Notice of Issuance of Final Determination Concerning Certain Fixed and Portable Patient Ceiling Lift Systems, 31510-31512 [2021-12352]

Download as PDF lotter on DSK11XQN23PROD with NOTICES1 31510 Federal Register / Vol. 86, No. 112 / Monday, June 14, 2021 / Notices comment applies, and provide a reason for each suggestion or recommendation. Submitting comments. We encourage you to submit comments through the Federal Decision Making Portal at http://www.regulations.gov/. To do so, go to https://www.regulations.gov, type USCG–2019–0882 in the ‘‘SEARCH’’ box and click ‘‘SEARCH.’’ Next, look for the draft environmental impact statement in the Search Results column, and click on it. Then click on the Comment option. If your material cannot be submitted using http:// www.regulations.gov/, contact the person in the FOR FURTHER INFORMATION CONTACT section of this document for alternate instructions. The draft EIS and public comments will be available in our online docket at http:// www.regulations.gov/ and can be viewed by following that website’s instructions. Viewing material in docket. To view documents mentioned in this notice as being available in the docket, find the docket as described in the previous paragraph, and then select ‘‘Supporting & Related Material’’ in the Document Type column. Public comments will also be placed in our online docket and can be viewed by following instructions on the https://www.regulations.gov Frequently Asked Questions web page. We review all comments received, but we may choose not to post off-topic, inappropriate, or duplicate comments that we receive. Personal information. We accept anonymous comments. All substantive and relevant comments received will be posted without change to http:// www.regulations.gov/ and will include any personal information you have provided. For more information about privacy and submissions to the docket in response to this document, see DHS’s eRulemaking System of Records notice (85 FR 14226, March 11, 2020). Virtual Public Meeting. Due to the ongoing COVID–19 pandemic, the Coast Guard intends to hold a virtual public meeting to receive oral comments on this draft EIS. The meeting will be held on June 30, 2021 from 6 to 9 p.m. (Central), and can be accessed online at https://ch2m-pge.my.webex.com/ch2mpge.my/j.php?MTID=m45e9e9fb75098 9eb89f8bf260630b06c. Attendees may also join by phone. The call-in number is 1–510–338–9438 (USA toll) and the access code is 182 625 0321. The meeting is expected to last approximately 3 hours. The virtual meeting is open to the public. Those who plan to attend the meeting and wish to present substantive and relevant comments may request to do so through the online docket at VerDate Sep<11>2014 17:26 Jun 11, 2021 Jkt 253001 http://www.regulations.gov, and will be called in order of requests received. Attendees who have not previously made a request to present comments will follow those who have already submitted a request, as time permits. If a large number of persons wish to speak, the presiding officer may be required to limit the time allotted to each speaker. It is requested that one member from a group speak on behalf of that group in order to allow more views to be presented. The public meeting may end early if all present wishing to speak have done so. A transcript of the meeting will be made available for public review approximately 30 days after the meeting. All substantive and relevant comments will be incorporated into the official case record. Information on Service for Individuals with Disabilities: For information on services for individuals with disabilities or to request special assistance during the public meeting contact Mr. Rob McCaskey at the telephone number under the FOR FURTHER INFORMATION CONTACT section of this notice. This notice is issued under the authority of 5 U.S.C. 552(a) and 40 CFR 1506.6. Dated: June 8, 2021. Brian L. Dunn, Chief, U.S. Coast Guard, Office of Bridge Programs. [FR Doc. 2021–12336 Filed 6–11–21; 8:45 am] BILLING CODE 9110–04–P DEPARTMENT OF HOMELAND SECURITY U.S. Customs and Border Protection Notice of Issuance of Final Determination Concerning Certain Fixed and Portable Patient Ceiling Lift Systems U.S. Customs and Border Protection, Department of Homeland Security. ACTION: Notice of final determination. AGENCY: This document provides notice that U.S. Customs and Border Protection (CBP) has issued a final determination concerning the country of origin of certain fixed and portable patient ceiling lift systems that will be installed at a patient’s residence or healthcare setting. Based upon the facts presented, CBP has concluded in the final determination that the patient ceiling lift systems would not be