CLA-2-40:OT:RR:NC:N5:137
Oscar Palacios
C.H. Robinson International
180 E. Ocean Blvd.
Long Beach, CA 90802
RE: The country of origin and eligibility of the United States-Mexico-Canada Agreement (USMCA) of
conveyor belts
Dear Mr. Palacios:
In your letter dated October 6, 2025, you requested a ruling on classification, country of origin and the
eligibility of conveyor belts under the USMCA on behalf of your client, Viacore Solutions.
The products under consideration are conveyor belts used in NL720 fertilizer spreader units. The ruling
covers four Part Numbers. P/N 321251: 143 pitch-301.73 inches + splice; P/N 321252: 72 pitch-151.92
inches+ splice; P/N 321253: 31 pitch- 348.15 inches + splice; P/N: 83 pitch-175.13 inches + splice.
Each belt is manufactured from a base belt and includes corrugated sidewalls, rubber positive drive lugs,
endless spicing, chevron profile and super slider-back. All are in widths of 15 5/8 inches.
Base belt originating in Taiwan and classified in 4010.12, are shipped to Canada. In Canada the bulk rolls of
belting are slit to the required widths and lengths for each part. Chinese origin corrugated sidewalls and
positive drive lugs are vulcanized to each base belt. The belt undergoes endless splicing using Chinese origin
tie gum to make each belt endless. The belts then undergo final inspection and packaging.
Origin:
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.
Pursuant to section 102.0, interim regulations, related to the marking rules, tariff-rate quotas, and other
USMCA provisions, published in the Federal Register on July 6, 2021 (86 FR 35566), the rules set forth in
sections 102.1 through 102.18 and 102.20 determine the country of origin for marking purposes with respect
to goods imported from Canada and Mexico. Section 102.11 provides a required hierarchy for determining
the country of origin of a good for marking purposes, with the exception of textile and apparel goods which
are subject to the provisions of 19 CFR 102.21. See 19 CFR 102.11.
Applied in sequential order, 19 CFR 102.11(a) provides that the country of origin of a good is the country in
which:
(1) The good is wholly obtained or produced;
(2) The good is produced exclusively from domestic materials; or
(3) Each foreign material incorporated in that good undergoes an applicable change in tariff classification set
out in Part 102.20 and satisfies any other applicable requirements of that section, and all other applicable
requirements of these rules are satisfied.
The conveyor belts contain non-originating materials therefore, they are not considered goods wholly
obtained or produced entirely, nor are they produced exclusively from domestic materials. Thus, we must
determine if the good qualifies under 19 CFR 102.11 (a) (3). The conveyor belts are classified under
subheading 4010.12.5500, HTSUS. The applicable rule of origin for goods classified under subheading
4010.12.5500, HTSUS, is in 19 CFR 102.20 (g) 4006-4010 which provides:
“A change to heading 4006 through 4010 from any other heading, including another heading in that
group.”
The finished conveyor belts are classified in 4010.12.5000, Harmonized Tariff Schedule of the United States
(HTSUS) and the base belt imported to Canada from Taiwan is classified in 4010.12, HTSUS. The conveyor
belts do not make the applicable change in tariff classification; therefore 19 CFR 102.11 (a) does not apply.
19 CFR 102.11 (b) provides that “where the country of origin cannot be determined under paragraph (a) of
this section:
(1) The country of origin of the good is the country or countries of origin of the single material that
imparts the essential character to the good.
The essential character of the conveyor belts is provided by the base belt of Taiwanese origin. Therefore, the
country of origin of the conveyor belts is Taiwan.
When determining the country of origin for purposes of applying current trade remedies 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).
The processing that occurs in Canada does not result in a substantial transformation. Therefore, the country
of origin of the conveyor belts for the purposes of IEEPA and other duties is Taiwan.
USMCA:
The USMCA was signed by the Governments of the United States, Mexico, and Canada on November 30,
2018. The USMCA was approved by the U.S. Congress with the enactment on January 29, 2020, of the
USMCA Implementation Act, Pub. L. 116-113, 134 Stat. 11, 14 (19 U.S.C. § 4511(a)). General Note ("GN")
11 of the HTSUS implements the USMCA. GN 11(b) sets forth the criteria for determining whether a good is
an originating good for purposes of the USMCA. GN 11(b) states:
For the purposes of this note, a good imported into the customs territory of the United States from the
territory of a USMCA country, as defined in subdivision (l) of this note, is eligible for the preferential
tariff treatment provided for in the applicable subheading and quantitative limitations set forth in the
tariff schedule as a "good originating in the territory of a USMCA country" only if-
(i) the good is a good wholly obtained or produced entirely in the territory of one or more
USMCA countries;
(ii) the good is a good produced entirely in the territory of one or more USMCA countries,
exclusively from originating materials;
(iii) the good is a good produced entirely in the territory of one or more USMCA countries
using non-originating materials, if the good satisfies all applicable requirements set forth in
this note (including the provisions of subdivision (o));
Since the conveyor belts contain non-originating ingredients, they are not considered a good wholly
obtained or produced entirely in a USMCA country under GN 11(b)(i), nor are the products produced
exclusively from originating materials per GN 11(b)(ii). Thus, we must determine whether the
product qualifies under GN 11(b)(iii). As previously noted, the conveyor belts are classified under
subheading 4010.12.5500, HTSUS. The applicable rule of origin for goods classified under
subheading 4010.12.5500, HTSUS, is in GN 11(o)/ 40.13, HTSUS, which provides:
“A change to subheadings 4010 through 4011 from any other subheading except from
headings 4009-4017.”
The base belt imported to Canada from Taiwan is classified in 4010.12, HTSUS. The conveyor belts
do not make the actual change in tariff classification as required by GN 11 (o)/40.13, HTSUS.
Therefore, they do not qualify for preferential treatment under the USMCA.
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 Christina Allen at [email protected].
Sincerely,
(for)
Evan Conceicao
Designated Official Performing the Duties of the Division Director
National Commodity Specialist Division