What are the differences between my country’s preferential rules of origin and non-preferential rules of origin
Preferential rules of origin are one of the main contents of the free trade agreement. As the result of the game between the negotiating parties, preferential rules of origin must not only maximize the interests of the country but also achieve a win-win situation with all negotiating parties. Therefore, they are very different from non-preferential rules of origin.
Legal Basis
Take our country as an example, "The Place of Origin of Imported and Exported Goods of the People's Republic of China" Regulations (hereinafter referred to as the "Origin Regulations") is the main legal document regulating non-preferential rules of origin. Preferential rules of origin are bilateral or multilateral international agreements, and their domestic laws are reflected in customs regulations.
Applicability
Preferential rules of origin are for the purpose of implementing country-specific preferential (tariff) policies The formulated rules of origin, such as those applicable between free trade agreement member states, fall into this category; non-preferential rules of origin are applicable to other purposes besides this, including the implementation of most-favored nation treatment.
Specific content of origin standards
Preferential rules of origin and non-preferential rules of origin In terms of origin standards, they can be divided into "fully obtained standards" and "incompletely obtained standards", but the specific contents of these two standards are different.
About complete acquisition of standards
The general requirement of complete acquisition of standards means that products are exported completely obtained or produced by the country. Both non-preferential rules of origin and preferential rules of origin express this standard in a classified manner. Large categories generally include plants (or agricultural products) and their products, animals and their products, minerals, aquatic products or seafood, Other naturally occurring items, scrap items or recycled items, etc., but each category has subtle differences, and the economic benefits behind these nuances can be huge.
For example, for fish products obtained outside the territorial waters of a specific country, the requirements of non-preferential rules of origin are "marine catches and other items obtained from waters outside the territorial waters by ships legally flying the flag of that country" and in Products obtained by processing the aforementioned items on a processing ship that legally flies the flag of that country. Preferential rules of origin have more requirements. For example, in terms of entities, they are generally limited to being registered or registered in a member country and flying or having the right to fly its flag. ships, natural persons or legal persons of member states, etc.; in terms of geographical scope, it is generally required to be the waters, seabed or seabed subsoil outside the territorial waters of member states, as well as the applicable domestic areas of member states in accordance with relevant international agreements concluded by them. Territorial waters determined by law, exclusive economic zones outside territorial waters or high seas, etc. If a member country is a coastal country with developed fisheries, the requirements in this regard will be more detailed.
About the standard of incomplete acquisition
The standard of incomplete acquisition is applicable to those who complete part or main processing and production processes in the exporting country, or complete the main value-added part Goods. The main criterion for non-complete acquisition of non-preferential rules of origin implemented in my country is the substantial change criterion. According to the "Origin Regulations", the substantial change criterion for non-preferential rules of origin is the change of tariff classification as the basic criterion. If the change in tariff classification cannot reflect a substantial change, the ad valorem percentage, manufacturing or processing procedures, etc. shall be used as supplementary standards. Due to the comparative principle stipulated in the "Origin Regulations", in order to unify the law enforcement standards and enhance operability, according to the "Origin Regulations" With the authorization of the Regulations, the General Administration of Customs, together with the Ministry of Commerce and the General Administration of Quality Supervision, Inspection and Quarantine, promulgated the "Regulations on Substantial Change Standards in Non-Preferential Rules of Origin" in 2004, which set the standards for changing tariff classifications, manufacturing/processing process standards, and The specific meaning of the ad valorem percentage standard has been further clarified, and the "List of Goods to which Manufacturing or Processing Processes and Ad Valorem Percent Standards are Applicable" has been published as an attachment to the regulations.
At present, the standards for incomplete acquisition or production of preferential rules of origin stipulated in our country's laws are generally divided into four categories, namely specific origin standards, tariff classification change standards, regional value content standards and process standards.
Specific origin standards
There is currently no unified legal concept for specific origin standards.
Specific origin standards currently do not have a unified legal concept.
p>The early free trade agreements signed by my country juxtaposed specific origin standards with tariff classification change standards, regional value content standards, process standards and other standards. For example, the China-ASEAN Free Trade Agreement Trade area rules of origin, rules of origin under the China-Pakistan Free Trade Agreement, ChinaRules of origin under the China-Chile Free Trade Agreement, rules of origin under the Asia-Pacific Free Trade Agreement, etc.
In my country's newly signed free trade agreement, specific origin standards include tariff classification change standards, regional value content standards and process standards, such as China -Rules of origin under the New Zealand Free Trade Agreement.
