Country of Origin is the country where an article was either wholly obtained or produced, or where it last underwent a substantial transformation into a new and different article of commerce. Country of origin governs:
- Duty rate — MFN, Column 2 (e.g., Cuba, North Korea), or preferential under an FTA
- Marking — physical labeling of imported goods under 19 U.S.C. § 1304
- Trade remedies — applicability of Section 301, Section 232, antidumping, and IEEPA tariffs
- FTA eligibility — qualification under USMCA, KORUS, CAFTA-DR, and other agreements
- Quotas and other trade restrictions
- Government procurement (Buy American Act, Trade Agreements Act)
- UFLPA and forced-labor enforcement
U.S. law distinguishes between non-preferential origin (governed by the substantial transformation test and case law) and preferential origin (governed by the specific rules of origin in each FTA — typically a tariff shift, regional value content test, or both).
A single product can have different origins for different purposes. For example, a finished good may be of Mexican origin for marking (because it was substantially transformed in Mexico) but fail USMCA preferential origin (because the bill of materials doesn't meet the tariff shift rule), making it Mexican-origin but dutiable at MFN.
Country of origin is the importer's responsibility to determine, support with documentation, and declare on the entry summary. Misstatements are reportable under 19 U.S.C. § 1592.