The country of origin of polyethylene retail carrier bags from India or Cambodia

N258792 November 5, 2014 CLA-2-39:OT:RR:NC:N2:421 CATEGORY: Country of Origin Mr. Bob Thakrar Source Direct Inc. 2200 Garry Road, Suite 1 Cinnaminson, NJ 08077 RE: The country of origin of polyethylene retail carrier bags from India or Cambodia Dear Mr. Thakrar: In your letter dated October 29, 2014, you requested a ruling on the country of origin of polyethylene retail carrier bags. Descriptive literature was included with your request. The T-shirt style retail carrier bags are manufactured in India or Cambodia and will be used to collect food donations. The manufacturing process involves blown film extrusion, cooling, converting the tubing into bags including cutting out the handles, and printing. You have provided illustrations of the proposed artwork that will be printed on each bag in India or Cambodia. The printing includes details about the food drive, including the date of the drive and instructions for dropping off the donations or leaving them for the mail carrier to collect. The printed bags are packed into cartons, loaded on a container and then shipped to China. When the container arrives at the factory in China, the bags are unpacked and individually folded. Each folded T-shirt bag is inserted into a clear polypropylene plastic packaging bag. The finished product is then packed in cases and shipped to the United States. Section 134.1(b), CBP Regulations (19 C.F.R. § 134.1(b)), defines “country of origin” as “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. A substantial transformation occurs when articles lose their identity and become new articles having a new name, character or use. See United States v. Gibson-Thomsen Co., 27 C.C.P.A. 267 at 270 (1940); National Juice Products Association v. United States, 628 F. Supp. 978 (CIT 1986). The only processing performed in China is packaging the polyethylene T-shirt bags into individual clear bags. This packaging does not change the country of origin to China. The country of origin of the bags that are produced and printed in India remains India, while the country of origin of the bags that are produced and printed in Cambodia remains Cambodia. 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 Joan Mazzola at [email protected]. Sincerely, Gwenn Klein Kirschner Director National Commodity Specialist Division