Title

AGREEMENT BETWEEN JAPAN AND THE REPUBLIC OF PERU FOR AN ECONOMIC PARTNERSHIP

Preamble

Japan and the Republic of Peru (hereinafter referred to as "Peru"), hereinafter collectively referred to as the "Parties" and individually referred to as the "Party":

Committed to strengthen the longstanding friendship and strong economic and political relations that have developed through many years of mutually beneficial cooperation and growing trade and investment between the Parties;

Realizing that enhancing economic ties between the Parties would contribute to increasing trade and investment flows across the Pacific;

Convinced that this Agreement would open a new era for the relationship between the Parties;

Recognizing that the economies of the Parties are endowed with conditions to complement each other and that this complementarity should contribute to further promoting sustainable economic development in the Parties, by making use of their respective economic strengths through bilateral trade and investment activities;

Believing that the implementation of this Agreement will improve the living standards of peoples and create new and better employment opportunities in the Parties;

Seeking to create a clearly established legal framework through mutually advantageous rules to govern trade, business and investment between the Parties, which would enhance the competitiveness of their economies, promote the economic relations between them, make their markets more efficient and dynamic and ensure a predictable commercial environment;

Committed to avoid all distortions to their bilateral trade;

Further committed to develop effective mechanisms for cooperation in various fields as agreed in this Agreement;

Recognizing the rights of the Parties to regulate in order to meet national policy objectives pursuant to international agreements to which either Party is a party and pursuant to this Agreement;

Committed to implement this Agreement in a manner consistent with environmental protection and conservation; and

Reaffirming the importance of strengthening and enhancing the multilateral trading system as reflected by the World Trade Organization (hereinafter referred to as "WTO");

HAVE AGREED as follows:

Body

Chapter 1. General Provisions

Article 1. Establishment of a Free Trade Area

The Parties, consistent with Article XXIV of the GATT 1994 and Article V of the GATS, hereby establish a free trade area.

Article 2. Relation to other Agreements

1. The Parties reaffirm their rights and obligations with respect to each other under the WTO Agreement or any other agreement to which both Parties are parties.

2. In the event of any inconsistency between this Agreement and the WTO Agreement or any other agreement to which both Parties are parties, the Parties shall immediately consult with each other with a view to finding a mutually satisfactory solution, taking into consideration general principles of international law.

3. The provisions of the Agreement between Japan and the Republic of Peru for the Promotion, Protection and Liberalisation of Investment, signed at Lima on November 21, 2008 (hereinafter referred to as "BIT"), except its Articles 24 (Joint Committee) and 25 (Sub-committee on Improvement of Investment Environment), as may be amended, are incorporated into and made part of this Agreement, mutatis mutandis.

Note: In the event of any inconsistency between this Agreement and the BIT, unless otherwise provided for in this Agreement, the provisions of paragraph 2 shall be applied.

Article 3. Regional and Local Government

In fulfilling its obligations and commitments under this Agreement, each Party shall take such reasonable measures as may be available to it to ensure their observance by regional and local governments and authorities and non-governmental bodies in the exercise of powers delegated to them by central, regional and local governments or authorities within its Area. For greater certainty, neither Party shall be discharged from its obligations under this Agreement, in the event of a noncompliance with the provisions of this Agreement, by any of its governmental levels or non-governmental bodies in the exercise of such powers delegated to them.

Article 4. General Definitions

For the purposes of this Agreement, unless otherwise specified:
(a) the term "Area" means:
(i) with respect to Japan:
(A) the territory of Japan; and
(B) the exclusive economic zone and the continental shelf with respect to which Japan exercises sovereign rights or jurisdiction in accordance with international law; and
(ii) with respect to Peru: the mainland territory, the islands, the maritime zones, and the air space above them, over which Peru exercises sovereignty or sovereign rights and jurisdiction, in accordance with relevant provisions of the Constitution of Peru and international law;

Note 1: Nothing in this definition shall affect the rights and obligations of the Parties under international law. Note 2: For greater certainty, the definition of and references to "Area" contained in this Agreement apply exclusively for the purposes of determining the geographical scope of application of this Agreement.

(b) the term "Commission" means the Commission established under Article 14;
(c) the term "customs authority" means the authority that, according to the legislation of each Party or non-Parties, is responsible for the administration and enforcement of customs laws and regulations. In the case of Japan, the Ministry of Finance, or its successor, and in the case of Peru, National Superintendence of Tax Administration (Superintendencia Nacional de Administración Tributaria (SUNAT)), or its successor;
(d) the term "days" means calendar days including weekends and holidays;
(e) the term "enterprise" means any entity constituted or organized under applicable law, whether or not for profit, and whether privately or governmentally owned or controlled, including any corporation, trust, partnership, sole proprietorship, joint venture or other association;
(f) the term "GATT 1994" means the General Agreement on Tariffs and Trade 1994 in Annex 1A to the WTO Agreement. For the purposes of this Agreement, references to articles in the GATT 1994 include the interpretative notes;
(g) the term "GATS" means the General Agreement on Trade in Services in Annex 1B to the WTO Agreement; (h) the term "good" means any merchandise, product, article or material;
(i) the term "Harmonized System" or "HS" means the Harmonized Commodity Description and Coding System defined in paragraph (a) of Article 1 of the International Convention on the Harmonized Commodity Description and Coding System, and adopted and implemented by the Parties in their respective laws; (j) the term "measure" includes any law, regulation, rule, procedure, requirement, provision, practice, decision or administrative action issued or taken by a Party;
(k) the term "national" means a natural person who:
(i) for Japan, is a national of Japan under its laws; and
(ii) for Peru, is a national of Peru or has a permanent residency in Peru under its laws;
(l) the term "originating good" means a good that qualifies as originating under the provisions of Chapter 3; (m) the term "person" means a natural person or an enterprise; and
(n) the term "WTO Agreement" means the Marrakesh Agreement Establishing the World Trade Organization, done at Marrakesh, April 15, 1994.

Article 5. Transparency

1. Each Party shall promptly publish, or otherwise make publicly available, its laws, regulations, administrative procedures, administrative rulings and judicial decisions of general application as well as international agreements to which the Party is a party, which pertain to or affect the operation of this Agreement.
2. Each Party shall, upon request by the other Party, within a reasonable period of time, respond to specific questions from, and provide information to, the other Party with respect to matters referred to in paragraph 1, in English.
3. Nothing in this Article shall prejudice as to whether a measure adopted by a Party is consistent or not with this Agreement.
4. When introducing or changing its laws, regulations, administrative procedures or administrative rulings that significantly affect the implementation and operation of this Agreement, each Party shall, to the extent possible, and in accordance with its laws and regulations, endeavor to provide, except in emergency situations, a reasonable interval between the time when such laws, regulations, administrative procedures or administrative rulings as introduced or changed are published or made publicly available and the time when they enter into force.

