OT:RR:NC:N2:220

Jane Lee
D and S Industries (Philippines) Corporation
Unit 1-5 Orient Goldcrest
Suntrust Ecotown, Bldg. 2
Cavite
Philippines

RE: The country of origin of a power adapter

Dear Ms. Lee:

In your letter dated February 22, 2024, you requested a country of origin ruling.

The merchandise under consideration is identified as the 30W Dual Port USB C+USB A Car Charger with PD fast charge (Power Adapter), Model Number DC022AA, which is described as a rectifier having two female sockets, namely one USB Type-A and one USB Type-C socket, on one side and a 12 V vehicle accessory plug on the other end. The Power Adapter is intended to supply power to various types of USB enabled electronic devices.

In your submission, you state that the power adapter is comprised of materials from China, Taiwan, and the Philippines. The assembly process begins with the manufacturing of a printed circuit board assembly (PCBA) that occurs in the Philippines by soldering multiple components, such as integrated circuits, resistors, capacitors, diodes, a transformer, etc. onto a bare PCB via a surface mount and through-hole insertion process. The PCBA is then attached to a plastic housing by means of ultrasonic welding. The final product undergoes numerous testing procedures and visual inspection before it is packaged in a retail carton for export.

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).

Regarding the country of origin of Power Adapter, in our view the assembly of the PCBA in the Philippines by soldering the individual components onto the bare board results in a substantial transformation of the components to produce a PCBA of Philippine origin. Furthermore, it is the opinion of this office that the PCBA establishes the function of the electrical charging device because it is the article within the assembly that converts and supplies electricity to electronic devices via the USB sockets. As such, we find that the components that make up the Power Adapter are transformed in the Philippines into a new and different article of commerce with a distinct name, character, and use. Thus, the 30W Dual Port USB C+USB A Car Charger with PD fast charge, Model Number DC022AA, is considered a product of the Philippines for origin and marking purposes at the time of importation into the United States.

Importations of this product may be subject to the provisions of Section 133 of the Customs Regulations if they copy or simulate a registered trademark, trade name or copyright recorded with U.S. Customs and Border Protection. If you are an authorized importer of the product, we recommend notifying your local Customs office prior to importation.

The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.

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 Karl Moosbrugger at [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division