MAR-2-44:OT:RR:NC:5:130
Mr. Carlos Zarate
Industrie Ergie Inc.
225, Boul Bonaventure
Victoriaville, G6T 1V5
RE: The country of origin of spliced wood veneers
Dear Mr. Zarate:
In your letter, dated March 3, 2025, you requested a binding country of origin ruling. The ruling was requested on spliced wood veneers. Product information was submitted for our review.
In your letter, you outline a scenario in which peeled veneers of certain nonconiferous species are exported from the U.S. to Canada. In Canada, the veneers will be precision-cut and spliced together, side by side, to produce veneers of a greater expanse. Veneer strips measuring 5 to 15 inches in width will be spliced together to create veneers measuring 38 or 99 inches in width. The spliced veneers vary in length.
The United States-Mexico-Canada Agreement (USMCA) was signed by the Governments of the United States, Mexico, and Canada on November 30, 2018. The USMCA was approved by the U.S. Congress with the enactment on January 29, 2020, of the USMCA Implementation Act, Pub. L. 116-113, 134 Stat. 11, 14 (19 U.S.C. § 4511(a)). General Note (“GN”) 11 of the HTSUS implements the USMCA. GN 11(b) sets forth the criteria for determining whether a good is an originating good for purposes of the USMCA. GN 11(b) states:
For the purposes of this note, a good imported into the customs territory of the United States from the territory of a USMCA country, as defined in subdivision (l) of this note, is eligible for the preferential tariff treatment provided for in the applicable subheading and quantitative limitations set forth in the tariff schedule as a “good originating in the territory of a USMCA country” only if—
the good is a good wholly obtained or produced entirely in the territory of one or more USMCA countries;
the good is a good produced entirely in the territory of one or more USMCA countries, exclusively from originating materials;
Because the veneers are wholly obtained and produced entirely in the territory of two USMCA countries, the veneers are considered to be originating.
The marking rules set forth in part 102 of Title 19 of the Federal Regulations (hereinafter referred to as “Section 102”) will determine the country of origin of USMCA goods.
Pursuant to Section 102.0, interim regulations, related to the marking rules, tariff-rate quotas, and other USMCA provisions, published in the Federal Register on July 6, 2021 (86 FR 35566), the rules set forth in §§ 102.1 through 102.18 and 102.20 determine the country of origin for marking purposes with respect to goods imported from Canada. Section 102.11 provides a required hierarchy for determining the country of origin of a good for marking purposes, with the exception of textile goods which are subject to the provisions of 19 C.F.R. § 102.21. 19 CFR Part 102.11(a) provides that the country of origin of a good for marking purposes is the country in which:
(1) The good is wholly obtained or produced;
(2) The good is produced exclusively from domestic materials; or
(3) Each foreign material incorporated in that good undergoes an applicable change in tariff classification set out in Part 102.20 and satisfies any other applicable requirements of that section, and all other applicable requirements of these rules are satisfied.
Section 102.11(b) is not applicable, as the veneers are not a set nor classifiable under General Rule of Interpretation 3. Additionally, Section 102.21 is not applicable, as the veneers are not textile. The veneers are not wholly produced in one country, nor are they made exclusively from domestic materials. They do not incorporate any foreign material. Because the veneers are manufactured in two USMCA countries, we proceed to Section 102.19(a) to determine origin.
Except in the case of goods covered by paragraph (b) of this section, if a good which is originating within the meaning of § 181.1(q) of this chapter is not determined under § 102.11(a) or (b) or § 102.21 to be a good of a single NAFTA country, the country of origin of such good is the last NAFTA country in which that good underwent production other than minor processing, provided that a Certificate of Origin (see § 181.11 of this chapter) has been completed and signed for the good.
We do not believe that the precision cutting and splicing are minor processing. Therefore, the country of origin is the last NAFTA (USMCA) county in which the veneers underwent production: Canada.
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 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