COUNTRY OF ORIGIN MARKING OF IMPORTED JOURNAL BACKS

N242306 June 14, 2013 MAR-2 OT:RR:NC:N4:421 CATEGORY: MARKING Mr. James Taylor Gurley Phoenix Industries USA, Inc. 10601 St. John Drive Mokena, IL 60448 RE: COUNTRY OF ORIGIN MARKING OF IMPORTED JOURNAL BACKS Dear Mr. Gurley: This is in response to your undated letter, received in this office on May 22, 2013, requesting a ruling on whether an imported plastic journal back 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. An unmarked sample was submitted with your letter for review. The plastic journal backs are made in China. In the condition as imported, the journal back is a flat plastic sheet with three straight edges and one curved edge. An elastic pen loop and elastic strap are attached at the curved edge. After importation, 13 holes are punched along the long straight edge and the journal back is then assembled with a coiled metal binding, numerous sheets of lined paper and a heavy cardboard front cover to form a notebook or journal. A pen is added to the elastic loop. In the finished product, the pen sits alongside the journal in the curved section of the journal back that protrudes beyond the journal pages. The elastic strap can be stretched over the journal to secure the pages. The binding element, paper, front cover and pen are said to be made in the United States. The journal back is not designed for reuse after the paper has been used. 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 journal backs are substantially transformed as a result of the U.S. processing, and therefore the U.S. manufacturer is the ultimate purchaser of the imported journal backs, 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 Joan Mazzola at (646) 733-3023. Sincerely, Thomas J. Russo Director National Commodity Specialist Division