The country of origin of fiber optic cable assemblies

N305844 September 10, 2019 CLA-2-85:OT:RR:NC:N2:212 CATEGORY: Country of Origin Paula Connelly Sandler, Travis & Rosenberg, P.A. 100 Trade Center, Suite G-700 Woburn, MA 01801 RE: The country of origin of fiber optic cable assemblies Dear Ms. Connelly: In your letter dated August 18, 2019, you requested a country of origin ruling on behalf of your client, Senko Advanced Components, Inc. The request concerns five items identified as the following: LC-LC SM Duplex Riser, 2.0mm, 2m SC/APC Pigtail BI SM Simplex 2mm, 5ft SC/APC-SC/APC SM SX EZ Bend 3mm, 10ft SC/APC Simplex Indoor Pigtail Riser 3mm, 1m SC/APC-SC/APC SM Simplex Riser 2mm, 2m Each item is described as a fiber optic cable assembly for use in the telecommunication and data communication industries. Each assembly is manufactured slightly differently, with different connector components and at different lengths. However, the function of data transmission remains the same. Samples were sent with the request for review. You state in your request that, in all five cases, optical fiber or optical fiber cables of U.S. origin are exported to China where it is further processed and assembled into a completed assembly using goods originating from China and Taiwan. The process completed in China for each assembly begins with the importation of the optical fibers or optical fiber cables on reels. In the case of the optical fibers, they are jacketed with Kevlar and cut to length. When the optical fiber cables are imported, they are already jacketed and only need to be cut to the desired length. The connector parts are then inserted onto the fiber within the cable and epoxy is added to the ferrule holes for the addition of fibers into the ferrule. An oven is then used to heat and cure the epoxy prior to the outer housing being added to complete the connector. The completed assembly is then inspected and tested for form and function. 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).However, if the manufacturing or combining process is merely a minor one that leaves the identity of the article intact, a substantial transformation has not occurred. Uniroyal, Inc. v. United States, 3 CIT 220, 542 F. Supp. 1026, 1029 (1982), aff’d, 702 F.2d 1022 (Fed. Cir. 1983). Substantial transformation determinations are based on the totality of the evidence. See Headquarters Ruling (HQ) W968434, date January 17, 2007, citing Ferrostaal Metals Corp. v. United States, 11 CIT 470, 478, 664 F. Supp. 535, 541 (1987). With regard to the origin of the subject fiber optic cable assembly, it is the opinion of this office that the U.S. origin optical fibers and optical fiber cables impart the essence of the finished good. While the processing and assembly completed in China is integral to the function of the assembly in its finished state, we find that the addition of the connectors does not substantially transform the U.S. parts into a new and different article of commerce with a name, character, and use distinct from the article exported. Based upon the facts presented, it is the opinion of this office that the origin of the following optical cable assemblies is the United States: LC-LC SM Duplex Riser, 2.0mm, 2m SC/APC Pigtail BI SM Simplex 2mm, 5ft SC/APC-SC/APC SM SX EZ Bend 3mm, 10ft SC/APC Simplex Indoor Pigtail Riser 3mm, 1m SC/APC-SC/APC SM Simplex Riser 2mm, 2m Whether an article may be marked with the phrase “Made in the U.S.A.” 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 made in the U.S. 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 Luke LePage at luke.lepage@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division