CLA-2-90:S:N:N3:119 805390
Mr. Leonard M. Fertman
2049 Century Park East, Suite 1800
Los Angeles, CA 90067
RE: The tariff classification, country of origin marking and
status under the North American Free Trade Agreement (NAFTA),
of Orthodontic Preformed Archwires from Mexico; Article
509
Dear Mr. Fertman:
In your letter dated December 13, 1994 you requested a ruling
on the status of orthodontic preformed archwires from Mexico under
the NAFTA. The request is being made on behalf of Ormco
Corporation, Glendora, CA.
The preformed archwires consist of a length of wire arched to fit the
contours of the mouth and are used in orthodontic work in conjunction with
braces. Your letter describes the processing of the product as follows:
The subject merchandise is manufactured from
stainless steel or Titanium Molybdenum Alloy
(TMA) wire produced in the United States, or
Nickel Titanium Alloy (NiTi) wire produced in
Japan. The wire is shipped to Ormco Corporation
in the United States on a spool. In the case of
the NiTi wire, the wire is heat treated in the
United States prior to processing. The wire is
cut into desired lengths in the U.S. where it is
degreased, acid etched and inspected. The wire
is then bent in the general configuration of an
arch before being shipped to Mexico. In Mexico
the wire undergoes a chemical wash. The wire is
marked with a midline and then bent with pliers
and manipulated by hand to conform to a template,
according to specifications, into the final
product. The preformed archwires are then
cleaned, packaged, labeled, inspected and
shipped to Ormco Corporation in Glendora,
California.
The archwires are placed in individual sealed envelopes and packed ten
to a box. They are sold only in this condition to orthodontists. Both the
envelopes and the box are marked "Made in Mexico".
The steel wire is processed in the U.S. into an unfinished orthodontic
article thereby meeting the change in tariff classification required under
HTSUSA General Note 12(t)/90. Therefore the preformed archwires made from
the American and the Japanese steel are products of the U.S. when they are
shipped to Mexico for further processing. Upon return to the U.S. the
finished preformed archwires are considered to be products of Mexico
pursuant to 19CFR Part 102, Section 102.14.
The applicable tariff provision for the orthodontic preformed archwires
will be 9021.19.8500, Harmonized Tariff Schedule of the United States
Annotated (HTSUSA), which provides for artificial joints and other
orthopedic or fracture appliances; parts and accessories thereof... other.
The general rate of duty will be 4.6 percent.
Since the preformed archwires satisfy the requirements of HTSUSA General
Note 12(b)(ii) or 12(b)(iii), they will be entitled to a free rate of duty
under the NAFTA upon compliance with all applicable laws, regulations and
agreements.
In regard to the marking requirements, pursuant to Annex 311 of the
North American Free Trade Agreement and Part 134 of the Customs
Regulations, the proposed country of origin marking (gummed label marked
"Made in Mexico" on each envelope and box) would be acceptable.
This ruling is being issued under the provisions of Part 181 of the
Customs Regulations (19 C.F.R. 181).
A copy of this ruling letter should be attached to the entry documents
filed at the time this merchandise is imported. If the documents have been
filed without a copy, this ruling should be brought to the attention of the
Customs officer handling the transaction.
This ruling letter is binding only as to the party to whom it is issued
and may be relied on only by that party.
Sincerely,
Jean F. Maguire
Area Director
New York Seaport