(b) a declaration voluntarily provided by the producer of the good directly to the competent authority of the exporting Party or its designees by the request of the exporter.
8. A certificate of origin shall be issued only after the exporter who requests the certificate of origin, or the producer of a good in the exporting Party referred to in subparagraph 7(b), proves to the competent authority of the exporting Party or its designees that the good to be exported qualifies as an originating good of the exporting Party. The competent authority of the exporting Party or its designees may, in accordance with the applicable laws and regulations of the exporting Party, require such exporter or producer to provide information relating to the origin of the good.
9. The competent authority of the exporting Party shall provide the importing Party with impressions of stamps used by the competent authority of the exporting Party or its designees.
10. Each Party shall ensure that the competent authority of the exporting Party or its designees shall keep a record of issued certificates of origin for a period of five years after the date on which the certificate of origin was issued. Such record will include all antecedents, which were presented to prove the qualification as an originating good of the exporting Party.
Article 45. Obligations Regarding Exportations
Each Party shall, in accordance with its laws and regulations, ensure that the exporter to whom a certificate of origin has been issued, or the producer of a good in the exporting Party referred to in subparagraph 7(b) of Article 44;
(a) shall notify in writing the competent authority of the exporting Party or its designees without delay when such exporter or producer knows that such good does not qualify as an originating good of the exporting Party; and
(b) shall keep the records relating to the origin of the good for five years after the date on which the certificate of origin was issued.
Article 46. Obligations Regarding Importations
1. Except as otherwise provided for in this Chapter, the customs authority of the importing Party shall require an importer who claims preferential tariff treatment for a good imported from the other Party to:
(a) make a written declaration, based on a valid certificate of origin, that the good qualifies as an originating good of the exporting Party;
(b) have the certificate of origin in its possession at the time the declaration is made;
(c) provide the certificate of origin on the request of the customs authority of the importing Party; and
(d) promptly make a corrected declaration and pay any duties owing where the importer has reason to believe that the certificate of origin on which a declaration was based contains information that is not correct.
2. Each Party shall ensure that, in the case in which the importer at the time of importation does not have a certificate of origin in its possession, the importer may, in accordance with the laws and regulations of the importing Party, provide the customs authority of the importing Party with the certificate of origin issued in accordance with paragraph 1 of Article 44 and, if required, such other documentation relating to the importation of the good, within a period not exceeding one year after the time of importation.
Note: In the case of importation into Chile, any excess customs duties shall be refunded to the importer referred to in paragraph 2.
Article 47. Request for Checking of Certificate of Origin
1. For the purposes of determining whether a good imported from the exporting Party under preferential tariff treatment qualifies as an originating good of the exporting Party, the customs authority of the importing Party may request information relating to the origin of the good from the competent authority of the exporting Party on the basis of a certificate of origin, where it has reasonable doubt as to the authenticity of the certificate of origin or the accuracy of the information included in the certificate of origin.
2. For the purposes of paragraph 1, the competent authority of the exporting Party shall, in accordance with the laws and regulations of the exporting Party, provide the information requested within a period of three months from the date of receipt of the request. If the customs authority of the importing Party considers necessary, it may require additional information relating to the origin of the good. If additional information is requested by the customs authority of the importing Party, the competent authority of the exporting Party shall, in accordance with the laws and regulations of the exporting Party, provide the information requested within a period of two months from the date of receipt of the request.
3. For the purposes of paragraph 2, the competent authority of the exporting Party may request the exporter to whom the certificate of origin has been issued, or the producer of the good in the exporting Party referred to in subparagraph 7(b) of Article 44, to provide the former with the information requested.
4. The request of information in accordance with paragraph 1 shall not preclude the use of the verification method provided for in Article 48.
