The Country of Origin of Frozen Squid

N323498 January 20, 2022 CLA-2-03:OT:RR:NC:N2:231 CATEGORY: Origin Mr. Raffaele Natale American Shipping Co. Inc. 250 Moonachie Rd. Moonachie, NJ 07074 RE: The Country of Origin of Frozen Squid Dear Mr. Natale: In your letter dated January 4, 2022, you requested a country of origin determination on behalf of your client, Palmettos Seafood Importers LLC (Pawley’s Island, SC). You have outlined a scenario whereby whole, uncleaned, and frozen squid tube of Argentinian origin will be shipped to China. In China, the squid will be thawed, deheaded, gutted, cleaned, trimmed, soaked, quick frozen, glazed, metal detected, weighed, and packed. You seek a determination as to the proper country of origin of the above-described product. 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 to 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. As provided in section 134.41(b), Customs Regulations [19 CFR 134.41(b)], country-of-origin marking is considered conspicuous if the ultimate purchaser in the United States is able to find the marking easily and read it without strain. With regard to the permanency of a marking, section 134.41(a), Customs Regulations (19 CFR 134.41(a)), provides that as a general rule marking requirements are best met by marking worked into the article at the time of manufacture. For example, it is suggested that the country of origin on metal articles be die sunk, molded in, or etched. However, section 134.44, Customs Regulations (19 CFR 134.44), generally provides that any marking that is sufficiently permanent so that it will remain on the article until it reaches the ultimate purchaser unless deliberately removed is acceptable. Part 134, CBP Regulations (19 C.F.R. §134) implements the country of origin marking requirements of 19 U.S.C. §1304. Title 19 C.F.R. §134.1(b) defines “country of origin” as follows: [T]he country of manufacture, production, or growth of any article of foreign origin entering the United States. 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 the meaning of [the marking regulations]… A substantial transformation occurs when an article emerges from a process with a new name, character or use different from that possessed by the article prior to processing. United States v. Gibson-Thomsen Co., Inc., 27 CCPA 267, C.A.D. 98 (1940); National Hand Tool Corp. v. United States, 16 CIT 308 (1992), aff’d, 989 F. 2d 1201 (Fed. Cir. 1993). However, if the manufacturing or combining process is merely a minor one that leaves the identity of the article intact, a substantial transformation has not occurred. Uniroyal, Inc. v. United States, 3 CIT 220, 542 F. Supp. 1026, 1029 (1982), aff’d, 702 F.2d 1022 (Fed. Cir. 1983). Regarding the above-described cleaned frozen squid product, this office finds that the article is not substantially transformed due to the processing performed in China. Accordingly, based on the information presented, the squid is a product of Argentina for CBP country of origin and marking purposes. Please note that seafood is subject to the Mandatory Country of Origin Labeling (COOL) requirements administered by the USDA’s Agricultural Marketing Service (AMS). We advise you to check with that agency for their further guidance on your scenario. Contact information for AMS is as follows: USDA-AMS-LS-SAT Room 2607-S, Stop 0254 1400 Independence Avenue, SW Washington, DC 20250-0254 Tel. 202.720.4486 Website: www.ams.usda.gov/COOL Email address for inquiries: COOL@usda.gov This merchandise is subject to The Public Health Security and Bioterrorism Preparedness and Response Act of 2002 (The Bioterrorism Act), which is regulated by the Food and Drug Administration (FDA). Information on the Bioterrorism Act can be obtained by calling the FDA at 301.575.0156, or at the Web site www.fda.gov/oc/bioterrorism/bioact.html. This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177). 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 Ekeng Manczuk at ekeng.b.manczuk@cbp.dhs.gov. Sincerely, Steven A. Mack Director National Commodity Specialist Division