for purposes of subparagraph 1(c), send a written request with a copy of the Proof of Origin and the reasons for the request to the competent authority of the exporting Party; and
for purposes of subparagraph 1(d), request the written consent of the exporter or producer whose premises are going to be visited, and the competent authority of the exporting Party and state the proposed date and location for the visit and its specific purpose.
3. On request of the importing Party, a verification visit to the premises of the exporter or producer may be conducted with the consent and assistance of the exporting Party, according to the procedures agreed between the importing Party and exporting Party.
4. For a verification under subparagraphs 1(a) through (d), the importing Party shall: (a) allow the importer, exporter, producer, or the issuing body or
(b)
competent authority of the exporting Party between 30 and 90 days from the date of receipt of the written request for information under subparagraphs 1(a) through (c) to respond;
allow the exporter, producer, or the competent authority to consent or refuse the request within 30 days from the date of its receipt of the written request for a verification visit under subparagraph 1(d); and
5 A verification visit under this subparagraph shall only be undertaken after a verification process in accordance with subparagraph (c) has been conducted.
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(c) make a determination following a verification within 90 days from the date of its receipt of the information necessary to make the determination.
5. For purposes of paragraph 1, the importing Party shall provide a written notification of the result of verification with the reasons for that result to the importer, exporter, or producer of the good, or the competent authority of the exporting Party that received the verification request.
6. The customs administration of the importing Party may suspend the application of preferential tariff treatment while waiting for the result of verification. The importing Party shall permit the release of the good, but may require that such release be subject to lodgment of a security in accordance with its laws and regulations.
Article 3.23. Denial of Preferential Tariff Treatment
1. The customs administration of the importing Party may deny preferential tariff treatment where:
(a) the good does not meet the requirements of this Chapter; or
(b) the importer, exporter, or producer of the good fails or has failed to comply with any of the relevant requirements of this Chapter for obtaining preferential tariff treatment.
2. If the customs administration of the importing Party denies a claim for preferential tariff treatment, it shall provide the decision in writing to the importer that includes the reasons for the decision.
3. The customs administration of the importing Party may determine that a good does not qualify as an originating good and may deny preferential tariff treatment where:
(a) the customs administration of the importing Party has not received sufficient information to determine that the good is originating;
(b) the exporter, producer, or the competent authority of the exporting Party fails to respond to a written request for information in accordance with Article 3.22; or
(c) the request for a verification visit in accordance with Article 3.22 is refused.
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Article 3.24. Minor Discrepancies or Errors
The customs administration of an importing Party shall disregard minor discrepancies or errors, such as slight discrepancies between documents, omissions of information, typing errors, or protrusions from the designated field, provided that these minor discrepancies or errors do not create doubt as to the originating status of the good.
Article 3.25. Record-Keeping Requirement 1. Each Party Shall Require That:
(a) its exporters, producers, issuing bodies, or competent authorities retain, for at least a period of five years from the date of issuance of the Proof of Origin, or a longer period in accordance with its relevant laws and regulations, all records necessary to prove that the good for which the Proof of Origin was issued was originating; and
(b) its importers retain, for at least a period of five years from the date of importation of the good, or a longer period in accordance with its relevant laws and regulations, all records necessary to prove that the good for which preferential tariff treatment was claimed was originating.
2. The records referred to in paragraph 1 may be maintained in any medium that allows for prompt retrieval, including in digital, electronic, optical, magnetic, or written form, in accordance with the Partyâs laws and regulations.
Article 3.26. Consultations
The Parties shall consult when necessary to ensure that this Chapter is administered effectively, uniformly, and consistently in order to achieve the spirit and objectives of this Agreement.
Article 3.27. Electronic Origin Data Exchange SystemThe Parties May Develop an Electronic Origin Data Exchange System to
ensure the effective and efficient implementation of this Chapter in a manner jointly determined by the Parties.
