THE COUNTRY OF ORIGIN MARKING OF A BALL BEARING

N297927 July 6, 2018 MAR-2 OT:RR:NC:N1:102 CATEGORY: MARKING Jessy Avery Osterhoudt NMB Technologies Corporation 155 Lexington Dr. Laconia, NH 03246 RE: THE COUNTRY OF ORIGIN MARKING OF A BALL BEARING Dear Ms. Osterhoudt: This is in response to your letter dated June 15, 2018, requesting a binding ruling on the country of origin marking of a ball bearing. Pictures were submitted with your request in lieu of a sample. In your letter, you inquire as to the proper marking of a chrome steel ball bearing, part number 626ZZSD25 M5MTA5LY750, a specifically designed component that is exclusively used by ABC to produce an electronic parking brake assembly. A description of the manufacturing operations performed by ABC in the United States indicates that the specifically designed ball bearing, motor, gears, shafts, and housing are assembled into a parking brake system. ABC then sells the complete electronic parking brake assembly, as one item, to another manufacturer. In your inquiry you suggest that the ball bearing, which is a foreign component incorporated in the parking brake assembly, is substantially transformed by the manufacturing processes performed by ABC and request that the foreign component be excepted from marking. Pictures submitted with your inquiry illustrate the bearing is packaged in a tube that is then packaged in a box. Both, the tube and the box are marked with the country of origin. 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 USC 1304. With regard to the permanency of marking, section 134.41(a), Customs Regulations (19 CFR 134.41(a)), provides that as a general rule marking requirements are best met by marking worked into the article at the time of manufacture. For example, it is suggested that the country of origin on metal articles be die sunk, molded in, or etched. However, section 134.44, Customs Regulations (19 CFR 134.44), generally provides that any marking that is sufficiently permanent so that it will remain on the article until it reaches the ultimate purchaser unless deliberately removed is acceptable. Pursuant to section 134.35, Customs Regulations (19 C.F.R. §134.35), an imported articles that is substantially transformed in the U.S. is excepted from individual country of origin marking and only the outermost containers of the imported articles must be marked with country of origin. An article is substantially transformed if it is “so processed in the U.S. that it loses its identity in a tariff sense and becomes an integral part of a new article having a new name, character and use.” U.S. v. Gibson-Thomsen Company, Inc., 27 CCPA 267 (1940). 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 the manufacturer subjects the imported article to a process which results in a substantial transformation of the article. 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. Pursuant 19 CFR 134.35, in such circumstances, the imported article is excepted from marking and only the outermost container is required to be marked. Based on the information provided, we find that the ball bearing, part number 626ZZSD25 M5MTA5LY750, is substantially transformed into an article with a new name, character or use, when incorporated with other components to produce a finished parking brake assembly. Accordingly, ABC is the ultimate purchaser of the ball bearing, part number 626ZZSD25 M5MTA5LY750. Therefore, in accordance with 19 CFR 134.35, the ball bearing, part number 626ZZSD25 M5MTA5LY750, provided that it is exclusively used by ABC to produce an electronic parking brake assembly and not sold separately in their condition as imported, is excepted from individual marking and only the outermost containers of the imported article must be marked with 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 Sandra Martinez at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division