The country of origin of flat-panel liquid crystal display (LCD) module

N335871 November 2, 2023 OT:RR:NC:N2:208 CATEGORY: Origin Richard Suh Toshiba Logistics America, Inc. 501 Burning Tree RoadFullerton, CA 92833 RE:  The country of origin of flat-panel liquid crystal display (LCD) module Dear Mr. Suh: In your letter dated October 11, 2023, you requested a country of origin ruling on behalf of your client, JDI Display America, Inc. The merchandise under consideration is a thin-film transistor (TFT) flat-panel LCD module, part number LPM018G423A. This flat panel display module is specifically designed for integration into automotive systems for heads-up displays (HUDs).  In Japan, the glass substrate is made, which involves multiple phases in chemical vapor deposition (CVD) machines to build up a TFT array structure on the substrate for every subpixel.   Next, a color filter is developed on a matching and separate glass substrate, color-by-color, starting with a black matrix (BM), then doing red, green, and blue for every subpixel.  After that, the LCD panel is filled using a one drop fill (ODF) process applied to the entire TFT array substrate, in which the liquid crystal material is compressed between the TFT array, and the color filter glass substrate is added and aligned on top.  This process creates a sheet of TFT-LCD cells that will later be cut into individual cells. In China, the substrate is cut into “chips,” which are individual LCD panels. Then, the module is assembled and completed by taking the LCD cell (the "chip") and affixing driver integrated circuits (ICs), polarizers, flexible printed circuits (FPCs), and then a backlight, frame, etc.  Lastly, quality testing is done. 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). Accordingly, it is our opinion that the completed TFT-LCD cells, regardless of where they are cut to size, are the dominant component that provides the character of the finished device. The complex manufacturing process performed in Japan renders the end-use of the cells predetermined, as they cannot be used for any other purpose than a display. Further, the assembly processes performed in China would not substantially transform the cells into new and different articles of commerce with a name, character, and use distinct from that of the exported good. Therefore, based upon the facts presented, the country of origin of the TFT-LCD module, part number LPM018G423A, is Japan. The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request. This position is clearly set forth in Title 19, Code of Federal Regulations (CFR), Section 177.9(b)(1). This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect. In the event that the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2. Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP. This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection 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, please contact National Import Specialist Lisa Cariello at lisa.a.cariello@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division