products of a foreign country or instrumentality designated pursuant to SUMMARY: PO 00000 Frm 00034 Fmt 4703 Sfmt 4703 19 U.S.C. 2511(b) for purposes of U.S. Government procurement. The final determination was issued on June 4, 2021. A copy of the final determination is attached. Any party-at-interest, as defined in 19 CFR 177.22(d), may seek judicial review of this final determination no later than July 14, 2021. DATES: FOR FURTHER INFORMATION CONTACT: Albena Peters, Valuation and Special Programs Branch, Regulations and Rulings, Office of Trade, at (202) 325– 0321. Notice is hereby given that on June 4, 2021, CBP issued a final determination concerning the country of origin of fixed and portable patient ceiling lift systems for purposes of Title III of the Trade Agreements Act of 1979. This final determination, HQ H309124, was issued at the request of the party-at-interest, under procedures set forth at 19 CFR part 177, subpart B, which implements Title III of the Trade Agreements Act of 1979, as amended (19 U.S.C. 2511–18). In the final determination, CBP has concluded that, based upon the facts presented, the fixed and portable patient ceiling lift systems would not be products of a foreign country or instrumentality designated pursuant to 19 U.S.C. 2511(b) for purposes of U.S. Government procurement. Section 177.29, CBP Regulations (19 CFR 177.29), provides that a notice of final determination shall be published in the Federal Register within 60 days of the date the final determination is issued. Section 177.30, CBP Regulations (19 CFR 177.30), provides that any party-atinterest, as defined in 19 CFR 177.22(d), may seek judicial review of a final determination within 30 days of publication of such determination in the Federal Register. SUPPLEMENTARY INFORMATION: Dated: June 4, 2021. Joanne R. Stump, Acting Executive Director, Regulations and Rulings, Office of Trade. HQ H309124 June 4, 2021 OT:RR:CTF:VS H309124 AP CATEGORY: Origin Luis F. Arandia, Jr. Polsinelli PC 2950 N Harwood St., Ste. 2100 Dallas, TX 75201 RE: U.S. Government Procurement; Title III, Trade Agreements Act of 1979 (19 U.S.C. 2511); Subpart B, Part 177, CBP Regulations; Country of Origin of Fixed and Portable Patient Ceiling Lift Systems Dear Mr. Arandia: E:\FR\FM\14JNN1.SGM 14JNN1 Federal Register / Vol. 86, No. 112 / Monday, June 14, 2021 / Notices This is in response to your February 4, 2020 request,1 on behalf of Handicare USA, for a final determination concerning the country of origin of patient ceiling lift systems. This request is being sought because your client wants to confirm eligibility of the merchandise for U.S. government procurement purposes under Title III of the Trade Agreements Act of 1979 (‘‘TAA’’), as amended (19 U.S.C. 2511 et seq.). Handicare USA is a party-at-interest within the meaning of 19 CFR 177.22(d)(1) and 177.23(a). lotter on DSK11XQN23PROD with NOTICES1 Facts Handicare USA is the U.S. subsidiary of the Handicare Group AB based in Stockholm, Sweden, which manufactures patient ceiling lift systems.2 Handicare USA’s North American headquarters and manufacturing facility is in St. Louis, Missouri with local offices across the U.S. and Canada. These offices are full-service centers that include inventory, customer service, technical support, sales, and a showroom. You describe the subject patient ceiling lift systems as consisting of a ceiling lift unit mounted on a XY rail system. Each ceiling lift system is assembled and installed at a patient’s residence or healthcare setting. The ceiling systems can be fixed (model C–625) or portable (model P–440). The fixed lift remains on the same track system and cannot be moved to another room. For the portable system, the lift is designed to be taken down from the track system and moved to a different track system in another room. The major components of the fixed and portable ceiling lift systems are the regular and super tracks, charging station subassembly, gantry subassembly, ceiling lift motor subassembly, and patient carry bar subassembly. The regular and super tracks 3 of Canadian or Mexican origin are subcomponents of the entire system and are imported with no additional assembly. The charging station of U.S. origin consists of a charging battery, housing, and cables. The gantry of U.S. origin consists of trolley wheels, track brackets, fasteners, washers, and spacers, and may include a charger block. The carry bar of Chinese or Canadian origin is fitted with bull horn or spring latch connectors, and narrow or wide bars. You describe the ceiling lift motor subassembly as ‘‘the heart’’ of the entire lift system and as U.S.