Article 48. Verification Visit
1. The customs authority of the importing Party may request the competent authority of the exporting Party to:
(a) collect and provide information relating to the origin of a good and check, for that purpose, the facilities used in the production of the good, through a visit by the competent authority of the exporting Party along with the customs authority of the importing Party to the premises of the exporter to whom the certificate of origin has been issued, or the producer of the good in the exporting Party referred to in subparagraph 7 (b) of Article 44; and
(b) provide information relating to the origin of the good in the possession of the competent authority of the exporting Party or its designees during the visit pursuant to subparagraph (a).
2. When requesting the competent authority of the exporting Party to conduct a visit pursuant to paragraph 1, the customs authority of the importing Party shall deliver a written communication with such request to the competent authority of the exporting Party at least 40 days in advance of the proposed date of the visit, the receipt of which is to be confirmed by the competent authority of the exporting Party. The competent authority of the exporting Party shall request the written consent of the exporter, or the producer of the good in the exporting Party whose premises are to be visited.
3. The communication referred to in paragraph 2 shall include:
(a) the identity of the customs authority issuing the communication;
(b) the name of the exporter, or the producer of the good in the exporting Party whose premises are requested to be visited;
(c) the proposed date and place of the visit;
(d) the objective and scope of the proposed visit, including specific reference to the good subject of the verification referred to in the certificate of origin; and
(e) the names and titles of the officials of the customs authority of the importing Party to be present during the visit.
4. The competent authority of the exporting Party shall respond in writing to the customs authority of the importing Party, within 30 days of the receipt of the communication referred to in paragraph 2, if it accepts or refuses to conduct the visit requested pursuant to paragraph 1.
5. The competent authority of the exporting Party shall, in accordance with the laws and regulations of the exporting Party, provide within 45 days or any other mutually agreed period from the last day of the visit, to the customs authority of the importing Party the information obtained pursuant to paragraph 1.
Article 49. Determination of Origin and Preferential Tariff Treatment
1. The customs authority of the importing Party may deny preferential tariff treatment to a good for which an importer claims preferential tariff treatment where the good does not qualify as an originating good of the exporting Party or where the importer fails to comply with any of the relevant requirements of this Chapter.
2. The competent authority of the exporting Party shall, when it cancels the decision to issue the certificate of origin, promptly notify the cancellation to the exporter to whom the certificate of origin has been issued, and to the customs authority of the importing Party except where the certificate of origin has been returned to the competent authority of the exporting Party. The customs authority of the importing Party may determine that the good does not qualify as an originating good of the exporting Party and may deny preferential tariff treatment when it receives the notification.
3. The customs authority of the importing Party may determine that a good does not qualify as an originating good of the exporting Party and may deny preferential tariff treatment, and a written determination thereof shall be sent to the competent authority of the exporting Party:
(a) where the competent authority of the exporting Party fails to respond to the request within the period referred to in paragraph 2 of Article 47 or paragraph 5 of Article 48;
(b) where the competent authority of the exporting Party refuses to conduct a visit, or fails to respond to the communication referred to in paragraph 2 of Article 48 within the period referred to in paragraph 4 of Article 48; or
(c) where the information provided to the customs authority of the importing Party pursuant to Article 47 or 48, is not sufficient to prove that the good qualifies as an originating good of the exporting Party.
4. After carrying out the procedures outlined in Article 47 or 48 as the case may be, the customs authority of the importing Party shall provide the competent authority of the exporting Party with a written determination of whether or not the good qualifies as an originating good of the exporting Party, including findings of fact and the legal basis for the determination, within 45 days from the date of receipt of the information provided by the competent authority of the exporting Party pursuant to Article 47 or 48. The competent authority of the exporting Party shall inform such determination by the customs authority of the importing Party to the exporter, or the producer of the good in the exporting Party, whose premises were subject to the visit referred to in Article 48.
