CLA-2-44:OT:RR:NC:N3:230
Mr. John B. Troendle
Crescent Hardwood Supply
1101 Sams
Harahan, LA 70123
RE: The country of origin of multilayer flooring panels manufactured in multiple countries
Dear Mr. Troendle:
In your letter, dated January 24, 2017, you requested a country of origin ruling. Product information was submitted for our review.
The ruling request regards multilayer wood flooring that is manufactured in Russia and China. In your letter, you outline a scenario wherein 9mm-thick birch plywood is manufactured in Russia and shipped to China for further manufacturing. In China, a 3mm-thick oak veneer is laminated onto the panel’s face. The panels are then cut into planks, tongued and grooved, and coated with a UV-cured urethane product.
Section 134.1(b) of the Customs Regulations (19 CFR 134.1(b)) provides that the "[c]ountry of origin" means 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 Part 134, Customs Regulations (19 CFR Part 134). Substantial transformation requires that "[t]here must be a transformation; a new and different article must emerge, ‘having distinctive name, character, or use.’" Anheuser-Busch Brewing Association v. United States, 207 U.S. 556, 28 S. Ct 204 (1908). The plywood manufactured in Russia is classifiable in heading 4412, Harmonized Tariff Schedule of the United States (HTSUS). The lamination of the oak veneer onto this substrate plywood does not effect a substantial transformation of the plywood. The substrate plywood is classifiable in heading 4412, HTSUS, and the oak-faced plywood is also classifiable in heading 4412, HTSUS. The shaping and finishing of the flooring panels also do not effect a substantial transformation of the plywood; the finished flooring product is also classifiable as plywood in heading 4412. Note 4 to Chapter 44, HTSUS, permits goods of heading 4412 to be tongued and grooved, and Additional U.S. Note 1(c) permits surface covering to be applied to goods of heading 4412. Therefore, the lamination and finishing do not render a new and different article.
Because the substrate plywood is of Russian origin, and no substantial transformation is effected by any of the additional manufacturing in China, the country of origin for the complete flooring panels is Russia.
Please note, however, that the instant product may fall within the scope of the anti-dumping and countervailing orders on multilayered wood flooring from the People’s Republic of China and may be subject to antidumping duties and countervailing duties. Country of origin determination under 19 CFR 134 may differ from country of origin determination for AD/CVD administration. Written decisions regarding the scope of AD/CVD orders are issued by the Import Administration in the Department of Commerce and are separate from tariff classification and origin rulings issued by Customs and Border Protection. You can contact them at http://www.trade.gov/ia/ (click on “Contact Us”). For your information, you can view a list of current AD/CVD cases at the United States International Trade Commission website at http://www.usitc.gov (click on “Antidumping and countervailing duty investigations”), and you can search AD/CVD deposit and liquidation messages using the AD/CVD Search tool at http://addcvd.cbp.gov/.
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 Laurel Duvall at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division