Note: For greater certainty, "administrative rulings of general application" means an administrative decision or interpretation that applies to all persons and fact situations that fall within the scope of application of such administrative decision or interpretation and that establishes a norm of conduct but does not include: (a) a determination or ruling made in an administrative proceeding that applies to a particular person, good, or service in a specific case; or
(b) a ruling that adjudicates with respect to a particular act or practice.

Article 6. Public Comment Procedures

Each Party shall, to the extent possible and in accordance with its laws and regulations, endeavor to provide an opportunity for comments from the public on any regulation of general application that affects any matter covered by this Agreement.

Article 7. Confidential Information

1. Unless otherwise provided for in this Agreement, nothing in this Agreement shall be construed to require a Party to disclose or allow access to confidential information, the disclosure of which would impede the enforcement of its domestic laws and regulations or otherwise be contrary to the public interest, or which would prejudice legitimate commercial interests of particular enterprises, public or private.
2. Each Party shall, in accordance with its domestic laws and regulations, maintain the confidentiality of information provided as confidential by the other Party pursuant to this Agreement.

Article 8. Review and Appeal

1. Each Party shall establish or maintain judicial tribunals or procedures for the purpose of the subsequent review and, where warranted, correction of administrative actions regarding matters covered by this Agreement. Such tribunals shall be impartial and independent of the authorities entrusted with administrative enforcement and shall not have any substantial interest in the outcome of the matter.
2. Each Party shall ensure that, in any such tribunals or procedures, the parties to the proceeding are provided with the right to:
(a) a reasonable opportunity to support or defend their respective positions; and
(b) a decision based on the evidence and submissions of record or, where required by its domestic laws and regulations, the record compiled by the administrative authorities.
3. Each Party shall ensure, subject to appeal or subsequent review as provided for in its laws and regulations, that a decision referred to in subparagraph 2(b) shall be implemented by, and shall be taken into consideration of the authorities with respect to the administrative action at issue.

Article 9. Measures Against Corruption

Each Party shall ensure that measures and efforts are undertaken to prevent and combat corruption regarding matters covered by this Agreement in accordance with its laws and regulations.

Article 10. General Exceptions

1. For the purposes of Chapters 2 through 6, Article XX of the GATT 1994 is incorporated into and made part of this Agreement, mutatis mutandis.
2. For the purposes of Chapters 7 through 9, Article XIV of the GATS is incorporated into and made part of this Agreement, mutatis mutandis. Note: For the purposes of this Article, it is understood that subparagraph (b) of Article XX of the GATT 1994 and subparagraph (b) of Article XIV of the GATS include environmental measures necessary to protect human, animal or plant life or health, and that subparagraph (g) of Article XX of the GATT 1994 applies to measures relating to the conservation of living and non-living exhaustible natural resources.

Article 11. Security Exceptions

1. For the purposes of Chapters 2 through 6, Article XXI of the GATT 1994 is incorporated into and made part of this Agreement, mutatis mutandis.
2. For the purposes of Chapters 7 through 9, Article XIV bis of the GATS is incorporated into and made part of this Agreement, mutatis mutandis.

Article 12. Taxation

1. Nothing in this Agreement shall apply to taxation measures except as expressly provided for in this Article. 2. Nothing in this Agreement shall affect the rights and obligations of either Party under any tax convention. In the event of any inconsistency between this Agreement and any such convention, that convention shall prevail to the extent of the inconsistency.
3. Paragraphs 1 and 2 of Article 5 and paragraph 1 of Article 7 shall apply to taxation measures, to the extent that the provisions of this Agreement are applicable to such taxation measures. Note 1: For greater certainty, taxation measures do not include:
(a) customs duty as defined in Article 18;
(b) anti-dumping or countervailing duty that is applied pursuant to Article VI of the GATT 1994, the Agreement on Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 in Annex 1A to the WTO Agreement (hereinafter referred to as "Agreement on Anti-dumping") or the Agreement on Subsidies and Countervailing Measures in Annex 1A to the WTO Agreement (hereinafter referred to as "Agreement on Subsidies and Countervailing Measures"); or
(c) fee or other charge in connection with importation commensurate with the cost of services rendered. Note 2: Nothing in this Article shall affect the rights and obligations of the Parties under the WTO Agreement.

Article 13. Temporary Safeguard Measures

In accordance with Article XII of the GATT 1994, the Understanding on the Balance-of-Payments Provisions of the General Agreement on Tariffs and Trade 1994 in Annex 1A to the WTO Agreement, and Article XII of the GATS, and consistent with the Articles of Agreement of the International Monetary Fund, a Party may adopt or maintain measures:
(a) in the event of serious balance-of-payments and external financial difficulties or threat thereof; or
(b) in cases where, in exceptional circumstances, movements of capital cause or threaten to cause serious difficulties for macroeconomic management, in particular, monetary and exchange rate policies.

Article 14. Commission

1. The Parties hereby establish a Commission which shall be co-chaired by Ministers or senior officials of the Parties who are competent over this Agreement.
2. The Commission shall be composed of representatives of the Governments of the Parties.
3. The Commission shall:
(a) review and monitor the implementation and operation of this Agreement;
(b) when necessary, make appropriate recommendations to the Parties and provide them with its opinion regarding, among other issues, the interpretation or application of this Agreement;
(c) endeavor to resolve disputes between the Parties about any matter concerning the interpretation or application of this Agreement;
(d) supervise and coordinate the work of all Sub- Committees established under this Agreement; and
(e) take any other action as the Parties may agree.
4. The Commission may:
(a) establish Sub-Committees and any other working- groups necessary for the operation of this Agreement; (b) delegate its responsibilities to Sub-Committees and any other working groups established under this Agreement;
(c) consider, recommend to the Parties and promote any amendment to this Agreement, subject to the fulfillment of the internal legal procedures of each Party; and
(d) adopt the Operational Procedures referred to in Article 70.
5. All decisions of the Commission shall be taken by mutual agreement.
6. If the Commission makes a decision, subject to the fulfillment of internal legal requirements, such decision shall enter into force on the date when the Parties notify each other, that such internal legal requirements have been fulfilled, unless the Parties agree otherwise.
7. The Commission shall meet at least once a year alternately in Japan and Peru, unless the Parties agree otherwise.

Article 15. Contact Points

1. Each Party shall designate a contact point to facilitate communications between the Parties on any matter relating to this Agreement, and shall communicate such designation to the other Party within 90 days following the entry into force of this Agreement.
2. Any information, request or notification to the other Party shall be carried out through the contact point, unless otherwise provided for in this Agreement.
3. The contact point shall:
(a) work jointly to develop agendas and make other preparations for the Commission meetings and to follow up on the said meetings as appropriate;
(b) address any matter entrusted by the Commission; and
(c) provide administrative support to the arbitral tribunal established under Article 209.

