42 questions from past Customs Broker License Examinations released by CBP, with the official answer key.
1.Additional duties will be assessed at what percentage of the final appraised value for failure to mark the article (or container) to indicate the English name of the country of origin of the article or to include words or symbols required to prevent deception or mistake?
Correct answer: b) 10%
Reference: 19 CFR 134.2
Source: U.S. Customs and Border Protection, exam of April 2022
2.Fish are caught by a Norwegian flagged vessel in international waters off the coast of Portugal. The fish are kept either whole or filleted on-board. The fillets are sent to England, where they are seasoned, battered, and pre-fried. What is the country of origin of the battered fillets?
Correct answer: b) England
Reference: 19CFR134.1(b)
Source: U.S. Customs and Border Protection, exam of April 2019
3.The following statements are all true EXCEPT:
Correct answer: e) Without additional time allowed by the Center director, if an importer does not properly mark or redeliver all merchandise previously released to the importer within 45 calendar days from the date of the notice of redelivery, the port director shall demand payment of liquidated damages incurred under the bond in an amount equal to the entered value of the articles not properly marked or redelivered.
Reference: 19 CFR 134.54(a)
Source: U.S. Customs and Border Protection, exam of April 2022
4.Which item is listed on the j-list?
Correct answer: e) Sponges
Reference: 19 CFR 134.33 – j-list
Source: U.S. Customs and Border Protection, exam of April 2018
5.Mr. Smith contacts your brokerage from the Customs area at the local international airport. He has just flown in from the UK and is attempting to bring in new Scottish 100% wool sweaters to sell at his new store. CBP has advised him that although an appropriate country of origin label is found affixed to the sweaters, the fiber content label is not acceptable. Which of the following actions should the local CBP brokerage take?
Correct answer: d) The sweaters should be released to Mr. Smith, but he will have to label the sweaters at his own expense under Customs supervision.
Reference: 19CFR11.12(b)
Source: U.S. Customs and Border Protection, exam of April 2019
6.Do the Singapore Free Trade Agreement (SGFTA) rules of origin (ROOs) provide for a good to originate as “exclusively from originating materials” and why?
Correct answer: b) No, because among our “tariff shift model” free trade agreements, the SGFTA is unique or nearly unique in that it does not have an “exclusively from originating materials” ROO.
Reference: HTSUS General Note 25(b)(i), (b)(ii) and (b)(iii) provide three methods that goods can originate under the terms of the SGFTA but none of them offer “exclusively from originating materials”.
Source: U.S. Customs and Border Protection, exam of April 2019
7.Which of the below is not an approved marking method?
Correct answer: e) The country or origin label may be sewn into the inside of the pocket
Reference: 19 CFR 134.41, 19 CFR 134.43 and 19 CFR 134.45
Source: U.S. Customs and Border Protection, exam of April 2018
8.Under what Free Trade Agreement (FTA) can certain third-country goods originate, and thus be eligible for preferential tariff treatment upon importation into the United States (U.S.) merely for having been entered into the commerce of an FTA Party and subsequently imported into the U.S.?
Correct answer: c) The Singapore FTA
Reference: General Note 25, GN12, GN27, GN 28
Source: U.S. Customs and Border Protection, exam of October 2021
9.Which one of the following is NOT a program providing special tariff treatment?
Correct answer: d) Trade Facilitation and Trade Enforcement Act
Reference: 19 CFR 10.84, 19 CFR 10.171, 19 CFR 10.183, 19 CFR 10.761
Source: U.S. Customs and Border Protection, exam of April 2023
10.What is the appropriate country of origin marking for a pair of shoes manufactured in China and imported with its unsealed shoebox that reads “Kicks! America's Favorite Sneaker”?
Correct answer: c) Both the shoebox and shoes must be marked with country of origin.
Reference: 19 CFR § 134.46
Source: U.S. Customs and Border Protection, exam of October 2021
11.Automotive radial tires classified in HTSUS 4011.10.10 that were produced in Korea and originate under the terms of the U.S.-Korea FTA (KORUS) are entered into the commerce of Japan by Toyota then are rerouted to Georgetown, KY, owing to a supply chain disruption in the U.S. Are these tires eligible for KORUS duty preference upon importation into the U.S. and why?