-originating. It consists of the ceiling lift motor, circuit board, and housing. The portable ceiling lift motor subassembly (model P–440) has a U.S. originating motor and circuit board. The fixed ceiling lift motor subassembly (model C–625) has a U.K.originating motor and U.S.-originating board. The hardware components are the aboveceiling attachments that comprise the mounting for the patient lift system and include the perpendicular brace strut channel (U.S. or Taiwanese origin), bracket (Canadian or Mexican origin), end pin 1 You submitted a supplemental letter on February 26, 2020. 2 See Handicare, Ceiling Lifts, https:// www.handicareusa.com/product-category/ homecare/ceiling-lifts/ (last visited May 17, 2021). 3 The regular track is the standard rail for most applications while the super track is a heavier rail for longer free spans between attachment points. VerDate Sep<11>2014 17:26 Jun 11, 2021 Jkt 253001 (Chinese origin), end cap (Canadian or Mexican origin), strut channel (U.S. or Taiwanese origin), and bolt, lock washer, threaded rod, hex nut, fitting, lock washer, channel nut, coupler nut, seismic wedge anchor, and square washer (originating from various countries including China). The charging station, gantry, and ceiling lift motor subassemblies occurs in Handicare USA’s manufacturing facility in St. Louis. At the customer installation site, Handicare USA modifies the tracks and assembles them with the charging station, gantry, ceiling lift motor, and carry bar subassemblies into the patient ceiling lift system. The installation process involves measuring and laying out where the tracks and the attachment points to concrete deck and ceiling brackets should go; installing the structure and the parallel tracks; installing the traversing track, trolley and lift; and testing and verification. The installation includes machine processes such as cutting struts using a band saw, cutting a threaded rod, and drilling into a ceiling. Issue What is the country of origin of the subject patient lift systems for purposes of U.S. Government procurement? Law and Analysis U.S. Customs and Border Protection (‘‘CBP’’) issues country of origin advisory rulings and final determinations as to whether an article is or would be a product of a designated country or instrumentality for the purposes of granting waivers of certain ‘‘Buy American’’ restrictions in U.S. law or practice for products offered for sale to the U.S. Government, pursuant to subpart B of Part 177, 19 CFR 177.21–177.31, which implements Title III of the TAA, as amended (19 U.S.C. 2511–2518). CBP’s authority to issue advisory rulings and final determinations is set forth in 19 U.S.C. 2515(b)(1), which states: For the purposes of this subchapter, the Secretary of the Treasury shall provide for the prompt issuance of advisory rulings and final determinations on whether, under section 2518(4)(B) of this title, an article is or would be a product of a foreign country or instrumentality designated pursuant to section 2511(b) of this title. The rule of origin set forth under 19 U.S.C. 2518(4)(B) states: An article is a product of a country or instrumentality only if (i) it is wholly the growth, product, or manufacture of that country or instrumentality, or (ii) in the case of an article which consists in whole or in part of materials from another country or instrumentality, it has been substantially transformed into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was so transformed. In rendering advisory rulings and final determinations for purposes of U.S. Government procurement, CBP applies the provisions of subpart B of Part 177 consistent with the Federal Procurement Regulations. See 19 CFR 177.21. In this regard, CBP recognizes that the Federal Acquisition Regulations restrict the U.S. Government’s purchase of products to U.S.-made or PO 00000 Frm 00035 Fmt 4703 Sfmt 4703 31511 designated country end products for acquisitions subject to the TAA. See 48 CFR 25.403(c)(1). The Federal Acquisition Regulations, 48 CFR 25.003, define ‘‘U.S.-made end product’’ as: . . . an article that is mined, produced, or manufactured in the United States or that is substantially transformed in the United States into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. Section 25.003 defines ‘‘designated country end product’’ as: a WTO GPA [World Trade Organization Government Procurement Agreement] country end product, an FTA [Free Trade Agreement] country end product, a least developed country end product, or a Caribbean Basin country end product. Section 25.003 defines ‘‘WTO GPA country end product’’ as an article that: (1) Is wholly the growth, product, or manufacture of a WTO GPA country; or (2) In the case of an article that consists in whole or in part of materials from