CLA-2-94:OT:RR:NC:N4:463
Robert M. Kossick
U.S. Customs & Trade Law, PLLC
10701 Rembert Ct SW
Lakewood, WA 98498
RE: The country of origin of kitchen cabinets and vanities
Dear Mr. Kossick:
In your letter dated November 24, 2020, you requested a country of origin ruling on behalf of LD Kitchen & Bath (“LDKB”). In lieu of samples, illustrative literature and product descriptions were provided.
LDKB will be importing multiple lines of wooden kitchen cabinets and vanities manufactured by Home Styler Furniture, Sdn. Bhd. (“HSF”) in Malaysia and is seeking a country of origin ruling on four representative items, as follows:
Item 1, model no. BC3934.524, is a kitchen base cabinet (herein “base”) measuring 39" (W) x 34.5" (H) x 24" (D), with two drawers positioned above two doors. Opening the doors reveals one shelf.
Item 2, model no. WC243612, is a kitchen wall cabinet (herein “wall”) measuring 24" (W) x 36" (H) x 12" (D), with two half-width doors and two shelves.
Item 3, model no. VCD6034.521, is a dual-sink vanity (herein “vanity”) measuring 60" (W) x 34.5" (H) x 21" (D), with three stacked drawers in the middle flanked by two doors on either side.
Item 4, model no. OU309024, is a kitchen oven cabinet (herein “oven”) measuring 30" (W) x 90" (H) x 24" (D) with two half-width doors on top, an oven cutout in the middle and three full-width drawers on the bottom.
The cabinets and vanities will be available in six finishes (Mocha, Gray, Stained Gray, Chestnut, Honey Shaker and White Shaker). They will be exported as ready to assemble (RTA) cabinet and vanity kits containing substantially all of the components necessary for their assembly.
The requester suggests that the RTA cabinets and vanities are specifically provided for under subheading 9403.40.9060, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other furniture and parts thereof: Wooden furniture of a kind used in the kitchen: Other: Other: Cabinets designed for permanent installation.” See e.g., NY C84285, Feb. 17, 1998, NY 883040, March 10, 1993. This office is in agreement with the requester.
CABINET PRODUCTION
The information provided states that production of the cabinets and vanities in Malaysia can be divided into five discrete processes, as indicated below:
Doors, Drawers, and Face Frames: Material Selection, Preparation, and Assembly
The process of producing the doors, drawers, and face frames that go into RTA wooden cabinets and vanities involves 10 discrete steps and 10 distinct pieces of specialized machinery. The process begins with the selection of raw dimensional lumber and ends with a visual inspection of the resultant components.
Carcasses, Shelves, and Toe Kicks: Material Selection, Preparation and Assembly
The process of producing the carcasses, shelves, and toe kicks that go into RTA wooden cabinets and vanities involves 8 discrete steps and 7 distinct pieces of specialized machinery. The process begins with the selection of raw dimensional lumber and ends with a visual inspection of the resultant components.
Ultraviolet (UV) Line
The process of UV treating the door, drawer, face frame, and carcass parts and components that go into RTA wooden cabinets and vanities involves 3 discrete steps and 1 distinct piece of specialized machinery. The process begins with the application of primer, followed by the application of paint, and ends with a visual inspection.
Finishing Line
The process of finishing the door, drawer, face frame, and carcass parts and components that go into RTA wooden cabinets and vanities involves 7 discrete steps and 5 distinct tools or pieces of specialized machinery. The process begins with the application of color-tinted primer, involves multiple steps and tests, and ends with a visual inspection.
Packing Line
The process of packaging all of the components that go into the RTA wooden cabinets and vanities involves 7 steps and 3 pieces of specialized machinery. The process begins with the stacking and wrapping of the RTA wooden cabinet and vanity parts and ends with marking the exterior of boxes “Made in Malaysia.”
SUBSTANTIAL TRANSFORMATION ANALYSIS:
Under the CBP laws, if the article consists of material produced, derived from, or processed in more than one country, it is considered a product of that country where it last underwent a “substantial transformation.” According to U.S. courts, a substantial transformation occurs when articles lose their identity as such and become new articles having a new “name, character or use.”
In order to determine whether a substantial transformation has occurred, CBP considers the totality of the circumstances and makes such determinations on a case-by-case basis. CBP has stated that a new and different article of commerce is an article that has undergone a change in commercial designation or identity, fundamental character, or commercial use. A determinative issue is the extent of the operations performed and whether the materials lose their identity and become an integral part of the new article.
The requester states that (i) the raw wood, plywood and medium-density fiberboard (MDF); (ii) the individual items of hardware; and (iii) other coating substances—each with its own name, use(s) and character—bear no direct or obvious functional relationship to the RTA article of furniture they become. Furthermore, the requester states that the extensive and complex processing operations involved in the production of the RTA wooden cabinets and vanities (35 steps and 26 tools or pieces of specialized machinery) clearly go beyond simple assembly, minor combining, or mere cutting to length. This office agrees with the requester on both counts and finds that the country of origin of the base, wall, vanity and oven is Malaysia.
All of the items subject of this ruling (base, wall, vanity and oven) are appropriately classified in subheading 9403.40.9060, HTSUS, which provides for “Other furniture and parts thereof: Wooden furniture of a kind used in the kitchen: Other: Other: Cabinets designed for permanent installation.” The rate of duty is free.
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 the World Wide Web at https://hts.usitc.gov/current.
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 Seth Mazze at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division