Australia-Republic of Korea Free Trade Agreement negotiations

Annex 3-A: Product Specific Rules of Origin

Headnotes to the Schedule

  1. The specific rule, or specific set of rules, that applies to a particular heading (4-digit code) or subheading (6-digit code) is set out immediately adjacent to the heading or subheading.
  2. When a heading or subheading is subject to alternative specific rules of origin, the rule will be considered to be met if a good satisfies one of the alternatives.
  3. Where a specific rule of origin is defined using the criterion of a change of tariff classification, each of the non-originating materials used in the production of the good shall be required to undergo the applicable change of tariff classification. A requirement of a change in tariff classification shall apply only to non-originating materials.
  4. Where a specific rule of origin is defined using the criterion of a change in tariff classification, and the rule is written to exclude tariff provisions at the level of a chapter, heading or subheading of the Harmonized System, each Party shall construe the rule of origin to require that materials classified in those excluded provisions be originating for the good to qualify as originating.
  5. Chapter notes within this Schedule shall apply to all headings or subheadings within the indicated chapter or group of chapters unless there exists a specific exclusion.
  6. Each of the non-originating materials used in the production of the good undergoes an applicable change in tariff classification specified in this Annex.
  7. For the purposes of this Annex:

    subheading means the first six digits in the tariff classification number under the Harmonized System;

    heading means the first four digits in the tariff classification number under the Harmonized System; and

    chapter means the first two digits in the tariff classification number under the Harmonized System.

  8. For the purposes of column 3 of this Annex:

    CC means that all non-originating materials used in the production of the good have undergone a change in tariff classification at the 2-digit level;

    CTH means that all non-originating materials used in the production of the good have undergone a change in tariff classification at the 4-digit level;

    CTSH means that all non-originating materials used in the production of the good have undergone a change in tariff classification at the 6-digit level;

    WO means that the good must be wholly obtained in the territory of one or both of the Parties within the meaning of Article 3.2;

    RVC (40) means that the good must have a regional value content of not less than 40 per cent as calculated under Article 3.3; and

    RVC (30/40) means that the good must have a regional value content of either not less than 30 per cent using the build-up method or not less than 40 per cent using the build-down method, as calculated under Article 3.3.

Schedule of Product Specific Rules