Article 16. Implementing Agreement

The Governments of the Parties shall conclude a separate agreement (hereinafter referred to as "the Implementing Agreement"), which sets forth the details and procedures for the implementation of certain provisions of this Agreement. The Implementing Agreement shall enter into force on the same date as this Agreement and shall remain in force as long as this Agreement remains in force.

Chapter 2. Trade In Goods

Article 17. Scope of Application

Except as otherwise provided for in this Agreement, this Chapter shall apply to trade in goods between the Parties.

Article 18. Definitions

For the purposes of this Chapter:
(a) the term "Agreement on Agriculture" means the Agreement on Agriculture in Annex 1A to the WTO Agreement;
(b) the term "Agreement on Safeguards" means the Agreement on Safeguards in Annex 1A to the WTO Agreement;
(c) the term "bilateral safeguard measure" means a bilateral safeguard measure provided for in Article 30;
(d) the term "competent investigating authorities" means:
(i) for Japan, the Ministry of Finance, the Ministry of Economy, Trade and Industry, and any Ministry which has jurisdiction over the industry subject to investigation in Japan or their successors; and
(ii) for Peru, the Ministry of Foreign Trade and Tourism, or its successor;
(e) the term "customs duty" means any customs or import duty or a charge of any kind imposed on or in connection with the importation of a good, but does not include any:
(i) charge equivalent to an internal tax imposed consistently with the provisions of subparagraph 2(a) of Article II of the GATT 1994;
(ii) anti-dumping or countervailing duty applied consistently with the provisions of Article VI of the GATT 1994, the Agreement on Anti- dumping, and the Agreement on Subsidies and Countervailing Measures; or
(iii) fee or other charge commensurate with the cost of services rendered;
(f) the term "domestic industry" means, with respect to an imported good, the producers as a whole of the like or directly competitive goods operating in a Party, or those whose collective output of the like or directly competitive goods constitutes a major proportion of the total domestic production of those goods;
(g) the term "export subsidies" means export subsidies defined in Article 1(e) of the Agreement on Agriculture;
(h) the term "import licensing" means an administrative procedure used for the operation of import license regimes requiring the submission of an application or other documentation (other than that required for customs purposes) to the relevant administrative body as a prior condition for importation to the importing Party;
(i) the term "provisional bilateral safeguard measure" means a provisional bilateral safeguard measure provided for in Article 33;
(j) the term "serious injury" means a significant overall impairment in the position of a domestic industry; and (k) the term "threat of serious injury" means serious injury that, on the basis of facts and not merely on allegation, conjecture, or remote possibility, is clearly imminent.

Article 19. Classification of Goods

The classification of goods in trade between the Parties shall be in conformity with the Harmonized System.

Article 20. National Treatment

Except as otherwise provided for in Annex 2, each Party shall accord national treatment to the goods of the other Party in accordance with Article III of the GATT 1994, and to this end Article III of the GATT 1994 is incorporated into and made part of this Agreement, mutatis mutandis.

Article 21. Elimination or Reduction of Customs Duties

1. Except as otherwise provided for in this Agreement, neither Party shall increase or introduce any customs duty on originating goods of the other Party beyond the rate to be applied in accordance with its Schedule in Annex 1.
2. Except as otherwise provided for in this Agreement, each Party shall eliminate or reduce its customs duties on originating goods of the other Party, in accordance with its Schedule in Annex 1.
3. If the rate of customs duty on an originating good of a Party applied in accordance with Annex 1 is higher than the most-favored-nation applied rate of customs duty on the same good, the latter rate shall be applied to that originating good.
4. (a) Upon request of either Party, the Parties shall negotiate on issues such as improving market access conditions on originating goods designated for negotiation in the Schedules in Annex 1 in accordance with the terms and conditions set out in such Schedules.
(b) Upon request of either Party, the Parties shall consult to consider accelerating the reduction or broadening the scope of the elimination of customs duties set out in their Schedules in Annex 1 since the fifth calendar year following the calendar year in which this Agreement enters into force.
5. For greater certainty, a Party may:
(a) raise a rate of customs duty to be applied on the originating good of the other Party up to the rate established in its Schedule in Annex 1 following a unilateral reduction of the rate; or
(b) suspend the further reduction of or increase any customs duty on the originating good of the other Party, as authorized by the Dispute Settlement Body of the WTO pursuant to the Understanding on Rules and Procedures Governing the Settlement of Disputes in Annex 2 to the WTO Agreement.

Article 22. Non-tariff Measures

1. Except as otherwise provided for in Annex 2 and other relevant provisions of this Agreement, neither Party shall introduce or maintain any prohibition or restriction other than customs duties on the importation of any good of the other Party or on the exportation or sale for export of any good destined to the other Party, which is inconsistent with its obligations under Article XI of the GATT 1994 and the relevant provisions of the WTO Agreement, and to this end Article XI of the GATT 1994, is incorporated into and made part of this Agreement, mutatis mutandis.
2. Neither Party shall require the other Party or exporter to adopt or maintain:
(a) voluntary undertakings inconsistent with Article 8 of the Agreement on Anti-dumping and Article 18 of the Agreement on Subsidies and Countervailing Measures; or
(b) voluntary export restraints inconsistent with Article 11 of the Agreement on Safeguards.
3. Neither Party shall require its importer to have a contractual or other relationship with a distributor in the importing Party as a condition for engaging in importation or for the import of a good, which is inconsistent with paragraph 1 of Article XI of the GATT 1994.

Article 23. Import Licensing

1. Neither Party shall adopt or maintain a measure that is inconsistent with the Agreement on Import Licensing Procedures in Annex 1A to the WTO Agreement (hereinafter referred to as "Agreement on Import Licensing Procedures") and to this end the Agreement on Import Licensing Procedures is incorporated into and made part of this Agreement, mutatis mutandis.
2. Neither Party shall apply an import licensing procedure to a good of the other Party unless it has provided notification in accordance with Article 5 of the Agreement on Import Licensing Procedures.

Article 24. Administrative Fees and Formalities

1. Each Party shall ensure that all fees and charges imposed on or in connection with importation or exportation of goods are consistent with subparagraph 1(a) of Article VIII of the GATT 1994. To this end, Article VIII of the GATT 1994 is incorporated into and made part of this Agreement, mutatis mutandis.
2. Neither Party shall require consular transactions, including related fees and charges, in connection with the importation of any originating good of the other Party.
Note: For the purposes of this paragraph, "consular transactions" means requirements by the consul of the importing Party located in the exporting Party for the purpose of obtaining consular invoices or consular visas for commercial invoices, certificates of origin, manifests, shippers' export declarations, or any other customs documentation required on or in connection with importation.
3. Each Party shall make available on its websites details of fees and charges that it imposes on or in connection with importation or exportation of goods as soon as possible.

