MAR-2 OT:RR:NC:N4:414

Mr. Paul Mangano
L3 Communications
EOTech
1201 E. Ellsworth Road
Ann Arbor, MI 48108-2420

RE: Country of Origin Marking of the 3X Magnifier Optic G2

Dear Mr. Mangano:

This is in response to your letter dated August 16, 2010 requesting a ruling on whether the imported 3X magnifier optic G2 is required to be individually marked with the country of origin if it is later to be processed in the U.S. by a U.S. manufacturer. The 3x magnifier optic G2 (hereafter referred to as the G2 magnifier) is imported from China.

L3 Communications EOTech (hereafter referred to as L3 EOTech) designs, manufacturers and markets state of the art electro-optical based products and systems to customers in the defense, homeland security, law enforcement, and recreational shooting markets. Holographic weapon sights, commonly referred to as reflex sights, are used by units of military and law enforcement agencies for close quarter battle with small arms.

L3 EOTech uses the G2 magnifier as a component in its multi-purpose optic (MPO). The MPO is made up of the holographic weapon sight (HWS) and the G23.FTS, which is made up of the G2 magnifier, the flip to side mount and associated hardware.

Five samples were furnished with your letter and are being returned as requested. Sample A is the multi-purpose optic. Sample B is the holographic weapon sight. Sample C is the flip to side mount. Sample D is the G2 magnifier. Sample E is the G23.FTS which is the G2 magnifier, the flip to side mount and associated hardware.

The G2 magnifier is marked with a self-adhesive label with the words “Made in China”. You have stated that all of the other devices are US country of origin.

The operator’s manual for the holographic weapon sight states that it is a reflex sight that is lightweight, non-magnifying and designed for close quarter battle. It provides aiming capability to approximately 300 meters. The holographic weapon sight operates by appearing to project the holographic image of a reticle on the target plane. The sight can project an open reticle image or a fine red dot.

The holographic weapon sight is mounted to the weapon. The G2 magnifier, with the flip to side mounting, is designed to be mounted behind the holographic weapon sight. For medium range engagement, the G2 magnifier is flipped into place to provide magnification. When the holographic sight is used in conjunction with the G2 magnifier, the effective range of the sight is extended to approximately 600 meters. The G2 magnifier is flipped out of the way when not required.

In your letter, you state your position that the G2 magnifier is transformed into the G23.FTS product and further transformed into the MPO product. You are requesting a ruling that the G2 magnifier is substantially transformed by L3 EOTech in the United States into a new and different product, and that the G2 magnifier does not require individual country of origin marking.

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. 19 CFR 134.1(d)(1) states that if an imported article will be used in manufacture, the manufacturer may be the ultimate purchaser if he subjects the imported article to a process which results in a substantial transformation of the article. The case of U.S. v. Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98) (1940), provides that an article used in manufacture which results in an article having a name, character or use differing from that of the constituent article will be considered substantially transformed and that the manufacturer or processor will be considered the ultimate purchaser of the constituent materials. In such circumstances, the imported article is excepted from marking and only the outermost container is required to be marked. See, 19 CFR 134.35.

According to information provided to this office, the G2 magnifier is assembled to the flip to side mount in the United States. It is a simple assembly consisting of attaching the flip to side mount to the G2 magnifier with screws. The G2 magnifier, after being attached to the flip to side mount, is packaged with the holographic weapon sight for sale to customers.

Based on the facts presented, the G2 magnifier is not substantially transformed as a result of the U.S. processing, which consists of attachment to the flip to side mount and packaging with the holographic weapon sight. The G2 magnifier does not lose its identity by being attached to the flip to side mount. The article does not become an article having a name, character or use differing from that of the imported G2 magnifier. Accordingly, L3 EOTech is not considered the ultimate purchaser of the imported G2 magnifier. The G2 magnifier must be marked in accordance with the marking statute, 19 U.S.C. 1304, with its country of origin in a conspicuous place, as legibly, indelibly and permanently as the article will permit.

The sample that you provided of the G2 magnifier is marked with a sticker label stating “Made in China”. The sticker label is attached at a location which will be hidden when the 3x magnifier optic G2 is attached to the flip to side mount. Accordingly, this form of country of origin marking is not acceptable. The G2 magnifier should be marked in a conspicuous place and in a permanent manner with its country of origin, “Made in China”.

This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR Part 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 Barbara Kiefer at (646) 733-3019.

Sincerely,

Robert B. Swierupski
Director
National Commodity Specialist Division