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rules of origin

Preferential treatment provided for in a free trade agreement is usually granted only to products originating from members of that FTA, so rules of origin are important. These are the criteria which determine the national origin of a product. The country of origin of a product is usually seen as the country where the last substantial transformation took place.

Enforcing and defining rules of origin for goods or services poses major problems. This issue has been very controversial in a number of agreements and trade unions and other critics have campaigned to highlight the ways in which rules of origin can be used and abused by governments and corporations alike. In particular there are concerns about the ease with which goods processed partly or fully in a third country can receive duty-free access under a bilateral agreement by being re-exported with just enough processing to satisfy rules of origin requirements. This is further complicated by the fact that different bilateral free trade agreements use different criteria to set rules of origin.

UK says rules of origin deal with Canada probably won’t be extended
Britain said that post-Brexit trade arrangements with Canada that enable its carmakers to avoid high tariffs there were likely to expire next week, marking the latest deterioration in trade ties between the historic allies.
Commerce chief signs HK-Asean FTA protocol
This will enable Hong Kong businesses to more easily and effectively gain Hong Kong-originating status for more of their products, providing them with preferential tariff treatment when expanding into the growing Asean market.
India-Japan FTA: Rules of origin, product specific rules to be reviewed
India’s long-pursued demand for a review of the India-Japan Free Trade Agreement may be met with the two sides preparing to take a relook at the rules of origin and product specific rules for greater market access for goods.
India-Asean trade pact review: India pitches for tighter rules of origin
The ROO revision would be in line with the provisions in the trade agreements that are currently being negotiated, where extent of value addition in a product originating from the exporting country is different for each chapter or product.
India-UK free trade agreement faces hurdle over medical devices
Finalising the rules of origin for the medical devices sector remains a sticking-point in the proposed free-trade agreement between India and the UK and the talks are on to iron out the differences, an official said.
India-UK FTA talks: ‘Good progress’ on bilateral investment agreement: Official
The talks on the proposed free trade agreement between India and the UK are moving and there is progress on issues such as rules of origin and bilateral investment treaty (BIT).
India pushes for Asean FTA update on trade gap
India has initiated talks with the Association of Southeast Asian Nations (Asean) to address concerns over the rules of origin and trade imbalance.
Canada, Mexico win auto rules trade dispute with US
Canada and Mexico have won their challenge to the US interpretation of content rules for autos under the new North American trade pact, a decision that favors parts makers north and south of the US border.
FTA provisions to prevail in rules of origin disputes
India will follow provisions of free trade agreements (FTAs) over the wider and more stringent domestic framework in case of any dispute over value addition or rules of origin related to imports under FTAs.
RCEP: why benefits from the world’s largest trade pact may not be as clear-cut as they seem
More than a month after the world’s largest trade pact came into force, questions remain over its practical application and potential benefits for small businesses, the e-commerce sector and workers.
AfCFTA members conclude negotiations on rules of origin to enhance free trade
Member states of the African Continental Free Trade Area concluded their negotiations on rules of origin, covering 87.7 percent of goods on the tariff lines of the AU member states.
Canada joins Mexico’s official complaint arguing US violating trade pact over auto parts provision
Canada is joining Mexico’s official complaint requesting a dispute settlement panel to resolve a claim that the US is violating the new NAFTA by insisting on a stricter interpretation of a key provision on auto parts.
Mexico asks USMCA dispute resolution panel on auto content
The Mexican government has requested a dispute resolution panel under the US-Mexico-Canada free trade agreement, because it claims the United States is improperly interpreting stricter regional content rules under the pact.
Tariffs, rules of origin new hurdles to Africa’s trade area
A meeting held at the AfCFTA headquarters in Accra found that without these provisions no trade can take place.
Canada joins Mexico in seeking consultation with US over USMCA content rules
Canada has joined Mexico in seeking formal consultation with the United States over the interpretation of content rules for automobiles
AfCFTA rules of origin talks drag
The full rollout of the African Continental Free Trade Area (AfCFTA) is being delayed as countries haggle over the overarching agreement on rules of origin and tariff reduction schedules.
Delay expected as deadline looms for AfCFTA rules of origin talks
Talks aimed at finalising key aspects of the new African Continental Free Trade Area are facing delays, as member countries work to reach an overarching agreement on rules of origin and tariff reduction schedules.
US clashes with Mexico, Canada on car rules in USMCA risk
The US insists on a stricter way than Mexico and Canada believe they agreed to for counting the origin of certain core parts including engines, transmissions and steering systems in the overall calculation.
Kenya-UK economic partnership agreement betrays the East African Community
While the Kenya-UK EPA consistently makes reference to the EAC and even purports that its is signed on behalf of Kenya and the EAC, it fails terribly when examined against the above requirements of mutual cooperation.
Reconsidering RCEP’s Impact on Foreign Investment
Based on our analysis, RCEP does not ensure a new world order for FDI. Countries wanting to attract FDI cannot rest on the laurels of RCEP or its changes in ROOs.