Article 25. Export Duties, Fees or other Charges

Neither Party shall introduce or maintain any duties, fees or other charges of any kind imposed on a good exported from the Party into the other Party, unless such duties, fees or other charges are not in excess of those imposed on the like good destined for domestic consumption.

Article 26. Customs Valuation

For the purposes of determining the customs value of goods traded between the Parties, the provisions of the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 in Annex 1A to the WTO Agreement (hereinafter referred to as "Agreement on Customs Valuation"), which is hereby incorporated into and made part of this Agreement, mutatis mutandis, shall apply.

Article 27. Agricultural Export Subsidies

1. Neither Party shall introduce, maintain or reintroduce any export subsidies on any agricultural good which is listed in Annex 1 to the Agreement on Agriculture and exported to the other Party.
2. If either Party considers that the other Party has failed to carry out its obligations under this Agreement by introducing, maintaining or reintroducing an export subsidy, such Party may request consultations with the other Party according to Chapter 15 with a view to arriving at a mutually satisfactory solution, in particular, agreeing on specific measures that the importing Party may adopt to counter the effect of such subsidized imports.

Article 28. Price Band System

Peru may maintain its Price Band System referred to in Note 2 of Section 1 of the Schedule of Peru in Annex 1 with respect to the agricultural goods specified with one asterisk ("*") in column 5 of its Schedule. Safeguard Measures

Article 29. General Provisions

1. Each Party retains its rights and obligations under Article XIX of the GATT 1994, the Agreement on Safeguards and Article 5 of the Agreement on Agriculture.
2. A Party applying a safeguard measure to the importation of an originating good of the other Party in accordance with Article XIX of the GATT 1994 and the Agreement on Safeguards, or Article 5 of the Agreement on Agriculture, shall not apply at the same time a bilateral safeguard measure under this Section to that importation.
3. In the case a Party has applied a bilateral safeguard measure under this Section to an importation of an originating good of the other Party prior to the application of a safeguard measure in accordance with Article XIX of the GATT 1994 and the Agreement on Safeguards, or Article 5 of the Agreement on Agriculture, the duration of the bilateral safeguard measure referred to in paragraph 1 of Article 31 to that importation shall not be interrupted by the Party's non-application of the bilateral safeguard measure in accordance with paragraph 2. The Party may resume the application of the bilateral safeguard measure to that importation upon the termination of the latter safeguard measure up to the remaining period of the bilateral safeguard measure.

Article 30. Bilateral Safeguard Measures

1. Subject to the provisions of this Section, a Party may apply a bilateral safeguard measure if an originating good of the other Party, as a result of the elimination or reduction of a customs duty in accordance with Article 21, is being imported into the former Party in such increased quantities, in absolute terms, and under such conditions that the imports of that originating good constitute a substantial cause of serious injury, or threat thereof, to the domestic industry of the former Party.
2. If the conditions in paragraph 1 are met, a Party may, to the minimum extent necessary to prevent or remedy serious injury, and facilitate adjustment:
(a) suspend the further reduction of any rate of customs duty on the originating good provided for in Section 1; or
(b) increase the rate of customs duty on the originating good to a level not to exceed the least among: (i) the most-favored-nation applied rate of customs duty in effect on the day when the bilateral safeguard measure is applied;
(ii) the Base Rate as specified in Column 3 of its Schedule in Annex 1; and

Note 1: In the case of the elimination of customs duties on the date of entry into force of this Agreement, the most-favored-nation applied rate on April 1, 2009 shall be the Base Rate.

Note 2: In the case of originating goods specified with "G" in Column 5 of the Schedule of Japan in Annex 1, the Base Rate shall be replaced by the most-favored-nation applied rate on April 1, 2009.

(iii) the most-favored-nation applied rate of customs duty in effect on the day immediately preceding the date of entry into force of this Agreement.

Note: Upon the entry into force of this Agreement, the Parties shall exchange the most-favored-nation applied rate of customs duty in effect on the day immediately preceding the date of entry into force of this Agreement.

Article 31. Conditions and Limitations

1. No bilateral safeguard measure shall be maintained except to the extent and for such period of time as may be necessary to prevent or remedy serious injury and to facilitate adjustment, provided that such period of time shall not exceed a period of two years. However, in highly exceptional circumstances, if the competent investigating authorities determine in conformity with the procedures set out in Article 32, that the measure continues to be necessary to prevent or remedy serious injury and to facilitate adjustment and that there is evidence that the domestic industry is adjusting, a bilateral safeguard measure may be extended, provided that the total duration of the bilateral safeguard measure, including such extensions, shall not exceed three years.
2. In order to facilitate adjustment in a situation where the expected duration of a bilateral safeguard measure is over one year, the Party applying the bilateral safeguard measure shall progressively liberalize it at regular intervals during the period of application.
3. Upon the termination of a bilateral safeguard measure, the rate of customs duty for the originating good subject to the measure shall be the rate which would have been in effect but for the bilateral safeguard measure.
4. No bilateral safeguard measure shall be applied again to the import of a particular originating good which has been subject to such a bilateral safeguard measure, for a period of time equal to the duration of the previous bilateral safeguard measure or one year, whichever is longer.

Article 32. Investigating Procedures

1. A Party may apply a bilateral safeguard measure only after an investigation has been carried out by the competent investigating authorities of that Party in accordance with Article 3 and subparagraph 2(c) of Article 4 of the Agreement on Safeguards and to this end, Article 3 and subparagraph 2(c) of Article 4 of the Agreement on Safeguards are incorporated into and made part of this Agreement, mutatis mutandis.
2. The investigation referred to in paragraph 1 shall in all cases be completed within one year following its date of initiation.
3. In the investigation referred to in paragraph 1 to determine whether increased imports of an originating good have caused serious injury or threat of serious injury to a domestic industry under the terms of this Section, the competent investigating authorities of the Party which carry out the investigation shall evaluate all relevant factors of an objective and quantifiable nature having a bearing on the situation of that domestic industry, in particular, the rate and amount of the increase in imports of the originating good in absolute terms, the share of the domestic market taken by the increased imports of the originating good, and the changes in the level of sales, production, productivity, capacity utilization, profits and losses, and employment.
4. The determination that increased imports of an originating good have caused serious injury or threat of serious injury to a domestic industry shall not be made unless the investigation referred to in paragraph 1 demonstrates, on the basis of objective evidence, the existence of the causal link between increased imports of the originating good and serious injury or threat thereof. When factors other than the increased imports of the originating good are causing injury to the domestic industry at the same time, such injury shall not be attributed to the increased imports of the originating good.

