CLA-2-87:OT:RR:NC:N2:206
John Kenkel
International Trade Law Counselors, PLLC
8647 Richmond Hwy, Suite 623
Alexandria, VA 22309
RE: The tariff classification and country of origin of stabilizer bar links and trailing arms
Dear Mr. Kenkel:
In your letter dated August 20, 2025, you requested a tariff classification and country of origin determination
ruling on stabilizer bar links and trailing arms, which you filed on behalf of GAA Automotive Technology
Sdn Bhd.
The articles under consideration are Stabilizer Bar Links, Model Numbers DG-5818JL and DG-50314J, and
Trailing Arms, Model Numbers BB-8087-1, BB-8097-1L and BB-8239R-GAA, which are used in passenger
vehicles. You also mention trailing arms, Model Numbers BB-8159 and BB-8095 in your submission;
however, no supporting documentation was provided for those two model numbers. As a result, this office
will only address the former three models of trailing arms.
Each stabilizer bar link sub-assemblies include a boot, ball pin, ball socket, backing plate and other
accessories. They are often connected with control arms or shock absorbers, to improve driving stability
when passing through complex roads, reduce vibrations at multiple angles of the car, and make driving more
comfortable. The stabilizer bar links are components that improve the vehicle's handling ability. Their main
function is to achieve the balance of the vehicle's handling and improve the tire's adhesion to the ground.
Each trailing arm sub-assemblies include a housing, bushing and other associated accessories. They are often
connected with the frame and wheels. The trailing arms mainly serve as the guidance and support for the
suspension, enabling the vehicle to be more stable during driving. The trailing arms are components that
enhance a vehicle's handling performance. Their main functions are to support the vehicle body and provide a
buffering effect, allowing it to flexibly collaborate with shock absorbers.
You state that the main components, the stabilizer bar links, such as the boot, housing, ball pin, and welding
parts are sourced from Malaysia. Minor components, including the nut, spiral ring clip, gasket, and ball
socket are imported from China, but undergo further precision machining and processing operations in
Malaysia. In Malaysia, the Chinese components are subjected to multiple precision turning operations,
riveting, greasing, pressing, and assembly to form the finished stabilizer bar links. The final assembly is
conducted using equipment such as CNC machines, pressing machines, riveting machines, molding
machines, grease pump machines, automatic clip machines, and hardness testers. Once assembled, each unit
is inspected, laser marked, tested, and packaged for shipment.
Similarly, the main components the trailing arms, such as the housing and bushing are sourced from
Malaysia. These main components are manufactured in Malaysia. The minor components such as the nuts,
bolts, and ball socket and backing plates, when applicable, are sourced from China and then fully processed
in Malaysia. These imported parts for the trailing arm follow a similar manufacturing route. After arriving in
Malaysia, they undergo precision turning, riveting, greasing, pressing, and other finishing operations before
the final assembly. The completed trailing arms are then assembled using the same set of specialized
machinery, followed by inspection, laser marking, testing, and packaging.
The applicable subheading for the Stabilizer Bar Links, Model Numbers DG-5818JL and DG-50314J, and
Trailing Arms, Model Numbers BB-8087-1, BB-8097-1L and BB-8239R-GAA, will be 8708.80.6590,
Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Parts and accessories of the
motor vehicles of heading 8701 to 8705: Suspension systems and parts thereof (including shock absorbers):
Parts: Other: Other: Other.” The general rate of duty will be 2.5 percent ad valorem.
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.
A substantial transformation occurs when, as a result of 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).
In the present case, the main components of the stabilizer link bars and trailing arms are sourced from
Malaysia. Furthermore, the Chinese components are further machined and integrated with the Malaysian
components, thus, losing their individual identities and becoming parts of the finished articles. As a result,
the substantial transformation occurs in Malaysia, and the country of origin of the Stabilizer Bar Links,
Model Numbers DG-5818JL and DG-50314J, and Trailing Arms, Model Numbers BB-8087-1, BB-8097-1L
and BB-8239R-GAA, will be Malaysia for marking purposes and for purposes of applying current trade
remedies under Section 301 and additional duties.
Effective May 3, 2025, Presidential proclamation 10908 imposed additional tariffs on certain automobile
parts. Additional duties on automobile parts of 25 percent are reflected in Chapter 99, heading 9903.94.05,
as provided in subdivision (g) of U.S. note 33 to this subchapter. At the time of entry, you must report the
Chapter 99 heading applicable to your product classification, i.e. 9903.94.05, in addition to subheading
8708.80.6590, HTSUS, listed above.
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 of Malaysia will be
subject to an additional ad valorem rate of duty of 19 percent. Your product falls within an excepted
subheading. At the time of entry, you must report the Chapter 99 heading applicable to your product
classification, i.e. 9903.01.33, in addition to subheading 8708.80.6590, HTSUS, listed above.
The tariffs and additional duties cited above are current as of this ruling’s issuance. Duty rates are provided
for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying
duty rates are provided at https://hts.usitc.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 Liana Alvarez at [email protected].
Sincerely,
(for)
Denise Faingar
Acting Director
National Commodity Specialist Division