another country, has been substantially transformed in a WTO GPA country into a new and different article of commerce with a name, character, or use distinct from that of the article or articles from which it was transformed. The term refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the end product includes services (except transportation services) incidental to the article, provided that the value of those incidental services does not exceed that of the article itself. Canada and the U.K. are WTO GPA countries. China and Mexico are not. You advise that the lift motor, charging station, and gantry are of U.S. origin and are sub-assembled in the U.S. The key components of the lift motor, which is the most important subassembly characterized as ‘‘the heart’’ of the patient lift systems, are the motor and circuit board. The motor is of U.S. (portable lift) or U.K. origin (fixed lift), and the board is of U.S. origin (both fixed and portable lifts). The final assembly in the U.S. fully integrates the subassemblies, the tracks, and the above-ceiling attachments. The U.S. installation involves cutting struts using a band saw and cutting a threaded rod. The U.S. operations as described are complex and meaningful requiring significant skill, technical expertise, and quality control. As a result of the U.S. operations, the subassemblies are substantially transformed to produce the fully functional and operational fixed and portable patient lift systems. Accordingly, the instant fixed and portable patient lift systems would not be products of a foreign country or instrumentality designated pursuant to 19 U.S.C. 2511(b)(1). As to whether they qualify as ‘‘U.S.-made end product,’’ we encourage you to review the court decision in Acetris Health, LLC v. United States, 949 F.3d 719 (Fed. Cir. 2020), and to consult with the relevant government procuring agency. E:\FR\FM\14JNN1.SGM 14JNN1 31512 Federal Register / Vol. 86, No. 112 / Monday, June 14, 2021 / Notices Holding The subject fixed and portable patient lift systems would not be products of a foreign country or instrumentality designated pursuant to 19 U.S.C. 2511(b)(1). You should consult with the relevant government procuring agency to determine whether the lifts qualify as ‘‘U.S.-made end product’’ for purposes of the Federal Acquisition Regulations implementing the TAA. Notice of this final determination will be given in the Federal Register, as required by 19 CFR 177.29. Any party-at-interest other than the party which requested this final determination may request pursuant to 19 CFR 177.31 that CBP reexamine the matter anew and issue a new final determination. Pursuant to 19 CFR 177.30, any party-atinterest may, within 30 days of publication of the Federal Register Notice referenced above, seek judicial review of this final determination before the Court of International Trade. Sincerely, Joanne R. Stump, Acting Executive Director, Regulations and Rulings, Office of Trade [FR Doc. 2021–12352 Filed 6–11–21; 8:45 am] BILLING CODE 9111–14–P DEPARTMENT OF HOMELAND SECURITY Transportation Security Administration [Docket No. TSA–2020–0001] Announcing Opportunity To Become a Secured Packing Facility Transportation Security Administration, Department of Homeland Security (DHS). ACTION: Notice. AGENCY: The Transportation Security Administration (TSA) is announcing the opportunity for manufacturers, shippers, suppliers, warehouses, vendors, e-commerce fulfillment centers, and third-party logistics providers in the air cargo supply chain to become a Secured Packing Facility (SPF). SPFs must apply security controls to secure cargo that moves through the supply chain destined for outbound international locations onboard all-cargo aircraft subject to TSA regulatory oversight. As a prerequisite to becoming an SPF, interested persons must first become an Indirect Air Carrier (IAC) regulated by TSA and agree to adopt the TSA’s SPF Order. If these requirements are met, cargo appropriately transferred to a TSAregulated all-cargo aircraft operator by an SPF would not need to be screened in order to meet international requirements that take effect on June 30, 2021. This notice is being published to lotter on DSK11XQN23PROD with NOTICES1 SUMMARY: VerDate Sep<11>2014 17:26 Jun 11, 2021 Jkt 253001 ensure all interested persons are aware of the opportunity to become an SPF. DATES: TSA will accept applications from IACs to become an SPF beginning at 12:01 a.m. (EDT) on June 14, 2021. ADDRESSES: Interested persons can contact https://iac.tsa.dhs.gov/iac/ contactUs.go to obtain a copy of the information contained in this notice. FOR FURTHER INFORMATION CONTACT: Ronoy Varghese, Transportation Security Administration, 6595 