OT:RR:NC:N3:136
Brennan O'Gorman
Grunfeld, Desiderio, Lebowitz, Silverman & Klestadt LLP
599 Lexington Avenue, Floor 36
New York, NY 10022
RE: The country of origin and marking of a Facial Cleanser
Dear Mr. O'Gorman:
In your letter dated June 17, 2025, on behalf of Fantasia Accessories Ltd. and Fujian Haojin Toiletries Co.,
Ltd., you requested a country of origin and marking ruling on a Facial Cleanser.
In your submission, the subject product is described as a face cleansing lotion, identified as “Dermasil®
Oatmeal Facial Cleanser.” The facial cleanser is sold under the brand name Dermasil®. It contains, among
other ingredients, oat and mushroom extracts. You state, “The gentle formula cleanses, nourishes, and
hydrates skin, leaving it feeling refreshed and radiant. Oatmeal, known for its calming properties, gently
exfoliates and soothes sensitive skin, helping to reduce redness and irritation. Snow mushroom, a natural
humectant, provides deep hydration to leave skin feeling plump and moisturized.”
The facial cleanser will be imported in 5 Fl. OZ. plastic containers, suitable for retail sale.
The raw materials used to produce the finished facial cleanser will be sourced from various countries. The
ingredients used to produce the finished cleanser, along with their respective countries of origin and
functions, are summarized in your submission.
The ingredients will be sent to either Malaysia or Vietnam. In Malaysia or Vietnam, the ingredients will be
weighed, homogenized, blended under controlled conditions to produce a stable bulk, and then combined
with high shear mixing operations using a mixing machine. Preservatives and other ingredients will be added
in a cooled-down phase. The formulation will then be bulk tested for pH, microbial content, and stability.
After testing, the bulk formulation will then be sent from Malaysia or Vietnam to China. There, the product
will be filled into retail containers, affixed with retail labels, and packaged in cartons for exportation from
China to the United States. All packaging materials (bottles, pumps, cartons, and cardboard) originate in
China.
Country of Origin
Part 134 of the U.S. Customs and Border Protection (“CBP”) Regulations (19 CFR 134) implements the
country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.1(b), CBP
Regulations (19 CFR 134.1(b)), defines “country of origin” 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 the marking laws and regulations.
A substantial transformation occurs when, as a result of a manufacturing process, a new and different article
emerges, having a distinct name, character or use, which is different from that originally possessed by the
article or material before being subjected to the manufacturing process. See United States v.
Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98) (1940).
Marking
Section 304 of the Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that unless excepted, every
article of foreign origin imported into the United States 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 United States, the English name of the country of origin of the
article. Congressional intent in enacting 19 U.S.C. 1304 was “that the ultimate purchaser should be able to
know by an inspection of the marking on the imported goods the country of which the goods is the product.
The evident purpose is to mark the goods so that at the time of purchase the ultimate purchaser may, by
knowing where the goods were produced, be able to buy or refuse to buy them, if such marking should
influence his will.” See United States v. Friedlander & Co., 27 C.C.P.A. 297, 302 (1940).
With respect to the subject product, we have determined that the production process in Malaysia or Vietnam
results in a substantial transformation of the raw materials, sourced from various countries, used to produce
the finished facial cleanser. Therefore, in our opinion, the country of origin for the subject facial cleanser for
duty and marking purposes is Malaysia or Vietnam, based on the country where the production process
occurs.
In your letter you state “It is proposed that the retail container be marked as ‘Product of Malaysia’ or
‘Product of Vietnam.’ Alternatively, the company is considering marking the product ‘Product of Malaysia/
Bottled in China’ or ‘Product of Vietnam/Bottled in China.’ If a U.S. address appears on the packaging, the
origin marking will be stated in close proximity and comparable size in accordance with 19 C.F.R. §134.46.”
We find your proposed markings to be acceptable.
In your request, you asked whether the facial cleanser will be subject to the additional duties imposed upon
Chinese goods pursuant to U.S. Note 2(u) to Subchapter III, Chapter 99, and Section 301 of the Trade Act of
1974. Currently, these duties only apply to articles that are products of the People’s Republic of China.
Therefore, the facial cleanser will not be subject to the additional duties imposed by U.S. Note 2(u) to
Subchapter III, Chapter 99, and Section 301.
You also asked whether the facial cleanser will be subject to the “Reciprocal Tariffs.” Effective April 5,
2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must be reported with
either the Chapter 99 provision under which the reciprocal tariff applies or one of the Chapter 99 provisions
covering exceptions to the reciprocal tariffs. At this time products from all countries will be subject to an
additional 10 percent ad valorem rate of duty.
This merchandise may be subject to the Federal Food, Drug, and Cosmetic Act and/or The Public Health
Security and Bioterrorism Preparedness and Response Act of 2002 (The Bioterrorism Act), which are
administered by the U.S. Food and Drug Administration (FDA). Information on the Federal Food, Drug, and
Cosmetic Act, as well as The Bioterrorism Act, can be obtained by calling the FDA at 1-888-463-6332, or by
visiting their website at www.fda.gov.
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 Nuccio Fera at [email protected].
Sincerely,
(for)
James Forkan
Acting Director
National Commodity Specialist Division