Article 33. Provisional Bilateral Safeguard Measures

1. In critical circumstances, where delay would cause damage which it would be difficult to repair, a Party may apply a provisional bilateral safeguard measure, which shall take the form of the measure set out in paragraph 2 of Article 30, pursuant to a preliminary determination that there is clear evidence that increased imports of an originating good of the other Party have caused or are threatening to cause serious injury to a domestic industry of the former Party.
2. The duration of a provisional bilateral safeguard measure shall not exceed 200 days. During that period, the pertinent requirements of Articles 34 and 35 shall be met. The duration of the provisional bilateral safeguard measure shall be counted as a part of the period referred to in paragraph 1 of Article 31.
3. Paragraph 3 of Article 31 shall apply, mutatis mutandis, to a provisional bilateral safeguard measure. The customs duty imposed as a result of the provisional bilateral safeguard measure or its guarantees shall be refunded or liberated, in accordance with domestic laws and regulations, if the subsequent investigation referred to in paragraph 1 of Article 32 does not determine that increased imports of an originating good of the other Party have caused serious injury or threat of serious injury to a domestic industry.

Article 34. Notification

1. A Party shall immediately make a written notice to the other Party:
(a) upon initiating an investigation referred to in paragraph 1 of Article 32 relating to serious injury, or threat thereof, and the reasons for it;
(b) upon taking a decision to apply or extend a bilateral safeguard measure; and
(c) upon adopting a provisional bilateral safeguard measure.
2. The Party making the written notice referred to in paragraph 1 shall, in accordance with its laws and regulations, provide the other Party with all pertinent information, which shall include:
(a) in the written notice referred to in subparagraph 1(a), a summary of the reason for the initiation of the investigation, a precise description of the originating good subject to the investigation and its subheading under the Harmonized System, the period subject to the investigation and the date of initiation of the investigation; and
(b) in the written notice referred to in subparagraph 1(b), a summary of the evidence of serious injury or threat of serious injury caused by the increased imports of the originating good, a precise description of the originating good subject to the proposed bilateral safeguard measure and its subheading under the Harmonized System, a precise description of the proposed bilateral safeguard measure, and the proposed date of the introduction and expected duration of the bilateral safeguard measure.
3. A written notice referred to in paragraph 1 and any other communication between the Parties pursuant to this Section shall be made in the English language.
4. A Party shall provide the other Party with a copy of the public version of the report of its competent investigating authorities resulting from the investigation required under paragraph 1 of Article 32. This requirement is deemed to have been complied with if such report is made available on a publicly accessible website.

Article 35. Consultations and Compensation

1. Consultations between the Parties on the application of the provisional bilateral safeguard measure shall be initiated immediately after the provisional bilateral safeguard measure is applied.
2. A Party proposing to apply or extend a bilateral safeguard measure shall provide adequate opportunity for prior consultations with the other Party with a view to reviewing the information arising from the investigation referred to in paragraph 1 of Article 32, exchanging views on the bilateral safeguard measure and reaching an agreement on compensation set out in paragraph 3.
3. A Party proposing to apply or extend a bilateral safeguard measure shall provide to the other Party mutually agreed adequate means of trade compensation in the form of concessions of customs duties whose value is substantially equivalent to that of the additional customs duties expected to result from the bilateral safeguard measure.
4. If the Parties are unable to agree on the compensation within 30 days after the commencement of the consultations pursuant to paragraph 2, the Party to whose originating good the bilateral safeguard measure is applied shall be free to suspend the application of concessions of customs duties under this Agreement, which are substantially equivalent to the bilateral safeguard measure. The Party exercising the right of suspension may suspend the application of concessions of customs duties only for the minimum period necessary to achieve the substantially equivalent effects and only while the bilateral safeguard measure is maintained.
5. The Party exercising the right of suspension provided for in paragraph 4 shall notify the other Party in writing at least 30 days before suspending the application of concessions.

Article 36. Review

Except as otherwise agreed by the Parties, the Parties shall review the provisions of this Section, if necessary, after 10 years of the date of entry into force of this Agreement, in particular, with a view to determining whether there is a need to maintain the bilateral safeguard mechanism. Other Provisions

Article 37. Sub-committee on Trade In Goods

1. The Parties hereby establish a Sub-Committee on Trade in Goods (hereinafter referred to in this Article as "the Sub-Committee"). 2. The functions of the Sub-Committee shall be:
(a) reviewing and monitoring the implementation and operation of this Chapter;
(b) considering any other matter related to this Chapter as the Parties may agree;
(c) discussing any amendments to Annex 1, in accordance with the amendment of the Harmonized System to ensure that each Party's obligations under this Agreement shall not be altered;
(d) consulting on and endeavoring to resolve any difference related to the scope of application of this Chapter that may arise between the Parties;
(e) establishing, if necessary, ad hoc working groups to accomplish any specific tasks;
(f) reporting the findings of the Sub-Committee to the Commission; and
(g) other functions assigned by the Commission.
3. The Sub-Committee shall be composed of government officials of the Parties. 4. The Sub-Committee shall hold meetings, in principle, every two years, and at such times and venues or by means, as may be agreed by the Parties.

Chapter 3. Rules of Origin

Article 38. Definitions

For the purposes of this Chapter:
(a) The term "certification body" means an entity or a body designated or authorized to issue a Certificate of Origin by the competent authority of a Party, in accordance with its laws and regulations;
(b) The term "competent authority" means the authority that, in accordance with the laws and regulations of each Party, is responsible for the issuance of a Certificate of Origin or for the designation of certification bodies, for the authorization of approved exporters referred to in Article 58 and for the verification of information related to Proofs of Origin referred to in Article 66:
(i) in the case of Japan, the Ministry of Economy, Trade and Industry, or its successor; and
(ii) in the case of Peru, the Ministry of Foreign Trade and Tourism, or its successor;
(c) The term "exporter" means a person located in the exporting Party from where a good is exported by such person;
(d) The term "factory ships of the Party" or "vessels of the Party" respectively, means factory ships or vessels which:
(i) are registered in the Party;
(ii) sail under the flag of the Party; and
(iii) meet one of the following conditions:
(A) they are at least 50 percent owned by nationals of the Parties; or
(B) they are owned by a juridical person which has its head office and its principal place of business in either Party and which does not own any vessel or ship registered in a non-Party;
(e) The term "fungible goods" or "fungible materials" respectively, means goods or materials that are interchangeable for commercial purposes, whose properties are essentially identical;
(f) 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;
(g) The term "identical goods" means goods that are the same in all respects, including physical characteristics and quality, irrespective of minor differences in appearance that are not relevant to the determination of origin;
(h) The term "importer" means a person located in the importing Party from where a good is imported by such person;
(i) The term "material" means a good that is used in the production of another good, including any components, ingredients, raw materials or parts;
(j) The term "non-originating material" means a material which does not qualify as an originating good under this Chapter;
(k) The term "originating material" means a material that qualifies as originating under this Chapter;
(l) The term "packing materials and containers for shipment" means goods that are used to protect a good during transportation and shipment, other than packaging materials and containers for retail sale referred to in Article 49;
(m) The term "preferential tariff treatment" means the rate of customs duties applicable to an originating good of the exporting Party in accordance with paragraph 2 of Article 21;
(n) The term "producer" means a person who engages in the production of goods or materials;
(o) The term "production" means a method of obtaining goods including growing, raising, extracting, picking, gathering, breeding, mining, harvesting, fishing, trapping, capturing, collecting, hunting, manufacturing, processing and assembling; and
(p) The term "relevant authority" means:
(i) in the case of Japan, the Ministry of Finance, or its successor; and
(ii) in the case of Peru, the Ministry of Foreign Trade and Tourism, or its successor.