Springfield Center Drive, Springfield, VA 20598; telephone (571) 227–3555; email ronoy.varghese@tsa.dhs.gov. SUPPLEMENTARY INFORMATION: I. Background A. International Civil Aviation Organization (ICAO) Security Standards TSA developed the SPF program to provide an option for the air cargo industry to mitigate the cost of compliance with a TSA requirement that takes effect on June 30, 2021. This requirement will meet ICAO standards and recommended practices issued by ICAO under Annex 17. Under the new standard, ICAO member states 1 must ensure that all international outbound air cargo transported on commercial aircraft is either (1) screened to a level intended to identify and/or detect the presence of concealed explosive devices or (2) transported under appropriate security controls throughout the cargo supply chain to prevent the introduction of concealed explosive devices. A more complete discussion of ICAO and these requirements can be found in the Request for Information that TSA published in 2020.2 B. United States Requirements for Screening of Air Cargo TSA is statutorily required to ensure the adequacy of security measures for the transportation of air cargo.3 TSA developed the Certified Cargo Screening Program to provide additional means of compliance with the requirements for air cargo transported on passenger aircraft.4 In addition, TSA developed the Third-Party Canine-Cargo program as an effective and efficient means for screening cargo transported on 1 ICAO was established under the Convention on International Civil Aviation, also known as the Chicago Convention, as a specialized agency of the United Nations Economic and Social Council. Member states collaborate to implement and comply with ICAO security standards and recommended practices, and must send official notice to ICAO whenever their domestic regulatory framework differs from an established ICAO Standard. 2 See 85 FR 20234 (April 10, 2020). 3 See 49 U.S.C. 114(f)(10) and 44901(g). 4 See 49 CFR part 1549. PO 00000 Frm 00036 Fmt 4703 Sfmt 4703 passenger or all-cargo aircraft. TSA also recognizes Shipper Certified Cargo Screening Facilities (CCSFs.) Shipper CCSFs are manufacturers who apply the security controls required for CCSFs at the manufacturing and original packaging level, and then directly transfers the cargo to an aircraft operator without the necessity of additional screening. Currently, the medical and pharmaceutical manufacturers have taken advantage of the Shipper CCSFs. Cargo tendered by a Shipper CCSF may be transported on any commercial aircraft. Because of these requirements and programs, TSA already complies with the ICAO requirements as applied to cargo transported by aircraft operators and foreign air carriers engaged in commercial passenger transportation and has provided options available to support screening by all-cargo operators.5 C. Indirect Air Carriers TSA’s regulations define an IAC as ‘‘any person or entity within the United States not in possession of [a Federal Aviation Administration] air carrier operating certificate, that undertakes to engage indirectly in air transportation of property, and that uses for all or any part of such transportation the services of an air carrier.’’ 6 TSA estimates that there are approximately 3,200 entities in the United States operating as IACs, ranging from sole proprietors working out of their homes to large corporations. Under 49 CFR 1548.5, each IAC must adopt and carry out a TSA-approved security program. This program must be renewed each year.7 TSA Principal Security Inspectors (PSIs) are responsible for the security program application process and for approval of IAC certifications. D. Secured Packing Facilities Through this notice, TSA is announcing the opportunity for entities within the air cargo supply chain to become SPFs. TSA developed the concept of the SPF to provide an 5 TSA’s regulations require certain commercial aircraft operators and foreign carriers to operate under a TSA approved or accepted security program. TSA provides standard, or pre-approved programs, that covered aircraft operators and foreign air carriers may adopt to expedite the review process and reduce the burden for regulated parties. There are separate security programs that reflect differences among the industry, such as passenger or cargo and U.S. or foreign-based. TSA also has standard programs for operations that support the aviation industry, such as Indirect Air Carriers and Certified Cargo Screening Facilities. TSA’s current security programs for cargo transported on passenger aircraft include measures that meet the Chicago Convention’s standards. 6 See 49 CFR 1540.5. 7 See 49 CFR 1548.7(b). E:\FR\FM\14JNN1.SGM 14JNN1

