OT:RR:NC:N2:212

Jennifer Diaz
Diaz Trade Law, P.A.
12700 Biscayne Blvd. Suite 401
North Miami, FL 33181

RE: The country of origin and marking of battery chargers

Dear Ms. Diaz:

In your letter dated June 18, 2025, you requested a country of origin ruling on behalf of your client, Delta-Q Technologies Corporation.

There are five versions of what is described as a battery charger at issue with this request. The versions are identified by model numbers IC, ICL, RC, RQ, and XV. The subject chargers are used in a variety of industrial and recreational machinery, such as electric pallet jacks, scissor lifts, golf carts, and e-mobility scooters. The charger consists of a printed circuit board assembly (PCBA) within a cast enclosure and incorporates various electrical connectors. You state that the primary difference between the models is the size of the PCBA, which is dependent upon the voltage rating needed by the end customer.

In your request, you note that the manufacturing process for all five models is substantially similar and only differs slightly. This begins in Indonesia with the creation of the PCBA by adding the various electrical components, including integrated circuits, resistors, transistors, capacitors and others, through a soldering, through-hole, and surface mount technology (SMT) process to the bare printed circuit board. This finished PCBA is then tested for functionality and sent to China where it is glued within the cast enclosure. The connectors are then added before the lid is attached and the finished device is tested and packaged for shipment to the United States.

When determining the country of origin for purposes of applying current trade remedies under Section 301 and additional duties, the substantial transformation analysis is applicable. See, e.g., Headquarters Ruling Letter H301619, dated November 6, 2018. 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, 681 F.2d 778 (C.C.P.A. 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). Additionally, 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).

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.

Regarding the origin of the subject chargers, it is the opinion of this office that the PCBA, which functions to convert the input voltage and control the electrical charging of the intended machinery, imparts the character of the finished device. Further, the process performed in China is not significantly complex in nature to substantially transform the PCBA into a new and different article of commerce. Based upon the facts presented, the country of origin for marking and trade remedy purposes, for the battery chargers, model numbers IC, ICL, RC, RQ, and XV, will be Indonesia.

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 Luke LePage at [email protected].
Sincerely,

James Forkan
Acting Director
National Commodity Specialist Division