VCR = [(VM - VMN) / VM] * 100
Where:
VCR: is the regional value content, expressed as a percentage;
VM: is the transaction value of the adjusted on a good basis
FOB, except as provided in paragraph 2. in the event that there is no value or cannot be determined according to the principles of article 1 of the Customs Valuation Agreement; the same shall be calculated in accordance with the principles of articles 2 to 7 of this Agreement; and
VMN: is the transaction value of non-originating materials
Adjusted on a CIF basis, except as provided in paragraph 5. in the event that there is no value or cannot be determined according to the principles of article 1 of the Customs Valuation Agreement; the same shall be calculated in accordance with the principles of articles 2 to 7 of this Agreement.
2. When the good is not a producer of the exported directly, the value shall be adjusted to the point at which the buyer receives the good within the territory where the producer is located.
3. When the origin is determined by the method of regional value content, the percentage required specified in annex 4.03.
4. All costs considered for the calculation of regional value content shall be recorded and maintained in accordance with generally accepted accounting principles applicable in the territory of the Party where the good is produced.
5. When the producer of a good acquires a non-originating material in the territory of the party where it is located, the value of a non-originating material shall not include freight and insurance costs, packing and all other costs incurred in transporting the material from the warehouse of the supplier to the place where the producer is located.
6. For purposes of calculating the regional value content of the value of the non-originating materials used in the production of a good shall not include the value of non-originating materials used in the production of material acquired and used an originating in the production of that good.
Article 4.08. De Minimis
1. A good that does not satisfy a change in tariff classification as set out in annex 4.03 originating, shall be considered if the value of all the non-originating materials which do not meet the requirement change tariff classification used in production does not exceed eight per cent (8 per cent) of the value of the good determined pursuant to article 4.07.
2. In the case of goods classified in Chapters 50 to 63 of the Harmonized System, the percentage indicated in paragraph 1 shall relate to the weight of fibers and yarns with respect to the weight of the goods produced.
3. Paragraph 1 does not apply to a non-originating material used in the production of goods falling within chapters 01 to 24 of the Harmonized System unless the non-originating material is included in a different subheading than the good for which the origin is being determined under this article.
Article 4.09. Consumable Goods
1. Where in the development or production of goods are used and non-originating fungible goods originating, the origin of these goods may be determined by one of the inventory management methods, at the choice of the producer:
a) Method of first in, first out (FIFO);
b) Method of last in, first out (UEPs); or
c) Average method.
2. Where originating and non-originating fungible goods are physically combined in mixed or inventory, and prior to their exportation do not undergo any production process or any other operation in the territory of the Party in which they were physically mixed or combined, other than reloading unloading, or any other movement necessary to maintain the goods in good condition or to transport in the territory of another party, the origin of the good may be determined by one of the inventory management methods.
3. Selected once one of the inventory management methods, it shall be used throughout the fiscal year or period.
Article 4.10. Sets or Assortments of Goods
1. The games or sets of goods that are classified pursuant to rule 3 of the general rules for the interpretation of the Harmonized System. as well as goods whose description according to the nomenclature of the Harmonized System is specifically that of a set or assortment, calificarán as originating, provided that each of the goods in the set or assortment complies with the established rules of origin in this chapter and in annex 4.03.
2. Notwithstanding paragraph 1. a set or assortment of goods originating shall be considered if the value of all non-originating goods used in the training of the Set assortment or does not exceed the percentage specified in Article 4.08 (1) in respect of the value of the Set or assortment adjusted on the basis indicated in article 4.07 (1) or (2), as the case may be.
3. The provisions of this article shall prevail over the specific rules established in annex 4.03.
Article 4.11. Accessories, Spare Parts and Tools
1. Spare parts and accessories, tools delivered with the good as a normal part thereof shall not be taken into account in determining whether all the non-originating materials used in the production of a good satisfy the applicable change in tariff classification set out in annex 4.03, provided that:
a) Accessories, spare parts and tools are not invoiced separately from the good regardless of whether they are disaggregated or detail each in the invoice; and
b) The quantity and value of the accessories, spare parts and tools are customary for the goods that are the subject of classification.