Agencies

[Federal Register Volume 86, Number 112 (Monday, June 14, 2021)]
[Notices]
[Pages 31510-31512]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-12352]


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DEPARTMENT OF HOMELAND SECURITY

U.S. Customs and Border Protection


Notice of Issuance of Final Determination Concerning Certain 
Fixed and Portable Patient Ceiling Lift Systems

AGENCY: U.S. Customs and Border Protection, Department of Homeland 
Security.

ACTION: Notice of final determination.

-----------------------------------------------------------------------

SUMMARY: This document provides notice that U.S. Customs and Border 
Protection (CBP) has issued a final determination concerning the 
country of origin of certain fixed and portable patient ceiling lift 
systems that will be installed at a patient's residence or healthcare 
setting. Based upon the facts presented, CBP has concluded in the final 
determination that the patient ceiling lift systems would not be 
products of a foreign country or instrumentality designated pursuant to 
19 U.S.C. 2511(b) for purposes of U.S. Government procurement.

DATES: The final determination was issued on June 4, 2021. A copy of 
the final determination is attached. Any party-at-interest, as defined 
in 19 CFR 177.22(d), may seek judicial review of this final 
determination no later than July 14, 2021.

FOR FURTHER INFORMATION CONTACT: Albena Peters, Valuation and Special 
Programs Branch, Regulations and Rulings, Office of Trade, at (202) 
325-0321.

SUPPLEMENTARY INFORMATION: Notice is hereby given that on June 4, 2021, 
CBP issued a final determination concerning the country of origin of 
fixed and portable patient ceiling lift systems for purposes of Title 
III of the Trade Agreements Act of 1979. This final determination, HQ 
H309124, was issued at the request of the party-at-interest, under 
procedures set forth at 19 CFR part 177, subpart B, which implements 
Title III of the Trade Agreements Act of 1979, as amended (19 U.S.C. 
2511-18). In the final determination, CBP has concluded that, based 
upon the facts presented, the fixed and portable patient ceiling lift 
systems would not be products of a foreign country or instrumentality 
designated pursuant to 19 U.S.C. 2511(b) for purposes of U.S. 
Government procurement. Section 177.29, CBP Regulations (19 CFR 
177.29), provides that a notice of final determination shall be 
published in the Federal Register within 60 days of the date the final 
determination is issued. Section 177.30, CBP Regulations (19 CFR 
177.30), provides that any party-at-interest, as defined in 19 CFR 
177.22(d), may seek judicial review of a final determination within 30 
days of publication of such determination in the Federal Register.

    Dated: June 4, 2021.
Joanne R. Stump,
Acting Executive Director, Regulations and Rulings, Office of Trade.

HQ H309124

June 4, 2021

OT:RR:CTF:VS H309124 AP

CATEGORY: Origin

Luis F. Arandia, Jr.
Polsinelli PC
2950 N Harwood St., Ste. 2100
Dallas, TX 75201

RE: U.S. Government Procurement; Title III, Trade Agreements Act of 
1979 (19 U.S.C. 2511); Subpart B, Part 177, CBP Regulations; Country 
of Origin of Fixed and Portable Patient Ceiling Lift Systems

Dear Mr. Arandia:


[[Page 31511]]


    This is in response to your February 4, 2020 request,\1\ on 
behalf of Handicare USA, for a final determination concerning the 
country of origin of patient ceiling lift systems. This request is 
being sought because your client wants to confirm eligibility of the 
merchandise for U.S. government procurement purposes under Title III 
of the Trade Agreements Act of 1979 (``TAA''), as amended (19 U.S.C. 
2511 et seq.). Handicare USA is a party-at-interest within the 
meaning of 19 CFR 177.22(d)(1) and 177.23(a).
---------------------------------------------------------------------------

    \1\ You submitted a supplemental letter on February 26, 2020.
---------------------------------------------------------------------------

Facts

    Handicare USA is the U.S. subsidiary of the Handicare Group AB 
based in Stockholm, Sweden, which manufactures patient ceiling lift 
systems.\2\ Handicare USA's North American headquarters and 
manufacturing facility is in St. Louis, Missouri with local offices 
across the U.S. and Canada. These offices are full-service centers 
that include inventory, customer service, technical support, sales, 
and a showroom.
---------------------------------------------------------------------------

