April 17, 2009 CBP Bulletin Notice on Country of Origin of Certain Remanufactured Photoreceptor Cartridges
In the April 17, 2009 issue of the U.S. Customs and Border Protection Bulletin, CBP published a notice revoking two rulings and revoking a treatment as follows:
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Revocation of rulings, revocation of treatment.CBP is revoking two rulings on the country of origin of certain remanufactured photoreceptor cartridges; in addition, this notice covers any rulings on this merchandise which may exist but have not been specifically identified. CBP is also revoking any treatment it has previously accorded to substantially identical transactions.
According to CBP, the revocations are effective for merchandise entered or withdrawn from warehouse for consumption on or after June 16, 2009.
Country of Origin of Remanufactured Photoreceptor Cartridges. The imported merchandise consists of remanufactured photoreceptor cartridges designed for use with automatic data processing laser printers. The cartridges will be imported from Canada, and they will include a photoreceptor belt or cylinder, toner receptacle unit, toner developing unit, charge/discharge unit, and cleaning unit. A contractor manufactures the cartridges in Canada, in part from components salvaged from "spent" or used cartridges that are sourced from a variety of countries.
When the used cartridges arrive at the facility in Canada, they undergo extensive disassembly operations. Salvageable parts from the spent cartridges will be placed in bins, and new parts will be ordered from inventory. Disassembled parts determined to be damaged or defective will be discarded. It is estimated that parts accounting for approximately 15 percent of the value of the used cartridges will be salvaged and reused. The remaining components used in the assembly of the remanufactured cartridges will be new parts originating in Canada and several other countries.
CBP is issuing HQ H012926 in order to revoke HQ 560768 and HQ 561412 (which reconsidered HQ 560768). HQ 560768 held that, pursuant to 19 CFR 102.11(b), the country of origin of the refurbished cartridges was the country of origin of the single material that imparts the essential character to the good, which was the used cartridge. However, in addition, this ruling determined that since direct physical identification of the commingled cartridges is not practical, the country of origin of the refurbished cartridges shall be determined by an inventory management method of the appendix to 19 CFR Part 181.
CBP has determined that no one single material imparts the essential character to the remanufactured cartridge. Therefore, 19 CFR 102.11(b) cannot be used to determine the country of origin of the remanufactured cartridges.
CBP determines that by application of 19 CFR 102.11 (d)(3) the country of origin of the remanufactured cartridge is the last country in which the good underwent production. The term "production", as defined in 19 CFR 102.1(n), includes manufacturing, processing, and assembling a good. The operations performed in Canada constitute production.
Accordingly, CBP determines that the country of origin of the remanufactured cartridge is Canada, the last country in which the good underwent production prior to entering the United States.
(See ITT's Online Archives or 08/31/07 news, 07083135, for BP summary of proposed HQ H012926.)
April 17, 2009 CBP Bulletin (Vol. 43, No. 16) available athttp://www.cbp.gov/xp/cgov/trade/legal/bulletins_decisions/bulletins_2009/