The country of origin of a combination power adapter

N335064 September 14, 2023 OT:RR:NC:N2:220 CATEGORY: Origin Hyeyeon Lee Spigen Inc. 9975 Toledo Way, Suite 100 Irvine, CA  92618 RE:      The country of origin of a combination power adapter Dear Ms. Lee: In your letter dated August 29, 2023, you requested a country of origin ruling. The merchandise under consideration is identified as the ArcHybrid GaN 401 Wall Charger, Model Number PH2201, which is described as a power adapter having one female USB Type-C socket connector, a wireless charging module, and a two-prong electrical plug.  The subject power adapter is intended to be used for personal electronics and is comprised of a plastic molded housing containing a printed circuit board assembly (PCBA), wires, the charging module, and plug terminals.  The power adapter is said to be assembled in Vietnam from components sourced from China and Vietnam. In your letter, you state that the PCBA is manufactured in Vietnam by soldering multiple components, such as integrated circuits, resistors, capacitors, diodes, a transformer, etc. onto a bare PCB via a surface mount and through-hole insertion process, while the wireless charging module and plastic housing are sourced from China.  In Vietnam, the PCBA is assembled into the plastic housing along with the charging module and wires, the housing is ultrasonically sealed, the unit is tested, and finally packaged for export. 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; however, for a good of a NAFTA country, the NAFTA Marking Rules will determine the country of origin.”  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 subject power adapter, in our view, the assembly of the PCBA in Vietnam by soldering the individual components onto the bare board results in a substantial transformation of the individual components to produce a PCBA of Vietnamese origin.  Furthermore, it is the opinion of this office that the PCBA establishes the function of the electrical charging device because it is the article within the assembly that converts the electricity and supplies it to the attached personal electronics via the USB socket as well as the charging module.  As such, we find that the components that make up the power adapter are transformed in Vietnam into a different article of commerce with a new name, character, and use.  Thus, the ArcHybrid GaN 401 Wall Charger, Model Number PH2201, is considered a product of Vietnam for origin and marking purposes at time of 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 simulate 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