CLA-2-03:OT:RR:NC:N2:231
Mr. Rod Flegenheimer
Flegenheimer International Inc.
227 W. Grand Avenue
El Segundo, CA 90245
RE: The Tariff Classification and Country of Origin of Frozen Squid
Dear Mr. Flegenheimer:
In your letter, dated November 11, 2022, you requested a classification and country of origin determination on behalf of your client, Seabreeze Seafood International (Diamond Bar, CA).
You have outlined a scenario in which whole, uncleaned, and frozen squid with the scientific name Uroteuthis Duvauceli (also known as the Indian Ocean Squid or Indian Squid) of Indian or Pakistan origin will be shipped to China. In China, the squid will be thawed, separated, cleaned, gutted, deboned, skinned, and graded. The squid will then be cut into tubes, tentacles, and rings, subjected to immersion cleaning, weighed, placed on trays, quick frozen, packed and shipped to the United States.
You seek a determination as to the tariff classification and country of origin of the above-described product.
The applicable subheading for the Frozen Squid (Uroteuthis Duvauceli) 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: 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 "country of origin" is defined in 19 CFR 134.1(b) as "the 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 this part. When considering a product that may be subject to antidumping, countervailing, or other safeguard measures, the substantial transformation analysis is applied to determine the country of origin. See 19 C.F.R. § 102.0; HQ 563205, dated June 28, 2006; see also Belcrest Linens v. United States, 741 F.2d 1368, 1370-71 (Fed. Cir. 1984) (finding that “the term ‘product of’ at the least includes manufactured articles of such country or area” and that substantial transformation “is essentially the test used…in determining whether an article is a manufacture of a given country”).
The courts have held that 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); Anheuser Busch Brewing Association v. The United States, 207 U.S. 556 (1908) and Uniroyal Inc. v. United States, 542 F. Supp. 1026 (1982). 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 processing that is performed in China. Accordingly, based on the information presented, the squid is a product of India or Pakistan 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: [email protected]
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 Title 19 of the Code of Federal Regulations (19 C.F.R. Part 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 questions regarding the ruling, contact National Import Specialist Ekeng Manczuk at [email protected].
Sincerely,
Steven A. Mack
Director
National Commodity Specialist Division