The country of origin ferrotitanium powder

N330175 May 5, 2023 OT:RR:NC:NC:N1:117 CATEGORY: Origin Josh Raykhelson Ray Ti LLC 56 Leonard Street 24BWNew York, NY 10013United States RE:      The country of origin ferrotitanium powder Dear Mr. Raykhelson: In your letter dated January 10, 2023, you requested a country of origin ruling. We apologize for the delay as the information was sent to our laboratory for analysis. The product to be imported is ferrotitanium powder, which will be used in the production of cored wire. Based on laboratory review, the ferrotitanium powder meets the Section XV, Note 8(b) definition of powders and the Chapter 72, Note 1(c) definition of a ferroalloy. You describe a scenario wherein lump ferrotitanium is purchased in 20 ton lots from Russia, measuring 10-50 mm, and 25 ton lots from Estonia, measuring 0-10 mm. The lots are sent to the Netherlands for further processing. In the Netherlands, a blending and crushing operation occurs. According to your submission, the blending size is 40% Russian origin and 60% Estonian origin. The lump form is crushed and blended to a size range of 0-10 mm. Then the product is further crushed to a 0-2 mm powder and packaged for export. You propose that the country of origin is Estonia for the final product. Regarding your request for the appropriate country of origin of the ferrotitanium, 19 C.F.R. § 134.1(b) provides in pertinent part as follows: Country 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 this part. As stated in HQ 735009, dated July 30, 1993, “The country of origin is the country where the article last underwent a “substantial transformation,” that is, processing which results in a change in the article's name, character, or use.” Based on the facts presented, it is the opinion of this office that the crushing and blending of the lump ferrotitanium into a powder does not constitute a substantial transformation. Moreover, based on the information provided, the basic underlying chemical properties of each product from Russia and Estonia remain essentially unchanged and the processing in the Netherlands does not create a different product but merely another unwrought product with particles of a different size. Finally, although a change in tariff classification is not determinative of a substantial transformation, here, the same classification of the component products and the final product indicates that the imported blend is not a new and different product. Therefore, the ferrotitanium is not substantially transformed in the Netherlands and the resulting powder remains a product of Russia and Estonia. 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 Denise Hopkins at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division