The country of origin of a screwdriver

N331036 March 3, 2023 OT:RR:NC:N1: 118 CATEGORY: Origin Doris Du Meridian International Co., Ltd. 1886 Laiyin Road, Songjiang, Shanghai 201615China RE: The country of origin of a screwdriver Dear Ms. Du: In your letter dated February 17, 2023, you requested a country of origin ruling on a screwdriver.   The subject screwdriver identified as a 6-IN-1 Screwdriver Set (SKU #587271585) is a multifunctional hand tool used for tightening and loosening screws and nuts.  The 6-IN-1 Screwdriver Set includes a plastic handle, a tubular steel shaft, and two double ended bits, each including a slotted head and a Phillips head. The shaft has openings at each end into which the interchangeable screwdriver bits may be inserted. Additionally, the ends of each of can be used as a nut driver without a bit. When not in use, one bit can be stored in the handle for easy accessibility.   According to your submission, the screwdriver bits are made in Vietnam from cut carbon steel.  Each bit is run through a CNC lathe to turn and mill the different head shapes (i.e., slotted and Phillips).  A hole is also drilled in each bit to accommodate a rivet and steel ball.  The bits are then sent to China where they are heat-treated, sand-blasted and magnetized.  The screwdriver’s shaft is fully formed from raw steel and electroplated in China.  Finally, the bits and shaft are assembled with a Chinese-origin injection-molded plastic handle.  The finished product is labelled, packaged and shipped to the United States from China. 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. 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 test for determining whether a substantial transformation will occur is whether an article emerges from a process with a new name, character or use, different from that possessed by the article prior to processing. See Texas Instruments Inc. v. United States, 69 C.C.P.A. 151 (1982). This determination is based on the totality of the evidence. See National Hand Tool Corp. v. United States, 16 C.I.T. 308 (1992), aff'd, 989 F.2d 1201 (Fed. Cir. 1993). Our office notes that in the case of the 6-IN-1 Screwdriver Set, the tool has two distinct functions (See H305966, dated April 16, 2020).  It can be used as a screwdriver to turn screws or as a nut driver to tighten nuts and bolts.  Thus, while the finished good is named the “6-IN-1 Screwdriver Set,” it is in fact both a screwdriver and a nut driver.  None of the individual components share the same name or meaning as a screwdriver. The interchangeable bits may be identifiable as screwdriver bits, but they alone are not identifiable as a whole screwdriver.  However, the shaft, which is fully formed in China, can be identified as a nut driver, and only requires the attachment of the handle to be fully functional. Unlike the bits, the shaft is intended to be used for both functions.  The consumer does not purchase the 6-IN-1 Screwdriver Set solely for the bits, but for the multifunctional ability of the hand tool, which is provided by the shaft.  Accordingly, we find that the shaft is the most significant component of the completed hand tool because it constitutes the final shape and core of the finished good and enables the tool to fully function.  The shaft makes up the body of the finished product, distinguishing it as a hand tool. Therefore, as the shaft is fully manufactured in China, the country of origin of the 6-IN-1 Screwdriver Set (SKU #587271585) is China. Please note that 19 C.F.R. § 177.9(b)(1) provides that “[e]ach ruling letter is issued on the assumption that all of the information furnished in connection with the ruling request and incorporated in the ruling letter, either directly, by reference, or by implication, is accurate and complete in every material respect.  The application of a ruling letter by a CBP field office to the transaction to which it is purported to relate is subject to the verification of the facts incorporated in the ruling letter, a comparison of the transaction described therein to the actual transaction, and the satisfaction of any conditions on which the ruling was based.” This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Anthony Grossi at [email protected]. Sincerely, Steven A. Mack Director National Commodity Specialist Division