OT:RR:NC:N5:231

Mr. Arthur Zeng
SeaPal International, Inc.
825 Watter’s Creek Boulevard
Allen, TX 75013

RE: The Country of Origin of Frozen Perch

Dear Mr. Zeng:

In your letter dated September 26, 2024, you requested a country of origin ruling. You have presented a scenario whereby Pacific Ocean Perch (Sebastes alutus) is wild caught by United States fishing vessels in Alaska, beheaded, and then gutted.  The fish is then shipped to China for processing that involves thawing, filleting, and freezing.  The finished product is skin-on, pin bone-in fillets that are exported to the United States for use on unspecified Caribbean cruise liners.

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.

The “country of origin” is defined in 19 C.F.R. § 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.”

The test for determining whether a substantial transformation will occur is whether an article emerges from a process with a new name, character or use, different from that possessed by the article prior to processing.  See Texas Instruments Inc. v. United States, 69 C.C.P.A. 151 (1982).  This determination is based on the totality of the evidence.  See National Hand Tool Corp. v. United States, 16 C.I.T. 308 (1992), aff'd, 989 F.2d 1201 (Fed. Cir. 1993).

In the present instance, the fish is harvested, beheaded, gutted, and frozen in the United States.  The fish is further processed in China (i.e., thawed and filleted), refrozen, and exported to the United States.  We find that the perch has been substantially transformed due to the processing in China, and that therefore the country of origin of the finished product is China.

The holding set forth above applies only to the specific factual situation and merchandise description as identified in the ruling request.  This position is clearly set forth in 19 C.F.R. § 177.9(b)(1).  This section states that a ruling letter is issued on the assumption that all of the information furnished in the ruling letter, whether directly, by reference, or by implication, is accurate and complete in every material respect.  If the facts are modified in any way, or if the goods do not conform to these facts at time of importation, you should bring this to the attention of U.S. Customs and Border Protection (CBP) and submit a request for a new ruling in accordance with 19 CFR 177.2.  Additionally, we note that the material facts described in the foregoing ruling may be subject to periodic verification by CBP.

This ruling is being issued under the provisions of Part 177 of the Customs and Border Protection Regulations (19 C.F.R. § 177).

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 www.fda.gov/oc/bioterrorism/bioact.html.

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 [email protected].

Sincerely,

Steven A. Mack
Director
National Commodity Specialist Division