NAFTA`s rules of origin have been amended several times since the agreement came into force. For the most up-to-date information on tariffs and rules of origin, see the links at the end of this document. Who is responsible for determining whether the product falls under NAFTA and completing the certificate? In addition to the rules of origin above, there may be other ways to qualify your product: NAFTA allows your company to ship eligible goods duty-free to customers in Canada and Mexico. Goods may qualify in a variety of ways under nafta rules of origin. This may be because the goods are wholly manufactured or manufactured in a NAFTA Party, or because, according to the rule of origin of the good in a NAFTA Party, sufficient work and materials are required to make the product what it is when exported. For goods that have not been purchased in full, you must comply with the product`s rule of origin, usually by tariff lag or regional value content. Learn more about how to read and apply the FTA`s rules of origin. Mexico is the third largest trading partner of the United States and the second largest export market for U.S. products. Mexico was our third largest trading partner (after Canada and China) and our second largest export market in 2018.

Reciprocal trade in goods and services totalled $678 billion, and that trade directly and indirectly supports millions of jobs in the United States. The U.S. sold $265 billion worth of U.S. products to Mexico and $34 billion worth of services in 2018, for a total revenue of $299 billion in Mexico. Mexico is the first or second largest export destination for 27 U.S. states. Note 1: This criterion does not apply to products wholly originating in Canada or the United States and imported into either country. The products are classified according to the national customs tariffs of the country into which they are imported. All NAFTA countries are members of the World Customs Organization (WCO) and use the Harmonized Commodity Description and Coding System. The system is used by more than 200 countries and economies as a basis for their tariffs and for the collection of international trade statistics. To qualify for the NAFTA preferential tariff rate, the product must comply with the applicable rule of origin. These rules, set out in Chapter Four of NAFTA, specify the production that must take place for a product to be eligible for NAFTA treatment.

For example, a product imported from outside North America into one NAFTA country and then sent to another NAFTA country may not be eligible for duty-free treatment. Once an exporter determines that the exported good complies with the NAFTA rules of origin, a NAFTA Certificate of Origin must be completed accurately and legibly. The exporter must then send the certificate to the importer. Although the certificate does not have to accompany the shipment, the importer must have a copy of the certificate on hand before they can apply for nafta customs preference at customs. Certificates of origin may, at the option of the exporter, cover a single import of goods or several imports of identical goods. Exporters that are not manufacturers often require their producers or traders to provide them with a NAFTA Certificate of Origin to prove that the final product or input used in the production of the final product sold in Mexico or Canada complies with the rules of origin. NAFTA does not require a non-exporting producer to issue a NAFTA Certificate of Origin to the final exporter. However, if the non-exporting producer completes the NAFTA Certificate of Origin, it is subject to the same obligations with respect to registration field 8: indicate “YES” for each product described in box 5 if you are the manufacturer of the product.

If you are not the manufacturer of the goods, indicate “NO” followed by paragraphs 1, 2 or 3, depending on whether this certificate is based on: (1) your knowledge of whether the goods are considered to be originating; (2) Your confidence in the manufacturer`s written declaration (with the exception of a certificate of origin) that the goods are considered originating; or (3) a duly completed and signed certificate of the goods voluntarily made available to the exporter by the manufacturer. The North American Free Trade Agreement (NAFTA), which entered into force in 1994 and created a free trade area for Mexico, Canada and the United States, is the most important feature of the bilateral trade relationship between the United States and Mexico. Effective January 1, 2008, all tariffs and quotas on U.S. exports to Mexico and Canada were eliminated under the North American Free Trade Agreement (NAFTA). NAFTA covers services other than air, marine and basic telecommunications. The agreement also provides for the protection of intellectual property rights in various areas, including patents, trademarks and copyrighted material. NAFTA`s government procurement provisions apply not only to goods, but also to service and construction contracts at the federal level. In addition, U.S.

investors are guaranteed equal treatment with domestic investors in Mexico and Canada. Field 7: For each good described in box 5, specify which criterion (A to F) is applicable. The rules of origin are set out in Chapter Four and Annex 401. Additional requirements are described in Annex 703.2 (certain agricultural products), Annex 300-B, Appendix 6A (certain textile products) and Annex 308.1 (certain goods intended for computer automation and parts thereof). Note: To be eligible for preferential tariff treatment, each product must meet at least one of the following criteria. The certificate of origin must be completed and signed by the exporter of the goods. Where the exporter is not the manufacturer, the exporter may complete the certificate on the basis of: knowledge of the origin of the goods; reasonably rely on the manufacturer`s written assurance that the goods are originating; a duly completed and signed certificate of origin for the product which the exporter has voluntarily made available to the exporter from the manufacturer. A NAFTA Certificate of Origin is not required for the commercial importation of a good valued at less than $1,000. However, for the goods to qualify for NAFTA preferential tariffs, the invoice accompanying the commercial importation must include a declaration that they are considered originating under the NAFTA rules of origin. The statement must be handwritten, stamped, typed or affixed to the commercial invoice.

