WORLD TRADE
ORGANIZATIONG/RO/37/Add.3
2 July 1999
(99-2736)
Committee on Rules of Origin
REPORT OF THE TECHNICAL COMMITTEE ON RULES OF ORIGIN
TO THE COMMITTEE ON RULES OF ORIGIN ON
PROGRESS MADE AT ITS SEVENTEENTH SESSION
Note by the Secretariat
Addendum
As indicated in document G/RO/37/Add.2 (see co ver page), the Referral Documents from the
Technical Committee on Rules of Origin (W CO documents OC0029/1, 42.574/Cor., OC009/2,
OC0012/2, OC0014/1, OC0016/1, OC0023/2, OC0025/2, OC0026 /2, OC0028/2, OC0032/1,
OC0033/1, OC0034/1 and OC0035/1) are herewith circulated to Members.G/RO/37/Add.3
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WCO Doc. OC0029/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
AGREED RULES OF ORIGIN SUBMITTED BY
THE TECHNICAL COMMITTEE ON RULES OF ORIGIN
FOR ENDORSEMENT BY THE COMMITTEE ON RULES OF ORIGIN
(Where no square bracket is placed in the text, it is understood that a general consensus has
been reached on the text, subject to the overall coherence examination.)
OVERALL ARCHITECTURE OF THE HARMONIZED RULES OF ORIGIN
The Committee on Rules of Origin is invited to decide which approach is most appropriate for
the articulation of the Harmonized Rules of Origin.
ISSUE No. 1: CONTENT OF THE GENERAL RULE ON MINIMAL OPERATIONS AND
PROCESSES
A. Definitions only;  No list . (CAN)(US)(PHI)(NOR)(SEN)(CH)(PHI)(HK(PHI)1. The list of examples is not appropriate because the listed processes are not all related to any
common definition, and in a number of cases are at odds with product-specific rules.  As a generalmatter, a list of examples should not appear in a legal text, and it would not be possible to arrive at a
permanent list; adjustment to the list would always be needed.  The list might mislead the user to
think that the listed operations never confer origin, when in fact they are not taken into account for
origin determination when done for the purposes set out in the definition.
B.     List only, no definitions  (IND)
2. Minimal operations and processes have already been taken into account in the preparation of
the product-specific rules.  Appendix-level exclusi ons would override rules at the chapter and matrix
level which have been agreed to confer origin.  The list is a practical way to indicate with specificity
what does not confer origin.
C.     Both the definitions and list should be retained  (EC)(EGY)(CHI)
3. The debate on minimal operations or processes has demonstrated that there can be great
uncertainty as to the actual operations within the scope of the definitions.  Because it is not yet known
whether the harmonized rules of origin might include explanatory notes or other guidance, it is usefulfor the understanding to include an indicative list of operations or processes.  The preparation of an
appropriate list requires the selection of examples which are not open to doubt.G/RO/37/Add.3
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ISSUE No. 2: SCOPE OF APPLICATION OF THE GENERAL RULE ON MINIMAL
OPERATIONS OR PROCESSES
A. Applicable to Appendix 1 only.  (PHI) (IND) (CH)
4. In Appendix 2 the issue of minimal operations or processes is addressed by a Chapter Note
(negative standards) or an individual primary rule, where appropriate.  Therefore, there is no need to
set forth a general provision in General Rules.  Ot herwise, origin conferred by such a primary rule,
which has already taken into account whether that rule may confer origin on a good by a minimal
operation or process, will be overruled by the general provision.  This will jeopardise the intent of the
rules concerned and make the determination of origin unpredictable.
5. The reference to Appendix 2, Rule 3(d) should be deleted.
B: Applicable to both Appendices 1 and 2.6. Article 9.2(c)(i) of the Agreement provides that the Technical Committee shall develop
harmonized definitions of minimal operations or processes that do not by themselves confer origin to
a good.  This is understood to mean  that these definitions must apply to the whole non-preferential
rules of origin.  Negative standards elaborated at the Chapter level do not have the same
characteristics as the definitions of minimal operations or processes, i.e., not necessarily the cases of
facilitating transportation or packaging for retail sale only.  Thus the General Rules must have a safetyvalve to prevent minimal operations or processes from conferring origin on a good.