Article 50. Penalties and Measures Against False Declaration
1. Each Party shall establish or maintain, in accordance with its laws and regulations, appropriate penalties or other sanctions against its exporters to whom a certificate of origin has been issued and the producers of a good in the exporting Party referred to in subparagraph 7(b) of Article 44, for providing false declaration or documents to the competent authority of the exporting Party or its designees prior to the issuance of certificate of origin.
2. Each Party shall, in accordance with its laws and regulations, take measures which it considers appropriate against its exporters to whom a certificate of origin has been issued and the producers of a good in the exporting Party referred to in subparagraph 7(b) of Article 44, for failing to notify in writing to the competent authority of the exporting Party or its designees without delay after having known, after the issuance of certificate of origin, that such good does not qualify as an originating good of the exporting Party.
Article 51. Transitional Provision for Goods In Transit or Storage
An importer may not claim preferential tariff treatment for a good which, on the date of entry into force of this Agreement, is in transport from the exporting Party to the importing Party or in temporary storage in warehouses, except that:
(a) the good otherwise satisfies all applicable requirements of this Chapter; and
(b) the importer provides, in accordance with the laws and regulations of the importing Party, the customs authority of the importing Party with the certificate of origin issued retrospectively and, if required, such other documentation relating to the importation of the good, within a period not exceeding four months after the entry into force of this Agreement.
Section 3. Other Provisions
Article 52. Operational Procedures
Upon the date of entry into force of this Agreement, the Commission shall adopt the Operational Procedures that provide detailed regulations pursuant to which the customs authorities, the competent authorities and other relevant authorities of the Parties shall implement their functions under this Chapter and Chapter 3.
Article 53. Miscellaneous
1. Communications between the importing Party and the exporting Party shall be conducted in the English language.
2. For the application of the relevant product specific rules set out in Annex 2 and the determination of origin, the Generally Accepted Accounting Principles in the exporting Party shall be applied.
Article 54. Definitions
For the purposes of this Chapter:
(a) the term "exporter" means a person located in an exporting Party who exports goods from the exporting Party;
(b) the term "F.O.B." means free on board, regardless of the mode of transportation, at the point of direct shipment by the seller to the buyer;
(c) the term "fungible goods" or "fungible materials" respectively means goods or materials that are interchangeable for commercial purposes, whose properties are essentially identical;
(d) the term "Generally Accepted Accounting Principles" means the recognized consensus or substantial authoritative support within a Party at a particular time as to which economic resources and obligations should be recorded as assets and liabilities, which changes in assets and liabilities should be recorded, how the assets and liabilities and changes in them should be measured, what information should be disclosed and how it should be disclosed, and which financial statements should be prepared. These standards may be broad guidelines of general application as well as detailed practices and procedures;
(e) the term "importer" means a person who imports goods into the importing Party;
(f) the term "indirect materials" means goods used in the production, testing or inspection of another good but not physically incorporated into the good, or goods used in the maintenance of buildings or the operation of equipment associated with the production of another good, including:
(i) fuel and energy;
(ii) tools, dies and moulds;
(iii) spare parts and goods used in the maintenance of equipment and buildings;
(iv) lubricants, greases, compounding materials and other goods used in production or used to operate equipment and buildings;
(v) gloves, glasses, footwear, clothing, safety equipment and supplies;
(vi) equipment, devices and supplies used for testing or inspection;
(vii) catalysts and solvents; and
(viii) any other goods that are not incorporated
(g) the term “material” means a good that is used in the production of another good;
(h) the term “originating material of a Party” means an originating good of a Party which is used in the production of another good in the Party, including that which is considered as an originating material of the Party pursuant to Article 33;
(i) the term “packing materials and containers for shipment” means goods that are used to protect a good during its transportation, other than packaging materials and containers for retail sale referred to in Article 38;
(j) the term “preferential tariff treatment” means the rate of customs duties applicable to an originating good of the exporting Party in accordance with paragraph 1 of Article 14;
(k) the term “producer” means a person who engages in the production of goods or materials;
(l) the term “production” means methods of obtaining goods including manufacturing, assembling, processing, raising, growing, breeding, mining, extracting, harvesting, fishing, trapping, gathering, collecting, hunting and capturing;
(m) the term “transaction value of a good” means the price actually paid or payable for a good with respect to a transaction of the producer of the good, pursuant to the principles of Article 1 of the Agreement on Customs Valuation, adjusted in accordance with the principles of paragraphs 1, 3 and 4 of Article 8 of the Agreement on Customs Valuation, regardless of whether the good is sold for export. For the purposes of this definition, the seller referred to in the Agreement on Customs Valuation shall be the producer of the good; and
(n) the term “transaction value of a material” means the price actually paid or payable for a material with respect to a transaction of the producer of the good, pursuant to the principles of Article 1 of the Agreement on Customs Valuation, adjusted in accordance with the principles of paragraphs 1, 3 and 4 of Article 8 of the Agreement on Customs Valuation, regardless of whether the material is sold for export. For the purposes of this definition, the seller referred to in the Agreement on Customs Valuation shall be the supplier of the material, and the buyer referred to in the Agreement on Customs Valuation shall be the producer of the good.
