I don't think they count packing supplies as far as COI.
In terms of where jewel cases are sourced from, I assume this all falls under substantial trasnformation. Most older CDs are printed in USA or Canada, DVDs are typically printed in Mexico, USA, or Canada.
Unless you sell jewel cases individually as replacement cases, my assumption would be that when the manufacturer of a CD prints inlays+booklets in the North America, presses the CD in North America, and then houses it inside a Chinese made jewel case, that it is still considered as Made In Canada because the jewel case likely fits under substantial transformation (the person isn't buying a jewel case, they are buying an album to listen to).
If the CD was pressed in China, placed in the jewel case, but the booklet was printed in the USA, it might then fall under Made In China.
Obviously, I'm not a lawyer. So the above shouldn't be considered legal or professional advice. It's just how I would view it as someone who also sells media.
I read a recent post somewhere else where a seller was upset that they got hit with a $1000 fine from Stallion for marking a Chinese product as Made In Canada. What they sold was a build a bear where all the components were Chinese made, but they perceived it to be made in Canada because the physical bear was stuffed and assembled in a shop in Canada. They obviously were incorrect because all the primary components were made in China.
If you're super concerned, you could always ship CDs without the case, with just the inlays, booklet, and disc - but a lot of buyers don't like this, even if it saves them more on shipping than a jewel case is worth.
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https://www.trade.gov/rules-origin-substantial-transformation
Substantial Transformation Examples:
- Sugar from Country A, flour from Country B, dairy products from Country C, and nuts from Country D are taken to Country E. In Country E, these products are further manufactured into cookies. (The separate ingredients were substantially transformed into a product of Country E, in that a new type of goods resulted from processing).
- Fresh vegetables grown in various countries are taken to another country to be mixed together and frozen. (The vegetables were NOT substantially transformed into products of the country where mixing and freezing occurred, and the mixture must be labeled with the origin of each ingredient).
- Repackaging, dilution with water, and similar minor processes usually do NOT cause a substantial transformation. Assembly or disassembly may result in a substantial transformation, depending on the nature of the products involved and the complexity of the operations.