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Article 3.28. Transitional Provisions for Goods In Transit
A Party shall grant preferential tariff treatment to an originating good that, on the date of entry into force of this Agreement for that Party:
(a) was being transported to that Party in accordance with Article 3.9; or
(b) had not been imported into that Party,
if a valid claim under Article 3.20 for preferential tariff treatment is made within 180 days of the date of entry into force of this Agreement for that Party, subject to the submission to the customs administration of the importing Party of a Proof of Origin made out retrospectively, together with the documents showing that the goods have been transported directly in accordance with Article 3.9.
Article 3.29. Penalties
Each Party shall adopt or maintain appropriate penalties or other measures against violations of its laws and regulations relating to this Chapter.
Article 3.30. Communication Language
Communications between the importing Party and the exporting Party shall be conducted in the English language.
Article 3.31. Contact Points
Each Party shall, within 30 days from the date of entry into force of this Agreement, designate one or more contact points for the implementation of this Chapter and notify the other Party of the contact details of that contact point or those contact points. Each Party shall promptly notify the other Party of any change to those contact details.
Article 3.32. Supporting Documents of Direct Consignment for Purposes of Implementing Article 3.9, Where Transportation Is Effected Through the Territory of One or More Intermediate Countries, other Than That of
both Parties, the following shall be produced to the relevant government authorities of the importing Party:
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(a)
(b)
a through Bill of Lading issued in the territory of the exporting Party, which includes a combination of any transport documents covering the entire transport route of a good from the exporting Party to the importing Party; or
other relevant supporting documents, if any, as evidence that the requirements of Article 3.9 are being complied with.
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Chapter CHAPTER FOUR CUSTOMS PROCEDURES AND TRADE FACILITATION
Article 4.1. DefinitionsFor Purposes of this Chapter:
(a)
(b)
customs procedure means the measures applied by the customs administration to goods and to the means of transport that are subject to its customs laws and regulations; and
means of transport means various types of vessels, vehicles, and aircrafts which enter or leave the customs territory of a Party carrying natural persons, goods, or articles.
Article 4.2. ObjectivesThe Objectives of this Chapter Are to:
(a)
(b)
(c)
(d)
(e)
ensure predictability, consistency, and transparency in the application of customs laws and regulations of the Parties;
promote efficient administration of customs procedures of the Parties, and the expeditious clearance of goods;
simplify customs procedures of the Parties and harmonize them to the extent possible with relevant international standards;
promote cooperation between the customs administrations; and
facilitate trade between the Parties, including through a strengthened environment for global and regional supply chains.
Article 4.3. ScopeThis Chapter Shall Apply to Customs Procedures Applied to Goods Traded between the Parties and to the Means of Transport Which Enter or Leave the Customs Territory of Each Party.
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Article 4.4. Consistency
1. Each Party shall ensure that its customs laws and regulations are consistently implemented and applied throughout its customs territory.
2. In fulfilling the obligation in paragraph 1, each Party shall endeavor to adopt or maintain administrative measures to ensure consistent implementation and application of its customs laws and regulations throughout its customs territory, preferably by establishing an administrative mechanism which assures consistent application of the customs laws and regulations of that Party among its regional customs offices.