Judging from the current situation, the latter specific origin standard system is likely to become the main model of origin standards under preferential rules of origin in the future. This It is also consistent with the WTO's efforts in standardizing non-preferential rules of origin.
Standards for changes in tariff classification
Standards for changes in tariff classification currently include chapter change standards , 4-digit tax code change standards and 6-digit tax code change standards and other forms.
The rules of origin under the China-Chile Free Trade Agreement of Origin stipulate not only the standard for changing the chapter, but also the standard for changing the four-digit tax code.
The rules of origin under the China-New Zealand Free Trade Agreement stipulate the standards for changes in 4-digit tax code (i.e. change of items) and changes in 6-digit tax code Standard (i.e. subheading change).
Regional Value Content Standard
Before the signing of the China-New Zealand Free Trade Agreement, regional The value content standard is the basic standard applicable in various free trade agreements and is also a relatively changeable standard in preferential rules of origin.
Almost every free trade agreement has different requirements on regional value content. For example, the requirements of the China-ASEAN Free Trade Area rules on regional value content are, The components of products originating in the China-ASEAN Free Trade Area account for no less than 40% of their total value; the total value of materials, parts or products originating in non-free trade areas does not exceed the total value of the products produced or obtained offshore. 60% of the price, and the final production process is completed in ASEAN countries. The requirements of the China-Asia-Pacific Free Trade Agreement on regional value content are that non-originating material content does not exceed 55%, and the final production process is completed within the country; if the member country is a least developed country, the proportion of non-originating material content It can be relaxed by 10 percentage points, that is, no more than 65%. The requirement of the China-Pakistan Free Trade Agreement on the regional value content is that the proportion of origin content is not less than 40%; the requirement of the China-Chile Free Trade Agreement on the regional value content is not less than 40%. Less than 50%. China-New Zealand Free Trade AreaThere are several requirements for regional value content in the agreement. Some goods need to meet the 40% standard, and some need to meet 50%. These different requirements are usually listed in the form of an annex after the regulations.
Transportation requirements
Preferential rules of origin generally require direct transportation from the exporting member country to The importing member states also have clear limitations on the circumstances that can be regarded as direct transportation; non-preferential rules of origin have no requirements for the transportation link.
Direct transportation generally includes two situations. The first is transportation that does not pass through countries or regions outside the member states. This is the basic form of direct transportation; the second is transportation without passing through countries or regions other than member states. The first type is regarded as direct transportation, which mainly refers to the situation where the transportation passes through countries or regions outside the member states. Situations that can be regarded as direct transportation must meet the prescribed conditions, that is, it is only for geographical reasons or transportation needs, without any value-added processing, and without entering the consumption or trade field of the passing country, etc. Some free trade agreements also require that when deemed as direct transportation, the consignee of imported goods should submit certification documents issued by the customs of the country or region passing through in accordance with the requirements of the customs of the importing country, such as China-Chile, China-Pakistan, and China-New Zealand. Waiting for agreement.
Declaration requirements
In the preferential rules of origin, the consignee and consignor submit the place of origin Certification is the basic requirement for declaration, that is, imported and exported goods must submit a certificate of origin issued by a designated agency, and declare the preferential tax rate under the corresponding agreement, otherwise they will not be able to enjoy the corresponding tax benefits; in non-preferential rules of origin, sending and receiving The consignor only submits the certificate of origin when required by the customs, and does not need to submit it in other cases. Among the current management measures, the main situations where a certificate of origin is required to be submitted under non-preferential rules of origin are two countermeasures and one guarantee, that is, import and export goods subject to anti-dumping, countervailing and safeguard measures need to submit a certificate of origin.
In addition, under the preferential rules of origin, there are also situations where the submission of a certificate of origin is exempted. For example, the rules of origin under the China-Chile Free Trade Agreement stipulate that "goods originating in Chile with a price not exceeding US$600 are exempt from submitting a certificate of origin."; the rules of origin under the China-Pakistan Free Trade Area Agreement stipulate that , "Imported goods originating in Pakistan, with a free on board (FOB) price of each batch not exceeding US$200, are exempt from submitting a certificate of origin" and so on. These provisions are all special preferential measures in preferential rules of origin.
The above is the relevant legal knowledge prepared by the editor for you. If you still have any questions,For questions, it is recommended to consult a lawyer on the Legal Savior Network.
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