Chapter 5. Customs Procedures
Article 55. Scope
1. This Chapter shall apply to customs procedures required for the clearance of goods traded between the Parties.
2. This Chapter shall be implemented by the Parties in accordance with the laws and regulations of each Party and within the available resources of their respective customs authorities.
Article 56. Transparency
1. Each Party shall ensure that all relevant information of general application pertaining to its customs laws and administrative procedures is readily available to any interested person, with maximum use of information and communications technology.
2. When information that has been made available must be revised due to changes in its customs laws, each Party shall, whenever possible, make the revised information publicly available sufficiently in advance of the entry into force of the changes.
3. Each Party shall endeavor to provide the other Party with advance notice of any significant modification of its policy with regard to customs procedures that is likely to substantially affect the implementation and operation of this Agreement.
4. At the request of any interested person of the Parties, each Party shall endeavor to provide, as quickly and as accurately as possible, information relating to the specific customs matters raised by the interested person and pertaining to its customs laws.
5. Each Party shall designate one or more enquiry points to answer reasonable enquiries from any interested person of the Parties concerning customs matters, and shall make publicly available, including through the Internet, the names and addresses of such enquiry points.
Article 57. Customs Clearance
1. Both Parties shall apply their respective customs procedures in a predictable, consistent and transparent manner.
2. To expedite customs clearance, while ensuring effective enforcement against illicit trafficking of goods, each Party shall:
(a) endeavor to make use of information and communications technology, taking into account international standards;
(b) adopt or maintain accessible information and communications technology systems, allowing the authorized or registered person to send declarations to its customs authority;
(c) adopt or maintain simplified customs procedures;
(d) harmonize its customs procedures, as far as possible, with relevant international standards and recommended practices such as those made under the auspices of the Customs Co-operation Council; and
(e) promote cooperation, wherever appropriate, between its customs authority and:
(i) other national authorities of the Party; (ii) the trading communities of the Party; and
(iii) the customs authorities of non-Parties.
Article 58. Cooperation
1. The Parties shall cooperate with each other in the field of customs procedures.
2. Such cooperation shall be implemented as provided for in the Implementing Agreement.
Article 59. Penalties
Each Party shall adopt or maintain appropriate sanctions or other measures against violations of its customs laws.
Article 60. Committee on Customs Procedures
1. For the purposes of the effective implementation and operation of this Chapter, the Parties hereby establish a Committee on Customs Procedures (hereinafter referred to in this Article as "Committee").
2. The functions of the Committee shall be:
(a) reviewing the implementation and operation of this Chapter;
(b) reporting the findings of the Committee to the Commission;
(c) identifying areas, relating to this Chapter, to be improved for facilitating trade in goods between the Parties; and
(d) carrying out other functions as may be delegated by the Commission in accordance with Article 190.