Article 39. Originating Goods

For the purposes of this Agreement, a good shall qualify as an originating good of a Party where:
(a) the good is wholly obtained or produced entirely in the Party, as defined in Article 40;
(b) the good is produced entirely in the Party exclusively from originating materials of the Party; or
(c) the good satisfies the product specific rules (change in tariff classification, qualifying value content or specific manufacturing or processing operation) set out in Annex 3, when the good is produced entirely in the Party using non-originating materials, and meets all other applicable requirements of this Chapter.

Article 40. Wholly Obtained Goods

For the purposes of subparagraph (a) of Article 39, the following goods shall be considered as wholly obtained or produced entirely in a Party:
(a) live animals, born and raised in the Party;
(b) goods obtained from live animals in the Party;
(c) goods obtained by hunting, trapping, fishing conducted within the baselines, or capturing in the Party;
(d) plants and plant products harvested, picked or gathered in the Party;
(e) minerals and other naturally occurring substances not included in subparagraphs (a) through (d) extracted or taken in the Party;
(f) goods of sea-fishing and other goods taken from the sea by vessels of the Party;

Note 1: For the purposes of this Chapter, goods of sea-fishing and other goods taken from the sea by vessels of a Party within 200 nautical miles from the baselines of the other Party shall be regarded as originating goods of the latter Party.

Note 2: Nothing in this Chapter shall be deemed to prejudice the positions of the respective Parties with respect to matters relating to the law of the sea.
(g) goods produced on board factory ships of the Party from the goods referred to in subparagraph (f);
(h) goods taken or extracted from the seabed or beneath the seabed outside the Party, provided that the Party has rights to exploit such seabed or subsoil in accordance with international law;
(i) waste and scrap derived from:
(i) manufacturing or processing operations conducted in the Party; or
(ii) used goods collected in the Party, provided that such waste and scrap are fit only for the recovery of raw materials; and
(j) goods obtained or produced in the Party exclusively from the goods referred to in subparagraphs (a) through (i).

Article 41. Qualifying Value Content

1. For the purposes of calculating the qualifying value content (QVC) of a good, the following formula shall be applied:
               FOB – VNM
QVC = ---------------------- x 100
                 FOB
where:
QVC: is the qualifying value content of a good, expressed as a percentage; FOB: is, except as provided for in paragraph 2, the free- on-board value of a good payable by the buyer of the good to the seller of the good, regardless of the mode of shipment, not including any internal excise taxes reduced, exempted, or repaid when the good is exported; and VNM: is the value of the non-originating materials used in the production of a good.
2. FOB referred to in paragraph 1 shall be:
(a) substituted with the first ascertainable price paid for a good from the buyer to the producer of the good, if there is free-on-board value of the good, but it is unknown and cannot be ascertained; or
(b) the value determined in accordance with Articles 1 through 8 of the Agreement on Customs Valuation, if there is no free-on-board value of a good.
3. For the purposes of paragraph 1, the value of the non- originating materials used in the production of a good in a Party shall be:
(a) in the case of a material imported directly by the producer of a good: the CIF value; or
(b) in the case of a material acquired by the producer in the Party:
(i) the CIF value; or
(ii) the transaction value, but may exclude all the costs incurred in the Party in transporting the material from the warehouse of the supplier of the material to the place where the producer is located such as freight, insurance and packing as well as any other known and ascertainable cost incurred in the Party in such transportation.

Note 1: For the purposes of this paragraph, the term "CIF value" means the customs value of the imported good in accordance with the Agreement on Customs Valuation and includes freight and insurance where appropriate, packing and all other costs incurred in transporting the material to the importation port in the Party where the producer of the good is located.

Note 2: For the purposes of this paragraph, the "transaction value" means the price actually paid or payable for a material with respect to a transaction of the producer of the material.
4. The Agreement on Customs Valuation shall apply, mutatis mutandis, for the purposes of calculating the value of a good or non-originating material referred to in subparagraphs 2(b) and 3(b).
5. For the purposes of this Article, the value of a non- originating material used in the production of a good in a Party shall not include the value of non-originating materials used in the production of originating materials of the Party which are used in the production of the good.

Article 42. Non-qualifying Operations

1. A good shall not be considered to be an originating good of a Party merely by reason of:
(a) operations to ensure the preservation of goods in good condition during transport and storage (such as drying, freezing, keeping in brine) and other similar operations;
(b) changes of packaging and breaking-up and assembly of packages;
(c) placing in bottles, cases, boxes and other packaging operations, including packing, unpacking or repacking operations for retail sale purposes;
(d) disassembly;
(e) collection of parts and components classified as a good pursuant to Rule 2(a) of the General Rules for the Interpretation of the Harmonized System;
(f) mere making-up of sets of articles; or
(g) any combination of operations referred to in subparagraphs (a) through (f).
2. Paragraph 1 shall prevail over the product specific rules set out in Annex 3.

Article 43. Accumulation

For the purposes of determining whether a good is an originating good of a Party:
(a) an originating good of the other Party which is used as a material in the production of the good in the former Party may be considered as an originating material of the former Party;
(b) the production in the other Party may be considered as that in the former Party; and
(c) the production carried out at different stages by one or more producers within the Party or in the other Party may be taken into account, when the good is produced using non-originating materials, provided that such good has undergone its last production process in the exporting Party and such production process goes beyond the operations provided for in Article 42.

