CUSMA Rules of Origin Regulations — 8
nal value content requirement, for the purpose of calculating the net cost under the net cost method, has a value that is equal to the costs of that material that are recorded on the books of the producer of the good. Packaging materials and containers (14) Packaging materials and containers, if classified under the Harmonized System with the good that is packaged therein, must be disregarded for the purpose of (a) determining whether all of the non-originating materials used in the production of the good undergo an applicable change in tariff classification; (b) determining whether a good is wholly obtained or produced; and (c) determining under subsection 5 (1) the value of non-originating materials that do not undergo an applicable change in tariff classification. Value of packaging materials and containers — cases where taken into account (15) If packaging materials and containers are classified under the Harmonized System with the good that is packaged therein and that good is subject to a regional value content requirement, the value of those packaging materials and containers must be taken into account as originating materials or non-originating materials, as the case may be, for the purpose of calculating the regional value content of the good. Packaging materials and containers — self-produced (16) For the purposes of subsection (15), if packaging materials and containers are self-produced materials, the producer may choose to designate those materials as intermediate materials under subsection (6). Packing materials and containers (17) For the purpose of determining whether a good is an originating good, packing materials and containers are disregarded. Fungible materials and fungible goods (18) A fungible material or fungible good is an originating good if (a) when originating and non-originating fungible materials (i) are withdrawn from an inventory in one location and used in the production of the good, or (ii) are withdrawn from inventories in more than one location in the territory of one or more of the CUSMA countries and used in the production of the good at the same production facility, the determination of whether the materials are originating is made on the basis of an inventory management method recognized in the Generally Accepted Accounting Principles of, or otherwise accepted by, the CUSMA country in which the production is performed or an inventory management method set out in Schedule 8; or (b) when originating and non-originating fungible goods are commingled and exported in the same form, the determination of whether the goods are originating is made on the basis of an inventory management method recognized in the Generally Accepted Accounting Principles of, or otherwise accepted by, the CUSMA country from which the good is exported or an inventory management method set out in Schedule 8. Choice for fiscal year (19) The inventory management method selected under subsection (18) must be used throughout the fiscal year of the producer or the person that selected the inventory management method. Claim (20) An importer may claim that a fungible material or good is originating if the importer, producer or exporter has physically segregated each fungible material or good so as to allow its specific identification. Choice of inventory management method (21) If fungible materials referred to in paragraph (18)(a) and fungible goods referred to in paragraph (18)(b) are withdrawn from the same inventory, the inventory management method used for the materials must be the same as the inventory management method used for the goods, and if the averaging method is used, the respective averaging periods for fungible materials and fungible goods are to be used. Written notice (22) A choice of inventory management methods under subsection (18) is considered to have been made when the customs administration of the CUSMA country into which the good is imported is informed in writing of the choice during the course of a