MAR-2 OT:RR:E:NC:N2:237
Ms. Abbie Wells
Harp USA, Inc.
101 NE 3rd Avenue
Suite 1500
Fort Lauderdale, FL 33301
RE: The country of origin marking of Harp R134a (1,1,1,2-tetrafluorethane) refrigerant gas in 12oz. cans and 30lb. cylinders from the United Kingdom.
Dear Ms. Wells:
In your letter dated June 18, 2009 you requested a ruling on country of origin marking. You submitted photographs of can, cylinder and box artwork showing the proposed country of origin marking for our review.
Harp R134a (1,1,1,2-tetrafluorethane) refrigerant gas is purchased in bulk from the U.S. and shipped to the United Kingdom for repackaging into 12oz. cans manufactured in the U.S. and 30lb. cylinders manufactured in Portugal. The cans are boxed in lots of 12 and palletized with 102 boxes per pallet (total 1224 can per pallet). The cylinders are boxed individually in cardboard boxes that are designed so that the cylinders are used without ever removing them from the box and palletized in quantities of 40 per pallet. When the gas filled cans and cylinders are returned to the U.S., the importer will claim eligibility for duty exemption as U.S. goods returned on the gas and cans but not on the cylinders.
The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) 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. "Country of origin" is defined in section 134.1(b), Customs Regulations, as the 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. Customs has ruled that products of the U.S. which are exported for further processing and subsequently returned, are not subject to country of origin marking upon importation to the U.S. unless the further processing in the foreign country constituted a substantial transformation of the product.
The repackaging of gas in 12oz. cans does not effect any significant change in the character or use of the gas for purposes of establishing country of origin. Therefore, it is our determination that the foreign repackaging process does not constitute a substantial transformation and the gas remains a product of the United States. Accordingly, the imported gas and cans are not subject to the country of origin marking requirements of 19 U.S.C. 1304.
The proposed marking of the outside cardboard boxes and/or the 30lb. cylinders would be acceptable provided the words "Cylinder manufactured in Portugal" appear in close proximity, and in at least a comparable size, to the words "Product of the United States". However, the issue of whether an article may be marked with the phrase "Made in the U.S.A." or similar words denoting U.S. origin is under the authority of the Federal Trade Commission (FTC). We suggest that you contact the FTC Division of Enforcement, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580 for further advice on the propriety of your proposed marking.
This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR Part 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 Frank Cantone at (646) 733-3038.
Sincerely,
Robert B. Swierupski
Director
National Commodity Specialist Division