The country of origin of paper napkins

N343481 October 25, 2024 CLA-2-48:OT:RR:NC:N4:434 CATEGORY:  Country of Origin Richard Writsman Continental Agency Inc. 1768 W. Second Street Pomona, CA  91766 RE:      The country of origin of paper napkins Dear Mr. Writsman: In your letter dated October 22, 2024, you requested a country of origin ruling on behalf of your client, MDC Home, Inc.  Photos and a detailed description of the manufacturing operations were provided for our review. The items under consideration are packages of paper napkins, which come in a variety of sizes and folds.  Per your submission, the bulk rolls of tissue paper are manufactured in Indonesia.  You describe the paper as White/Kraft virgin paper with 1/2/3 layers and a 12-22 GSM.  These parent rolls of paper, which measure in multiple widths from 340 mm up to 2800 mm and have a maximum roll diameter of 1500 mm, with a core diameter of 76 mm, are then sent to China, where the paper is embossed, cut to size, folded, subjected to quality control, and packaged.  Pursuant to Part 134, Customs Regulations (19 C.F.R. 134) implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304.  Section 134.1(b), Customs Regulations (19 C.F.R. 134.1(b)), defines “country of origin” 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.”  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.  A substantial transformation will not result from a minor manufacturing or combining process that leaves the identity of the article intact.  See United States v. Gibson-Thomsen Co., 27 C.C.P.A. 267 (1940); and National Juice Products Association v. United States, 628 F. Supp. 978 (Ct. Int’l Trade 1986). In China the tissue paper does not undergo a substantial transformation resulting in an item with a new name, character or use simply by embossing, cutting, folding, and packaging. As support, we reference existing Headquarters ruling HQ W967997, 2006, in which the processes of printing, cutting and folding tissue paper in a second country did not result in a substantial transformation.  Likewise, in HQ 557462, 1994, the operations of cutting and folding were found to be “merely finishing operations,” which, again, did not constitute a substantial transformation. The country of origin of the finished napkins is Indonesia. 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 Regulations (19 CFR 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 Charlene Miller at charlene.s.miller@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division