Article 44. De Minimis

1. A good that does not satisfy a change in tariff classification requirement set out in Annex 3 shall be considered as an originating good of a Party if:
(a) in the case of a good classified under Chapter 1, 4 through 15, or 17 through 24 of the Harmonized System, the total value of non-originating materials used in the production of the good that have not undergone the required change in tariff classification does not exceed 10 percent of the FOB value of the good, determined pursuant to Article 41, and the non-originating material used in the production of the good is provided for in a subheading which is different from that of the good for which the origin is being determined under this Article;
(b) in the case of a good classified under Chapter 25 through 49, or 64 through 97 of the Harmonized System, the total value of non-originating materials used in the production of the good that have not undergone the required change in tariff classification does not exceed 10 percent of the FOB value of the good, determined pursuant to Article 41; or
(c) in the case of a good classified under Chapter 50 through 63, of the Harmonized System, the total weight of non-originating materials used in the production of the good that have not undergone the required change in tariff classification does not exceed 10 percent of the total weight of the good, provided that it meets all other applicable requirements set out in this Chapter for qualifying as an originating good.
2. The value of non-originating materials referred to in paragraph 1 shall, however, be included in the value of non-originating materials for any applicable qualifying value content requirement for the good.

Article 45. Unassembled or Disassembled Goods

1. Where a good satisfies the requirements of the relevant provisions of Articles 39 through 42 and is imported into a Party from the other Party in an unassembled or disassembled form but is classified as an assembled good pursuant to Rule 2(a) of the General Rules for the Interpretation of the Harmonized System, such a good shall be considered as an originating good of the other Party.
2. A good assembled in a Party from unassembled or disassembled materials, which were imported into the Party and classified as an assembled good pursuant to Rule 2(a) of the General Rules for the Interpretation of the Harmonized System, shall be considered as an originating good of the Party, provided that the good would have satisfied the applicable requirements of the relevant provisions of Articles 39 through 42 if each of the non- originating materials among the unassembled or disassembled materials had been imported into the Party separately and not as an unassembled or disassembled form.

Article 46. Fungible Goods or Materials

1. For the purposes of determining whether a good qualifies as an originating good of a Party, where fungible originating materials of the Party and fungible non- originating materials that are commingled in an inventory are used in the production of the good, the origin of the materials may be determined pursuant to an inventory management method under the Generally Accepted Accounting Principles in the Party.
2. Where fungible originating goods of a Party and fungible non-originating goods are commingled in an inventory and, prior to exportation do not undergo any production process or any operation in the Party where they were commingled other than unloading, reloading and any other operation to preserve them in good condition, the origin of the good may be determined pursuant to an inventory management method under the Generally Accepted Accounting Principles in the Party.
3. Once an inventory management method set out in paragraphs 1 and 2 has been chosen, it shall be used throughout the fiscal year or fiscal period of the person that selected the inventory management method.

Article 47. Sets

1. Sets classified pursuant to Rule 3 of the General Rules for the Interpretation of the Harmonized System and goods specifically described as sets in the nomenclature of the Harmonized System shall qualify as originating goods of a Party, where every good contained in the set qualifies as originating under this Chapter.
2. Notwithstanding paragraph 1, a set shall be considered as an originating good, if the value of all non-originating goods used in the set does not exceed 10 percent of the FOB value of the set determined pursuant to Article 41, and such set satisfies all other applicable requirements of this Chapter.
3. Provisions of this Article shall prevail over the product specific rules set out in Annex 3.

Article 48. Accessories, Spare Parts and Tools

Accessories, spare parts or tools delivered with a good at the time of importation that form part of the good's standard accessories, spare parts or tools:
(a) shall be disregarded in determining whether all the non-originating materials used in the production of a good have undergone the applicable change in tariff classification or a specific manufacturing or processing operation set out in Annex 3; and
(b) shall be considered as originating or non- originating materials, as the case may be, used in the production of the good in calculating the qualifying value content of the good, provided that the accessories, spare parts or tools are not invoiced separately from the good, whether or not they are separately described in the invoice; and that the quantities and value of the accessories, spare parts or tools are customary for the good.

Article 49. Packaging Materials and Containers for Retail Sale

1. Packaging materials and containers for retail sale, which are classified with the good, pursuant to Rule 5 of the General Rules for the Interpretation of the Harmonized System, shall be disregarded in determining the origin of the good, provided that:
(a) the good is wholly obtained or entirely produced as defined in subparagraph (a) of Article 39;
(b) the good is produced exclusively from originating materials, as defined in subparagraph (b) of Article 39; or
(c) the good has undergone the applicable change in tariff classification or a specific manufacturing or processing operation set out in Annex 3.
2. If a good is subject to a qualifying value content requirement, packaging materials and containers used for retail sale shall be considered as originating or non- originating materials of the good, as the case may be.

Article 50. Packing Materials and Containers for Shipment

Packing materials and containers for transportation and shipment of a good shall not be taken into account in determining the origin of the good.

Article 51. Indirect Materials

In order to determine whether a good qualifies as an originating good of a Party, it shall not be necessary to determine the origin of the following elements used in its production:
(a) fuel and energy;
(b) tools, dies and molds;
(c) spare parts and goods used in the maintenance of equipment and buildings;
(d) lubricants, greases, compounding materials and other goods used in production or used to operate equipment and buildings;
(e) gloves, glasses, footwear, clothing, safety equipment and supplies;
(f) equipment, devices and supplies used for testing or inspecting the good;
(g) catalysts and solvents; and
(h) any other goods that are not incorporated into another good but whose use in the production of the good can reasonably be demonstrated to be a part of that production.

Article 52. Consignment Criteria

1. An originating good of a Party shall be deemed to meet the consignment criteria when it is transported:
(a) directly from the exporting Party to the importing Party without passing through a non- Party; or
(b) from the exporting Party to the importing Party through one or more non-Parties for the purpose of transit, transshipment or temporary storage in warehouses in such non-Parties, provided that:
(i) it does not undergo operations other than unloading, reloading and any other operation to preserve it in good condition; and
(ii) the good remains under control of the customs authorities in such non-Parties.
2. If an originating good of a Party does not meet the consignment criteria referred to in paragraph 1, that good shall no longer be considered as an originating good of the Party.

Article 53. Proofs of Origin

For the purposes of this Chapter, the following documents shall be considered as Proofs of Origin:
(a) a Certificate of Origin referred to in Article 54; and
(b) an origin declaration referred to in Article 57.