B/1. In Appendix 2, should be applicable to the change of classification rules only.  (EC)7. General Rule 5 is applicable to Appendix 2.  However, this General Rule should not overrule
the origin determination made by a specific process rule provided in Appendix 2.  The process rules
are articulated to confer origin on the particular good in any condition, if the specified process
requirements are satisfied.
B/2: Applicable to all the rules.  (US) (CAN)(MOR)
8. General Rule 5 is applicable to any single rule set forth in Appendix 2 or in the Annex as a
whole.  There is no reason to distinguish betwee n Appendix 1 or Appendix 2 or between kinds of
origin rules.
ISSUE No. 3:  INCLUSION OF A PROVISION ON NEUTRAL ELEMENTS.
A. This provision is necessary.  (EC) (US) (CAN)
9. By indicating elements which are never to be taken into account in the determination of origin
this text adds certainty and clarity.
B. This provision is not necessary.  (PHI) (HK) (SEN) (IND) (NZ)(MAL)
10. It is understood and agreed that the elements described are not a part of origin determination;
the Agreement and the entire structure of the origin Annex are formulated on this understanding.  To
include such a reference is superfluous and potentially raises uncertainty.G/RO/37/Add.3
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ISSUE No. 4:    SHOULD A DE MINIMIS RULE BE INCLUDED IN THE HARMONIZED
RULES OF ORIGIN?
(a) A de minimis approach is familiar to a number of Customs Administrations as a way to
disregard materials which otherwise would prevent an origin rule from being met.  In this respect deminimis rules, or tolerances, give greater possibilities for primary rules to be satisfied.  They should
be a part of the harmonized rule s of origin.(EC, CH, MOR, CAN)
(b) The de minimis approach is a feature of preferential rules of origin and has no place in these
MFN non-preferential rules.  The administrative apparatus and record-keeping needed to administer
de minimis rules are prohibitively costly, and certainly too costly in relation to the supposed benefits
of such an approach.  It would be extremely diffic ult to set a universal threshold, or product-specific
thresholds, which reasonably identify the amount of materials considered sufficiently unimportant to
be disregarded.  (PHI, SEN, IND MAL)
ISSUE No. 5: SINGLE OR MULTIPLE COUNTRIES OF ORIGIN FOR SETS
11. There are two principal differing views in the Technical Committee concerning the origin of
sets.
A. Sets, being made up of multiple goods, are treated for origin purposes as separate goods and
the origin of each constituent good is retained. (US)
B. A set has the origin of a single country.  Proposed criteria by which this single country is
determined are as set out in the text above: country of origin of the article that confers the essential
character to the set (CAN); country of origin of the article in the set which represents the highest
value (EC); country which contributes the country which contributes the most to the total value interms of total value of parts and related processing activities.(CH).  There is also a view in the TCRO
that the making up alone of a set, without any production of constituent articles, can mean that the
origin of a set is the country in which the set was put up.(IND, CH).
Horizontal Issues contained in Doc. OC0031 to be considered as relevant to Appendix 2 rules:
Issue No.4 in Doc. OC0031:12. Change of classification by virtue of the application of the second part of GIR 2(a) -
Collection of parts
NOTE:  The General Rule for the Interpretation of the Harmonized System (GIR) 2(a)
provides as follows:
“2.(a) Any reference in a heading to an article shal l be taken to include a reference to that article
incomplete or unfinished, provided that, as presented, the incomplete or unfinished article has the
essential character of the complete or finished articl e.  It shall also be taken to include a reference to
that article complete or finished (or falling to be cl assified as complete or finished by virtue of this
Rule), presented unassembled or disassembled.”
