THE COUNTRY OF ORIGIN MARKING OF RIFLESCOPE COMPONENTS TO BE ASSEMBLED IN THE U.S.

N034000 August 6, 2008 MAR-2 OT:RR:NC:1:114 CATEGORY: MARKING Mr. Michael T. Shor Arnold & Porter LLP 555 Twelfth Street, NW Washington, DC 20004-1206 RE: THE COUNTRY OF ORIGIN MARKING OF RIFLESCOPE COMPONENTS TO BE ASSEMBLED IN THE U.S. Dear Mr. Shor: This is in response to your letter dated July 21, 2008, on behalf of Swarovski Optik North America, Ltd., in which you requested an exception from the country of origin marking requirements for riflescope components imported from various countries. You state that the components generally include various aluminum alloy tubes and sleeves (including a main tube), glass lenses, a reticle, o-rings, screws, springs, pins, rings, gliding disks, an eye cup, spacers, stop rings, housings, retainers, a hawk insignia, spindle, cams, gears, and dust covers. The number of components used to make each riflescope is 60 to 100 depending on the model. You state that the components are not simply fastened into a riflescope; the various lenses and reticle (crosshair) are precisely calibrated and adjusted with complex, computerized equipment, which cut spacer rings and lens mounts to precisely position the lenses. An incorrect cut of just 0.1 mm (100 micrometers) can put the riflescope adjustment out of tolerance. The optical components are synchronized using computer-based equipment, then tested and adjusted using precision mechanical, electrical, optical and measuring instruments. Swarovski contends that, with respect to each of the representative finished riflescopes model numbers 52028, 52042, 57085 and 59214, all of the imported components used in the assembly of the riflescope will be substantially transformed such that the finished riflescope is an article with a new and different name, character, or use. Accordingly, the imported articles are excepted from marking; only the outermost containers of the imported components need to be marked with the country of origin. Swarovski intends to indicate on the packaging for the finished riflescopes that they are “Assembled in USA. 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. As provided in section 134.41(b), Customs Regulations (19 CFR 134.41(b)), the country of origin marking is considered conspicuous if the ultimate purchaser in the U.S. is able to find the marking easily and read it without strain. With regard to the permanency of a 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. Based on the information presented, we find that the Swarovski Optik North America, Ltd. is the ultimate purchaser of the subject components. In accordance with 19 CFR 134.35, the aluminum alloy tubes and sleeves (including a main tube), glass lenses, a reticle, o-rings, screws, springs, pins, rings, gliding disks, an eye cup, spacers, stop rings, housings, retainers, the hawk insignia, spindle, cams, gears and dust covers, provided that they are used by Swarovski Optik North America, Ltd. in the assembly of the riflescopes and not sold separately in their condition as imported, are excepted from individual marking. Only the outmost containers of the imported articles must be marked with country of origin. Regarding the marking of the assembled riflescopes, if a good is determined to be an article of U.S. origin, it is not subject to the country of origin marking requirements of 19 U.S.C. §1304. Whether an article may be marked with the phrase "Made in the USA" or similar words denoting U.S. origin, is an issue under the authority of the Federal Trade Commission (FTC). We suggest that you contact the FTC Division of Enforcement, 600 Pennsylvania Avenue, N.W., Washington, D.C. 20580 on the propriety of proposed markings indicating that an article is assembled in the U.S. 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 Barbara Kiefer at 646-733-3019. Sincerely, Robert B. Swierupski Director, National Commodity Specialist Division