Most-Favoured-Nation Tariff Rules of Origin Regulations (SOR/98-33)

Regulations are current to 2016-06-06

Most-Favoured-Nation Tariff Rules of Origin Regulations

SOR/98-33

CUSTOMS TARIFF

Registration 1997-12-29

Most-Favoured-Nation Tariff Rules of Origin Regulations

P.C. 1997-2004 1997-12-29

His Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to subsection 16(2) of the Customs TariffFootnote a, hereby makes the annexed Most-Favoured-Nation Tariff Rules of Origin Regulations.

Origin of Goods

 Goods originate in a country that is a beneficiary of the Most-Favoured-Nation Tariff if

  • (a) not less than 50 per cent of the cost of production of the goods is incurred by the industry of one or more countries that are beneficiaries of the Most-Favoured-Nation Tariff, or by the industry of Canada; and

  • (b) the goods were finished in a country that is a beneficiary of the Most-Favoured-Nation Tariff in the form in which they are imported into Canada.

 In calculating the cost of production for the purposes of paragraph 1(a), the following shall not be included:

  • (a) the cost of outside packing and expenses related to outside packing, required for the transportation of the goods, not including packing in which the goods are ordinarily sold for consumption;

  • (b) gross profit of the manufacturer or exporter and the profit or remuneration of any trader, broker or other person dealing in the goods in their finished manufactured condition;

  • (c) royalties;

  • (d) customs or excise duty or tax paid or payable on imported materials;

  • (e) carriage, insurance and other charges from the place of production or manufacture in the country of origin to the port of shipment; and

  • (f) any other costs or charges incurred or to be incurred subsequent to the completion of the manufacture of the goods.

Direct Shipment

 Goods are entitled to the Most-Favoured-Nation Tariff only if the goods are shipped directly to Canada, with or without transhipment, from a country that is a beneficiary of the Most-Favoured-Nation Tariff.

Repeal

 [Repeal]

Coming into Force

 These Regulations come into force on January 1, 1998.

 
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