13. This issue arises by virtue of the second part of GIR 2(a) when non-originating articles are
presented unassembled or disassembled (a set of parts classified as articles).  This issue is still valideven if some parts are missing from the set of parts when presented, as long as those presented parts
as a whole have the essential character of the complete or finished article concerned (First part of GIR
2(a)).  However, this issue is not valid when parts are separately presented to Customs, i.e., parts are
classified as parts.G/RO/37/Add.3
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OPTION A:  Yes, collecting parts is an origin conferring event under the specified conditions
(IND) (SEN)
14. The legal requirements of the Harmonized System should be strictly observed in order to
apply the Harmonized Rules of Origin.  The Agreement provides that the change of tariffclassification criterion should be based on the Harmoni zed System.  This means that the HS is being
used not only to identify a good by classification but also to judge whether or not a good undergoes a
substantial transformation by a change of classification.  Therefore if the HS is not sufficient for the
origin determination purposes, supplementary criteria should be elaborated instead of modifying the
HS.  The Customs officials and traders are familiar with the current HS in force, thus if the HS is
applied for the origin determination purposes different from the way which is applicable to the
classification purposes, the Customs officials and traders would be confused.
15. A set of parts, which has the essential character of the complete or finished article, is
considered to have substantially transformed from individual parts, when these parts collected take a
form of a set with a manual or an instructional document for assembly and a guarantee by the
supplier.
16. Similar to a do-it-yourself kit or unassembled furniture, handy electronics equipment is
commonly found in this form in a market.  Origin of these sets must be the country where they are
collected and arranged as sets with a guarantee by the supplier; otherwise the same set would have
different origin depending on the place where it is finally assembled.
OPTION B: No, collecting parts is not an origin conferring event  (US) (AUS) (JPN) (EC) (BRA)
(CAN)
17. Collection of parts should not be considered as substantial transformation.  Collection of parts
requires storing and regrouping of goods only; thus  assembly or working or processing on the parts
are not necessary.  Parts may be grouped together, but an individual part is still the same part.
18. The Chapter Note/Chapter Rule/Legal Note should be :
“[Where a change in classification results from the application of HS General Interpretative
Rule 2(a) with respect to collections of parts that are presented as unassembled articles ofanother heading or subheading the individual pa rts shall retain their origin prior to such
collection.  (For goods assembled from collecti ons of parts, Note 2.C shall apply.)  (US)
(AUS)]”
or
“[A change of classification which results from the application of Rule 2(a) of the General
Rules for the Interpretation of the HS (GIR 2(a)),  with respect to a collection of parts, shall
not be considered as the change required by the rule set forth in the matrix.  (Sec)]”  Origin of
the collected parts should be determined as a good by a [general] [final] residual rule.
Issue No.5 in Doc. OC0031:19. Change of classification by virtue of the application of the second part of GIR 2(a) -
Assembly of the collected partsG/RO/37/Add.3
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OPTION A: Yes.   (by an assembly definition)
Option A/1:  (SG)
20. Any assembly from parts confers origin on the assembled goods.
21. The Chapter rule should be:
“Obtaining goods from parts by assembly, including sub-assembly, shall be considered as
reflecting last substantial transformation.”
Option A/2:  (MOR)
22. Any assembly resulting in a new good having new characteristics is considered to be
substantial transformation.
23. The Chapter rule should be:
“An assembly operation resulting in a new good having new characteristics is considered to
be substantial transformation.”
OPTION B:     Yes, provided
Option B/1: (by a value added rule)   (EC) (BRA – all goods of Chapters 84 and 86; Some goods
of Chapters 85, 87 and 90) (TUR – some goods of Chapter 85) (AUS – goods of
Chapter 87) (EGY – 85.28)
24. When the collected parts are assembled, provided that the required value added (40% (EGY),
45% (EC, BRA, TUR, AUS), 51% (BRA) or 60% (EC,  BRA, AUS)) is achieved in that country as a
result of working and processing and, if applicable, the incorporation of parts originating in that
country, origin should be conferred on that article.
