MAR-2-05 CO:R:C:V 734499 RSD
Ms. Bettie Jo Shearer
Manager, International Department
Entry Division
Wholesale Supply Company
7100 Service Merchandise Drive
P.O. Box 26400
Nashville, Tennessee 37202
RE: Country of origin marking of requirements for weight sets,
display items, container marking, 19 CFR 134.22, 19 CFR 134.32(d)
Dear Ms. Shearer:
This is in response to your letter dated January 22, 1992,
requesting a ruling on the country of origin marking requirements
for a 167 pound weight set. Included in your submission were
photographs of the assembled weight set. Subsequently we
received a sample of the unassembled weight set in the boxes in
which it will be packaged for retail sale.
FACTS:
The Wholesale Supply Company, Inc. (Wholesale) is a
subsidiary of the Service Merchandise Company (Service).
Wholesale intends to import a 167 pound weight set which it will
purchase from a company in Taiwan. The weight set consists of
cast iron plates of various weights, 6 collars, which are used
to hold the weights, 2 16-inch steel dumbbell bars, and one 6
foot solid steel barbell bar. The weight plates and the collars
are made in China and the bars are made in Taiwan. Some of the
weight plates are marked with a die-sunk "Made in China." There
are no markings on the collars, barbell pole, or dumbbell bars.
The weight set is sold unassembled and is intended to be
assembled by purchaser.
The weight set is imported in three boxes, each of which is
sealed with a strap. Box 1 contains 10 weight plates (China),
the 6 collars (China), and the two dumbbell bars (Taiwan). Box 2
contains 2 weight plates (China). Box 1 and 2, which each give a
product description and a list of all the components in the
weight set, are marked "Made in China". Box 3 which contains the
barbell pole (Taiwan), has no writing on it. The weight set is
to be shown fully assembled in showrooms so that consumers can
examine it prior to purchase. However if the consumer decides to
purchase the weight set, he/she will receive it in the three
boxes. The weight set also comes with a weight training booklet
which is printed in Taiwan and marked on the back with "Printed
in Taiwan".
You advise that except for those sets which are displayed
already assembled in a Service Merchandise showroom, the weights
will remain in their boxes for sale to the retail purchaser in an
unassembled fashion. You further advise that your company is the
sole distributor of the weight sets and sells them directly to
the retail purchaser. Those weights which will be displayed in
the showroom will be marked with a hang tag. The tag will
specify that the plates and collars are made in China and the
poles and bars are made in Taiwan.
ISSUE:
Do parts of the weight sets have to be marked with their
country of origin if the boxes are properly marked and the
displays are marked with a hang tag?
LAW AND ANALYSIS:
Section 304 of the Tariff Act of 1930, as amended (19
U.S.C. 1304), provides that unless excepted, every article of
foreign origin imported into the U.S. shall be marked in a
conspicuous place as legibly, indelibly, and permanently as the
nature of the article (or its container) will permit, in such a
manner as to indicate to the ultimate purchaser in the U.S. the
English name of the country of origin of the article.
Congressional intent in enacting 19 U.S.C. 1304 was "that the
ultimate purchaser should be able to know by an inspection of the
marking on the imported goods the country of which the goods is
the product. The evident purpose is to mark the goods so that at
the time of purchase the ultimate purchaser may, by knowing where
the goods were produced, be able to buy or refuse to buy them, if
such marking should influence his will." United States v.
Friedlaender & Co. 27 C.C.P.A. 297 at 302; C.A.D. 104 (1940).
Articles for which the marking of the containers will
reasonably indicate the origin of the article are excepted from
marking under 19 U.S.C. 1304(a)(3)(D). For an exception to be
granted under 19 U.S.C. 1304(a)(3)(D), generally the article must
be imported in the container and that container must reach the
ultimate purchaser unopened. See also 19 CFR 134.32(d).
The issue presented in this case is whether the marking of
the retail containers is sufficient in view of the fact that some
items will be removed from these containers for display purposes.
In HQ 732943, May 11, 1990, (C.S.D. 90-81, 24 Cust.Bul No. 30,
November 30, 1990), Customs ruled that importers of ready-to
assemble furniture would have to submit to Customs officials, at
the time of importation, declarations from their retail
distributors that any article or component removed from a marked
container would be marked with its country of origin in order to
qualify for an exception from country of origin marking pursuant
to 19 U.S.C. 1304(a)(3)D) and 19 CFR 134.32(d). Customs
indicated that this declaration was necessary to assure in the
likely event that an article of ready-to-assemble furniture was
removed from its marked container and used as a display model,
the ultimate purchaser will in all circumstances receive proper
indication of the country of origin of the article or its
components.
Similarly, in this case, although most of the weight sets
are designed to remain in the retail boxes for sale to the
ultimate purchaser, some of the sets will be displayed in the
importer's showroom stores. Based on the fact that the importer
has agreed to mark the items that are removed from the boxes and
displayed in their stores with the country of origin by means of
a hang tag attached to the weight set, we find that it is
unnecessary to mark each individual item with its country of
origin. The hang tag attached to the weight set on the display
items should indicate that the plates and collars are made in
China and the poles and bars are made in Taiwan. A certification
that your company will mark the weight sets removed from their
boxes for display purposes in this manner must be submitted at
the time of entry.
In order for the 19 U.S.C. 1304 (a)(3)(D) and 19 CFR
134.32(d) exception to apply, the three boxes containing the
parts of the weight set must also be properly marked to indicate
the country of origin. The present marking on the boxes is
inadequate because it does not mention that some of the
components in the weight set are made in Taiwan. Each box should
be marked to indicate the country of origin of its contents (i.e.
Box 1 should state plate and collars made in China, dumbbell bars
made in Taiwan; Box 2 should be marked China; and Box 3, Taiwan.
The marking should appear in a legible, conspicuous and permanent
manner and in close proximity to and in comparable size letters
as any U.S. address.
If the boxes are properly marked to indicate the country of
origin of the their contents, and the merchandise shown on
display in the importer's showroom is also properly marked with a
hang tag, then the ultimate purchaser will be apprised of the
country of origin of the weight set. It is therefore unnecessary
to mark the actual components of the weight sets with the country
of origin.
HOLDING:
If the weight set components are imported in properly marked
boxes and the Customs officials at the port of entry are
satisfied that they will be sold by Wholesale only in the manner
described above, they may be excepted from marking pursuant to 19
U.S.C. 1304(a)(3)(D) and 19 CFR 134.32(d). A further condition
is that the importer submit the certification described above
regarding the marking of the display set.
Sincerely,
John Durant, Director
Commercial Rulings Division