2. If the good is subject to a regional value content requirement, accessories, spare parts and tools shall be considered as originating or non-originating materials as the case may be in calculating the regional value content of the good.
3. A accessories, spare parts and tools that do not meet the conditions mentioned above shall apply the rule of origin for each of them separately.
Article 4.12. Containers and Packaging Materials In Which a Good Is Presented for Retail Sale
1. Where the packaging materials and containers in which a good is submitted for retail sale are classified in the Harmonized System as containing goods, shall not be taken into account in determining whether all the non-originating materials used in the production of the good satisfy the applicable change in tariff classification set out in annex 4.03.
2. If the good is subject to a regional value content requirement, containers and packaging materials shall be considered as originating or non-originating, as the case may be in calculating the regional value content of the good.
Article 4.13. Packing Materials and Containers for Shipment
Packing materials and containers for shipment in which the goods for carriage empaca shall not be taken into account for purposes of establishing whether:
a) Non-originating materials used in the production of the good satisfy the applicable change in tariff classification set out in annex 4.03; and
b) The good satisfies a regional value content requirement.
Article 4.14. Transhipment and Direct Consignment or International Transit
1. Originating not lose when such goods exported from one party to the other party and to transport their passing through the territory of any other Party or non-Party provided that they comply with the following requirements:
a) The transit is justified by reasons or by geographical considerations related to international transport requirements;
b) It is not intended to use or trade, employment in the country of transit; or
c) During transport and storage is processed or not undergo operations other than packaging, handling, packaging, reempaque manipulation or to ensure the conservation; and
d) Remain under the control or monitoring of the customs authority in the territory of a country that is a Party or non-Party.
2. Otherwise, the goods lost their character as originating.
Chapter 5. Customs Procedures
Article 5.01. Definitions
1. For purposes of this chapter:
The competent authority: that according to the legislation of each party is responsible for the administration and enforcement of its customs laws and regulations, and / or the administration and / or implementation of this chapter and chapters 3 (National Treatment and access of goods to the market) and (4) Rules of Origin, and the uniform regulations, which is originating. in the uniform regulations shall specify the competent authorities of each party;
Exporter means a person located in the territory of a Party from which the good was exported by it and that is required to maintain the Party in the territory of the records referred to in article 5.04 (5);
Import trading: the importation of a good into the territory of a Party for the purpose of sale or use it for commercial purposes, industrial or similar;
Importer means a person located in the territory of a Party from where the good is
Imported by it, and that is required to maintain the Party in the territory of the records referred to in article 5.03 (4);
Identical goods: identical goods as defined in the agreement on customs valuation;
Procedure for verifying the origin: administrative process that began with the notice of initiation of investigations by the competent authority of a party and concludes with the final resolution of a determination of origin;
Producer means a person who cultivate, extract, crop farming, fishing, hunting, manufacture, processing or assembles a good located in the territory of a party who is obliged to remain in the territory of the party the records referred to in article 5.04 (5);
Resolution of: a determination of origin issued as a result of the resolution procedure to verify the origin, whether establishing a good qualifies as originating in accordance with chapter 4 (rules of origin); and
Preferential tariff treatment: the application of tariff rate corresponding to goods originating according to the schedule of tariff relief.
2. Except as set out in this article are incorporated into this chapter the definitions established in Chapter 4 (rules of origin).
Article 5.02. Certificate of Origin and Declaration
1. From the date of Entry into Force of this Treaty, the Parties shall develop a single form for the certificate of origin and a single format for the declaration of origin, which may be amended by agreement between the parties.
2. The certificate of origin referred to in paragraph 1 shall serve to certify that a good being exported from the territory of one party to the territory of another party qualifies as
Originating. the certificate shall be valid for a maximum of two (2) years from the date of its signature.
