N352763

N352763 September 5, 2025 OT:RR:NC:N4:410 CATEGORY: USMCA, Origin John Xie Obert, Inc. 30134 Avenida Classica Rancho Palos Verdes, CA 30134 RE: The Country of origin, and eligibility of the United States-Mexico Canada Agreement (USMCA) of LED tube lights from Mexico Dear Mr. Xie: This is in response to your letter dated August 22, 2025, your request a United States-Mexico-Canada Agreement (USMCA) eligibility for preferential treatment and country of origin determination for marking purposes and Section 301 applicability for LED tube lights. The merchandise under consideration is identified as the Obert’s LED tube lights, which are 15-Watt linear lamps designed to replace traditional fluorescent tube lights. The LED tube lights are of two diameters: T8 LED tubes (1 inch diameter) 4 feet long and T5 LED tube (5/8-inch diameter) 4 feet long. The LED tube lights are comprised of LED drivers/PCBs placed in the two end caps of the lamp which electrically connect with the light source/the LED module. The LED module is a circuit board (flexible or hard) placed inside the lamp tube with light sources/LEDs mounted on the circuit board. There are two working modes for each of Obert’s LED tube lights and the two drivers in the two end caps facilitate the two working modes. Obert’s LED tube lights can function in either a single-ended mode or double-ended mode, which means that any single Obert’s LED tube light can be powered from either one end or two ends depending on the setting of the sockets. When they are powered at one end (single-ended mode), the electrical current does not pass through the second PCB. The second PCB functions when the LED tube lights are powered at two ends (double-ended mode). This design enlarges the scope of use and increases the adaptability of Obert’s LED tube lights to the sockets. The applicable subheading for the LED tube lights will be 8539.52.0051, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Electrical filament or discharge lamps, including sealed beam lamp units and ultraviolet or infrared lamps; arc lamps; light-emitting diode (LED) light sources; parts thereof: Light-emitting diode (LED) light sources: Light-emitting diode (LED) lamps: Straight linear tubes or U-shaped tubes”. The rate of duty will be 2 percent ad valorem. Effective March 4, 2025, pursuant to U.S. Note 2(u) to Subchapter III, Chapter 99, all products of China and Hong Kong as provided by heading 9903.01.24, HTSUS, other than products classifiable under headings 9903.01.21, 9903.01.22, and 9903.01.23, HTSUS, will be subject to an additional 20 percent ad valorem rate of duty. At the time of entry, you must report the applicable Chapter 99 heading, i.e. 9903.01.24, in addition to subheading 8539.52.0051, HTSUS, listed above. Effective April 5, 2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must be reported with either the Chapter 99 provision under which the reciprocal tariff applies or one of the Chapter 99 provisions covering exceptions to the reciprocal tariffs. At this time, products of China, Hong Kong, and Macau will be subject to an additional ad valorem rate of duty of 10 percent. At the time of entry, you must report the Chapter 99 heading applicable to your product classification, i.e. 9903.01.25, in addition to subheading 8539.52.0051, HTSUS, listed above. The HTSUS is subject to periodic amendment so you should exercise reasonable care in monitoring the status of goods covered by the Note cited above and the applicable Chapter 99 subheading. For background information regarding the trade remedy initiated pursuant to Section 301 of the Trade Act of 1974, you may refer to the relevant parts of the USTR and CBP websites, which are available at https://ustr.gov/issue-areas/enforcement/section-301-investigations/tariff-actions and https://www.cbp.gov/trade/remedies/301-certain-products-china respectively. You present a manufacturing process scenario of the LED tube lights in Mexico, where the factory will produce certain components, and assembled them with the Chinese-originating components to fabricate the finished LED tube lights. Details of the manufacturing process are described as follows: The manufacturing process in Mexico starts with the production of the LED module (light source). The unfinished flexible printed circuit (FPC) is imported from China. The FPC mechanically supports and electrically connects electronic components and/or electrical components using conductive tracks, pads, and other features etched from one layer of copper laminated onto and/or between sheets of non-conductive substrate. A protective layer (solder mask) is applied to the FPC. These FPCs are placed into the board loading machine to begin the light source production in Mexico. All of this FPC construction work is performed in Mexico, which includes paint solder paste, surface mounting components, and light up test. The product of the driver, also in Mexico, where the unpopulated PCB, known as NEMA grade FR4, is placed into the circuit board loading machine. A stencil is applied to the unpopulated PCB and then painted with high temperature vulcanizing silicone (HTV); the holes of the stencil allow the HTV to be applied between the surface mount devices (SMD components) where the SMD components will be connected. At the completion of the driver SMT line, the unfinished driver SMT is collected and stored awaiting introduction into the driver DIP Line. Next, in the driver DIP line, the larger, board-level components, which cannot be placed on the PCB by SMT, are added using dual inline packaging (DIP), also known as Through-Hole Technology. These components are not resistant to high temperatures. In Mexico, the unfinished driver after SMT is removed from storage and placed into the DIP plug-in machine which automatically inserts various electronic components to the unfinished PCBA. This process involves wave soldering, and then testing with the automated test equipment. Finally in the main production line, the completed light source sheets are robotically cut to a specified length into light board in Mexico. The light boards for the LED tube lights are robotically lifted and placed onto an intermediate plate with designated spacing between each board, followed by the operations of applying RTV (Room Temperature Vulcanizing Silicone) adhesive, installing FPC light Boards into the glass tube, slitting the finished driver PCB sheet (cut into individual drivers), soldering conducting lines to the driver, inserting the driver into the end caps, connecting the driver and the light board through high-frequency soldering, high-frequency heating, lighting testing and labeling. Regarding the LED module’s eligibility for preferential treatment, the USMCA was signed by the Governments of the United States, Mexico, and Canada on November 30, 2018, and approved by the U.S. Congress with the enactment on January 29, 2020, of the USMCA Implementation Act. General Note (GN) 11 of the HTSUS implements the USMCA. GN 11(b) sets forth the criteria for determining whether a good is an originating good for purposes of the USMCA. GN 11(b) states: For the purposes of this note, a good imported into the customs territory of the United States from the territory of a USMCA country, as defined in subdivision (l) of this note, is eligible for the preferential tariff treatment provided for in the applicable subheading and quantitative limitations set forth in the tariff schedule as a “good originating in the territory of a USMCA country” only if – (i) the good is a good wholly obtained or produced entirely in the territory of one or more USMCA countries; (ii) the good is a good produced entirely in the territory of one or more USMCA countries, exclusively from originating materials; (iii) the good is a good produced entirely in the territory of one or more USMCA countries using nonoriginating materials, if the good satisfies all appl

