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NY K86729

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June 25, 2004

MAR-2 RR:NC:1:126 K86729

CATEGORY: MARKING

Mr. Darrell Sekin Jr.
DJS International Services, Inc.
P.O. Box 612785
DFW Airport, Texas 75261

RE: COUNTRY OF ORIGIN MARKING OF IMPORTED CERAMIC JARS FROM THAILAND WHICH WILL BE FILLED WITH CANDLE WAX IN THE UNITED STATES

Dear Mr. Sekin:

This is in response to your letter dated June 2, 2004, on behalf of your client, Casey Pottery, Inc. You requested a ruling on whether a ceramic jar imported from Thailand is required to be individually marked with the country of origin if it is later to be processed in the U.S. by a U.S. manufacturer. A slightly smeared marked sample was submitted with your letter for review.

The subject article is a small ceramic jar with handle. The article measures approximately 3 ½ inches in height, 2 ¾ inches at the base and 2 inches in diameter at the mouth. You stated in your letter that the bottom of each ceramic jar is marked with the words “Made in Thailand”. You stated that once the article is imported into the United States, the importer will imprint a decal on the side of the jar and fire the item in a kiln to seal the design. During the firing process, the country of origin is burned off. You also stated that the imported ceramic jar will be filled with American origin candle wax in the United States creating a poured candle. The finished product will be marketed as a candle in the United States.

In your letter you ask whether the ceramic jar has to be re-marked to indicate the burned off country of origin. You also ask whether the ceramic jar can be marked with the words “United States” after it is filled with American candle wax in the United States.

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.

Part 134, Customs Regulations (19 CFR Part 134), implements the country of origin marking requirements and exceptions of 19 U.S.C. 1304. Section 134.41(b), Customs Regulations (19 CFR 134.41(b)), mandates that the ultimate purchaser in the U.S. must be able to find the marking easily and read it without strain. Section 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. 19 CFR 134.1(d)(1) states that if an imported article will be used in manufacture, the manufacturer may be the ultimate purchaser if he subjects the imported article to a process which results in a substantial transformation of the article. The case of U.S. v. Gibson-Thomsen Co., Inc., 27 C.C.P.A. 267 (C.A.D. 98) (1940), provides that an article used in manufacture which results in an article having a name, character or use differing from that of the constituent article will be considered substantially transformed and that the manufacturer or processor will be considered the ultimate purchaser of the constituent materials. In such circumstances, the imported article is excepted from marking and only the outermost container is required to be marked. See, 19 CFR 134.35.

In reference to the proper marking of the ceramic jars, the imported ceramic jars that are marked “Made in Thailand” do not have to be re-marked to indicate the burned off country of origin. In this instance, the imported ceramic jars are substantially transformed as a result of the U.S. processing. The product is transformed into a poured candle. The U.S. manufacturer is the ultimate purchaser of the imported ceramic jar. Since you stated that the candle wax poured into the jar is of American origin, only the outer containers that reach the ultimate purchaser (the U.S. manufacturer) must be marked with the country of origin of the imported ceramic jar. If the candle wax is of U.S. origin, the ceramic jar itself need not be marked with any country of origin. However, if the candle wax poured into the ceramic jar is not of American origin, the product must be marked with country of origin of the candle wax before it is sold to the importer’s customers in the United States.

If you wish to ultimately mark the product with the words “United States” or “ceramic jar made in Thailand; candle made in United States”, you must contact the Federal Trade Commission. Questions regarding any references to the United States in marking should be referred to the Federal Trade Commission at 202-326-2996.

Contact Customs at the port of entry for this merchandise. Provide documentation to the port of your claim that all the imported ceramic jars will be filled with candle wax in the United States. Provide documentation to the Customs officers of the country of origin of the candle wax. If the candle wax is not of American origin, provide documentation to the Customs officers at the port that the product will be marked with the country of origin of the candle wax before it is sold to the importer’s customers.

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 Jacob Bunin at 646-733-3027.

Sincerely,

Robert B. Swierupski
Director,

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