Article 4.5. Transparency 1. Each Party Shall Promptly Publish, on the Internet to the Extent Possible, the Following Information In a Non-discriminatory and Easily Accessible Manner In Order to Enable Governments, Traders, and other Interested Persons to Become Acquainted with Them: (a) Procedures for Importation, Exportation, and Transit (including Port, Airport, and other Entry-point Procedures), and Requiredforms and Documents;
(b) applied rates of duties and taxes of any kind imposed on or in connection with importation or exportation;
(c) fees and charges imposed by or for governmental agencies on or in connection with importation, exportation, or transit;
(d) rules for the classification or valuation of products for customs purposes;
(e) laws, regulations, and administrative rulings of general application relating to rules of origin;
3) import, export, or transit restrictions or prohibitions;
(g) penalty provisions for breaches of import, export, or transit formalities;
(h) procedures for appeal or review;
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@ agreements to which it is party, or parts thereof with any country or countries relating to importation, exportation, or transit; and
@ procedures relating to the administration of tariff quotas. 2. In particular, each Party shall make available, and update to the extent
possible and as appropriate, the following through the internet:
(a)
(b)
(c)
a descriptionâ of its procedures for importation, exportation, and transit, including procedures for appeal or review, that informs governments, traders, and other interested persons of the practical steps needed for importation, exportation, and transit;
the forms and documents required for importation into, exportation from, or transit through the territory of that Party; and
contact information for the inquiry points as well as information on how to make inquiry on customs matters as provided for in Article 4.6.
3. To the extent possible, when developing new, or amending existing, customs laws and regulations, each Party shall publish, or otherwise make readily available such proposed new or amended customs laws and regulations and provide a reasonable opportunity for interested persons to comment on the proposed customs laws and regulations, unless such advance notice is
precluded.
Article 4.6. Inquiry PointsEach Customs Administration Shall Designate One or More Inquiry Points to Answer Reasonable Inquiry of Interested Persons Concerning Customs Matters and to Facilitate Access to Forms and Documents Required for Importation, Exportation, and Transit.
Article 4.7. Customs Procedures' Bach Party Has the Discretion to State on Its Website the Legal Limitations of this Description.
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1. Each customs administration shall ensure that its customs procedures and practices are predictable, consistent, and transparent, and facilitate trade, including through the expeditious clearance of goods.
2. Each customs administration shall ensure that its customs procedures, where possible and to the extent permitted by its customs laws and regulations, conform with the standards and recommended practices of the World Customs Organization.
3. The customs administration shall review its customs procedures with a view to simplifying such procedures to facilitate trade.
Article 4.8. Preshipment Inspection
1. Each Party shall not require the use of preshipment inspections in relation to tariff classification and customs valuation.
2. Without prejudice to the rights of any Party to use other types of preshipment inspection not covered by paragraph 1, each Party is encouraged not to introduce or apply new requirements regarding their use.
3. Paragraph 2 refers to preshipment inspections covered by the Agreement on Preshipment Inspection in Annex 1A to the WTO Agreement, and does not preclude preshipment inspections for sanitary and phytosanitary purposes.
Article 4.9. Advance Rulings
1. Each Party shall, prior to the importation of a good from a Party into its territory, issue a written advance ruling to an importer, exporter, or any person with a justifiable cause, or a representative thereof, who has submitted a written request containing all necessary information, with regard to:
(a) tariff classification;
(b) whether the good is an originating good in accordance with Chapter Three (Rules of Origin);
(c) the appropriate method or criteria, and the application thereof, to be used for determining the customs value under a particular set of facts, in accordance with the Customs Valuation Agreement; and
(d) such other matters as the Parties may agree.
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2. A Party may require that an applicant have legal representation or registration in that Party. To the extent possible, such requirements shall not restrict the categories of persons eligible to apply for advance rulings, with particular consideration for the specific needs of small and medium enterprises. These requirements shall be clear and transparent and not constitute a means of arbitrary or unjustifiable discriminationâ
3. Each Party shall adopt or maintain procedures for issuing advance rulings which:
(a) specify the information required to apply for an advance ruling;
(b) provide that each Party may at any time during the course of an evaluation of an application for an advance ruling, request that the applicant provide additional information, which may include a sample of the goods, necessary to evaluate the application;
(c) ensure that an advance ruling is based on the facts and circumstances presented by the applicant and any other relevant information in the possession of the decision-maker; and
(d) ensure that the advance ruling includes the relevant facts and the basis for its decision.
