OT:RR:NC:N4:462
Fangyi Tian
Autowin Group Limited
Unit 8, 15/F, Witty Commercial Building, 1A-1L Tung Choi Street
Mongkok, Kowloon
Hong Kong
China
RE: The country of origin of a marking crayon
Dear Ms. Tian,
In your letter dated April 29, 2026, you requested a country of origin ruling on a marking crayon.
The product under consideration is described as the “Tire Marker – White,” item number SP020, SKU
number 1687707. It is a white crayon wrapped in a yellow label, measuring approximately 3.8 inches in
length and 0.5 inches in diameter. The crayon is used for marking and identifying punctures, cracks, or worn
areas on rubber tires, helping technicians locate areas for maintenance and repair.
In your submission, you outline a scenario in which the raw materials for the crayon, including paraffin wax,
stearic acid, talcum powder, and titanium dioxide, are sourced in China and shipped to Malaysia.
The production process that takes place in Malaysia includes heating and mixing the raw materials to a liquid
state, casting the molten wax liquid into hexagonal casting molds for forming, and cooling through a water
tank/air cooling line to shape the crayon. A yellow self-adhesive label produced in Malaysia is attached to
the crayon before quality testing is conducted. The finished crayon is then packaged onto a blister card in
Malaysia.
When determining the country of origin, the substantial transformation analysis is applicable. See, e.g.,
Headquarters Ruling Letter (“HQ”) 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 CIT 308 (1992), aff’d, 989 F.2d 1201 (Fed. Cir. 1993).
However, if the manufacturing or combining process is merely a minor one that leaves the identity of the
article intact, a substantial transformation has not occurred. See Uniroyal, Inc. v. United States, 3 CIT 220,
542 F. Supp. 1026, 1029 (1982), aff’d, 702 F.2d 1022 (Fed. Cir. 1983); National Juice Products Association
v. United States, 628 F. Supp. 978 (CIT 1986).
You suggest the country of origin for the marking crayon is Malaysia. We disagree. We find the crayon akin
to the articles ruled upon in NY ruling N008578, dated April 16, 2007. The marking crayon is essentially a
stick of paraffin wax, and the melting, casting/molding, and cooling processes performed in Malaysia do not
result in a substantial transformation. Therefore, the country of origin of the “Tire Marker – White,” item
number SP020, SKU number 1687707, is China, the country of origin of the paraffin wax.
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 Sandra Walia at [email protected].
Sincerely,
(for)
James P. Forkan
Director
National Commodity Specialist Division