Correct answer: c) No, because the KORUS does not allow originating goods to enter the commerce of a third country without losing originating status.
Reference: The HTSUS General Note 33(c)(iii)(B) and 19 CFR 10.1025(a)(2) both require that an originating good remain under customs control in the territory of a non-Party.
Source: U.S. Customs and Border Protection, exam of April 2019
12.Which of the following has a MPF non-exempt requirement?
Correct answer: d) Jordan FTA
Reference: 19 CFR 24.23(c)
Source: U.S. Customs and Border Protection, exam of April 2022
13.Is kombucha concentrate powder, classified under subheading 2106.90.99, Harmonized Tariff Schedule of the U.S. (HTSUS), eligible for duty-free treatment after importation as a qualified originating good under the U.S.- Colombia Trade Promotion Agreement (CTPA) if the importer claimed no preferential tariff treatment when it was imported into the United States?
Correct answer: a) Yes, if the importer files a claim for duty-free treatment under CTPA within one year after the date of importation.
Reference: 19 CFR 10.3001-10.3033
Source: U.S. Customs and Border Protection, exam of October 2023
14.The chemical Rutoside will be imported into the U.S. from Germany in powder form, packed in drums. The tariff number is 2938.10.00.00, which qualifies for use of the Special Program Indicator (SPI) K. What other reference must comply to provide for a free rate of duty?
Correct answer: c) Pharmaceutical Appendix
Reference: General Note 13 HTSUS, HTSUS 2938.10.0000
Source: U.S. Customs and Border Protection, exam of April 2018
15.Blooming potted hyacinths in HTSUS 0601.20.90 are grown in Canadian hot houses from Dutch bulbs classified in HTSUS 0601.10.30 and subsequently imported into the U.S. The value of the Dutch bulbs is 15% of the customs value of the potted hyacinths. Can the hyacinths enter the commerce of the U.S. duty free under the North American Free Trade Agreement (NAFTA) and why?
Correct answer: d) Yes, because the NAFTA’s “Exceptions to Change in Tariff Classification Rules” allows horticultural goods to originate even if grown from non-originating bulbs, seed, cuttings, etc.
Reference: The NAFTA’s “Exceptions to Change in Tariff Classification Rules” in HTSUS General Note 12(s)(i) specifically provides for horticultural goods, even if grown from non-originating bulbs, seed, cuttings, etc.
Source: U.S. Customs and Border Protection, exam of April 2019
16.Which regulation would apply to a country of origin determination of corn from Romania and Chile commingled in a granary and then imported into the United States?
Correct answer: b) 19 CFR 102.12
Reference: 19 CFR 102.12
Source: U.S. Customs and Border Protection, exam of October 2023
17.Which of the following is the formula for determining the regional value content (RVC) using the net cost method?
Correct answer: b) Net cost minus the value of the non-originating materials, divided by the net cost, multiplied by 100
Reference: 19 CFR 182 Appendix A Part III Section 7(3) 19 CFR 10.1015(d)(2)
Source: U.S. Customs and Border Protection, exam of April 2022
18.Which article is NOT exempt from country of origin marking requirements when imported into the United States?
Correct answer: d) A lithograph printed poster produced in Italy
Reference: 19 CFR 146.32 and 19 CFR 134.44
Source: U.S. Customs and Border Protection, exam of April 2018
19.Which of the following is an action CBP can take under the provided facts? Prior to liquidation and after cargo release, CBP discovered that a shipment of dog toys was not marked with country of origin on either the dog toy or the packaging. CBP issued a notice of redelivery. The importer has already sold the entire shipment of merchandise such that it cannot be redelivered, marked, exported, or destroyed.
