The tariff classification and status under the North American Free Trade Agreement (NAFTA), of imitation meat products from Canada; Article 509

N007089 March 1, 2007 CLA-2-21:RR:E:NC:N2:228 CATEGORY: Classification TARIFF NO.: 2106.90.9998 Mr. Eric Larson Affiliated Customs Brokers USA, Inc. P.O. Box 885 Blaine, WA 98230 RE: The tariff classification and status under the North American Free Trade Agreement (NAFTA), of imitation meat products from Canada; Article 509 Dear Mr. Larson: In your letter dated February 16, 2007, on behalf of Hain Celestial Canada, you requested a ruling on the status and country of origin marking for imitation meat products from Canada under the NAFTA. The products are described as vegetarian beef or chicken kebabs on wooden skewers. All but one of the ingredients used to make the kebabs are said to originate in a NAFTA country. That ingredient, “Supro Max 5050IP,” is a textured vegetable protein material imported into Canada from the United States, Brazil or another, unnamed, non-NAFTA country. The Supro Max ingredient constitutes between 19 and 23 percent of the finished kebabs, by weight or value. The applicable tariff provision for the imitation beef or chicken kebabs will be 2106.90.9998, Harmonized Tariff Schedule of the United States (HTSUS), which provides for food preparations not elsewhere specified or included…other…other… other. The general rate of duty will be 6.4 percent ad valorem. 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 on World Wide Web at http://www.usitc.gov/tata/hts/. General Note 12(b), HTSUS, sets forth the criteria for determining whether a good is originating under the NAFTA. General Note 12(b), HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that For the purposes of this note, goods imported into the customs territory of the United States are eligible for the tariff treatment and quantitative limitations set forth in the tariff schedule as "goods originating in the territory of a NAFTA party" only if-- (i) they are goods wholly obtained or produced entirely in the territory of Canada, Mexico and/or the United States; or (ii) they have been transformed in the territory of Canada, Mexico and/or the United States so that-- (A) except as provided in subdivision (f) of this note, each of the non-originating materials used in the production of such goods undergoes a change in tariff classification described in subdivisions (r), (s) and (t) of this note or the rules set forth therein… Based on the facts provided, when the Supro Max 5050IP ingredient is a product of the United States the imitation meat products described above qualify for NAFTA preferential treatment because they will meet the requirements of HTSUS General Note 12(b)(i). The goods will therefore be entitled to a free rate of duty under the NAFTA upon compliance with all applicable laws, regulations, and agreements. When the Supro Max 5050IP ingredient is from a non-NAFTA country the merchandise does not qualify for preferential treatment under the NAFTA because the non-originating ingredient will not undergo the change in tariff classification described in General Note 12(t)/21.14. Your inquiry does not provide enough information for us to give a country of origin marking ruling. Your request for a marking ruling should include the identity and country of origin of all ingredients used to make these products. When this information is available, you may wish to consider resubmission of your request. This ruling is being issued under the provisions of Part 181 of the Customs Regulations (19 C.F.R. 181). 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 Stanley Hopard at 646-733-3029. Should you wish to request an administrative review of this ruling, submit a copy of this ruling and all relevant facts and arguments within 30 days of the date of this letter, to the Director, Commercial Rulings Division, Headquarters, U.S. Customs and Border Protection, 1300 Pennsylvania Ave. N.W., (Mint Annex), Washington, D.C. 20229. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division