World Bank Andean FTA Rules of Origin Video Conference: Textiles

1
World Bank Andean FTA Rules of Origin Video
Conference Textiles ApparelJune 16th, 2005

• Brian Rankin Staples
• Trade Facilitation Services
• Ottawa Canada

2
Rules of Origin

• Rules of origin versus the origin of rules.
• Primary issues of concern and lesson learnt
  some detailed examples.
  
• Origin Policy under NAFTA non-traditional
  alliances including textiles and apparel.
  

3
Rules of Origin

• The role of the Harmonized System and customs
  authorities (Costa Rica).
  
• Understanding the regional production process and
  tariff elimination sequencing.
  
• Common and Uniform Regulations.

4
Rules of Origin

• High tariff inputs versus low tariff inputs and
  the role of drawback (mens suits, the Designer
  Remission Order, the CITT).
  
• Origin certification issues.
• Inventory management and the tariff shift rules
  for textiles and apparel.
  

5
Rules of Origin

• The need for specialization fashion, fine
  animal hairs, high-end knit cotton shirts.
  
• Trade facilitation and technical assistance
  (advance rulings, TRQ/TPL administration).
  
• Specific considerations in US-Chile, NAFTA and
  CAFTA.

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Rules of Origin

• Free trade zones and 27.4 of the SCM.
• Duty drawback and CAFTA refund regime.
• Safeguard Measures transitional, can be threat
  based, MFN levels, competent authority, other
  constraints and compensation.
  

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Rules of Origin

• Customs cooperation investigate claims even
  where no preference claimed.
  
• Sanctions against goods exported and exporter.
• Origin modification short supply and de
  minimis

8
Rules of Origin

• Outward processing value for duty.
• Country specific TPL Costa Ricas wool apparel
  and Nicaraguas descending SME
  
• Visible linings and thread rules.
• Records, Appeals, Advance Rulings.

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Rules of Origin

• Tariff classification concordance.
• Detailed short supply list.
• Cumulation Mexico and Canada and between
  producers.
  
• Thank-you.