Correct answer: a) Rate advance of ten percent (10%) additional duties
Reference: 19 CFR 134.2
Source: U.S. Customs and Border Protection, exam of October 2023
20.In cases where the Center director determines that physical supervision of marking is necessary to ensure compliance, the expenses of the Customs officer shall be reimbursed with the following provisions EXCEPT:
Correct answer: c) Services performed in overtime status, irrespective of when the Customs officer files an application for overtime services.
Reference: 19 CFR 134.55(b)(2) 19 CFR 24.16
Source: U.S. Customs and Border Protection, exam of April 2022
21.Which of the following is NOT an exception to the country of origin marking requirements?
Correct answer: d) Souvenirs imported marked with "Orlando, FL" but manufactured in China.
Reference: 19 CFR 134.47 and 19 CFR 134 Subpart D
Source: U.S. Customs and Border Protection, exam of October 2023
22.Would kombucha concentrate powder, classified under subheading 2106.90.98, HTSUS, be eligible for duty-free treatment after importation if it qualified as originating goods under the U.S.- Colombia Trade Promotion Agreement (CTPA) when it was imported into the United States, but no claim for preferential tariff treatment was made?
Correct answer: a) Yes, if the importer files a claim for duty-free treatment under CTPA within 1 year after the date of importation.
Reference: 19 CFR § 10.3001 – 19 CFR § 10-3033
Source: U.S. Customs and Border Protection, exam of October 2021
23.What is the TRADE AGREEMENT status of an unlined curtain panel of 100% acrylic, dyed, woven fabric that has undergone the following processing? CHINA: Solution dyed acrylic fiber is extruded and cut into staple fibers and shipped to the United States. (Heading 5503). UNITED STATES: The acrylic staple fibers are spun into an acrylic yarn. (Heading 5509); the acrylic yarns are woven into a 100% acrylic fabric and dyed. (Heading 5512); the 100% acrylic woven fabric is shipped to Honduras. HONDURAS: Polyester filament for sewing thread is extruded. (Heading 5402); The extruded sewing thread of polyester filament is formed. (Heading 5401); Fabric is cut and sewn; curtain panel is assembled and shipped to the U.S.
Correct answer: b) Qualifies under DR-CAFTA because the good is produced entirely in the territory of one or more of the parties to the Agreement, and each of the non-originating materials used in the production of the good undergoes an applicable change in tariff classification and the good satisfies all other applicable requirements of General Note 29.
Reference: HTSUS 6303.92.2010, General Note 29(a)(iii), General Note 29(b)(i), General Note 29(b)(ii), General Note 29(c)(i), General Note 29(m)(ii), General Note 29(n), Chapter 63.3, General Note 29(n), Chapter Rules 1 and 2
Source: U.S. Customs and Border Protection, exam of April 2023
24.Which statement about the U.S.-Mexico-Canada Agreement (USMCA) is FALSE?
Correct answer: a) Under the USMCA, similar to the North American Free Trade Agreement (NAFTA) there are no special origination provisions pertaining to textile and apparel goods put up in sets for retail sale.
Reference: HTSUS General Note 11(i)
Source: U.S. Customs and Border Protection, exam of October 2023
25.Which of the following Free Trade Agreements (FTA) have a remanufacturing provision enabling certain non-originating third-country goods to be disassembled, cleaned, inspected and processed to bring into sound working condition as “recovered goods” and that such “recovered goods” are then considered originating materials when processed into a “remanufactured good?”
Correct answer: c) AUFTA, CAFTA-DR, CLFTA, COTPA
Reference: HTSUS GN 28(c)(ii)(A)&(B), GN29(c)(ii)(A) & (B), GN26(c)(ii)(A) & (B), GN34(c)(ii)(A) & (B), GN33(c)(ii)(A) & (B), GN35(c)(ii)(A) & (B), GN32(c)(ii)(A) & (B) and GN25(c)(ii)(A) & (B), respectively). (GN31(d)(iv)(F) & (G)) GN30(d)(iv)(F)&(G), GN27(d)(iv)(F) & (G) and GN31(d)(iv)(F) & (G), respectively).
Source: U.S. Customs and Border Protection, exam of October 2021