The country of origin of an electrical switch

N315929 December 8, 2020 CLA-2-85:OT:RR:NC:N2:220 CATEGORY: Origin Kelly Raia Blue Tiger International 19 Benjamin Ave. East Moriches, NY 11940 RE: The country of origin of an electrical switch Dear Ms. Raia: In your letter dated November 16, 2020, you requested a country of origin ruling on behalf of your client, Wiremold Company (Legrand). The item under consideration is identified as the 660 Light Switch, which is described as a 15 A 125 V single pole electrical switch that consists of a thermoplastic toggle and frame. The Light Switch is intended to control the flow of electrical current by changing the operating lever position. You state the Light Switch is manufactured in Vietnam from components produced in Vietnam, China, and the United States. The Light Switch is comprised of a plastic molded housing containing electrical contacts, terminals, springs, a metal strap, and a molded plastic operating lever. In Vietnam, the Chinese origin electrical contacts, springs, and terminals are inserted into the molded plastic body, the cover and operating lever are inserted, and the strap joins the body together by riveting. The Light Switch is then inspected, tested for overall functionality, and packaged for exportation. 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). Regarding the country of origin of the Light Switch, in our view, the assembly process that occurs in Vietnam by inserting the Chinese origin electrical contacts, springs, strap, and terminals into the body does not result in a substantial transformation of those components. Furthermore, it is the opinion of this office that the Chinese origin contacts and terminals provide the essence of the Light Switch because they are the articles within the assembly that make/break the flow of electric current. As such, we find that the components that make up the Light Switch are not transformed in Vietnam into a new and different article of commerce with a name, character, and use. Thus, the 660 Light Switch is considered a product of China for origin and marking purposes at time of importation into the United States. We would note that for classification purposes, the appropriate subheading for the Receptacle is 8536.50.90, Harmonized Tariff Schedule of the United States (HTSUS). Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under subheading 8536.50.90, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad valorem rate of duty.  At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.01, in addition to subheading 8536.50.90, HTSUS, listed above.   The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading.  For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at: https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions https://www.cbp.gov/trade/remedies/301-certain-products-china 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 Karl Moosbrugger at karl.moosbrugger@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division