The country of origin of Sunflower Oil.
Issued March 2, 2020 by U.S. Customs and Border Protection.
Tariff classification
HTS codes: 1940, 1993, 1908, 1982, 1201, 2002, 1992, 2020, 1026
Headings: 1940, 1993, 1908, 1982, 1201, 2002, 1992, 2020, 1026
Product description
The merchandise under consideration is “Organic RBWD High Oleic Sunflower Oil.” You have outlined a scenario in which crude oil obtained from organic sunflower seeds (Helianthus annus) is imported in bulk quantities from Turkey into the United States. In the latter country, the crude oil will be refined, bleached, winterized and deodorized [RBWD]. You seek a country of origin determination of the described product for marking purposes. The "country of origin" is defined in 19 CFR 134.1(b) 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' within the meaning of this part. The courts have held that a substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. United States v. Gibson-Thomsen Co., Inc., 27 CCPA 267, C.A.D. 98 (1940); National Hand Tool Corp. v. United States, 16 CIT 308 (1992), aff’d, 989 F. 2d 1201 (Fed. Cir. 1993); Anheuser Busch Brewing Association v. The United States, 207 U.S. 556 (1908) and Uniroyal Inc. v. United States, 542 F. Supp. 1026 (1982). Customs has held on numerous occasions that the mere refining or purification of a crude substance does not result in a substantial transformation of the substance into a new and different article of commerce with a new name, character or use. While it is, clear that the processing of the crude sunflower oil into a refined product results in a purified, higher-grade oil with less contaminants and odor, the essential character is not altered and it does not become new and different article of commerce. The removal of impurities and ultimate refinement is not sufficient to effect any major change in the product. Concerning the present case, the “Organic RBWD High Oleic
CBP rationale
substantial transformation in order to render such other country the 'country of origin' within the meaning of this part. The courts have held that a substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. United States v.
Full text
N309477 March 2, 2020 OT:RR:NC:N2:231 CATEGORY: Country of Origin Mr. Chris Hanks Sunrise Foods International 306 Queen Street Saskatoon, SK S7K 0M2 Canada RE: The country of origin of Sunflower Oil. Dear Mr. Hanks: In your letter dated February 4, 2020, you requested a country of origin ruling determination on refined crude sunflower oil. The merchandise under consideration is “Organic RBWD High Oleic Sunflower Oil.” You have outlined a scenario in which crude oil obtained from organic sunflower seeds (Helianthus annus) is imported in bulk quantities from Turkey into the United States. In the latter country, the crude oil will be refined, bleached, winterized and deodorized [RBWD]. You seek a country of origin determination of the described product for marking purposes. The "country of origin" is defined in 19 CFR 134.1(b) 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' within the meaning of this part. The courts have held that a substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. United States v. Gibson-Thomsen Co., Inc., 27 CCPA 267, C.A.D. 98 (1940); National Hand Tool Corp. v. United States, 16 CIT 308 (1992), aff’d, 989 F. 2d 1201 (Fed. Cir. 1993); Anheuser Busch Brewing Association v. The United States, 207 U.S. 556 (1908) and Uniroyal Inc. v. United States, 542 F. Supp. 1026 (1982). Customs has held on numerous occasions that the mere refining or purification of a crude substance does not result in a substantial transformation of the substance into a new and different article of commerce with a new name, character or use. While it is, clear that the processing of the crude sunflower oil into a refined product results in a purified, higher-grade oil with less contaminants and odor, the essential character is not altered and it does not become new and different article of commerce. The removal of impurities and ultimate refinement is not sufficient to effect any major change in the product. Concerning the present case, the “Organic RBWD High Oleic Sunflower Oil” is derived from sunflower seeds that were expeller pressed in Turkey, and further processed in the United States [i.e., refined, bleached, winterized and deodorized]. We find that the processing that occurs in the United States does not constitute a substantial transformation. Accordingly, based on the information presented, the country of origin of the finished product, “Organic RBWD High Oleic Sunflower Oil” is Turkey. This merchandise is subject to The Public Health Security and Bioterrorism Preparedness and Response Act of 2002 (The Bioterrorism Act), which is regulated by the Food and Drug Administration (FDA). Information on the Bioterrorism Act can be obtained by calling the FDA at 301-575-0156, or at the Web site www.fda.gov/oc/bioterrorism/bioact.html. 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 Ekeng Manczuk at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division
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