and Certification when no Tariff Change Rule (TCR)” states that “tariff-shift origination analysis should classify the good and its materials using the most recent HTSUS in which the tariff item has a corresponding TCR and perform the origination analysis using that year’s HTSUS.” Per the above, we found that the corresponding subheading for the subject LED modules enumerated within the 2012 HTSUS would be 8543.70, HTSUS. As such, we look to the applicable tariff shift rule for merchandise classifiable under subheading 8543.70, HTSUS, in GN 11(o), HTSUS, which provides, in relevant part: A change to subheading 8543.70 from any other subheading, except from “smart” cards, other than those containing a single integrated circuit, of subheading 8523.59. 

Based upon the information provided, all non-originating parts included in the manufacture of the finished module are classified outside of subheading 8543.70, HTSUS. As such, the finished modules are considered originating goods under the USMCA and eligible for preferential treatment. 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 United States 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 United States the English name of the country of origin of the article. Part 134 of the U.S. Customs and Border Protection (“CBP”) Regulations (19 C.F.R. Part 134) implements the country of origin marking requirements and exceptions of 19 U.S.C. § 1304. Pursuant to 19 C.F.R Section 102.0, interim regulations, related to the marking rules, tariff-rate quotas, and other USMCA provisions, published in the Federal Register on July 6, 2021 (86 FR 35566), the rules set forth in §§ 102.1 through 102.18 and 102.20 determine the country of origin for