The country of origin of a Driver Behavior Smart Camera

N344595 January 8, 2025 OT:RR:NC:N2:208 CATEGORY: Origin Gil Sanchez Omnitracs LLC 9246 Lightwave Ave, Suite 320San Diego, CA 92123 RE:  The country of origin of a Driver Behavior Smart Camera Dear Mr. Sanchez: In your letter dated December 11, 2024, you requested a country of origin ruling on a camera. The merchandise in question is referred to as the “Driver Behavior Smart Camera,” model DBC2 (also referred to as the SR5 Smart Camera).  The Driver Behavior Smart Camera, which is mounted to the front windshield or dashboard of a vehicle, is an in-cab, driver and road-facing camera. The DBC2 is manufactured through a series of manufacturing processes in Taiwan and assembly processes in China.  This camera contains five PCBAs, which are all manufactured via surface mount assembly and dual in line package techniques in Taiwan.  The surface mount assembly technique is a surface mounting or installation method that mounts the components on the surface of the bare printed circuit board (“PCB”) or other baseplates.  It uses reflow soldering or dip wave soldering to solder the components onto the board.  This surface mount technology (SMT) process loads a bare PCB with diodes, transistors, capacitors, resistors, memory, and other task-specific integrated circuits.  After the SMT process is complete, the PCBA will go to a Dual In-Line Package (DIP) Wave machine that will install the additional components to the PCBA through wave soldering.  The PCBAs are then programmed with firmware and final inspections are performed.  The finished PCBAs are shipped to China.  The final assembly process occurs in China.  This process involves combining PCBAs with enclosures, LCD panels, lenses, and other components.  Assembly is done manually using screws and adhesives. When determining the country of origin for purposes of applying current trade remedies under Section 301, the substantial transformation analysis is applicable. See, e.g., Headquarters Ruling Letter (“HQ”) H301619, dated November 6, 2018. 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, 681 F.2d 778 (C.C.P.A. 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). Based on the facts presented, it is the opinion of this office that the PCBAs, which are made in Taiwan, contribute to the main functionality of the finished products.  The complex SMT manufacturing production of the PCBAs, which includes placement and soldering of numerous individual components onto a bare PCB, creates a functional PCBA that results in a substantial transformation of the components to produce PCBAs of Taiwanese origin.  Furthermore, the assembly process performed in China, would not substantially transform the PCBAs of Taiwanese origin into a new and different article of commerce with a name, character, and use distinct from that of the exported good.  Accordingly, the DBC2 would be considered a product of Taiwan for origin purposes at the time of importation into the United States. 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