Country of Origin: The Import Detail You Can’t Overlook

Welcome to Peace of Freight, your go-to newsletter for staying ahead in the world of freight and logistics!

Whether you’re importing goods into the U.S., toying with the idea of taking your business global or moving hazardous cargo – we’ve got you covered with our insights and updates every second Tuesday of the month.

I’m Juan Lara, an independent freight forwarder on a mission to prove that international shipping can be smooth and stress-free – if you only know how!

In this month’s newsletter

🌍 Why Country of Origin Isn’t Always Obvious

🌍 How to Confirm the Right Country of Origin (Without Guessing)

🌍 Mark It Right: What the U.S. Requires

🌍 When Country of Origin Affects More than Compliance

🌍 Your Country-of-Origin Checklist Before You Ship

You’ve got a shipment ready to go, the paperwork’s flying, and then comes that one tricky box: Country of Origin.

Sounds simple, right? But it’s one of the most misunderstood fields in trade compliance.

The truth is, getting it wrong doesn’t just cause delays. It can impact your duty rates, your eligibility for trade agreements, and even your credibility with customs… and your customers.

So, let’s clear the air: What does “country of origin” actually mean? And how do you get it right?

🌍 Why Country of Origin Isn’t Always Obvious

You might think the country of origin is where the goods were shipped from. Or where your supplier is based. But customs sees it differently.

Under customs law, "country of origin" means the place where a product was grown, manufactured, or substantially transformed.

·   It’s not necessarily the country of export.

·   It’s not where the invoice is issued.

·   And no, it’s definitely not where the shipping label was printed.

Quick example: You buy a textile product from a supplier in India. Seems like it’s “Made in India,” right? But it was actually woven and dyed in China before being shipped to India for final packaging.

In that case, customs will say “Made in China.”

🌍 How to Confirm the Right Country of Origin (Without Guessing)

Here’s a golden rule: don’t assume.

·  Ask your supplier: Where was the product grown, made, or assembled?

·  Request the right documents: Certificate of Origin, bill of materials, and manufacturing breakdowns.

·  Understand the process: If parts come from Vietnam but final assembly is in Thailand, which one counts? The key is whether the process involves substantial transformation (meaning it changes the product’s name, use, or character). If it does, that’s your country of origin.

Quick tip: Customs cares about facts and wants solid proof.

So, make sure your origin documentation is clear, consistent, and matches what’s listed on the commercial invoice and shipping paperwork.

🌍 Mark It Right: What the U.S. Requires

Knowing the origin is one thing. Marking it correctly is another.

Under U.S. law (19 U.S.C. §1304), nearly all imported items must be clearly marked with their country of origin (unless specifically exempt). And there are rules.

Here’s what compliance looks like:

• Visible and legible: The mark should be easy to find and read.

• Permanent: No flimsy stickers. The mark should survive handling and storage.

• In English: No translations. Say “Made in Italy,” not “Fabbricato in Italia.”

• On the product itself: Unless it’s not feasible, the marking should go on the item, not just the box.

And let’s not forget that packaging matters too. If the item is exempt from direct marking (like certain raw materials), then the immediate container has to be marked instead.

Even if your overseas supplier assures it’s marked, always double-check. Because if the goods arrive unmarked or incorrectly labeled, you’re responsible at the border, not them.

By the way, U.S. Customs does inspect this. They can hold, refuse entry, or even destroy non-compliant goods. Plus, you could be on the hook for penalties of up to 10% of the item’s value.

🌍 When Country of Origin Affects More than Compliance

Now, getting the origin right isn’t just about avoiding fines. It can directly impact your bottom line.

Wondering how?

·  Duties & tariffs: The same product could face 15% duty from Country A… and just 5% from Country B.

·  Free Trade Agreements: Label it right, and you might qualify for big savings (think USMCA, ASEAN, or EU-Med).

·  Branding & trust: Your customer sees the country on the label. If it doesn’t match what they expect, that can shake confidence in your product.

🌍 Your Country-of-Origin Checklist Before You Ship

Before your shipment leaves the warehouse, run through this quick list:

✅ Double-check supplier documentation.

✅ Match all labeling with customs declarations.

✅ Keep a clear and consistent origin story in all documents.

✅ Consult a licensed customs broker if unsure (don’t leave it up to the supplier).

✅ Keep a paper trail. Because customs will ask

👉 If this raised a few flags for you, let me know: What part of origin compliance still feels unclear? 👇