OT:RR:NC:N3:140

Terry Scheurman
Applied Specialties, Inc
33555 Pin Oak Pkwy Avon Lake 44012

RE: The country of origin of Sodium Tolyltriazole (CAS# 64665-57-2).

Dear Mr. Scheurman:

In your letter dated December 19, 2022, you requested a country of origin ruling on Sodium Tolyltriazole (CAS# 64665-57-2) imported from Mexico.

The instant product has been identified as AS-8150, a 50 percent sodium tolyltriazole (CAS# 64665-57-2) solution.  Ingredients used in manufacturing 50 percent sodium tolyltriazole are – water originating from Mexico, 50 percent Sodium Hydroxide (CAS# 1310-73-2) originating from Mexico, and Tolyltriazole (CAS# 29385-43-1) originating from China.

Manufacturing Process

Your submitted documents indicate that water is charged into the reactor followed by 50 percent sodium hydroxide.  There is an exotherm from the hydrolysis of the 50 percent sodium hydroxide into the water.  Dry tolyltriazole is then added into the warm caustic water where the acid base reaction takes place between the sodium hydroxide and the tolyltriazole.

Country of Origin

Under General Note GN 11(n)(iv)(A), “ A good of Chapter 28 through 38, except a good of heading 33.01 or 38.23, or subheading 2916.32 or 3502.11 through 3502.19, that results from a chemical reaction in the territory of one or more of the Parties shall be treated as an originating good.”

For the purposes of this rule, a “chemical reaction” is a process (including a biochemical process) that results in a molecule with a new structure by breaking intramolecular bonds and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.

During the reaction process in Mexico, an acid-base reaction took place to form 50 percent sodium tolyltriazole . During the acid base reaction, a hydrogen bond was broken, and an ionic bond was formed between the Sodium (Na) atom and Nitrogen (N) atom.

The applicable subheading for Sodium Tolyltriazole (CAS# 64665-57-2) will be 2933.99.8290 Harmonized Tariff Schedule of the United States (HTSUS), which provides for Heterocyclic compounds with nitrogen hetero-atoms(s) only: Other: Other:  Aromatic or modified aromatic: Other: Other: Other: Other.  The Country of Origin when imported into the United States is Mexico. This merchandise may be subject to the requirements of the Toxic Substances Control Act (TSCA), which are administered by the U.S. Environmental Protection Agency. Information on the TSCA can be obtained by contacting the EPA at 1200 Pennsylvania Avenue, N.W., Mail Code 70480, Washington, D.C., by telephone at (202) 554-1404, or by visiting their website at www.epa.gov

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 test for determining whether a substantial transformation will occur is whether an article emerges from a process with a new name, character or use, different from that possessed by the article prior to processing. See Texas Instruments Inc. v. United States, 69 C.C.P.A. 151 (1982).

This determination is based on the totality of the evidence. See National Hand Tool Corp. v. United States, 16 C.I.T. 308 (1992), aff'd, 989 F.2d 1201 (Fed. Cir. 1993).

This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist EVAN THOMAS at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division