25. The proposed value added rules are as follows:
“the increase in value acquired as a result of working and processing and, if applicable, the
incorporation of parts originating in the country of manufacture represents at least 60 (for
some complete vehicles) or 45 (for others) percent of the ex-works price of the good is carried
out”  (EC) (TUR) (AUS)
“the increase in value acquired as a result of working and processing and, if applicable, the
incorporation of parts originating in the country of manufacture represents at least 60% for all
goods of Chapters 84 and 86; 60% for some goods of Chapter 85; 60% of some goods of
Chapter 87; 45%, 51% or 60% for some goods of Chapter 90”  (BRA)
“40% value added”  (EGY) (SEN)If neither the required value added nor the change of tariff classification rule is satisfied a
[general] [final] residual rule is applied.  (EC) (TUR) (BRA) (EGY)
Origin conferred by application of the value added rule should not be nullified by the negative
standards for a non-origin-conferring assembly.  When the required value added rule is not
met or the value added rule is not set out, the “5 parts” rule, the specified process rule, the use
of one originating part rule and a [general] [final] residual rule apply in sequence. (AUS)G/RO/37/Add.3
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Option B/2:  (by a cascading approach)  (US)
26. When a collection of parts occurred in one country, the individual parts shall retain their
origin prior to such collection by application of a Chapter [Legal] Note.  If the collected parts are
assembled there is no change in classification after the assembly.  Thus a change of classification ruleis not applicable.  Origin of the assembled good from the collected parts is determined by application
of the “5 parts” rule with negative standards for a non-origin-conferring assembly, the specified
processes with negative standards for a non-origin-conferring assembly, or the use of at least one
originating part with negative standards for a non-origin-conferring assembly.
27. The Chapter [Legal] Note should be:
“[Where a change in classification results from the application of HS General Interpretative
Rule 2(a) with respect to collections of parts that are presented as unassembled articles of
another heading or subheading the individual pa rts shall retain their origin prior to such
collection.  (For goods assembled from collections of parts, Note 2.C shall apply.)]”
Option B/3:  (by a Chapter Note and a change of tariff classification rule) (JPN) (CAN) (HK) (CH)
28. Assembly of the collected parts should be treated the same as assembly of separately
imported parts.  Application of a change of tariff classification rule should not be foregone depending
on whether or not parts are presented together and satisfy the requirements of GIR 2(a).  Therefore, aChapter Note should be set out to deal with this qu estion first, and a change of tariff classification rule
determines origin of the collected parts.
29. The Chapter Note should be:
“A good assembled from a collection of parts that are classified by virtue of the application of
GIR 2(a) in the same heading or subheading as the good shall have origin in the country
where, subject to paragraph [next], the relevant rule or note set out in the Appendix is
satisfied.
The change of classification that may be required by the relevant rule in the matrices is
considered to have taken place in the country in which the good is assembled from thecollection of parts.”
OPTION C: No  (IND)30. The legal requirements of the Harmonized System should be strictly observed in order to
apply the Harmonized Rules of Origin.  The Agreement provides that the change of tariff
classification criterion should be based on the Harmoni zed System.  This means that the HS is being
used not only to identify a good by classification but also to judge whether or not a good undergoes a
substantial transformation by a change of classification.  Therefore if the HS is not sufficient for the
origin determination purposes, supplementary criteria should be elaborated instead of modifying theHS.  The Customs officials and traders are familiar with the current HS in force, thus if the HS is
applied for the origin determination purposes different from the way which is applicable to the
classification purposes, the Customs officials and traders would be confused.
31. A collection of parts, which has the essential ch aracter of the complete or finished article, is
considered to have substantially transformed from individual parts, when these parts collected take a
form of a set with a manual or an instructional document for assembly and a guarantee by the
supplier.G/RO/37/Add.3
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32. Origin of these collections, even though finally assembled elsewhere, must be the country
where they are collected and arranged as sets with a guarantee by the supplier; otherwise the same set
would have different origin depending on the place where it is finally assembled.
Issue No.6 in Doc. OC0031:33. Change of classification by virtue of packaging or repackaging of goods
NOTE:  It should be noted that the proposed General Rule 5 (minimal operations or
processes) provides one of the minimal operations or processes as follows:
“[(iii) operations or processes that concern the packaging or presentation of goods for
sale.]”
34. This issue refers to a change of classification by virtue of packaging or repackaging.
Therefore, this issue does not cover whether or not the “value acquired as a result of working or
processing” includes the cost of packaging or repackaging.  It should also be noted that the Secretariat(Tariff and Trade Affairs Directorate) is of the vi ew (NC0008E1) that a rep ackaging would not lead to
a change of classification.  At its 23rd Session the HS Committee took note of this.  However, to
ensure that in all cases a packaging or repackaging cannot be considered as an origin conferring event
a Chapter Note is proposed.