U.S. tariffs have columns labeled “General” and “Special,” and in the Canadian tariff, the corresponding columns are titled “Most-Favoured-Nation Tariff” and “Applicable Preferential Tariffs.” If the rate specified in the “General clause/most-favoured-nation clause” column is “free”, the rate of duty is zero. The Mexican customs information website has a section entitled “The Tariff Applies to the Rest of the World”. If the expression given here is “Ex”, the rate of duty is zero. All goods classified under these subheadings or customs numbers are eligible for duty-free treatment and the NAFTA Certificate of Origin is not required. The rules of origin (ROO) can be found in the final text of the FREE TRADE AGREEMENT. Sometimes a particular ROO can be revised. The latest version of the roOs can be found in the United States Harmonized Tariff Schedule, General Notes — General Note 33.

In the United States, the exporter is required to keep the original or a copy of the certificate for five years from the date of signature. The importer is required to keep the certificate and all other relevant documents for five years after the importation of the goods. Adequate records of the goods, their material and their manufacture must support the facts alleged in the certificate. Mexican exporters must keep a copy of the certificate for 10 years. Canadian importers and exporters are required to keep the importer`s certificate for six years from the date of the transaction and six years from the date of signature for the Canadian exporter. For all other originating goods exported to Canada, “MX” or “US” must be reported accordingly if the goods originate in that NAFTA country within the meaning of the NAFTA rules of origin and the subsequent processing in the other NAFTA country does not increase the transaction value of the goods by more than 7%; otherwise, indicate as “JNT” for joint production. (Reference: Annex 302.2) If the rate in the General column is not zero, the exporter must then check the set in the Special/Preferential column. ==References=====External links===The tariff plan uses the codes “CA” and “MX” for Canada and Mexico respectively.

The Canadian tariff plan uses the codes “US” and “MX” for the United States and Mexico, respectively. In the case of Mexico, there is a section entitled “Customs on Trading Partners”, which contains the codes “EE. UU. ” and “Canada” for the preferential rate of duty applicable to these countries. For most products, the rate for products eligible for NAFTA preferences is zero. Box 6: For each product described in box 5, the HS tariff classification is indicated in six digits. Where the goods are subject to a special rule of origin set out in Annex 401 that requires eight digits, the eight-digit identification is used using the tariff classification of the country into whose territory the goods are imported. The issuer of a written origin declaration must, in addition to the other evidence used to prove that the goods are considered originating under the NAFTA rules of origin, for a period of FIVE years from the date of importation of the goods for the goods delivered to Canada and for a period of TEN years from the date of importation of the goods for the goods, that are delivered to Mexico.. .

NAFTA`s rules of origin have been amended several times since the agreement came into force. For the most up-to-date information on tariffs and rules of origin, see the links at the end of this document. Who is responsible for determining whether the product falls under NAFTA and completing the certificate? In addition to the rules of origin above, there may be other ways to qualify your product: NAFTA allows your company to ship eligible goods duty-free to customers in Canada and Mexico. Goods may qualify in a variety of ways under nafta rules of origin. This may be because the goods are wholly manufactured or manufactured in a NAFTA Party, or because, according to the rule of origin of the good in a NAFTA Party, sufficient work and materials are required to make the product what it is when exported. For goods that have not been purchased in full, you must comply with the product`s rule of origin, usually by tariff lag or regional value content. Learn more about how to read and apply the FTA`s rules of origin. Mexico is the third largest trading partner of the United States and the second largest export market for U.S. products. Mexico was our third largest trading partner (after Canada and China) and our second largest export market in 2018.

Reciprocal trade in goods and services totalled $678 billion, and that trade directly and indirectly supports millions of jobs in the United States. The U.S. sold $265 billion worth of U.S. products to Mexico and $34 billion worth of services in 2018, for a total revenue of $299 billion in Mexico. Mexico is the first or second largest export destination for 27 U.S. states. Note 1: This criterion does not apply to products wholly originating in Canada or the United States and imported into either country. The products are classified according to the national customs tariffs of the country into which they are imported. All NAFTA countries are members of the World Customs Organization (WCO) and use the Harmonized Commodity Description and Coding System. The system is used by more than 200 countries and economies as a basis for their tariffs and for the collection of international trade statistics. To qualify for the NAFTA preferential tariff rate, the product must comply with the applicable rule of origin. These rules, set out in Chapter Four of NAFTA, specify the production that must take place for a product to be eligible for NAFTA treatment.

For example, a product imported from outside North America into one NAFTA country and then sent to another NAFTA country may not be eligible for duty-free treatment. Once an exporter determines that the exported good complies with the NAFTA rules of origin, a NAFTA Certificate of Origin must be completed accurately and legibly. The exporter must then send the certificate to the importer. Although the certificate does not have to accompany the shipment, the importer must have a copy of the certificate on hand before they can apply for nafta customs preference at customs. Certificates of origin may, at the option of the exporter, cover a single import of goods or several imports of identical goods. Exporters that are not manufacturers often require their producers or traders to provide them with a NAFTA Certificate of Origin to prove that the final product or input used in the production of the final product sold in Mexico or Canada complies with the rules of origin. NAFTA does not require a non-exporting producer to issue a NAFTA Certificate of Origin to the final exporter. However, if the non-exporting producer completes the NAFTA Certificate of Origin, it is subject to the same obligations with respect to registration field 8: indicate “YES” for each product described in box 5 if you are the manufacturer of the product.

