N026436

April 29, 2008

CLA-2-21:OT:RR:NC:N2:228

CATEGORY: Classification

TARIFF NO.: 2103.90.7400; 2103.90.7800

Ms. Tanis Johnson

Newly Weds Foods Co.

450 Superior Blvd.

Mississauga, Ontario L5T 2R9 Canada

RE: The tariff classification, country of origin marking, and status
under the North American Free Trade Agreement (NAFTA), of a food product
from Canada; Article 509

Dear Ms. Johnson:

In your letters dated April 10, April 15, and April 23, 2008, you
requested a ruling on the status of a food product from Canada under the
NAFTA.

An ingredients breakdown was submitted with your first letter and a
sample accompanied your April 15^th^ letter. The sample was examined and
disposed of. Fresh Ham Rub is a gray-colored, granular material said to
be composed of approximately 50 percent sugar, 20 percent gelatin, 10
each of starch, dextrose monohydrate, and caramel color, and less than
one percent each, of paprika, clove leaf oil, and cassia oil. It will be
imported in containers holding approximately 23 kilograms and will be
applied directly to the surface of ham, to "cure" the meat.

The sugar, dextrose monohydrate, and starch will be products of Canada.
The gelatin, caramel color, and cassia oil will be products of the
United States. The paprika will be a product of Spain and the clove leaf
oil will originate in Indonesia. In Canada, all ingredients will be
mixed in the prescribed proportions and packaged.

The applicable subheading for this product, if imported in quantities
that fall within the limits described in additional U.S. note 4 to
chapter 21, will be 2103.90.7400, Harmonized Tariff Schedule of the
United States (HTSUS), which provides for mixed condiments and mixed
seasonings described in additional U.S. note 3 to this
chapter\...described in additional U.S. note 4 to this chapter and
entered pursuant to its provisions. The rate of duty will be 7.5 percent
ad valorem . If the quantitative limits of additional U.S. note 4 to
chapter 21 have been reached, the product will be classified in
subheading 2103.90.7800 HTS, and dutiable at the rate of 30.5 cents per
kilogram plus 6.4 percent ad valorem.

Duty rates are provided for your convenience and are subject to change.
The text of the most recent HTSUS and the accompanying duty rates are
provided on World Wide Web at http://www.usitc.gov/tata/hts/.

General Note 12(b), HTSUS, sets forth the criteria for determining
whether a good is originating under the NAFTA. General Note 12(b),
HTSUS, (19 U.S.C. § 1202) states, in pertinent part, that

> For the purposes of this note, goods imported into the customs
> territory of the United States are eligible for the tariff treatment
> and quantitative limitations set forth in the tariff schedule as
> \"goods originating in the territory of a NAFTA party\" only if\--
>
> \(i\) they are goods wholly obtained or produced entirely in the
> territory of Canada, Mexico and/or the United States; or
>
> \(ii\) they have been transformed in the territory of Canada, Mexico
> and/or the United States so that\--
>
> \(A\) except as provided in subdivision (f) of this note, each of the
> non-originating materials used in the production of such goods
> undergoes a change in tariff classification described in subdivisions
> (r), (s) and (t) of this note or the rules set forth therein,...

Based on the facts provided, the product described above, when
classified in subheading 2103.90.7400, HTSUS, qualifies for NAFTA
preferential treatment, because it will meet the requirements of HTSUS
General Note 12(b)(ii)(A) and 12(t)/21.7A(A). The good will therefore be
entitled to a free rate of duty under the NAFTA upon compliance with all
applicable laws, regulations, and agreements

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.

The country of origin marking requirements for a \"good of a NAFTA
country\" are also determined in accordance with Annex 311 of the North
American Free Trade Agreement (\"NAFTA\"), as implemented by section 207
of the North American Free Trade Agreement Implementation Act (Pub. L.
103-182, 107 Stat 2057) (December 8, 1993) and the appropriate Customs
Regulations. The Marking Rules used for determining whether a good is a
good of a NAFTA country are contained in Part 102, Customs Regulations.
The marking requirements of these goods are set forth in Part 134,
Customs Regulations.

Section 134.1(b) of the regulations, defines \"country of origin\" as

the country of manufacture, production, or growth of any article of
foreign origin entering the U.S. 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 this
part; however, for a good of a NAFTA country, the NAFTA Marking Rules
will determine the country of origin. (Emphasis added).

Section 134.1(j) of the regulations, provides that the \"NAFTA Marking
Rules\" are the rules promulgated for purposes of determining whether a
good is a good of a NAFTA country. Section 134.1(g) of the regulations,
defines a \"good of a NAFTA country\" as an article for which the
country of origin is Canada, Mexico or the United States as determined
under the NAFTA Marking Rules. Section 134.45(a)(2) of the regulations,
provides that a \"good of a NAFTA country\" may be marked with the name
of the country of origin in English, French or Spanish.

Part 102 of the regulations, sets forth the \"NAFTA Marking Rules\" for
purposes of determining whether a good is a good of a NAFTA country for
marking purposes. Section 102.11 of the regulations, sets forth the
required hierarchy for determining country of origin for marking
purposes.

Applying the NAFTA Marking Rules set forth in Part 102 of the
regulations to the facts of this case, we find that the imported fresh
ham rub described above is a good of Canada for marking purposes.

This ruling is being issued under the provisions of Part 181 of the
Customs Regulations (19 C.F.R. 181).

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 Stanley Hopard at 646-733-3029.

Sincerely,

Robert B. Swierupski

Director,

National Commodity

Specialist Division