THE COUNTRY OF ORIGIN MARKING OF CERAMIC BALLS

N174464 July 29, 2011 MAR-2 OT:RR:NC:N1:102 CATEGORY: MARKING Mr. Greg Steele CoorsTek, Inc. 16000 Table Mountain Parkway Golden, CO 80403 RE: THE COUNTRY OF ORIGIN MARKING OF CERAMIC BALLS Dear Mr. Steele: This is in response to your letter dated July 8, 2011 requesting a ruling to determine the country of origin marking of precision ceramic balls. Photographs were included with your submission. The articles in question are described as precision ceramic balls for application within ball bearings. The ceramic balls are made of silicon nitride and vary in size from .016 inch to 2 inches in diameter. You indicate that these balls are manufactured from spheroidal shaped ceramic ball blanks. The blanks have very rough surfaces and are produced by CoorsTek, Inc. in the U.S. or at your foreign subsidiary in Sweden. The blanks manufactured in Sweden are sent to your facility in the U.S. to be further worked. Prior to processing the blanks from the U.S or Sweden, they are inspected for cracks and other surface defects. In the U.S., the rough blanks are subjected to extensive grinding operations in order to obtain the desired surface quality and to meet the precise spherical requirements of finished ceramic balls. The blanks undergo a 3 step (rough, intermediate and final) lapping process/stage in which diamond slurry is used as the lapping compound. During the rough lapping stage, which lasts between 400-600 hours, the band is removed from the blank. The process is stopped periodically to enable the technicians to sample the blanks. After completion, the blanks are cleaned and examined for surface defects. The intermediate lapping process lasts approximately 100 hours. The process is occasionally stopped to allow the technicians to sample the blanks and test for certain measurements. Upon completion, the blanks are cleaned and inspected for surface defects. The final lapping stage lasts between 100-200 hours. It is during this process where the blanks are made into the finished precision ceramic balls and tested to determine if the balls meet the Annular Bearing Engineering Committee (ABEC) tolerances required for use in antifriction bearings. The country of origin for marking purposes is defined at section 19 CFR 134.1(b), to mean the country of manufacture, production, or growth of any article of foreign origin entering the U.S. 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 Part 134. A substantial transformation is effected when a manufacturer or processor converts or combines an article into a new and different article resulting in a change in name, character, or use.  Based on the submitted literature, we find that the processing performed on the ball blanks in the United States meets the definition of substantial transformation and that the finished ceramic balls will be considered products of the United States for marking purposes. 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. 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, 6th and Pennsylvania Avenue, N.W., Washington, D.C. 20508 on the propriety of proposed markings indicating that an article is made 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 Kenneth T. Brock at (646) 733-3009. Sincerely, Robert B. Swierupski Director National Commodity Specialist Division