Country of Origin Marking for Department Store Holiday Decorations; Not For Resale Items; 19 CFR 134.32(f).

HQ 735008 August 17, 1993 MAR-2-05 CO:R:C:V 735008 RC CATEGORY: MARKING Ms. Laurie Everill JCPenney Purchasing Corporation P.O. Box 10001 Dallas, Texas 75301-0001 RE: Country of Origin Marking for Department Store Holiday Decorations; Not For Resale Items; 19 CFR 134.32(f). Dear Ms. Everill: This is in response to your letter dated February 24, 1993, requesting a ruling concerning the classification and country of origin marking requirements for Christmas decorations. This response pertains only to the country of origin marking issue, the classification issues presented were addressed under separate cover. FACTS: The JCPenney Purchasing Corporation (JCPPC), a subsidiary of the JCPenney Company, Inc., imports holiday decorations to wit, trees, garlands, and wreaths, on behalf of the JCPenney Company, Inc. for their department stores. The trees, garland, and wreaths are all made and decorated in China. The ornamentations are made in Taiwan and the Philippines. The merchandise will be bought on a "not for resale" basis to decorate the department stores. JCPPC proposes the following marking for the export cartons: Tree: Made in China Ornamentation: Made in Philippines and Taiwan Decoration: Done in China Or Garlands: Made in China Ornamentation: Made in Philippines and Taiwan Decoration: Done in China Or Wreaths: Made in China Ornamentation: Made in Philippines and Taiwan Decoration: Done in China ISSUE: What is the proper country of origin marking for department store decorations imported by a subsidiary for the parent corporation? LAW AND ANALYSIS: Pursuant to section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), articles of foreign origin or their containers must be marked in a conspicuous place legibly, indelibly, and permanently to indicate to the ultimate purchaser in the U.S. the English name of the country of origin of the article. The "ultimate purchaser" is defined, in section 134.1(d), Customs Regulations (19 CFR 134.1(d)), as the last person in the United States who will receive the article in the form in which it was imported. Under section 134.32(f) Customs Regulations, (19 CFR 134.32(f)), articles imported for use by the importer and not intended for sale in their imported or any other form are excepted from country of origin. Here, the parent corporation strives to achieve uniformity in ambiance throughout the department stores. The decorations will be purchased by JCPPC on behalf of the department stores, and will not be resold. The department stores will only be permitted by the parent corporation to order decorations which JCPPC purchases; no decorations from alternative sources will be provided for the department store to choose as an option. Therefore, we find that the decorations are imported for use by the importer and that they are excepted from marking pursuant to 19 CFR 134.32(f). Although the cartons may be marked as you propose, such marking is not required. See 19 CFR 134.22(d)(1). HOLDING: As long as the district director at the port of entry is satisfied that the Christmas decorations will be used only in the manner described above, they qualify for the country of origin marking exception set forth in 19 CFR 134.32(f) and, as such, they do not need to be marked to indicate their country of origin. Sincerely, John Durant, Director Commercial Rulings Division