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NY F83854





March 30, 2000

MAR-2 RR:NC:MM:110 F83854

CATEGORY: MARKING

Ms. Sandra Liss Friedman
Barnes, Richardson and Colburn
475 Park Avenue South
New York, NY 10016

RE: THE COUNTRY OF ORIGIN MARKING OF THE BROTHER MODELS LC-M5, LC-D5 AND LC-A5 LAMINATE FILM CARTRIDGES

Dear Ms. Friedman:

This is in response to your letter dated February 24, 2000, requesting a ruling on whether the Brother models LC-M5, LC-D5 and LC-A5 laminate film cartridges used with the Brother Cool Laminator are products of China. Marked samples of each model were submitted with your letter for review. Both the cartridges and boxes are marked “Made in China.” The cartridges contain a pressure sensitive “Attention” label that contains the country of origin marking. The boxes are marked with the country of origin on both sides. However, the backs of the boxes are also marked with the company name and U.S. address.

All three cartridges consist of a hard plastic housing that is designed to go into the Brother Cool Laminator. The cartridge works as part of the laminator and supplies laminate film during operation. Each cartridge contains two roles of laminate film. Each model differs in the type of laminate film it contains. The following information was submitted with regard to the manufacture and assembly of these cartridges:

Model LC-M5, Magnetic Back Laminate Cartridge:

The magnetic back laminate cartridge consists of a hard molded plastic outer case and plastic film spacer that are manufactured in China and two spools of laminate film that have been assembled in China. This cartridge contains two roles of laminate film: a single-sided roll of plastic film and a second roll of magnetic film. These have been assembled together in an exacting process that requires the two lengths of film to be carefully aligned and attached so that the two films will be properly fed through the Cool Laminator. The single-sided film is manufactured in Taiwan and the magnetic film is manufactured in Japan. A detailed description of the Chinese assembly process of the cartridge and the film was also submitted.

Model LC-D5, Double Side Laminate Cartridge:

This cartridge also has the hard molded plastic outer case and plastic film spacer that are manufactured in China and two spools of single-sided film that have been assembled with the cartridge in China. The single-sided rolls are manufactured in Taiwan. A detailed description of the Chinese assembly process of the cartridge and the film was also submitted.

Model LC-A5, Adhesive Laminate Cartridge:

This cartridge also has the hard molded plastic outer case and plastic film spacer that are manufactured in China. It also contains two rolls of film: a single-sided roll and an adhesive roll. Both rolls are manufactured in Taiwan. A detailed description of the Chinese assembly process of the cartridge and the film was also submitted.

Section 134.1(b), Customs Regulations, provides the meaning of the term "country of origin":

“Country of origin” means 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; however, for a good of a NAFTA country, the NAFTA Marking Rules will determine the country of origin.

A substantial transformation occurs when articles lose their identity and become new articles having a new name, character or use. In producing the laminate film cartridges we find that both manufacturing of substantial components and assembly of the finished cartridges is done in China. It is noted that this processing adds significant value to the finished product in terms of material as well as assembly costs. From the submitted description of the assembly process and the number of operations involved this office is satisfied that this is more than a simple assembly process. Each laminate film cartridge contains two roles of film. Each role of film is necessary for the lamination process (front and back laminate film). These film roles must be properly aligned with each other and assembled into the cartridge in order for the Brother Cool Laminator to function properly. After assembly we no longer have roles of laminate film but cartridges designed to function with the Brother Cool Laminator in the lamination process. The finished cartridges have a new name, character, and use. Therefore, a substantial transformation has been effected and the country of origin of the laminate film cartridges is China.

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.

As provided in section 134.41(b), Customs Regulations (19 CFR 134.41(b)), the country of origin marking is considered conspicuous if the ultimate purchaser in the U.S. is able to find the marking easily and read it without strain.

With regard to the permanency of a marking, section 134.41(a), Customs Regulations (19 CFR 134.41(a)), provides that as a general rule marking requirements are best met by marking worked into the article at the time of manufacture. For example, it is suggested that the country of origin on metal articles be die sunk, molded in, or etched. However, section 134.44, Customs Regulations (19 CFR 134.44), generally provides that any marking that is sufficiently permanent so that it will remain on the article until it reaches the ultimate purchaser unless deliberately removed is acceptable.

Section 134.46, Customs Regulations (19 CFR 134.46), deals with cases in which the words "United States," or "American," the letters "U.S.A.," any variation of such words or letters, or the name of any city or locality in the United States, or the name of any foreign country or locality other than the country or locality in which the article was manufactured or produced, appears on an imported article or its container, and those words, letters or names may mislead or deceive the ultimate purchaser as to the actual country of origin. In such a case, there shall appear, legibly and permanently, in close proximity to such words, letters, or name, and in at least a comparable size, the name of the country of origin preceded by "Made in," Product of," or other words of similar meaning.

In order to satisfy the close proximity requirement, the country of origin marking must generally appear on the same side(s) or surface(s) in which the name or locality other than the actual country of origin appears.

Because the country of origin marking is not on the same side or surface of the box as the U.S. address, the proposed marking of the imported laminate film cartridges, as described above, does not satisfies the marking requirements of 19 U.S.C. 1304 and 19 CFR Part 134 and is not an acceptable country of origin marking for the imported Brother models LC-M5, LC-D5 and LC-A5 laminate film cartridges.

This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 CFR Part 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 Eileen S. Kaplan at 212-637-7019.

Sincerely,

Robert B. Swierupski
Director,

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