3. The Committee shall meet at such venues and times as may be agreed by the Parties.
4. The composition of the Committee shall be specified in the Implementing Agreement.
Article 61. Definition
For the purposes of this Chapter, the term âcustoms lawsâ of a Party means the laws and regulations of a Party relating to the importation, exportation, transit or storage of goods, and any other related matters, falling under the competence of the customs authority of the Party.
Chapter 6. Sanitary and Phytosanitary Measures
Article 62. Scope
This Chapter shall apply to all sanitary and phytosanitary (hereinafter referred to in this Chapter as "SPS") measures of the Parties under the SPS Agreement, that may, directly or indirectly, affect trade in goods between the Parties.
Article 63. Reaffirmation of Rights and Obligations
The Parties reaffirm their rights and obligations relating to SPS measures under the SPS Agreement.
Article 64. Enquiry Points
Each Party shall designate an enquiry point which is able to answer all reasonable enquiries from the other Party regarding SPS measures and, if appropriate, to provide their relevant information.
Article 65. Working Group on SPS Measures
1. For the purposes of the effective implementation and operation of this Chapter, the Parties hereby establish a Working Group on SPS measures (hereinafter referred to in this Article as "Working Group").
2. The functions of the Working Group shall be:
(a) exchange of information on such matters as occurrences of SPS incidents in the Parties and non-Parties, and change or introduction of SPS- related regulations and standards of the Parties, which may, directly or indirectly, affect trade in goods between the Parties;
(b) science-based consultations to identify and address specific issues that may arise from the application of SPS measures;
(c) consulting cooperative efforts between the Parties in international fora in relation to SPS measures; and
(d) discussing technical cooperation between the Parties on SPS measures.
3. The Working Group shall be composed of government officials of the Parties with responsibility for SPS measures.
4. The Working Group shall meet at such venues and times as may be agreed by the Parties.
Article 66. Non-Application of Chapter 16
The dispute settlement procedures provided for in Chapter 16 shall not apply to this Chapter.
Chapter 7. Technical Regulations, Standards and Conformity Assessment Procedures
Article 67. Scope
1. This Chapter shall apply to technical regulations, standards and conformity assessment procedures as defined in the Agreement on Technical Barriers to Trade in Annex 1A to the WTO Agreement (hereinafter referred to in this Chapter as "TBT Agreement").
2. This Chapter shall not apply to purchasing specifications prepared by governmental bodies for production or consumption requirements of governmental bodies and sanitary and phytosanitary measures as defined in the SPS Agreement.
Article 68. Reaffirmation of Rights and Obligations
The Parties reaffirm their rights and obligations relating to technical regulations, standards and conformity assessment procedures under the TBT Agreement.
Article 69. Cooperation
1. For the purposes of ensuring that technical regulations, standards and conformity assessment procedures do not create unnecessary obstacles to trade in goods between the Parties, the Parties shall, where possible, cooperate in the field of technical regulations, standards and conformity assessment procedures.
2. The forms of cooperation pursuant to paragraph 1 may include the following:
(a) conducting joint studies and holding seminars, in order to enhance mutual understanding of technical regulations, standards and conformity assessment procedures in the Parties;
(b) exchanging information on technical regulations, standards and conformity assessment procedures; and
(c) contributing, where appropriate, jointly to the activities related to technical regulations, standards and conformity assessment procedures in international and regional fora.
3. The implementation of this Article shall be subject to the availability of appropriated funds and the applicable laws and regulations of each Party.
Article 70. Committee on Technical Regulations, Standards and Conformity Assessment Procedures
1. For the purposes of the effective implementation and operation of this Chapter, the Parties hereby establish a Committee on Technical Regulations, Standards and Conformity Assessment Procedures (hereinafter referred to in this Article as "Committee").
2. The functions of the Committee shall be:
(a) coordinating cooperation pursuant to Article 69;