or 2106.90, that is used in the production of a 
good provided for in chapter 4. 
(C) A nonoriginating material provided for 
in chapter 4, or a nonoriginating dairy prepara-
tion containing over 10 percent by weight of 
milk solids provided for in subheading 1901.90, 
that is used in the production of any of the fol-
lowing goods: 
(i) Infant preparations containing 
over 10 percent by weight of milk solids 
provided for in subheading 1901.10. 
(ii) Mixes and doughs, containing over 
25 percent by weight of butterfat, not put 
up for retail sale, provided for in sub-
heading 1901.20. 
(iii) Dairy preparations containing 
over 10 percent by weight of milk solids 
provided for in subheading 1901.90 or 
2106.90. 
(iv) Goods provided for in heading 
2105. 
(v) Beverages containing milk pro-
vided for in subheading 2202.90. 
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(vi) Animal feeds containing over 10 
percent by weight of milk solids provided 
for in subheading 2309.90. 
(D) A nonoriginating material provided for 
in chapter 7 that is used in the production of 
a good provided for in subheading 0703.10, 
0703.20, 0709.59, 0709.60, 0711.90, 0712.20, 
0714.20, or any of subheadings 0710.21 
through 0710.80 or 0712.39 through 0713.10. 
(E) A nonoriginating material provided for 
in heading 1006, or a nonoriginating rice prod-
uct provided for in chapter 11 that is used in 
the production of a good provided for in head-
ing 1006, 1102, 1103, 1104, or subheading 
1901.20 or 1901.90. 
(F) A nonoriginating material provided for 
in heading 0805, or any of subheadings 
2009.11 through 2009.39, that is used in the 
production of a good provided for in any of sub-
headings 2009.11 through 2009.39, or in fruit 
or vegetable juice of any single fruit or vege-
table, fortified with minerals or vitamins, con-
centrated or unconcentrated, provided for in 
subheading 2106.90 or 2202.90. 
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(G) Nonoriginating peaches, pears, or apri-
cots provided for in chapter 8 or 20 that are 
used in the production of a good provided for 
in heading 2008. 
(H) A nonoriginating material provided for 
in chapter 15 that is used in the production of 
a good provided for in any of headings 1501 
through 1508, or heading 1512, 1514, or 1515. 
(I) A nonoriginating material provided for 
in heading 1701 that is used in the production 
of a good provided for in any of headings 1701 
through 1703. 
(J) A nonoriginating material provided for 
in chapter 17 that is used in the production of 
a good provided for in subheading 1806.10. 
(K) Except as provided in subparagraphs 
(A) through (J) and Annex 6-A of the Agree-
ment, a nonoriginating material used in the 
production of a good provided for in any of 
chapters 1 through 24, unless the nonorigi-
nating material is provided for in a different 
subheading than the good for which origin is 
being determined under this section. 
(3) TEXTILE OR APPAREL GOODS.— 
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(A) IN GENERAL.—Except as provided in 
subparagraph (B), a textile or apparel good 
that is not an originating good because certain 
fibers or yarns used in the production of the 
component of the good that determines the tar-
iff classification of the good do not undergo an 
applicable change in tariff classification, set 
forth in Annex 4-A of the Agreement, shall be 
considered to be an originating good if the total 
weight of all such fibers or yarns in that com-
ponent is not more than 7 percent of the total 
weight of that component. 
(B) 
CERTAIN
TEXTILE
OR
APPAREL 
GOODS.—A textile or apparel good containing 
elastomeric yarns in the component of the good 
that determines the tariff classification of the 
good shall be considered to be an originating 
good only if such yarns are wholly formed and 
finished in the territory of Korea, the United 
States, or both. 
(C) YARN, FABRIC, OR FIBER.—For pur-
poses of this paragraph, in the case of a good 
that is a yarn, fabric, or fiber, the term ‘‘com-
ponent of the good that determines the tariff 
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classification of the good’’ means all of the fi-
bers in the good. 
(g) FUNGIBLE GOODS AND MATERIALS.— 
(1) IN GENERAL.— 
(A) CLAIM
FOR
PREFERENTIAL
TARIFF 
TREATMENT.—A person claiming that a fun-
gible good or fungible material is an originating 
good may base the claim either on the physical 
segregation of the fungible good or fungible ma-
terial or by using an inventory management 
method with respect to the fungible good or 
fungible material. 
(B) INVENTORY MANAGEMENT METHOD.— 
In this subsection, the term ‘‘inventory manage-
ment method’’ means— 
(i) averaging; 
(ii) ‘‘last-in, first-out’’; 
(iii) ‘‘first-in, first-out’’; or 
(iv) any other method— 
(I) recognized in the generally 
accepted accounting principles of the 
country in which the production is 
performed (whether Korea or the 
United States); or 
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(II) otherwise accepted by that 
country. 
(2) ELECTION
OF
INVENTORY
METHOD.—A 
person selecting an inventory management method 
under paragraph (1) for a particular fungible good 
or fungible material shall continue to use that meth-
od for that fungible good or fungible material 
throughout the fiscal year of such person. 
(h) ACCESSORIES, SPARE PARTS, OR TOOLS.— 
(1) IN GENERAL.—Subject to paragraphs (2) 
and (3), accessories, spare parts, or tools delivered 
with a good that form part of the good’s standard 
accessories, spare parts, or tools shall— 
(A) be treated as originating goods if the 
good is an originating good; and 
(B) be disregarded in determining whether 
all the nonoriginating materials used in the pro-
duction of the good undergo the applicable 
change in tariff classification set forth in Annex 
6-A of the Agreement. 
(2) CONDITIONS.—Paragraph (1) shall apply 
only if— 
(A) the accessories, spare parts, or tools 
are classified with and not invoiced separately 
from the good; and 
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