CLA-2-16:OT:RR:NC:N5:231
Byung Wan Lee
JangBaek Customs Attorney
4F, 24 Dosandaero 38
Kangnam Seoul 06049
South Korea
RE: The tariff classification, country of origin, marking and eligibility for preferential treatment under the
United States-Korea Free Trade Agreement of Seasoned Squid from South Korea
Dear Mr. Lee:
In your letter dated July 7, 2025, you requested a ruling for tariff classification, country of origin, marking
and eligibility for preferential treatment under the United States-Korea Free Trade Agreement on behalf of
Banchandanji Co., Ltd (Incheon, South Korea).
The subject merchandise is Banchandanji Jeotgal (Seasoned Squid). The ready-to-eat product is composed of
salted squid, starch syrup, red pepper powder, frozen minced garlic, paprika extract, sugar, frozen red chili
pepper, fresh garlic, sesame seeds, mipung (umami seasoning blend), matsurae (flavor enhancer), ground
ginger, anchovy fish sauce, glycine, xanthan gum, polymix-m (preservative blend) and compound phosphate.
The manufacturing process involves cutting the squid into stripes, salting them and then blending them with
the aforementioned seasoning ingredients. You state that the squid is procured and salted in China, then
exported to Korea. In Korea, it is mixed with a proprietary seasoning mix. Jeotgal Seasoned Squid is
commonly consumed as a side dish or as a condiment. You proposed classification of the product in
subheading 1605.54.6030, HTSUS. We agree.
The applicable subheading for the Seasoned Squid will be 1605.54.6030, Harmonized Tariff Schedule of the
United States (HTSUS), which provides for: “Crustaceans, molluscs and other aquatic invertebrates, prepared
or preserved: Cuttle fish and squid: Other: Squid: Other.” The general rate of duty will be Free.
You also seek determination as to the country of origin, marking and the eligibility for preferential treatment
under the United States-Korea Free Trade Agreement of the above-described product.
When determining the country of origin for purposes of applying current trade remedies under Section 301
and additional duties, the substantial transformation analysis is applicable. See, e.g., Headquarters Ruling
Letter (“HQ”) H301619, dated November 6, 2018. 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,
681 F.2d 778 (C.C.P.A. 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).
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.”
In this case, we find that the processing described in Korea (the addition of the proprietary blend of
seasonings) does not effect a substantial transformation. Accordingly, we have determined that the squid
retains its original country of origin as a product of China. Since the product is not from Korea, the United
States-Korea Free Trade Agreement is not applicable to this ruling. You provided a picture of a bulk sized
plastic container bearing a label as well as a picture of the labels. The product appears to satisfy the marking
requirements of 19 U.S.C. 1304 and 19 CFR Part 134.
Please be advised that if the product is imported in bulk units, then broken down and repackaged in the
United States following importation, in such instances, the certification procedures set forth in 19 CFR
134.25/134.26 should be followed to ensure that ultimate purchasers of the repacked goods are made aware
of the fact that the country of origin is China.
Effective March 4, 2025, pursuant to U.S. Note 2(u) to Subchapter III, Chapter 99, all products of China and
Hong Kong as provided by heading 9903.01.24, HTSUS, other than products classifiable under headings
9903.01.21, 9903.01.22, and 9903.01.23, HTSUS, will be subject to an additional 20 percent ad valorem rate
of duty. At the time of entry, you must report the applicable Chapter 99 heading, i.e. 9903.01.24, in addition
to subheading 1605.54.6030, HTSUS, listed above.
Effective April 5, 2025, Executive Orders implemented “Reciprocal Tariffs.” All imported merchandise must
be reported with either the Chapter 99 provision under which the reciprocal tariff applies or one of the
Chapter 99 provisions covering exceptions to the reciprocal tariffs. At this time, products of China, Hong
Kong, and Macau will be subject to an additional ad valorem rate of duty of 10 percent. At the time of entry,
you must report the Chapter 99 heading applicable to your product classification, i.e. 9903.01.25, in addition
to subheading 1605.54.6030, HTSUS, listed above.
Pursuant to U.S. Note 20 to Subchapter III, Chapter 99, HTSUS, products of China classified under
subheading 1605.54.6030, HTSUS, unless specifically excluded, are subject to an additional 25 percent ad
valorem rate of duty. At the time of importation, you must report the Chapter 99 subheading, i.e., 9903.88.03,
in addition to subheading 1605.54.6030, HTSUS, listed above.
The tariffs and additional duties cited above are current as of this ruling’s issuance. 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 at https://hts.usitc.gov/
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 Title 19, Code of Federal Regulations
(CFR), Section 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. In the event that 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 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 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 and Border Protection
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, please contact
National Import Specialist Ekeng Manczuk at [email protected].
Sincerely,
(for)
Denise Faingar
Acting Director
National Commodity Specialist Division