3. Each Party shall provide its exporters that complete and sign a certificate of origin for the exportation of a good for which an importer may claim preferential tariff treatment.
4. Each Party shall provide that:
a) Where an exporter is not the producer of the good, complete and sign the certificate of origin on the basis of:
i) Its knowledge of whether the good qualifies as originating;
ii) The reasonable reliance on the producer written declaration that the good qualifies as originating; or
iii) The declaration of origin referred to in paragraph 1; and
b) The declaration of origin that covers the goods to be exported is filled out and signed by the producer of the good and voluntarily provided to the exporter. the declaration shall be valid for a maximum of two (2) years from the date of its signature.
5. Each Party shall provide that a Certificate of Origin filled and signed by the exporter in the territory of another party cover:
a) A single importation of goods or one or more;
b) Several importations of identical goods to be undertaken by the same importer, within a specific time limit established by the exporter in the certificate, which shall not exceed twelve (12) months.
Article 5.03. Obligations with Respect to Imports
1. Each Party shall require an importer claiming preferential tariff treatment for a good imported into its territory from the territory of another party that:
a) A written declaration in the importation document required by its laws, based on a valid certificate of origin, that the good qualifies as originating;
b) The certificate of origin in its possession at the time the declaration referred to in subparagraph (a);
c) Provide a copy of the certificate of origin if requested by the competent authority; and
d) This, without delay, a declaration and the corrected pay corresponding customs tariffs, if it has reason to believe that the certificate of origin in its import declaration contains incorrect information. when the importer complies with the obligations shall not be penalized.
2. Each Party shall provide that where an importer in its territory fails to comply with any of the requirements established in this chapter, deny the preferential tariff treatment for goods imported from the territory of the other party.
3. Each Party shall provide that where the importer has not request preferential tariff treatment for a good imported into its territory that is qualified as originating, it shall, within one (1) year from the date of importation, request the return of customs duties paid in excess of not having been granted preferential tariff treatment to the goods, provided that the certificate of origin in its possession and the application is accompanied by:
a) Expressing a written declaration that the good qualified as originating at the time of importation;
b) A copy of the certificate of origin; and
c) Any other documentation relating to the importation of the goods,
Required by that Party.
Each Party shall provide that where an importer requesting preferential tariff treatment for a good imported into its territory from the territory of another party, retained for a minimum period of five (5) years after the date of importation, the certificate of origin and all other documentation relating to the importation required by the importing Party.
Article 5.04. Obligations with Regard to Exports
1. Each Party shall provide that its exporter or producer that has completed and signed a declaration or certificate of origin shall deliver a copy of the certificate of origin or declaration to its competent authority upon request.
2. Each Party shall provide that its exporter or producer that has completed and signed a declaration or certificate of origin and has reason to believe that the certificate or declaration contains incorrect information, and without delay notify in writing of any change that could affect the accuracy or validity of the Declaration or certificate of origin to all persons to whom he re-delivered Declaration or the certificate of origin, as the case may be, as well as to its competent authority. in such cases the producer or exporter shall not be liable for having submitted an incorrect certificate or declaration.
3. Each Party shall provide that the competent authority of the exporting Party shall notify in writing to the competent authority of the importing Party on the notification referred to in paragraph 2.
4. Each Party shall provide that the certificate of origin or false declaration made by its exporter or producer that a good to be exported to the territory of another party qualifies as originating, is similar, with such modifications as circumstances require that those that would apply to an importer that makes a false declarations or statements in contravention of its customs laws and regulations or other applicable.
5. Each Party shall provide that its exporter or producer who filled and signed a declaration or certificate of origin retained for a minimum period of five (5) years after the date of signature or certificate of this Declaration, all records and documents related to the origin of the goods, including those relating to:
The acquisition, costs, the value and payment for the good that is exported from its territory;
The acquisition, costs, the value and payment of all, including the indirect materials used in the production of the good that is exported from its territory; and
The production of the good in the form in which it was exported from its territory.
