Country-of-origin marking is one of the most overlooked corners of import compliance, and one of the easiest ways for an otherwise careful importer to run into trouble. Federal law requires most imported goods to be marked with their country of origin — and when they are not, the consequences range from an extra duty on the shipment to redelivery demands and, in the worst cases, penalties for false or deceptive marking. Here is how marking violations arise and what they cost.
Improper marking has three tiers of consequence
Under 19 U.S.C. 1304, imported articles must be marked to indicate their country of origin to the ultimate purchaser. Goods that are not properly marked face a special marking duty of 10% of their value unless corrected, exported, or destroyed. Beyond that, CBP can demand redelivery of released goods, and false or deceptive marking can trigger penalties — a far more serious exposure.
What the Marking Rule Requires
The marking statute exists so the ultimate purchaser of an imported article can tell where it was made. To satisfy it, the marking generally must be legible, conspicuous, permanent enough to reach the buyer, and in English. The rules on how origin is determined, and on which articles and containers must be marked, are detailed — our page on country-of-origin marking covers the requirements in depth. The point for penalty purposes is that a marking that is missing, hidden, illegible, or easily removed can be treated as non-compliant even when the origin itself was never in doubt.
The Three Levels of Exposure
| Consequence | When it applies |
|---|---|
| 10% marking duty | Goods not properly marked at entry and not timely exported, destroyed, or re-marked under CBP supervision — an additional duty of 10% of the article’s value |
| Redelivery demand | CBP orders released goods returned to its custody to be marked or dealt with; failure to redeliver can trigger liquidated damages under the import bond |
| Penalties | False or deceptive marking, or removing/altering marks to conceal origin, can draw penalties — the most serious tier |
The 10% marking duty is the most common consequence and is fixed by statute. The redelivery route ties marking into the world of bond obligations: if CBP demands redelivery and the goods cannot be returned, the importer faces liquidated damages under the customs bond. And where marking is not merely absent but false or deliberately manipulated to disguise origin, the matter escalates into penalty territory.
When a Marking Problem Becomes a Penalty
False origin marking is not just a marking error
Marking the wrong country of origin — or removing, obscuring, or altering a mark to hide where goods were really made — is a different order of problem than forgetting to mark. It can be treated as a false statement about the goods and can expose the importer to 19 U.S.C. 1592 penalties, which turn on culpability and can far exceed the 10% marking duty. Origin misrepresentation is also central to duty-evasion enforcement, so it draws scrutiny well beyond the marking rule itself.
How to Avoid and Respond to Marking Problems
Most marking exposure is preventable with attention at the sourcing and entry stage: confirming how origin is determined for your product, verifying that the marking is correct and durable before shipment, and treating origin as a compliance question rather than a printing afterthought. Building that into your import compliance process is far cheaper than a marking duty or a redelivery scramble.
If you have already received a marking notice, a redelivery demand, or a penalty tied to origin marking, the response and its deadline matter. A customs and international trade lawyer can assess whether the marking was actually deficient, respond to a redelivery or liquidated-damages demand, and defend against any penalty. For the broader framework, see our penalty defense and mitigation practice.
Frequently Asked Questions
What is the penalty for not marking country of origin?
Goods not properly marked face a special marking duty of 10% of their value unless they are timely exported, destroyed, or re-marked under CBP supervision. CBP can also demand redelivery of released goods, and false or deceptive marking can trigger separate, more serious penalties.
What does 19 U.S.C. 1304 require?
It requires most imported articles to be marked with their country of origin so the ultimate purchaser can identify where the goods were made. The marking generally must be legible, conspicuous, permanent enough to reach the purchaser, and in English.
Is the 10% marking duty a penalty?
It is a special additional duty, not a penalty in the culpability sense. It applies to improperly marked goods that are not corrected. Penalties are a separate and more serious exposure that arises from false or deceptive marking, not simply from a missing mark.
What is a redelivery notice for marking?
It is a CBP demand that released goods be returned to its custody — often to be properly marked. If the importer cannot redeliver the goods, the failure can trigger liquidated damages under the customs bond, so a redelivery notice should be treated promptly.
Facing a marking duty, redelivery, or origin penalty?
Origin marking problems range from a 10% duty to a 1592 penalty. A customs attorney can assess the exposure and respond before it escalates.