HQ 0733702 - Country of origin marking of shuttlecocks; sold to schools and institutional organizations; ultimate purchaser; 19 U.S.C. 1304(a)(3)(D); 19 CFR 134.32(d); 19 CFR 134.1(d); Friedlaender & Co.; Koru North America; 710493; 733678 - United States International Trade Commision Rulings

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HQ 733702

October 15, 1990

MAR-2-05 CO:R:C:V 733702 EAB

CATEGORY: MARKING

Ms. Bernice Westphal
Sport Supply Group
P.O. Box 7726
Dallas, Texas 75209

RE: Country of origin marking of shuttlecocks; sold to schools and institutional organizations; ultimate purchaser; 19 U.S.C. 1304(a)(3)(D); 19 CFR 134.32(d); 19 CFR 134.1(d); Friedlaender & Co.; Koru North America; 710493; 733678

Dear Ms. Westphal:

This is in reply to your letter dated July 31, 1990, in which you request a ruling on the proper country of origin marking of shuttlecocks imported from Taiwan. During a telephone conversation on September 27, 1990, you advised us that the containers were sealed and marked by the manufacturer.

FACTS:

Your company imports unmarked shuttlecocks made in Taiwan. The shuttlecocks are imported in one gross, sealed cardboard cartons marked "Made in Taiwan". You sell the shuttlecocks only in the original, unopened cartons to institutional and school organizations for their own use. You request a ruling excepting the shuttlecocks from individual country of origin marking.

ISSUE:

Whether individual imported shuttlecocks are excepted from country of origin marking.

LAW AND ANALYSIS:

Section 304 of the Tariff Act of 1930, as amended (19 U.S.C. 1304), provides that, unless excepted, every article of foreign origin 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 Court of

International Trade stated in Koru North America v. United States, 701 F.Supp. 229, 12 CIT _____ (CIT 1988), that: "In ascertaining what constitutes the country of origin under the marking statute, a court must look at the sense in which the term is used in the statute, giving reference to the purpose of the particular legislation involved. The purpose of the marking statute is outlined in United States v. Friedlaender & Co., 27 CCPA 297 at 302, C.A.D. 104 (1940), where the court stated that: 'Congress intended that the ultimate purchaser should be able to know by an inspection of the marking on the imported goods the country of which the goods is the product. The evident purpose is to mark the goods so that at the time of purchase the ultimate purchaser may, by knowing where the goods were produced, be able to buy or refuse to buy them, if such marking should influence his will.'"

Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.1(d), Customs Regulations (19 CFR 134.1(d)), defines the ultimate purchaser as generally the last person in the U.S. who will receive the article in the form in which it was imported. If an imported article is to be sold at retail in its imported form, the purchaser at retail is the ultimate purchaser.

In this case, the institutions and schools purchase these shuttlecocks from you in their imported form and for their own use. We find, therefore, that the institutions and schools are the ultimate purchasers of the imported shuttlecocks. See, e.g., Legal Determination 79-0382 (HQ 710493, July 17, 1979), airlines were the ultimate purchasers of imported dinnerware to be used to serve in-flight meals; and, HQ 733678 (August 30, 1990), hospitals and hospital supply distributors were the ultimate purchasers of imported surgical towels to be used by them.

Pursuant to 19 U.S.C. 1304(a)(3)(D) and 19 CFR 134.32(d), excepted from individual marking requirements are imported articles for which the marking of the containers will reasonably indicate the origin of the articles. This exception applies in cases where the article is imported in a properly marked container and Customs officials at the port of entry are satisfied that the ultimate purchaser will receive the article in its original, unopened and properly marked container. Accord, Legal Determination 79-0382 and HQ 733678, supra. In this case, the shuttlecocks are sold to the institutions and schools in their original, unopened and properly marked containers.

HOLDING:

The ultimate purchaser of the imported shuttlecocks is the institution or school that will use them in their imported
condition and not otherwise process or sell them. The shuttle- cocks may be excepted from country of origin marking pursuant to 19 CFR 134.32(d), provided that Customs officials at the port of entry are satisfied that they will be used only in the manner described above and that the institution or school will receive them in their original, unopened containers that are marked to indicate the country of origin of the shuttlecocks. Statements to this effect may be required by the District Director at the port of entry.

Sincerely,

Marvin M. Amernick, Chief
Value, Special Programs and

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