If you are not the manufacturer of the goods, indicate “NO” followed by paragraphs 1, 2 or 3, depending on whether this certificate is based on: (1) your knowledge of whether the goods are considered to be originating; (2) Your confidence in the manufacturer`s written declaration (with the exception of a certificate of origin) that the goods are considered originating; or (3) a duly completed and signed certificate of the goods voluntarily made available to the exporter by the manufacturer. The North American Free Trade Agreement (NAFTA), which entered into force in 1994 and created a free trade area for Mexico, Canada and the United States, is the most important feature of the bilateral trade relationship between the United States and Mexico. Effective January 1, 2008, all tariffs and quotas on U.S. exports to Mexico and Canada were eliminated under the North American Free Trade Agreement (NAFTA). NAFTA covers services other than air, marine and basic telecommunications. The agreement also provides for the protection of intellectual property rights in various areas, including patents, trademarks and copyrighted material. NAFTA`s government procurement provisions apply not only to goods, but also to service and construction contracts at the federal level. In addition, U.S.

investors are guaranteed equal treatment with domestic investors in Mexico and Canada. Field 7: For each good described in box 5, specify which criterion (A to F) is applicable. The rules of origin are set out in Chapter Four and Annex 401. Additional requirements are described in Annex 703.2 (certain agricultural products), Annex 300-B, Appendix 6A (certain textile products) and Annex 308.1 (certain goods intended for computer automation and parts thereof). Note: To be eligible for preferential tariff treatment, each product must meet at least one of the following criteria. The certificate of origin must be completed and signed by the exporter of the goods. Where the exporter is not the manufacturer, the exporter may complete the certificate on the basis of: knowledge of the origin of the goods; reasonably rely on the manufacturer`s written assurance that the goods are originating; a duly completed and signed certificate of origin for the product which the exporter has voluntarily made available to the exporter from the manufacturer. A NAFTA Certificate of Origin is not required for the commercial importation of a good valued at less than $1,000. However, for the goods to qualify for NAFTA preferential tariffs, the invoice accompanying the commercial importation must include a declaration that they are considered originating under the NAFTA rules of origin. The statement must be handwritten, stamped, typed or affixed to the commercial invoice.

U.S. tariffs have columns labeled “General” and “Special,” and in the Canadian tariff, the corresponding columns are titled “Most-Favoured-Nation Tariff” and “Applicable Preferential Tariffs.” If the rate specified in the “General clause/most-favoured-nation clause” column is “free”, the rate of duty is zero. The Mexican customs information website has a section entitled “The Tariff Applies to the Rest of the World”. If the expression given here is “Ex”, the rate of duty is zero. All goods classified under these subheadings or customs numbers are eligible for duty-free treatment and the NAFTA Certificate of Origin is not required. The rules of origin (ROO) can be found in the final text of the FREE TRADE AGREEMENT. Sometimes a particular ROO can be revised. The latest version of the roOs can be found in the United States Harmonized Tariff Schedule, General Notes — General Note 33.

In the United States, the exporter is required to keep the original or a copy of the certificate for five years from the date of signature. The importer is required to keep the certificate and all other relevant documents for five years after the importation of the goods. Adequate records of the goods, their material and their manufacture must support the facts alleged in the certificate. Mexican exporters must keep a copy of the certificate for 10 years. Canadian importers and exporters are required to keep the importer`s certificate for six years from the date of the transaction and six years from the date of signature for the Canadian exporter. For all other originating goods exported to Canada, “MX” or “US” must be reported accordingly if the goods originate in that NAFTA country within the meaning of the NAFTA rules of origin and the subsequent processing in the other NAFTA country does not increase the transaction value of the goods by more than 7%; otherwise, indicate as “JNT” for joint production. (Reference: Annex 302.2) If the rate in the General column is not zero, the exporter must then check the set in the Special/Preferential column. ==References=====External links===The tariff plan uses the codes “CA” and “MX” for Canada and Mexico respectively.

The Canadian tariff plan uses the codes “US” and “MX” for the United States and Mexico, respectively. In the case of Mexico, there is a section entitled “Customs on Trading Partners”, which contains the codes “EE. UU. ” and “Canada” for the preferential rate of duty applicable to these countries. For most products, the rate for products eligible for NAFTA preferences is zero. Box 6: For each product described in box 5, the HS tariff classification is indicated in six digits. Where the goods are subject to a special rule of origin set out in Annex 401 that requires eight digits, the eight-digit identification is used using the tariff classification of the country into whose territory the goods are imported. The issuer of a written origin declaration must, in addition to the other evidence used to prove that the goods are considered originating under the NAFTA rules of origin, for a period of FIVE years from the date of importation of the goods for the goods delivered to Canada and for a period of TEN years from the date of importation of the goods for the goods, that are delivered to Mexico.. .