Article 54. Certificate of Origin

1. A Certificate of Origin shall be issued by the competent authority of the exporting Party on application having been made by the exporter or, under the exporter's responsibility, by his authorized representative. 2. For the purposes of this Article, the competent authority of the exporting Party may designate, under the authorization given in accordance with the applicable laws and regulations of that Party, certification bodies for the issuance of a Certificate of Origin.
3. Each Party shall establish its form for the Certificate of Origin, which shall conform to the specimen provided for in Annex 4. The Certificate of Origin shall be completed in English by the exporter or, under the exporter's responsibility, by his authorized representative in accordance with the instructions provided for in the Overleaf Note for the Certificate of Origin in Annex 4.
4. A Certificate of Origin shall be issued by the time of shipment, except as provided for in Article 55.
5. The exporter applying for the issuance of a Certificate of Origin for a good shall be prepared to submit at any time, at the request of the competent authority of the exporting Party or its certification bodies which issue the Certificate of Origin, all appropriate documents proving that the good qualifies as an originating good of the exporting Party.
6. Where the exporter of a good is not the producer of the good in the exporting Party, the exporter may request a Certificate of Origin on the basis of:
(a) a declaration given by the exporter to the competent authority of the exporting Party or its certification bodies based on the information or a declaration provided by the producer of the good; or
(b) a declaration voluntarily given by the producer of the good directly to the competent authority of the exporting Party or its certification bodies at the request of the exporter.
7. A Certificate of Origin for a good shall be issued by the competent authority of the exporting Party or its certification bodies if the good can be considered as an originating good of the exporting Party.
8. The competent authority of the exporting Party or its certification bodies shall take any steps necessary to verify the qualification of the goods as originating goods of the exporting Party. For this purpose, they shall have the right to call for any evidence and to carry out any inspection of the documents or information relating to the originating status of the goods held by the exporter or producer referred to in this Article or any other check considered appropriate. They shall also ensure that the form referred to in paragraph 3 is duly completed.
9. The competent authority of each Party or its certification bodies shall number correlatively the Certificates of Origin issued.
10. An exporter to whom a Certificate of Origin for a good has been issued, or a producer referred to in subparagraph 6(b), shall promptly send a notification in writing of any change that could affect the accuracy or validity of the Certificate of Origin to the competent authority of the exporting Party, when such exporter or producer has reasons to believe that the Certificate of Origin contains incorrect information. The competent authority of the exporting Party shall, if it receives such notification, promptly notify the relevant authority of the importing Party, except where the Certificate of Origin has been returned by the exporter to the competent authority of the exporting Party or its certification bodies without being used for the purposes of claiming preferential tariff treatment.

Article 55. Certificate of Origin Issued Retrospectively

1. A Certificate of Origin may exceptionally be issued after shipment of the goods to which it relates if:
(a) it was not issued at the time of shipment because of errors or involuntary omissions or exceptional cases; or
(b) it is demonstrated to the satisfaction of the competent authority of the exporting Party that a Certificate of Origin was issued but was not accepted at importation for technical reasons.
2. Such Certificate of Origin shall bear the phrase "ISSUED RETROSPECTIVELY" in the Field 9.

Article 56. Issuance of a Duplicate Certificate of Origin

In the event of theft, loss or destruction of a Certificate of Origin before the expiration of its validity, the exporter may apply to the competent authority of the exporting Party or the certification body which issued it for a duplicate of the original Certificate of Origin on the basis of the export documents in their possession. The Certificate of Origin issued in this way shall bear in the Field 9 the phrase "DUPLICATE OF THE ORIGINAL CERTIFICATE OF ORIGIN NUMBER_DATED_". The duplicate Certificate of Origin shall be valid during the term of the validity of the original Certificate of Origin.

Article 57. Origin Declaration

1. An origin declaration referred to in subparagraph (b) of Article 53 may be made out, in accordance with this Article, only by an approved exporter provided for in Article 58.
2. An origin declaration may be made out only if the good concerned can be considered as an originating good of the exporting Party.
3. Where the approved exporter is not the producer of the good located in the exporting Party, an origin declaration for the good may be made out by the approved exporter on the basis of:
(a) information provided by the producer of the good to the approved exporter; or
(b) a declaration, given by the producer of the good to the approved exporter, that the good qualifies as an originating good of the exporting Party.
4. An approved exporter shall be prepared to submit at any time, at the request of the competent authority of the exporting Party, all appropriate documents proving that the good for which the origin declaration was made out qualifies as an originating good of the exporting Party.
5. The text of an origin declaration shall be as provided for in Annex 4. An origin declaration shall be made out in English by an approved exporter by typing, stamping or printing on the invoice, the delivery note or any other commercial document which describes the good concerned in sufficient detail to enable it to be identified. The origin declaration shall be considered to be made out on the date of the issuance of such commercial document.
6. An origin declaration for a good may be made out by the approved exporter by the time of or after the shipment of the good.
7. An approved exporter who has made out an origin declaration for a good shall promptly notify in writing to the competent authority of the exporting Party, when such approved exporter realizes that the good does not qualify as an originating good of the exporting Party. The competent authority of the exporting Party shall, if it receives such notification, promptly notify the relevant authority of the importing Party.

Article 58. Approved Exporter

1. The competent authority of the exporting Party may authorize an exporter located in the Party to make out an origin declaration as an approved exporter on condition that:
(a) the exporter makes frequent shipments of originating goods of the exporting Party;
(b) the exporter has sufficient knowledge and capability to make out an origin declaration appropriately and fulfils the conditions set out in the laws and regulations of the exporting Party; and
(c) the exporter gives the competent authority of the exporting Party a written undertaking that he accepts full responsibility for any origin declaration which identifies him as if it had been signed in manuscript by him.
2. The competent authority of the exporting Party shall allocate to the approved exporter an authorization number which shall appear on the origin declaration. The origin declaration does not have to be signed by the approved exporter.
3. The competent authority of the exporting Party shall ensure the proper use of the authorization by the approved exporter.
4. The competent authority of the exporting Party may withdraw the authorization at any time. It shall do so in accordance with the laws and regulations of the exporting Party where the approved exporter no longer fulfills the conditions referred to in paragraph 1 or otherwise makes an incorrect use of the authorization.

Article 59. Notifications

1. Upon entry into force of this Agreement, each Party shall provide the other Party with:
(a) the form of its Certificate of Origin; and
(b) a register of the names of the certification bodies and officials accredited to issue Certificates of Origin, as well as of the specimen signatures and impressions of stamps used in the offices of the competent authority or its certification bodies for the issuance of Certificates of Origin.
2. Any change to the register shall be notified in writing to the other Party. The change shall enter into force five days after the date of notification or in another later date indicated in such notification.
3. The competent authority of the exporting Party shall provide the importing Party with information on the composition of the authorization number and the names, addresses and authorization numbers of approved exporters and the dates from which the authorization comes into effect. Each Party shall notify the other Party any changes, including the date from which such changes come into effect.

Article 60. Claim for Preferential Tariff Treatment