CLA-2-84:OT:RR:NC:N1:102

Gerald Francese
TradeLaw PC
PO Box 1114
110 Tom Harvey Rd
Westerly, RI 02891

RE: The tariff classification and country of origin of fracking units

Dear Mr. Francese:

In your letter dated January 19, 2026, you requested a tariff classification on behalf of your client, Jereh Energy Equipment and Technologies Corporation. You also request a country of origin determination for the purpose of marking, and Section 301 trade remedies, and other duties.

The products at issue are referred to as Trailer Mounted Intelligent Electrical Fracking (TMEF) Units, model numbers YLT105-5600E, YLT95-5600E, and YLT105-6000E. Each unit is a trailer equipped with an electrically powered Quintuplex Plunger Pump assembly, a power assembly, high- and low-pressure assemblies, a lubrication system, a power-end lubrication assembly, a medium-voltage drive assembly, a variable-frequency drive assembly, an electrical cabinet and a control assembly. Once powered by an electric grid or a Power2Go gas turbine generator set, these assemblies work together to pump various types of fluids used for oil and gas fracturing operations. The TMEF units are differentiated by their temperature thresholds, working pressures and power output.

The plunger pump assembly consists of a Quintuplex plunger pump (power and fluid ends and a reducer), a return oil pipe and a cover plate assembly. The pump, which is configured as a reciprocating positive displacement pump pressurizes the low and medium pressure water supplies and then delivers the water through a designated manifold.

The power assembly consists of an oil cooler pre-assembly, a drive shaft, a medium-voltage motor, and other power assembly components. Its function is to transmit power from the motor to the plunger pump via a drive shaft.

The high-pressure assembly consists of a pressure sensor, a hose bracket, a wing nut and a male plug. The low-pressure assembly consists of lubrication pipe, a cast manifold, a hose bracket, an accumulator and a u-type liquid inlet. Together, the components convey the low-pressure water supply to the plunger pump.

The packing lubrication assembly consists of a lubrication pump and hose connections. The function of the assembly is to lubricate the five-way packing of the plunger pump.

The power-end lubrication assembly is driven by a motor that powers two double pumps, which provide lubrication for the bearings and gears inside the power end of the plunger pump. The gear pumps suction lube oil from the oil tank through suction oil filters and then deliver oil to the plunger pump via pipelines.

The medium voltage drive assembly is used for electrical frequency conversion and voltage transformation to satisfy the needs of power supply scenarios.

The variable frequency drive assembly consists of five outdoor units that are used to control the actuation and speed control of the lubrication motor.

The electrical cabinet houses all electrical controls for the TMEF unit, including sensors, sensor cables, main motor power cables, lubrication motor power cables and other components.

The control assembly is a centralized point of access for all electrical equipment and protection of equipment safety

The applicable subheading for the TMEF units will be 8413.50.0090, Harmonized Tariff Schedule of the United States (HTSUS), which provides for Pumps for liquids, whether or not fitted with a measuring device; liquid elevators; part thereof: Other reciprocating positive displacement pumps: Other: Other. The general rate of duty will be Free.

With regard to origin, each TMEF unit is assembled in the United Arab Emirates. The final assembly process involves installing the main assemblies either in their complete manner or as individual components onto a trailer, all of which are sourced from China. The only exceptions to this Chinese sourcing are the drive shaft, which comes from Germany, and the fluid end, which is sourced from the United Arab Emirates. Prior to final assembly, the components of these main assemblies undergo sandblasting and painting.

During final assembly, components such as cable clips, clamps, cable trays, grounding posts, base plates, latches, hinges, reinforced sleeves, fastening plates, brackets, fenders, and ladder brackets, all sourced from China, are fitted and welded onto the trailer. Next, the main assemblies are mounted and secured onto the trailer using bolts and screws, either as complete units or as individual components. As needed, anti-adhesion agent is applied, cylindrical pins are positioned, and grease is applied. Once all assemblies and their individual components are secured, clamp connections and connecting pipes, also sourced from China, are attached to the various assemblies, and all electrical connections are completed. Each TMEF unit undergoes testing. Finally, each TMEF unit is covered with a tarpaulin and secured using straps.

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. Friedlaender & 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.

The final assembly process in the United Arab Emirates involves mounting, bolting, and securing the assemblies and their components onto a trailer, which are then connected using pipes, clamp connections, and electrical wires. While these assemblies and their individual components are bulky and heavy, requiring machinery for placement onto a trailer, the processes to complete each TMFE unit are not particularly complex. The processes do not transform the Chinese assemblies, trailer, and other components, which account for over 85 percent of value, so that they possess a new name, character, or use distinct from their pre-installation state. The end-use of these articles, including the assemblies (integral to the process of pumping fluid) and the trailer (which enables the assemblies to operate as a unit), is predetermined before they arrive in the United Arab Emirates. Therefore, based on the totality of the circumstances, the origin of the TMFE units will be China.

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.

The 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/.

This ruling does not address the applicability of any additional duties, taxes, fees, exactions and/or other charges, which may apply to the goods discussed herein. This includes, but is not limited to, tariffs and other duties as provided for in Subchapter III to Chapter 99, HTSUS. Thus, for example, in addition to the classification stated above, the merchandise covered by this ruling may also need to be reported with either the Chapter 99 provision under which an additional tariff applies or one of the Chapter 99 provisions covering exceptions to such tariffs.

For further information to assist with the importation process, please refer to the frequently updated Cargo Systems Messaging Service (CSMS) messages at https://www.cbp.gov/trade/automated/cargo-systems-messaging-service and Frequently Asked Questions on the Trade Remedy/IEEPA page at https://www.cbp.gov/trade/programs-administration/trade-remedies/IEEPA-FAQ. 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 Sandra Martinez at [email protected].
Sincerely,

(for)
James Forkan
Designated Official Performing the Duties of the Division Director
National Commodity Specialist Division