CLA-2-71:RR:NC:SP:233 R00410
Mr. Nathan Vogts
c/o Mr. Frank Ruffolo
310 W. Silver St.
Butte, Montana 59701
RE: The tariff classification and country of marking of pendants with sterling silver chains and broaches from Thailand.
Dear Mr. Vogts:
In your letter dated May 24, 2004, you requested a tariff classification ruling.
The items to be imported are rhodium plated 92.5% jewelry made in Thailand and set with Swarovski® crystals from Austria. The ‘crystals’ are actually glass with 30% lead content. The process of setting the crystals takes place in Thailand. The jewelry consists of pendants and broaches valued at approximately $6 each. The pendants include a sterling silver chain made in Thailand. The jewelry will come in small cardboard boxes. The boxes and jewelry will be packaged and sold together. A second cardboard cover is slipped over the boxes to ensure that they stay closed. The jewelry pieces are not more than an inch in length or width. You plan on selling by mail order in which case the box will not be opened until purchased. You have submitted photographs of sample cross and flag pendants.
The applicable subheading for the pendants with sterling silver chains will be 7113.11.5000, Harmonized Tariff Schedule of the United States (HTS), which provides for “Articles of jewelry and parts thereof, of precious metal…Of silver, whether or not plated or clad with precious metal: Other: Other.” The rate of duty will be 5% ad valorem.
The applicable subheading for the broaches will be 7117.90.9000, HTS, which provides for “Imitation jewelry: Other: Other: Valued over 20 cents per dozen pieces or parts: Other: Other.” The rate of duty will be 11% ad valorem.
Articles classifiable under subheading 7117.90.9000, HTS, which are products of Thailand are currently entitled to duty free treatment under the Generalized System of Preferences (GSP) upon compliance with all applicable regulations.
You have also inquired as to the country of origin and marking of the jewelry which is assembled in Thailand from products of Thailand and Australia.
The country of origin of a product is the country of manufacture, production, or growth of the article. If further work or material is added to an article in another country, there must be a substantial transformation in that country in order to render such other country the country of origin. In the scenarios described above, the assembly of the pendants and broaches in Thailand substantially transforms the components into an article of jewelry whose name, character and use is different from that of the components used in the processing. Accordingly, the country of origin is Thailand.
The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. shall be marked in a conspicuous place as legibly, indelibly and permanently as the nature of the article (or its container) will permit, in such a manner as to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article.
Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 CFR 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the marking easily and read it without strain. Section 134.1(d), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. If an imported article is to be sold at retail in its imported form, the purchaser at retail is the ultimate purchaser. In this case, the ultimate purchaser of the jewelry is the consumer who purchases the product at retail.
An article is excepted from marking under 19 U.S.C. 1304 (a)(3)(D) and section 134.32(d), Customs Regulations (19 CFR 134.32(d)), if the marking of a container of such article will reasonably indicate the origin of such article. Accordingly, if Customs is satisfied that the article will remain in its container until it reaches the ultimate purchaser and if the ultimate purchaser can tell the country of origin of the jewelry by viewing the container in which it is packaged, the individual jewelry items would be excepted from marking under this provision.
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 Lawrence Mushinske at 646-733-3036.
Sincerely,
Robert B. Swierupski
Director,
National Commodity
Specialist Division