The country of origin of a charge adapter set from Vietnam

N320279 July 19, 2021 OT:RR:NC:N2:220 CATEGORY: Origin Fiona Pan Hank Electronics Vietnam Company Limited No.7, Street 11, Vsip Bac Ninh Urban, Industrial and Service Area Phu Chan Commune, Tu Son Town Bac Ninh, 16353 Vietnam RE: The country of origin of a charge adapter set from Vietnam Dear Ms. Pan: In your letter dated June 30, 2020 you requested a country of origin ruling on behalf of Walgreen Co. The merchandise under consideration is identified as the combo pack charge and sync set which consists of a retail package containing a 1 A wall power adapter plug with a USB female connector on one side and a two-prong electrical plug on the other end; a 1 A universal car adapter with single USB Type-A female connector on one side and 12 V vehicle electrical plug on the other; and a 3-foot insulated electric cable which has a male USB Type-A connector on one end and a lightning style C89 connector on the other end. The subject set is used to charge various electronic devices at home, in the office, or in a vehicle. In your submission, you state that the wall power adapter plug is comprised of materials from China and assembled in Vietnam by soldering 43 components, such as resistors, capacitors, integrated circuits, fuses, diodes, and a LED onto a bare printed circuit board. The female USB connector and wall socket terminals are then soldered onto the assembly and encapsulated in a plastic housing. Throughout the assembly process, the parts and final product undergo numerous testing procedures. You also state the car power adapter plug is made of the component materials that are sourced from China and assembled in Vietnam by soldering 25 components, such as resistors, capacitors, an integrated circuit, a fuse, a diode, and a LED onto a printed circuit board. The female USB Type-A connector, electrical plug, spring, and contacts are then soldered onto the case assembly and encapsulated in a plastic housing. Like the wall charger assembly process, the testing procedures of the car charger are also conducted throughout various stages on both parts and finished product. Lastly, based on the information provided, the assembly process of the 3-foot insulated electric cable occurs in Vietnam. You state that the insulated wire is sourced from Vietnam, the lightning style C89 connector is sourced from Hong Kong, and the USB Type-A connector, the insulating tape and copper foil are all sourced from China. In Vietnam, the wire is cut to length and the connectors are soldered onto the individual conductors, the end connectors are encapsulated in plastic molding, and the cable assembly is tested. With regard to the origin of the combo pack charge and sync set, 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 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).Based upon the facts presented, it is the opinion of this office that the assembly processes for the chargers and cable, as described above, result in a substantial transformation of the Chinese components in Vietnam into new and different articles of commerce with a name, character, and use distinct from the individual components used during the assembly. Therefore, it is the opinion of this office that the wall charger, the car charger, and the USB cable are considered products of Vietnam upon importation into the United States. Importations of this product may be subject to the provisions of Section 133 of the Customs Regulations if they copy or stimulate a registered trademark, trade name or copyright recorded with U.S. Customs and Border Protection. If you are an authorized importer of the product, we recommend notifying your local Customs office prior to importation. 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