    \2\ See Handicare, Ceiling Lifts, https://www.handicareusa.com/product-category/homecare/ceiling-lifts/ (last visited May 17, 
2021).
---------------------------------------------------------------------------

    You describe the subject patient ceiling lift systems as 
consisting of a ceiling lift unit mounted on a XY rail system. Each 
ceiling lift system is assembled and installed at a patient's 
residence or healthcare setting. The ceiling systems can be fixed 
(model C-625) or portable (model P-440). The fixed lift remains on 
the same track system and cannot be moved to another room. For the 
portable system, the lift is designed to be taken down from the 
track system and moved to a different track system in another room.
    The major components of the fixed and portable ceiling lift 
systems are the regular and super tracks, charging station 
subassembly, gantry subassembly, ceiling lift motor subassembly, and 
patient carry bar subassembly. The regular and super tracks \3\ of 
Canadian or Mexican origin are sub-components of the entire system 
and are imported with no additional assembly. The charging station 
of U.S. origin consists of a charging battery, housing, and cables. 
The gantry of U.S. origin consists of trolley wheels, track 
brackets, fasteners, washers, and spacers, and may include a charger 
block. The carry bar of Chinese or Canadian origin is fitted with 
bull horn or spring latch connectors, and narrow or wide bars. You 
describe the ceiling lift motor subassembly as ``the heart'' of the 
entire lift system and as U.S.-originating. It consists of the 
ceiling lift motor, circuit board, and housing. The portable ceiling 
lift motor subassembly (model P-440) has a U.S. originating motor 
and circuit board. The fixed ceiling lift motor subassembly (model 
C-625) has a U.K.-originating motor and U.S.-originating board.
---------------------------------------------------------------------------

    \3\ The regular track is the standard rail for most applications 
while the super track is a heavier rail for longer free spans 
between attachment points.
---------------------------------------------------------------------------

    The hardware components are the above-ceiling attachments that 
comprise the mounting for the patient lift system and include the 
perpendicular brace strut channel (U.S. or Taiwanese origin), 
bracket (Canadian or Mexican origin), end pin (Chinese origin), end 
cap (Canadian or Mexican origin), strut channel (U.S. or Taiwanese 
origin), and bolt, lock washer, threaded rod, hex nut, fitting, lock 
washer, channel nut, coupler nut, seismic wedge anchor, and square 
washer (originating from various countries including China).
    The charging station, gantry, and ceiling lift motor 
subassemblies occurs in Handicare USA's manufacturing facility in 
St. Louis. At the customer installation site, Handicare USA modifies 
the tracks and assembles them with the charging station, gantry, 
ceiling lift motor, and carry bar subassemblies into the patient 
ceiling lift system. The installation process involves measuring and 
laying out where the tracks and the attachment points to concrete 
deck and ceiling brackets should go; installing the structure and 
the parallel tracks; installing the traversing track, trolley and 
lift; and testing and verification. The installation includes 
machine processes such as cutting struts using a band saw, cutting a 
threaded rod, and drilling into a ceiling.

Issue

    What is the country of origin of the subject patient lift 
systems for purposes of U.S. Government procurement?

Law and Analysis

    U.S. Customs and Border Protection (``CBP'') issues country of 
origin advisory rulings and final determinations as to whether an 
article is or would be a product of a designated country or 
instrumentality for the purposes of granting waivers of certain 
``Buy American'' restrictions in U.S. law or practice for products 
offered for sale to the U.S. Government, pursuant to subpart B of 
Part 177, 19 CFR 177.21-177.31, which implements Title III of the 
TAA, as amended (19 U.S.C. 2511-2518).
    CBP's authority to issue advisory rulings and final 
determinations is set forth in 19 U.S.C. 2515(b)(1), which states:
    For the purposes of this subchapter, the Secretary of the 
Treasury shall provide for the prompt issuance of advisory rulings 
and final determinations on whether, under section 2518(4)(B) of 
this title, an article is or would be a product of a foreign country 
or instrumentality designated pursuant to section 2511(b) of this 
title.
    The rule of origin set forth under 19 U.S.C. 2518(4)(B) states:
    An article is a product of a country or instrumentality only if 
(i) it is wholly the growth, product, or manufacture of that country 
or instrumentality, or (ii) in the case of an article which consists 
in whole or in part of materials from another country or 
instrumentality, it has been substantially transformed into a new 
and different article of commerce with a name, character, or use 
distinct from that of the article or articles from which it was so 
transformed.
    In rendering advisory rulings and final determinations for 
purposes of U.S. Government procurement, CBP applies the provisions 
of subpart B of Part 177 consistent with the Federal Procurement 
Regulations. See 19 CFR 177.21. In this regard, CBP recognizes that 
the Federal Acquisition Regulations restrict the U.S. Government's 
purchase of products to U.S.-made or designated country end products 
for acquisitions subject to the TAA. See 48 CFR 25.403(c)(1).
    The Federal Acquisition Regulations, 48 CFR 25.003, define 
``U.S.-made end product'' as:

