CLA-2-:OT:RR:NC:2:226
Ms. Kimberly Whitworth
Maddocks Industrial Filter Division
663 Woodward Avenue
Hamilton, Ontario
L8H 6P3
Canada
RE: The tariff classification, NAFTA status and country of origin of a filter cartridge assembled in Canada
Dear Ms. Whitworth:
In your letter, dated February 13, 2013, you requested a tariff ruling regarding the tariff classification, NAFTA status and country of origin for marking purposes of a product referred to as “HEPA/fiberglass cartridge filter,” pt. #VF2006.
A sample was submitted with your ruling request. The sample was sent to our U.S. Customs and Border Protection Laboratory for analysis. Our laboratory has now completed its analysis.
The outer part of the article (the cartridge) consists of metal and plastic. A material which you described as “HEPA/fiberglass” is found within the cartridge. This material is surrounded by two fine meshes consisting of aluminum coated with charcoal. These meshes and the HEPA/fiberglass material are held together by a metal clip. The product also contains another mesh consisting of steel. The article includes an iron plate on the bottom and a top consisting of a plastic polymer.
While the other components of the product all support the filtering function of the product, you indicated in your letter that the filtering function itself is performed by the HEPA/fiberglass component of the article.
Our U.S. Customs and Border Protection laboratory has determined that the HEPA/fiberglass material is a fabric consisting of non-woven glass fibers and polyester textile fibers. Our laboratory has determined that the glass fibers constitute the greater part of the weight of this material.
The essential character of this article is imparted by the glass fiber component.
The applicable subheading for the “HEPA/fiberglass cartridge filter,” pt. #VF2006, will be 7019.90.5040, Harmonized Tariff Schedule of the United States (HTSUS), which provides for glass fibers (including glass wool) and articles thereof…other: other. The rate of duty will be 4.3 percent ad valorem.
Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.
According to the information submitted with your ruling request, all the materials which comprise this product with one exception are made in the United States or Canada. You advised us that the only component which is not made in the U.S. or Canada is the aluminum mesh which is made in China. You stated that the HEPA/fiberglass material is made in the United States. Your letter indicates that all the components are assembled in Canada.
General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the North American Free Trade Agreement (NAFTA).
General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that: For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if-- (i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or (ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that-- (A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein.
Based on the facts provided, the “HEPA/fiberglass cartridge filter,” pt. #VF2006, will qualify for NAFTA preferential treatment, because it will meet the requirements of HTSUS General Note 12(b)(ii)(A) and 12(t). It will therefore be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements.
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 the article.
Part 134, Customs Regulations (19 CFR Part 134) implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304.
The country of origin marking requirements for a "good of a NAFTA country" are also determined in accordance with Annex 311 of the North American Free Trade Agreement ("NAFTA"), as implemented by section 207 of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat 2057) (December 8, 1993) and the appropriate Customs Regulations.
The Marking Rules used for determining whether a good is a good of a NAFTA country are contained in Part 102, Customs Regulations. The marking requirements of these goods are set forth in Part 134, Customs Regulations. However, for a good of a NAFTA country, the NAFTA Marking Rules will determine the country of origin. Section 134.1(j) of the regulations, provides that the "NAFTA Marking Rules" are the rules promulgated for purposes of determining whether a good is a good of a NAFTA country. Section 134.1(g) of the regulations, defines a "good of a NAFTA country" as an article for which the country of origin is Canada, Mexico or the United States as determined under the NAFTA Marking Rules. Part 102 of the regulations, sets forth the "NAFTA Marking Rules" for purposes of determining whether a good is a good of a NAFTA country for marking purposes. Section 102.11 of the regulations, sets forth the required hierarchy for determining country of origin for marking purposes.
Section 102.11 (a) of the regulations indicates that the country of origin of a good is the country in which the good is wholly obtained or produced, the good is produced exclusively from domestic materials, or each foreign material incorporated in that good undergoes an applicable change in tariff classification set out in Section 102.20.
Applying the NAFTA Marking Rules set forth in Part 102 of the regulations - Section 102.11(a) and Section 102.20 - to the facts of this case, we find that the “HEPA/fiberglass cartridge filter,” pt. #VF2006, is a good of the United States.
Since the marking statute, Section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), only requires that goods of foreign origin be marked with country or origin, there is no Customs requirement to mark a product when the country of origin is deemed to be the United States.
. If you wish to mark this product with specific information about the U.S. origin of the product or its components, this issue must be addressed by the Federal Trade Commission (FTC).
U.S. Customs and Border Protection does not have the authority to rule on the propriety of specific marking referring to the United States.
You may contact the FTC, Division of Enforcement, 6th & Pennsylvania Avenue, N.W., Washington, DC 20508, telephone number 202-326-2222, on the propriety of any marking referring to the U.S. origin of this product.
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 Jacob Bunin at (646) 733-3027.
Sincerely,
Thomas J. Russo
Director
National Commodity Specialist Division