Article 5.05. Exceptions
Provided that they do not form part of two or more imports or seek for the purpose of avoiding the certification requirements of articles and 5.02 5.03, a Party shall not require a certificate of origin in the following cases:
a) In the case of a commercial importation of a good whose customs value does not exceed one thousand United States dollars (US $1,000 or its equivalent in national currency or a higher amount as that party may establish, but may require that the commercial invoice contains or be accompanied by a statement from the importer or exporter that the good qualifies as originating;
b) In the case of a non-commercial importation of a good whose customs value does not exceed one thousand United States dollars (US $1,000 or its equivalent in national currency or a higher amount as that party may establish; or
c) Where an importation of a good for which the importing Party has waived the requirement for a certificate of origin.
Article 5.06. Invoicing by a Third-country Operator
When the goods that are the subject of trade is invoiced by an operator of a third country that is a party or non-party, the producer or exporter of the country of origin shall draw on the certificate of origin, in the remarks "" box on which the goods subject to its statement shall be invoiced from that third country and identify the name, the name and address of the operator shall ultimately invoiced the operation of destination.
Article 5.07. Confidentiality
Each Party shall maintain in accordance with its laws, the confidentiality of the information that is such that has been obtained pursuant to this chapter and shall protect from any disclosure.
The confidential information collected pursuant to this chapter may be disclosed only to those authorities responsible for the administration and enforcement of determinations of origin of tax and customs matters or in accordance with the legislation of each party.
Article 5.08. Procedures for Verification of Origin
1. The importing Party may request information from the exporting Party to determine the origin of a good.
2- In determining whether a good imported from the territory of the other party under preferential tariff treatment qualifies as originating, the importing Party may, through its competent authority to verify the origin of the good through:
Written questionnaires and requests for information to an exporter or producer of the exporting Party;
Visits to the premises of the exporter or producer in the territory of the exporting Party to review the records and documents referred to in article 5.04 (5), in addition to inspect the facilities and materials or products that are used in the production of the goods; and
Other procedures as agreed by the parties.
3. The exporter or producer who receives a questionnaire under paragraph 2 (a) shall fill and return it within a period of thirty (30) days from the date on which it is received. during this period the exporter or producer may one-time request in writing to the importing Party extension, which may not exceed thirty (30) days.
4. In the event that the exporter or producer does not return the questionnaire duly responded within the time allowed or during its extension, the importing Party may deny preferential tariff treatment.
5. Prior to conducting a verification visit pursuant to paragraph 2 (b), the importing Party shall be bound, through its competent authority to notify in writing of its intention to conduct the visit. the notification shall be sent to the exporter or producer to be visited, the competent authority of the Party in whose territory the visit and, if so requested, to the embassy of that Party in the territory of the importing Party. the competent authority of the importing Party shall obtain the written consent of the exporter or producer who seeks to visit.
6. The notification referred to in paragraph 5 shall contain:
a) The identification of the competent authority making the notification;
b) The name of the exporter or producer to be visited;
c) Date and place of the proposed verification visit;
d) Subject matter and scope of the proposed verification visit, with specific reference to the good or goods subject to verification;
e) Identification and titles of the officials who shall carry out the verification visit; and
f) The legal authority for the verification visit.
7. If within thirty (30) days after the date of receipt of the notification of the proposed verification visit according to paragraph 5, the exporter or producer has not given its written consent for the same, the importing Party may deny preferential tariff treatment to the good or goods that would have been the subject of the verification visit.
8. Each Party shall provide that when the exporter or producer receives notification pursuant to paragraph 5 shall, within fifteen (15) days after the date of receipt of the notification, request, once the postponement of a verification visit
Proposal for a period not exceeding sixty (60) days from the date on which the notification was received, or for a longer period as may be agreed by the parties. for this purpose, it shall notify the postponement of the visit to the competent authority of the importing Party and the exporting Party.
