From M14 Rifle History and Development Third Edition by Lee Emerson copyright 2008:
"Domestication of The Chinese M14 Type Rifle – The owner of a Chinese M14 type rifle imported into the United States after November 29, 1990 may install a slotted flash suppressor with a bayonet lug in the United States if no more ten specified imported parts are in the assembled rifle and if allowed by state and local laws. If the import date or assembly date in the United States for a particular Chinese M14 cannot be solidly documented before November 30, 1990, the rifle owner should not assume it to be so in order to remain within the law. From Title 27 Code of Federal Regulations revised April 01, 2007:
Sec. 478.39 Assembly of semiautomatic rifles or shotguns.
(a) No person shall assemble a semiautomatic rifle or any shotgun using more than 10 of the imported parts listed in paragraph (c) of this section if the assembled firearm is prohibited from importation under section 925(d)(3) as not being particularly suitable for or readily adaptable to sporting purposes.
(b) The provisions of this section shall not apply to:
(1) The assembly of such rifle or shotgun for sale or distribution by a licensed manufacturer to the United States or any department or agency thereof or to any State or any department, agency, or political subdivision thereof; or
(2) The assembly of such rifle or shotgun for the purposes of testing or experimentation authorized by the Director under the provisions of Sec. 478.151; or
(3) The repair of any rifle or shotgun which had been imported into or assembled in the United States prior to November 30, 1990, or the replacement of any part of such firearm.
(c) For purposes of this section, the term imported parts are:
(1) Frames, receivers, receiver castings, forgings or stampings
(2) Barrels
(3) Barrel extensions
(4) Mounting blocks (trunions)
(5) Muzzle attachments
(6) Bolts
(7) Bolt carriers
(8) Operating rods
(9) Gas pistons
(10) Trigger housings
(11) Triggers
(12) Hammers
(13) Sears
(14) Disconnectors
(15) Butt stocks
(16) Pistol grips
(17) Forearms, hand guards
(18) Magazine bodies
(19) Followers
(20) Floor plates
Semi-automatic Chinese M14 type rifles as imported into the United States, did not have these four parts: barrel extension, mounting block (trunion), bolt carrier, and pistol grip. One possible method of installing an American made flash suppressor with a bayonet lug, where allowed by state and local law, while complying with 27 CFR 478.39, is as follows.
Leave these ten specified parts on the Chinese manufacture M14 type rifle: receiver, barrel, operating rod, trigger housing, sear, trigger, hammer, bolt, disconnector and gas piston. The U. S. Rifle M14 nomenclature does not include the term "disconnector." No part of the rifle is named "disconnector" in any of the U. S. military manuals or in any of the product (part) drawings of the M14 or M14 NM rifle technical data packages. The function of a disconnector is to release the hammer when the trigger is pulled. The disconnector is a separate part in the AK47 and the M16. In the M14, the disconnect function is performed by the top lugged portion of the trigger. After the trigger is pulled and released, the trigger lug engages the hammer hooks to prevent further firing until the trigger is subsequently pulled. The M14 trigger counts as two parts for the purpose of the above list of foreign named parts.
After checking the rifle is empty of ammunition in the chamber and in the magazine, replace these six parts in this order: 1) remove the Chinese magazine (three named parts) and never use it again in the rifle 2) remove the Chinese hand guard and stock (two named parts) 3) install a USGI hand guard and American made stock 4) remove the Chinese solid faux or bobbed flash suppressor and flash suppressor nut (one named part). This leaves ten named foreign made parts in the Chinese M14: receiver, barrel, bolt, trigger housing, hammer, trigger, sear, disconnector, operating rod, gas piston. If allowed by state and local laws, now install a USGI flash suppressor with bayonet lug and an American made flash suppressor nut. Note that an American made flash suppressor nut will work on a Chinese barrel but not vice versa. By installing an American made flash suppressor and nut on the barrel last the rifle will not even momentarily exist in a configuration that is prohibited from importation. Installing an American made flash suppressor nut on a Chinese barrel should avoid any cute accusation of it being a foreign made "muzzle attachment."
American made parts can be installed in a Chinese M14 type rifle but the U. S. owner must not install a slotted flash suppressor or a folding stock or a stock with a pistol grip with more then ten specified imported parts from the list above on the rifle. Note that parts made by Wayne Machine, Inc. (Taipei, Taiwan) for the Springfield Armory, Inc. M1A are also imported into the United States. Disclaimer: As always, local, state and federal laws and regulations are subject to change. Note that the U. S. Code of Federal Regulations is revised annually. The rifle owner or gunsmith is responsible for complying with all current local, state and federal laws and regulations."