The country of origin of a valve assembly

N340654 July 3, 2024 OT:RR:NC:N1:102 CATEGORY: Origin Jared Wessel Hogan Lovells US LLP 555 13th St. NWWashington, DC 20004 RE:  The country of origin of a valve assembly Dear Mr. Wessel: In your letter dated June 11, 2024, you requested a country of origin ruling on behalf of your client, ASSA ABLOY, on a valve assembly. The valve assembly, referred to as the Pfister 08X-310A Valve Assembly, is used in a water supply system. The assembly will be installed behind a wall and connected to the hot and cold-water lines that extend to the trim.  The valve assembly consists of a valve body that incorporates a full cartridge valve assembly made up of various subassemblies: a top valve assembly, a stem assembly, a check valve assembly, a pressure balancer assembly, and a spool assembly. In your letter you explain the components of the valve are sourced from Taiwan or China and are imported into Vietnam to form the sub-assemblies. The sub-assemblies generated in Vietnam are joined to each other in Vietnam. The assembly of the valve begins by inserting a Chinese spool into a Chinese outer spool, which forms the spool assembly. The spool assembly is then placed between the top and halves of the cartridge, which are of Chinese origin. The resulting pressure balance subassembly is sealed with a washer. The assembly of the cartridge assembly begins by constructing the check valve subassembly.  The check valve subassembly is formed by combining a Chinese umbrella check valve with a Chinese adapter.   It is explained that the stem assembly can be produced one of two ways; the final product as either a single injection molded plastic stem or comprised of two primary components, i.e., a brass pressure balancer stem and a two-winged pressure balancer insert that is secured by a pin.  Using either option, the stem assembly is incorporated into the top valve, where it is joined with Chinese components: an O-ring, a plastic stem base, and a valve bonnet.  Glue is applied to screws and the joined components are screwed in place to form the top valve subassembly.   The formed subassemblies are joined and sealed using a moving disk, two stationary disks, two O-rings, two screened bottom seals and a pin inserted into the pressure balancer assembly.  Once combined, the subassemblies are screwed in place. Lubrication is applied as needed and the finished cartridge assembly and a place plate are inserted into the valve body, which is of Taiwanese origin.  The finished valve assembly is labeled and appropriately packaged.  The finished valve is subjected to various tests.  It is noted that throughout the assembly processes, the subassemblies undergo testing.   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). When determining the country of origin of valves, CBP has historically relied on the origin of the valve body, the essence of a valve, as the process of assembling a valve is rather simple.  Components are typically assembled into the valve body using processes such as inserting, press-fitting, screwing components to each other, etc.  These processes are not regarded as being complex.  See New York rulings N339513 (dated May 6, 2024), N338713 (dated April 3, 2024), N325765 (dated May 26, 2022), and N322652 (dated December 2, 2021).  The same origin rationale is applicable here, as the assembly processes of the subject valve assembly primarily consist of inserting, placing, and screwing components to each other.  Such processes do not constitute a substantial transformation.  Accordingly, we rely on the origin of the valve body to determine the origin of the valve assembly, as the valve body is the essence of the valve assembly.  The valve body is notable in size and dominant by function, in that it houses the components that when combined create a valve assembly. As the origin of the valve body is Taiwan, the country of origin of the Pfister 08X-310A Valve Assembly is Taiwan for origin and marking purposes. Thus, the Pfister 08X-310A Valve Assembly is not subject to duties associated with Section 301 Trade Remedies.   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 Sandra Martinez at sandra.martinez@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division