The tariff classification for the inside panel of a computer carrying case.

NY C88290 June 10, 1998 CLA-2-RR:NC:TA:352 C88290 CATEGORY: Classification TARIFF NO.: 6307.90.9989 Mr. Chong H. Lee Case-Tex, Inc. 4625 N. Ravenswood Ave. Chicago, IL 60640 RE: The tariff classification for the inside panel of a computer carrying case. Dear Mr. Lee: This is in reply to your letter dated May 19, 1998, requesting a classification ruling and marking determination on whether an imported panel for a computer carrying case is required to be individually marked with the country of origin if it is later to be processed in the U.S. by a U.S. manufacturer. The sample submitted is an inside panel for a computer carrying case. The panel is made of woven nylon fabric backed with compact plastic. One side features three pockets made of woven nylon fabric backed with cellular plastic. The pockets are secured by a cellular plastic strap with strips similar to the VELCRO brand fastener. Two of the pockets feature open cellular plastic pockets. A 16 1/2" x 4 1/4" cardboard is attached onto the other side of the panel. The panel measures approximately 17 3/8" x 12 3/8". The applicable subheading for the inside panel for a computer carrying case will be 6307.90.9989, Harmonized Tariff Schedule of the United States (HTS), which provides for other made up articles...Other. The duty rate will be 7 percent ad valorem. In addition, you requested the appropriate labeling requirements. The marking statute, section 304, Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin (or its container) imported into the U.S. 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 U.S. the English name of the country of origin of the article. Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 CFR 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the marking easily and read it without strain. Section 134.1(d), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. 19 CFR 134.1(d)(1) states that if an imported article will be used in manufacture, the manufacturer may be the ultimate purchaser if he subjects the imported article to a process which results in a substantial transformation of the article. The case of U.S. v. Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98) (1940), provides that an article used in manufacture which results in an article having a name, character or use differing from that of the constituent article will be considered substantially transformed and that the manufacturer or processor will be considered the ultimate purchaser of the constituent materials. In such circumstances, the imported article is excepted from marking and only the outermost container is required to be marked. See, 19 CFR 134.35. In this case, the imported panel is substantially transformed as a result of the U.S. processing, and therefore the U.S. manufacturer is the ultimate purchaser of the imported panel and under 19 CFR 134.35 only the containers which reach the ultimate purchaser are required to be marked with the country of origin. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR Part 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, contact National Import Specialist Alan Tytelman at 212-466-5896. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division