The country of origin of electric and gas-powered go-karts

N349255 June 12, 2025 OT:RR:NC:N2:201 CATEGORY: Origin Kerry Wang Braumiller Law Group PLLC 5220 Spring Valley Road, Suite 200 Dallas, TX 75254 RE: The country of origin of electric and gas-powered go-karts Dear Ms. Wang: In your letter dated May 20, 2025, you requested a country of origin ruling on two (2) styles of go-karts, one electric and one gas-powered. The items have been identified as two (2) styles of go-karts; model EVGK200 is powered by electricity, while model GK200 is powered by gasoline. You state that while the majority of the go-karts are manufactured in China with Chinese components, the frame, a core component, is wholly manufactured in Vietnam and then shipped to China for additional processing. You provided video of the manufacturing of the frames. The key components of the go-karts are as follows: Component GK200 (Gasoline) EVGK200 (Electric) Frame Vietnam Vietnam Tires China/Thailand China/Thailand Engine/Motor China China Battery N/A China Charger N/A China Seat China China The production of the go-karts involves several detailed steps. Below is a breakdown of the assembly process. Vietnam Stamped tubular parts are fabricated. Mounting tubes are bent and cut to required dimensions. Subframe is laser-cut for mounting holes. Subframe is deburred to prevent stress fractures. Swingarm pivot mounts are CNC-machined, and heat treated. Head tube is bored and polished to smooth steering bearing rotation. Brackets for the engine and seat are punched from sheet metal. Punched sheet metal coated to protect against corrosion. Frame is welded. Main frame tubes are aligned using jigs and tack-welded before full welding. Subframe is welded to the main frame with reinforced joints. Swingarm pivot mounts are welded. Head tube is secured. Brackets are welded. Frame is heat treated, weld ground, and powder coated. Frame undergoes a series of quality checks. Frame is polished. Frame is exported to China for further processing. Thailand Tires are manufactured and exported to China. China Frame Pre-Processing: Frame is positioned on the marking fixture and the VIN is engraved. Anti-rust oil is applied. Component Sub-Assemblies (GK200 Model): The fuel tank and engine mount, steering column sub-assembly, pedal assembly, throttle and brake cable sub-assembly, dashboard and mechanical meter, and rear swing arm and engine sub-assembly are manufactured and installed. Component Sub-Assemblies (EVGK Model): The battery bracket and controller mount, steering column sub-assembly, front cowl sub-assembly, pedal assembly, accelerator and bake pedal sub-assembly, dashboard and electrical components assembly, and rear swing arm and electric motor sub-assembly are manufactured and installed. Main Assembly of Frame: The rear swing arm, rear shock absorbers, and front suspension assembly are manufactured and installed. The final installation of the accelerator, brake pedals, and the steering system takes place. Fuel and Mechanical System Wiring (GK200 Model): The fuel line, fuel tank, and ignition are manufactured and installed, and the electrical wiring is configured. Electrical Wiring and Power System Installation (EVGK Model): The wiring harness is manufactured and installed. Switch panel and dashboard wiring take place. The battery is manufactured and installed. Wheel and Brake Installation: The front wheel and brake disc are manufactured and installed. The re the wheel and brake system are manufactured and installed. Body and Structural Components: The front cowl is manufactured and installed on the frame. The side panel, roof frame, seat and safety belt, and rear bumper/rack and foam wrap are manufactured and installed. Quality Control and Testing: A surface cleaning is conducted. The tires are manufactured and inflated. Functional testing occurs. Partial Disassembly for Packaging: The roof frame and rear rack are disassembled. The driver’s seat, wheels, and steering wheel are removed. Packaging: The go kart is stabilized on the shipping frame and packaged in a corrugated box for shipping to the United States. When determining the country of origin for purposes of applying current trade remedies under Section 301 and additional duties, the substantial transformation analysis is applicable. See, e.g., Headquarters Ruling Letter 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). While CBP has not yet ruled on the country of origin of a go-kart, you claim that CBP has previously ruled that the frame of “similar” vehicles, such as All-Terrain Vehicles (“ATVs”), electric bikes, and motorcycles imparts the riding apparatus’s essential character. It is our opinion that these go-karts are not akin to those types of vehicles. It is the opinion of this office that, since the bulk of the go-karts is sourced from China, and the frame, while significant, does not impart the same level of importance, the country-of-origin of models GK200 and EVGK200 is China. 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 Matthew Sullivan at matthew.sullivan@cbp.dhs.gov. Sincerely, (for) Steven A. Mack Director National Commodity Specialist Division