4. Each Party shall issue an advance ruling within 90 days on receipt of all necessary information.
5. A Party may decline to issue an advance ruling if the facts and circumstances forming the basis of the advance ruling are the subject of administrative or judicial review. A Party that declines to issue an advance ruling shall promptly notify the applicant in writing, setting forth the relevant facts, circumstances, and the basis for its decision to decline to issue the advance ruling.
? On request of a Party, the Parties may review the requirements of this paragraph in terms of their contribution towards the trade facilitation through the Committee on Rules of Origin and Customs Procedures.
3 Bach Party shall ensure that its registration process is transparent, applications are
considered in a timely manner, and the decision made on an application, and the reasons for it, are promptly advised to the applicant in writing.
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6. A Party may reject a request for an advance ruling where the additional information requested, in writing, in accordance with subparagraph 3(b) is not provided within a reasonable and specified period, which is determined at the time of the request for additional information and the Party requests the additional information from the applicant in writing.
7. Each Party shall establish a validity period for an advance ruling of three years from the date of its issuance.
8. Where a Party revokes, modifies, or invalidates an advance ruling, it shall promptly provide a written notice to the applicant setting out the relevant facts and the basis for its decision, where:
(a) there is a change in its laws, regulations, or administrative tules;
(b) incorrect information was provided or relevant information was withheld;
(c) there is a change in a material fact or circumstances on which the advance ruling was based; or
(d) the advance ruling was in error.
9. Where a Party revokes, modifies, or invalidates an advance ruling with retroactive effect, it may only do so where the ruling was based on incomplete, incorrect, false, or misleading information.
10. Each Party may make publicly available any information on advance rulings which it considers to be of significant interest to other interested parties, taking into account the need to protect commercially confidential information.
Article 4.10. Release of Goods
1. The customs administration of each Party shall adopt or maintain simplified customs procedures for the efficient release of goods in order to facilitate trade between the Parties. This paragraph shall not require a Party to release a good if its requirements for release have not been met.
2. Pursuant to paragraph 1, each Party shall adopt or maintain procedures
that allow the goods to be cleared from customs within a period no longer than that required to ensure compliance with its customs law.
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3, For goods selected for further examination, such an examination shall be limited to what is reasonable and necessary, and undertaken and completed without undue delay.
4. Each Party shall adopt or maintain procedures allowing the release of goods, prior to the final determination of customs duties, taxes, fees, and charges if such determination is not done prior to, or upon arrival or as rapidly as possible after arrival and provided that all other regulatory requirements have been met. As a condition for such release, a Party may require a guarantee in accordance with its laws and regulations that does not exceed the amount the Party requires to ensure payment of customs duties, taxes, fees, and charges ultimately due for the goods covered by the guarantee.
5. With a view to preventing avoidable loss or deterioration of perishable goods, and provided that all regulatory requirements have been met, each Party may provide for the release of perishable goods from customs control:
(a) under normal circumstances in the shortest possible time; and
(b) in exceptional circumstances where it would be appropriate to do so, outside the business hours of its customs administration.
6. Each Party may give appropriate priority to perishable goods when scheduling any examinations that may be required.
7. Each Party may either arrange or allow an importer to arrange for the proper storage of perishable goods pending their release. Each Party may require that any storage facilities arranged by the importer have been approved or designated by its relevant authorities. The movement of the goods to those storage facilities, including authorizations for the operator moving the goods, may be subject to the approval, where required, of the relevant authorities. Each Party may, where practicable and consistent with domestic legislation, on the request of the importer, provide for any procedures necessary for release to take place at those storage facilities.
Article 4.11. Risk Management
1. Each Party shall adopt or maintain a risk management approach and techniques for customs control.
2. Each Party shall design and apply risk management in a manner so as
to avoid arbitrary or unjustifiable discrimination, or disguised restrictions on international trade.
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3. Each Party shall concentrate customs control and, to the extent possible other relevant border controls, on high risk consignments and expedite the release of low risk consignments. Each Party may also select, on a random basis, consignments for such controls as part of its risk management.