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April 2026, question 68

Valuation, Appraisement and Duty Assessment · Rules of origin and trade programs

Coffee Inc., a Canadian company, buys raw coffee beans from Colombia classified under the Harmonized Tariff Schedule (HTS) subheading 0901.11. Coffee Inc. then processes the beans into instant coffee classified under 2101.11.21. The instant coffee is then imported into the U.S. for sale. In order for the instant coffee to qualify for preferential tariff treatment under the United States-Mexico- Canada Agreement (USMCA), which of the following statements must be TRUE?

  1. The nonoriginating coffee must constitute no more than 60 percent by weight of the good.
  2. The nonoriginating coffee must constitute no more than 75 percent by weight of the good.
  3. The nonoriginating coffee must constitute no less than 60 percent by weight of the good.
  4. The nonoriginating coffee must have a Labor Value Content (LVC) of thirty percent, with at least 15 percentage points of high-wage material.
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CBP's answer: A. A: The nonoriginating coffee must constitute no more than 60 percent by weight of the good.

The USMCA product-specific rule for tariff item 2101.11.21 (instant coffee) is a change from any other chapter, provided that the nonoriginating coffee of chapter 9 is no more than 60 percent by weight of the good. Coffee Inc. makes instant coffee from Colombian green coffee beans (chapter 9), so the 60 percent weight limit applies, and A is right. 75 percent and 'no less than 60' are not in the rule, and labor value content is a rule for certain motor vehicle goods.

A change to tariff item 2101.11.21 from any other chapter, provided that the nonoriginating coffee of chapter 9 constitutes no more than 60 percent by weight of the good. General Note 11

Search for: nonoriginating coffee of chapter 9 constitutes no more than 60 percent by weight

CBP's key cites: General Note 11

Question and key from CBP's April 2026 exam and answer key. The walk-through is ours; quotes are from the pinned editions in the reference viewer (HTSUS 2026 Basic, 19 CFR 2025 edition).