CLA-2-85:OT:RR:NC:N2:212
Paula Connelly
Sandler, Travis & Rosenberg, P.A.
100 Trade Center, Suite G-700
Woburn, MA 01801
RE: The country of origin of fiber optic cable assemblies
Dear Ms. Connelly:
In your letter dated November 9, 2019, you requested a country of origin ruling on behalf of your client, Senko Advanced Components, Inc.
The request concerns four items identified as the following:
SC/APC-MPO(M) 12F SM 900um, 20 inch
MPO(M) – LC/UPC 12F MM w/ 900um, 25 inch
12 Fiber OM4, LCUPC w Fieldsmart Breakout to LCUPC Jumper, 5 ft
SC UPC MM 62.5 12f Distribution Pigtail 3M
Each item is described as a fiber optic cable assembly for use in the telecommunication and data communication industries. Each assembly is of a different length and comprised of different connectors. As such, the manufacturing process of each is slightly different. However, the function of data transmission remains the same.
You state in your request that, in all four cases, optical fiber of U.S. origin is exported to China where it is further processed and assembled into a completed assembly using goods originating from various countries.
In each case, the process in China begins with the importation of the U.S. origin optical fiber on reels. The fiber is then jacketed with Kevlar, cut to the desired length, and prepared for the addition of the connectors. The connector parts are then inserted onto the fiber and epoxy is added to the ferrule holes for the addition of fibers into the ferrule. An oven is used to heat and cure the epoxy prior to the outer housing being added to complete the connector. The completed assembly is then inspected and tested for form and function.
The "country of origin" is defined in 19 CFR 134.1(b) 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.
The courts have held that a substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. United States v. Gibson-Thomsen Co., Inc., 27 CCPA 267, C.A.D. 98 (1940); National Hand Tool Corp. v. United States, 16 CIT 308 (1992), aff’d, 989 F. 2d 1201 (Fed. Cir. 1993); Anheuser Busch Brewing Association v. The United States, 207 U.S. 556 (1908) and Uniroyal Inc. v. United States, 542 F. Supp. 1026 (1982). However, if the manufacturing or combining process is merely a minor one that leaves the identity of the article intact, a substantial transformation has not occurred. Uniroyal, Inc. v. United States, 3 CIT 220, 542 F. Supp. 1026, 1029 (1982), aff’d, 702 F.2d 1022 (Fed. Cir. 1983). Substantial transformation determinations are based on the totality of the evidence. See Headquarters Ruling (HQ) W968434, date January 17, 2007, citing Ferrostaal Metals Corp. v. United States, 11 CIT 470, 478, 664 F. Supp. 535, 541 (1987).
With regard to the origin of the subject fiber optic cable assembly, it is the opinion of this office that the U.S. origin optical fibers impart the essence of the finished good. While the processing and assembly completed in China is integral to the function of the assembly in its finished state, we find that the addition of the connectors does not substantially transform the U.S. parts into a new and different article of commerce with a name, character, and use distinct from the article exported.
Based upon the facts presented, it is the opinion of this office that the origin of the following optical cable assemblies is the United States:
SC/APC-MPO(M) 12F SM 900um, 20 inch
MPO(M) – LC/UPC 12F MM w/ 900um, 25 inch
12 Fiber OM4, LCUPC w Fieldsmart Breakout to LCUPC Jumper, 5 ft
SC UPC MM 62.5 12f Distribution Pigtail 3M
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 Luke LePage at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division