Non-Preferential Origin Flashcards
How many countries adopt non-preferential rules of origin legislation
40 WTO member
Main purpose for Non-preferential rules of origin?
Anti-dumping dumping duties and safe guarding,
Trade and statistics
Labelling and Marketing
Government Procurement
How are Rules of origin used for import quoters
Certain countries have export quoters. Argentina can only export 30’000 tonnes of beef to the EU. Rules of origin are used to track this.
What is Anti dumping?
Exporting goods for less than the home market value. Additional Tax is applied for certain countries so origin is required.
Sanitary inspections and embargoes?
IF disease is found in meant from a certain country, origin determines what can and cannot be imported.
Labelling?
country specific consumer legislation, such as made in china labeling
2 Main concepts to determine non-preferential rules of origin.
1/ Wholly obtained form country. Bourne, Bred., Mined
2/ Undergone last substantial transformation in country A
Wholly obtained mostly apiled to which type of goods?
Natural products hunted, harvested, caught in country.
Explain, Last substantial economic transformation
If goods are obtained by more than one country, origin defined by last country/territory of substantial change.
Substantial charge means:-
1/results in manufacture of new product or important stage of manufacture
Last? Substantial? Economic? Transformation?
Last - country where transformation takes place
Substantial - Processing above which is stipulated in lists
Economic - adds value to finished product
Transformation - Change in tariff heading.
Transformed good mainly applied to which goods?
From or with imported materials
requires processing in different countries.
Three Approaches to determine if Substantial Transformation has occurred.
Percentage or Value
Tariff classification
Specific processes
Final transformation - Percentage of value criterion explained
Based on final characteristics. Final price.
Final transformation - Tariff classification explained
Based only on tariff class change - End classification differs from HS code of originating products.
Final transformation - Specific process explained
Based on manufacturing necessary to product good