The country of origin of engineered wood flooring manufactured in multiple countries

N220318 June 14, 2012 CLA-2-44:OT:RR:NC:2:230 CATEGORY: COUNTRY OF ORIGIN Ms. Aki Tsuchiya D&M Flooring 358 Coral Circle El Segundo, CA 90245 RE: The country of origin of engineered wood flooring manufactured in multiple countries Dear Ms. Tsuchiya: This is in response to your letter, dated June 5, 2012, requesting a ruling on the country of origin of engineered wood flooring manufactured in multiple countries. You outline a scenario wherein: 1) plywood is manufactured in the United States, Malaysia, Spain or Indonesia; 2) a solid wood veneer face ply is purchased from the United States, France, Germany, Belgium or China; and 3) the plywood and veneer are brought to China where the veneer is pressed and glued to the plywood. You do not indicate specific finishing or profiling operations, but state that the finished goods will be exported to the United States from the country where finishing takes place, i.e., China. Section 134.1(b) of the Customs Regulations (19 CFR 134.1(b)) provides that the "[c]ountry of origin" means 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 Part 134, Customs Regulations (19 CFR Part 134). Substantial transformation requires that "[t]here must be a transformation; a new and different article must emerge, ‘having distinctive name, character, or use.’" Anheuser-Busch Brewing Association v. United States, 207 U.S. 556, 28 S. Ct 204 (1908). In the instant case, the pressing and gluing of the wood veneer face to the plywood does not effect a substantial transformation of the plywood. The substrate is plywood, classifiable in heading 4412, and the substrate with a wear layer laminated to it is still plywood of heading 4412. The finished flooring product is also classifiable as plywood in heading 4412. Therefore, the pressing, gluing and finishing do not render a new and different article. Because no substantial transformation is effected by any of the manufacturing taking place in China, the country of origin for the complete flooring panels is the United States, Malaysia, Spain or Indonesia, the country of origin of the plywood substrate. This ruling is being issued under the provisions of Part 177 of the Customs 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, contact National Import Specialist Laurel Duvall at (646) 733-3035. Sincerely, Thomas J. Russo Director National Commodity Specialist Division