9. A Party shall not deny preferential tariff treatment based solely on the postponement of a verification visit pursuant to paragraph 8.
10. Each Party shall permit the exporter or producer whose goods are the subject of a verification visit to designate two observers to be present during the visit provided solely to intervene in that capacity. not observers designated by the exporter or producer that omission shall not result in the postponement of the visit.
11. Each Party shall verify compliance with the requirements of the regional value content of the de minimis calculation or any other measure contained in chapter 4 (rules of origin) through its competent authority in accordance with the generally accepted accounting principles applicable in the territory of the Party from which the good was exported.
12. Within the procedure to verify the origin, the competent authority shall provide the exporter or producer whose goods are the subject of the verification with a written determination of whether or not the good qualifies as originating, including findings of fact and the legal basis for the determination.
13. Where a verification by a party establishes that the exporter or producer has certified or certified more than once in a false or unfounded, that a good qualifies as originating, the importing party may suspend preferential tariff treatment to identical goods produced or exported by the same until such person proves that complies with the provisions of chapter 4 (rules of origin).
14. Each Party shall provide that where its competent authority determines that a good imported into its territory qualifies as originating in accordance with the tariff classification or the value applied by the Party to one or more materials used in the production of the good, and this differs from the tariff classification or value applied to the materials by the Party from whose territory the good was exported, the resolution of the importing Party shall not take effect until it notifies in writing the importer of both the good and the person that completed and signed the certificate of origin is protected.
15. A Party shall not apply a determination made under paragraph 11 to an importation made before the date on which this decision takes effect, provided that:
a) The competent authority from whose territory the good was exported has issued an advance ruling pursuant to article 5.09, or any other ruling on the tariff classification or value of materials in which a person is entitled to rely; and
b) The aforementioned resolutions are prior to the notice of initiation of verification of origin.
Article 5.09. Resolution Advance
1. Each Party shall provide that through its competent authority shall grant expeditiously advance written rulings prior to the importation of a good into its territory. advance rulings shall be issued by the competent authority of the importing party at the request of the importer, or the exporter or producer in the territory of the other Party on the basis of the facts and circumstances expressed by the same with respect to:
a) Whether a good qualifies as originating in accordance with chapter 4 (rules of origin);
b) If the non-originating materials used in the production of a good satisfy the applicable change in tariff classification set out in annex 4.03 (specific rules of origin);
c) If the good complies with the regional value content established in Chapter 4 (rules of origin);
d) Whether the method applied by an exporter or producer in the territory of the other party, in accordance with the principles of the Customs Valuation Agreement for calculating the value of the good or of the materials used in the production of a good for which an advance ruling is suitable for determining whether the good complies with the regional value content requirement under rules of origin (chapter 4);
e) Whether a good re-enters that its territory after having been exported from its territory to the territory of another party to be repaired or altered qualifies for preferential tariff treatment in accordance with Article (0307 re-imported goods after having been repaired or altered); and
f) Other matters as the parties may agree.
2. Each Party shall adopt or maintain procedures for the issuance of advance rulings, including:
a) The information reasonably required to process an application;
b) The competent authority may at any time request for additional information from the person requesting the advance ruling during the process of evaluating the application;
c) The obligation of the competent authority to issue the advance ruling after it has obtained all necessary information from the person requesting it; and
d) The obligation of the competent authority to issue comprehensively, grounds and reasons for the advance ruling.
3. Each Party shall apply to an advance ruling importations into its territory beginning on the date of the issuance of the resolution, or on a later date indicated in itself, except that the advance ruling was modified or revoked according to paragraph 5.
4. Each Party shall provide to any person requesting an advance ruling the same treatment including the same interpretation and application of the provisions of article (0307 re-imported goods after having been repaired or altered) and chapter 4 (a) Rules of Origin regarding determination of origin that has provided to any other person to whom it issued an advance ruling when facts and circumstances are identical in all substantial aspects.