. . . an article that is mined, produced, or manufactured in the 
United States or that is substantially transformed in the United 
States into a new and different article of commerce with a name, 
character, or use distinct from that of the article or articles from 
which it was transformed.

    Section 25.003 defines ``designated country end product'' as:

a WTO GPA [World Trade Organization Government Procurement 
Agreement] country end product, an FTA [Free Trade Agreement] 
country end product, a least developed country end product, or a 
Caribbean Basin country end product. Section 25.003 defines ``WTO 
GPA country end product'' as an article that:
    (1) Is wholly the growth, product, or manufacture of a WTO GPA 
country; or
    (2) In the case of an article that consists in whole or in part 
of materials from another country, has been substantially 
transformed in a WTO GPA country into a new and different article of 
commerce with a name, character, or use distinct from that of the 
article or articles from which it was transformed. The term refers 
to a product offered for purchase under a supply contract, but for 
purposes of calculating the value of the end product includes 
services (except transportation services) incidental to the article, 
provided that the value of those incidental services does not exceed 
that of the article itself.
    Canada and the U.K. are WTO GPA countries. China and Mexico are 
not.
    You advise that the lift motor, charging station, and gantry are 
of U.S. origin and are sub-assembled in the U.S. The key components 
of the lift motor, which is the most important subassembly 
characterized as ``the heart'' of the patient lift systems, are the 
motor and circuit board. The motor is of U.S. (portable lift) or 
U.K. origin (fixed lift), and the board is of U.S. origin (both 
fixed and portable lifts). The final assembly in the U.S. fully 
integrates the subassemblies, the tracks, and the above-ceiling 
attachments. The U.S. installation involves cutting struts using a 
band saw and cutting a threaded rod. The U.S. operations as 
described are complex and meaningful requiring significant skill, 
technical expertise, and quality control. As a result of the U.S. 
operations, the subassemblies are substantially transformed to 
produce the fully functional and operational fixed and portable 
patient lift systems.
    Accordingly, the instant fixed and portable patient lift systems 
would not be products of a foreign country or instrumentality 
designated pursuant to 19 U.S.C. 2511(b)(1). As to whether they 
qualify as ``U.S.-made end product,'' we encourage you to review the 
court decision in Acetris Health, LLC v. United States, 949 F.3d 719 
(Fed. Cir. 2020), and to consult with the relevant government 
procuring agency.

[[Page 31512]]

Holding

    The subject fixed and portable patient lift systems would not be 
products of a foreign country or instrumentality designated pursuant 
to 19 U.S.C. 2511(b)(1). You should consult with the relevant 
government procuring agency to determine whether the lifts qualify 
as ``U.S.-made end product'' for purposes of the Federal Acquisition 
Regulations implementing the TAA.
    Notice of this final determination will be given in the Federal 
Register, as required by 19 CFR 177.29. Any party-at-interest other 
than the party which requested this final determination may request 
pursuant to 19 CFR 177.31 that CBP reexamine the matter anew and 
issue a new final determination. Pursuant to 19 CFR 177.30, any 
party-at-interest may, within 30 days of publication of the Federal 
Register Notice referenced above, seek judicial review of this final 
determination before the Court of International Trade.

Sincerely,

Joanne R. Stump,

Acting Executive Director, Regulations and Rulings, Office of Trade

[FR Doc. 2021-12352 Filed 6-11-21; 8:45 am]
BILLING CODE 9111-14-P