N317233

N317233 February 1, 2021 CLA-2-16:OT:RR:NC:N2:231 CATEGORY: Classification, Origin TARIFF NO.: 0307.43.0029 Mr. Rod Flegenheimer Flegenheimer International Inc. 227 W. Grand Avenue El Segundo, CA 90245 RE: The tariff classification and origin of Frozen Squid. Correction to Ruling Number N315965 Dear Mr. Flegenheimer: This ruling replaces N315965, dated December 17, 2020, which contained a clerical error. The issued ruling letter inadvertently contained U.S. Note 20 language pertaining to Section 301 of the U.S. Trade Act of 1974. The country of origin of the product at issue was determined to be New Zealand rather than China and therefore, that language does not apply. A complete corrected ruling follows. In your letter dated November 12, 2020, you requested a tariff classification ruling and country of origin determination on behalf of your client, Sea Relation, Inc. (Walnut, CA). You have outlined a scenario whereby whole, uncleaned frozen squid (Nototodarus Sloanii, also known as New Zealand arrow squid or Wellington flying squid) of New Zealand-origin will be shipped from New Zealand to China. In China, the squid is defrosted, gutted, and the head, tentacles, skin, eyes and wings are removed. The product is cleaned with unspecified additives then cut into flowers, rings and strips then washed before it is graded, quick-frozen, weighed, glazed and packed. You seek a determination as to the proper tariff classification and country of origin of the above-described product for marking purposes. The applicable subheading for the Frozen Squid (Nototodarus Sloanii) will be 0307.43.0029, Harmonized Tariff Schedule of the United States (HTSUS), which provides for: “Molluscs, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine; smoked molluscs, whether in shell or not, whether or not cooked before or during the smoking process; flours, meals and pellets of molluscs, fit for human consumption: Cuttlefish and squid: Frozen squid: Other: Other.” The rate of duty will be Free. Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on the World Wide Web at https://hts.usitc.gov/current. 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 U.S. 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 U.S. 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)), the country of origin marking is considered conspicuous if the ultimate purchaser in the U.S. 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. 19 C.F.R. §134.1(b) defines “country of origin” as: [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). In the case of the above-described cleaned frozen squid, this office finds that the article is not substantially transformed due to the processing in China. Accordingly, based on the information presented, the squid is a product of New Zealand for CBP 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