CLA-2-48:OT:RR:NC:N4:434
Mireya Ruano Veyer LLC. 6600 Military Trail Boca Raton, FL 33496 RE: The tariff classification and country of origin of a ring binder Dear Ms. Ruano: This is in response to your letter dated March 11, 2025, requesting a tariff classification and country of origin determination, for purpose of duty calculation, of a ring binder. Photos and a detailed description of the manufacturing operations were provided for our review. The item under consideration is a ring binder, measuring approximately 10.4” x 11.3” x 1.7”(D) The outer cover is constructed of a greyboard core covered completely with polypropylene (PP) sheeting. Mounted on the inside spine is a metal three-ring binder mechanism. The binder features one exterior pocket and two interior pockets. The applicable subheading of the ring binder will be 4820.30.0020, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Binders (other than book covers), folders and file covers: Looseleaf binders.” The column one, general rate of duty is Free. We next address the country of origin of the binder. Per your submission, the metal binder mechanism and the binder cover are manufactured in China. The two subcomponents are then shipped to Vietnam where the metal binder mechanism will be riveted to the interior spine of the binder cover by an automated process to complete the binder. The binders are then packaged for shipment to the United States. When determining the country of origin for purposes of applying current tariffs, including 301 trade remedies, the substantial transformation analysis is applicable. See, e.g., Headquarters Ruling Letter (“HQ”) H301619, dated November 6, 2018. The test for determining whether a substantial transformation will occur is whether an article emerges from a process with a new name, character, or use different from that possessed by the article prior to processing. See Texas Instruments Inc. v. United States, 681 F.2d 778 (C.C.P.A. 1982). This determination is based on the totality of the evidence. See National Hand Tool Corp. v. United States, 16 C.I.T. 308 (1992), aff’d, 989 F.2d 1201 (Fed. Cir. 1993).
CBP has long held that a ?complex or meaningful? assembly operation may result in a substantial transformation while a ?minimal, simple, assembly-type operation? ordinarily will not result in a substantial transformation. The term ?simple assembly? is defined in 19 CFR 102.11(o) as ?the fitting together of five or fewer parts all of which are foreign (excluding fasteners such as screws, bolts, etc.) by bolting, gluing, soldering, sewing or by other means without more than minor processing.? The processes performed in Vietnam do not result in a substantial transformation. The combining of the cover with the binder mechanism involves a simple assembly operation, riveting, which does not involve a significant investment in time, complex machinery, or technical skill.? The country of origin of the finished ring binder is China, the country in which the cover and binder mechanism were manufactured. 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 Charlene S. Miller at [email protected].
Sincerely,
Steven A. Mack Director National Commodity Specialist Division