space heater is China.

The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.

This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection Regulations (19 CFR 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, please contact National Import Specialist Sandra Sary at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division