Determination of Country of Origin for the Purpose of Marking Goods (CUSMA Countries) Regulations

2 (1) For the purposes of these Regulations,

Act

Act means the Customs Tariff; (Loi)

applicable change in tariff classification

applicable change in tariff classification means, with respect to materials incorporated into goods, a change in tariff classification specified in a rule set out in Schedule III for the tariff provision under which the goods are classified; (changement de classement tarifaire applicable)

commingled

commingled means physically combined or mixed in inventory; (combiné)

CUSMA country

CUSMA country means a party to the Canada–United States–Mexico Agreement; (pays ACEUM)

direct physical identification

direct physical identification means identification by visual or other organoleptic examination; (identification directe)

domestic materials

domestic materials means materials whose country of origin as determined under these Regulations is the same country as the country in which the goods are produced; (matière d’origine nationale)

enterprise

enterprise means any entity constituted or organized under applicable laws, whether or not for profit and whether privately owned or governmentally owned, including any corporation, trust, partnership, sole proprietorship, joint venture or other association; (entreprise)

foreign materials

foreign materials means materials whose country of origin as determined under these Regulations is not the same country as the country in which the goods are produced; (matière étrangère)

form in which those goods were imported

form in which those goods were imported means the condition of the goods before they underwent an applicable change in tariff classification; (forme sous laquelle les marchandises ont été importées)

fungible goods

fungible goods means goods that are interchangeable for commercial purposes with other goods and whose properties are essentially identical; (marchandises fongibles)

fungible materials

fungible materials means materials that are interchangeable for commercial purposes with other materials and whose properties are essentially identical; (matières fongibles)

General Rules

General Rules means the General Rules for the Interpretation of the Harmonized System set out in the schedule to the Act; (Règles générales)

incorporated

incorporated means physically incorporated into goods as a result of production in respect of those goods; (incorporé)

indirect materials

indirect materials means goods used in the production, testing or inspection of other goods but not incorporated into those other goods, or goods used in the maintenance of buildings or the operation of equipment associated with the production of other goods, and includes

• (a) fuel and energy,

• (b) tools, dies and moulds,

• (c) spare parts and materials used in the maintenance of equipment and buildings,

• (d) lubricants, greases, compounding materials and other materials used in production or used to operate equipment and buildings,

• (e) gloves, glasses, footwear, clothing, safety equipment and supplies,

• (f) equipment, devices and supplies used for testing or inspecting the other goods,

• (g) catalysts and solvents, and

• (h) any goods not referred to in paragraphs (a) to (g) that are not incorporated into those other goods but the use of which in the production of those other goods can reasonably be demonstrated to be part of the production; (matière indirecte)

materials

materials means goods that are incorporated into other goods, and includes a part, a component and an ingredient; (matière)

minor processing

minor processing, in respect of goods, means

• (a) mere dilution with water or any other substance that does not materially alter the characteristics of the goods,

• (b) cleaning, including removal of rust, grease, paint or any other coating,

• (c) applying any preservative or decorative coating, including any lubricant, protective encapsulation, preservative or decorative paint, or metallic coating,

• (d) trimming, filing or cutting off small amounts of excess material,

• (e) unloading, reloading or any other operation necessary to maintain the goods in good condition,

• (f) [Repealed, SOR/2013-100, s. 3]

• (g) testing, marking, sorting or grading,

• (h) repairs or alterations, washing, laundering or sterilizing,

• (i) textile decorative processes incidental to the production of textile goods, other than apparel, such as edge pinking, whipping, folding and rolling, fringing and fringe knotting, piping, bordering, minor embroidery, hemstitching, embossing, dyeing and printing, or

• (j) ornamental or finishing operations incidental to apparel assembly and designed to enhance the marketing appeal or the ease of care of the goods, such as embroidery, hemstitching and sewn appliqué work, stone or acid washing, printing and piece dyeing, preshrinking and permanent pressing, and the attachment of accessories, notions, trimmings and findings; (traitement mineur)

person

person means a natural person or an enterprise; (personne)

production

production means growing, mining, harvesting, fishing, trapping, hunting, manufacturing, processing or assembling goods; (production)

repair or alteration

repair or alteration does not include an operation or process that either destroys the essential character of any goods or creates new or commercially different goods; (réparations ou modifications)

simple assembly

simple assembly means the fitting together of five or fewer parts, all of which are foreign parts, other than screws, bolts or other fasteners, by bolting, gluing, soldering, sewing or any other means without more than minor processing; (montage simple)

tariff provision

tariff provision means a heading, subheading or tariff item; (poste tarifaire)

ultimate purchaser

ultimate purchaser means, with respect to goods, the last person in Canada who purchases the goods in the form in which those goods were imported, whether or not that purchaser is the last person to use the goods; (dernier acheteur)

usual container

usual container means the container in which goods ordinarily reach their ultimate purchaser. (contenant usuel)

(2) For the purpose of determining the materials that impart the essential character of goods under sections 5 to 7,

• (a) the only materials that shall be taken into consideration are those materials, including materials produced by the producer of the goods and materials that are classified under the same tariff provision as that under which the goods are classified, that are incorporated into those goods and in respect of which there is not an applicable change in tariff classification; and

• (b) the factors to be taken into consideration are the following, namely,

  • (i) the nature of each of the materials, such as the volume, weight and value of the material,

  • (ii) the quantity of each of the materials, and

  • (iii) the role of each of the materials with regard to the use of the goods.

(3) For the purposes of these Regulations, the country or countries of origin of materials shall be determined under these Regulations.