OT:RR:NC:N2:220
Julie Vair
Tradewin
1015 Third Avenue
Seattle, WA 98104
RE: The country of origin of battery chargers
Dear Ms. Vair:
In your letter dated September 25, 2023, you requested a country of origin ruling on behalf of your client, Tractor Supply Company.
The first item under consideration is identified as the Traveller 12V 6A Smart Battery Charger, PN 1714477, which is described as a smart battery charger consisting of a plastic enclosure having a main printed circuit board assembly (PCBA), a fan, LED indicators, a display and control PCBA, electrical cable/clamps, and electrical components. The Traveller 12V 6A Smart Battery Charger is intended to intelligently charge 12V lead-acid vehicle batteries and features a microprocessor-driven charging system.
The second item under consideration is identified as the Traveller 2/10A 6V/12V Smart Battery Charger, PN 1714478, which is described as a smart battery charger consisting of a plastic enclosure having a main PCBA, an LED charge indicator display, electrical cable/clamps, and electrical components. The 2/10A 6V/12V Smart Battery Charger is intended to intelligently charge lead-acid vehicle batteries and features a microprocessor-driven system with built-in reconditioning mode to protect against reverse polarity, overcharging, short-circuitry and overheating.
The third item under consideration is identified as the Traveller 20A Smart Battery Charger with Start Aid, PN 1714479, which is described as a smart battery charger consisting of a plastic enclosure having a main PCBA, an LCD indicator display, a display and control PCBA, electrical cables/clamps, and electric components. The 20A Smart Battery Charger with Start Aid is designed to charge 12V lead-acid vehicle batteries and features built-in reconditioning and engine-start aid functionality.
In your letter, you state that the main PCBAs for each model under consideration here are produced in Vietnam by surface mounting and through-hole insertion soldering of various electronic components, such as resistors, capacitors, transformers, diodes, triodes, fuses and integrated circuits, etc., onto a bare printed circuit board. Also in Vietnam, the main PCBAs are loaded with firmware and tested prior to being sent to China. In China, the main PCBAs are assembled with the balance of parts and components that are all of Chinese origin. The assembled battery chargers are tested and packaged for export.
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.
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 the subject battery chargers, in our view, the assembly of the PCBAs in Vietnam by soldering the individual components onto the bare board results in a substantial transformation of the components to produce main PCBAs of Vietnamese origin. Furthermore, it is the opinion of this office that the main PCBAs, which function to convert the input voltage and charge the attached batteries, provide the essence of the electrical charging function. In our view, the assembly processes performed in China, which consist of inserting, attaching, screwing, etc., are not complex and are considered basic assembly. As a result, we find that the Vietnamese origin main PCBAs are not substantially transformed in China into different articles of commerce with new names, characters, and uses. Thus, the Traveller 12V 6A Smart Battery Charger, PN 1714477, the Traveller 2/10A 6V/12V Smart Battery Charger, PN 1714478, and the Traveller 20A Smart Battery Charger with Start Aid, PN 1714479, are considered products of Vietnam for origin and marking purposes at the time of importation into the United States.
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