OT:RR:NC:N1:128
Mr. Andrew Park
Andrew J Park CHB
19515 South Vermont Avenue, Suite 100 Torrance, CA 90502
RE: The country of origin of a thermal insulation sheet.
Dear Mr. Park:
In your letter dated January 10, 2024, you requested a country of origin ruling on on behalf of your client, Daehyup Tech Co., Ltd.
The merchandise under consideration is referred to as a thermal insulation sheet. A sample was submitted with your ruling request and was forwarded to the Customs and Border Protection Laboratory for analysis. This analysis has been completed.
The thermal insulation sheet measures approximately 160 millimeters long by 117.9 millimeters wide by 2.7 millimeters thick. It consists of two reconstituted mica sheets each measuring approximately .3 millimeters thick, between which is sandwiched a 2.1-millimeter-thick layer comprised of a mixture of aerogel and glass fibers. You state that this thermal insulation sheet is designed to be installed between the cells of an electric vehicle (EV) battery, and blocks heat generated by the cells. The aerogel layer provides thermal insulation by trapping air, reducing thermal conductivity, and minimizing temperature fluctuations. Mica has natural electrical and thermal insulating properties and also enhances the structural stability of the sheet.
From the information you provided, natural mica is sourced in India and shipped to China, where it is formed into reconstituted mica sheets. The mica sheets are then shipped to South Korea. Meanwhile, aerogel powder is manufactured in South Korea, mixed with glass fibers from South Korea and polyvinyl alcohol from Japan, and processed into a slurry, also in South Korea. The aerogel slurry is applied to the mica sheets; the sheets are then laminated, dried, and cut, producing the final product.
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).
With respect to the thermal insulation sheet, the reconstituted mica components are manufactured in China and are identifiable as articles of mica upon importation into South Korea. The process of adding the aerogel slurry to the mica components and subsequent lamination, drying, and cutting are not complex operations and do not substantially transform the mica components into a product of South Korean origin. The country of origin of the thermal insulation sheet is China.
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).
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 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 Nicole Sullivan at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division