OPTION A: Yes.
35. If a change of classification by virtue of packaging and repackaging is not an origin
conferring event, such a change should be explicitly excluded from a change of classification rule.
Otherwise, once a change of tariff classification rule is set forth in the matrix and the rule is satisfiedby any cause, origin should be conferred.
OPTION B: No.  (US) (AUS) (SEN)36. A change of classification by virtue of packaging and repackaging should not be considered
as substantial transformation. Packaging and repackaging does not require any assembly or working
or processing on the good itself.  A good may be packed or repacked, but the good is still the samegood.
37. The Chapter Note/Chapter Rule/Legal Note should be:
[Where a change in classification results from packaging or repackaging the origin of the
good shall be the origin prior to such packaging or repackaging. (US) (AUS)]
ISSUE No.9 in Doc. OC0031:38. Change of classification by virtue of:  CHANGE OF USE
NOTE:  It is understood that application of the HS GIR and other legal notes provides that the
actual use of a good would not result in a re-classification.  It should also be noted that the Secretariat
(Tariff and Trade Affairs Directorate) is of the view (NC0008E1) that a change of use of a good
would not lead to a change of classification.  At its 23rd Session the HS Committee took note of this.However, to ensure that in all cases a change of use cannot be considered as an origin conferring
event a Chapter Note is proposed.G/RO/37/Add.3
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39. This issue is different from the issue of modification of goods.  Modification is considered as
part of assembly processes; a change of use is considered to be a case caused by a cross-boarder
transfer of goods which might be classified in a different heading or subheading depending on the
intended use in the importing country.
OPTION A: Yes.
40. So far there is no Member who supports this option.  However, the TCRO has not decided yet
that a change of classification by a change of use is not an origin conferring event.
OPTION B: No.
41. A change of classification by virtue of a change of use is not considered as substantial
transformation.
42. The Chapter Note/Chapter Rule/Legal Note should be:
[a change of classification which results from the change of use of the good shall not be
considered as the change required by the rule set forth in the matrix.  (SEN)]
Issue No.11 in Doc. OC0031:
43. ORIGIN OF A disassembled OR RECOVERED pa rt or a removed article from the good that
would have performed its original purpose or would have been restored or repaired
NOTE:  It has been agreed that disassembly is not an origin conferring event.  This issue
deals with origin of a disassembled (recovered) part or a removed article from the good that wouldhave performed its original purpose or would have been restored or repaired.  Thus this issue covers
parts or articles which are not subject to Definitions f), g) and h) of the wholly obtained goods.
44. Chapter Note/Rule was proposed to cover this issue as follows:
“Disassembly (not origin conferring)
A change of classification which results from the disassembly of the good shall not be
considered as the change required by the rule set forth in the matrix.   (Basket 1)
[(1) A change of classification which results from the disassembly of the good
that can perform its original purpose shall not be considered as the change required bythe rule set forth in the matrix.  The parts recovered from the good shall retain the
country of origin of the good prior to disassembly.
A change of classification which results from the disassembly of the good that cannot perform
its original purpose without being restored or repaired shall not be considered as the change
required by the rule set forth in the matrix.  The country of origin of the recovered parts shall
be (one among the following options (US):
[(a) the country where the parts are recovered]  (SEN)
[(b) the country of origin of the good from which the parts are recovered]  (CAN)
[(c) the initial country of origin of the parts].  (IND)]”G/RO/37/Add.3
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OPTION A: (by Chapter Note/Rule (a))  (SEN)
45. A change of classification which results from the disassembly of the good that would have
performed its original purpose or would have been restored or repaired shall not be considered as the
change required by the rule set forth in the matrix.  However, the parts recovered from the good or thearticles removed from the good should have origin in the country where the parts or the articles are
recovered.  This approach is the most practical and administratively less burdensome.  This approach
is the same as Definition (h), Alternative 1 of the wholly obtained goods.  (Disassembly confers origin
on the disassembled goods.)
OPTION B:  (by Chapter Note/Rule (b))  (CAN)
46. A change of classification which results from the disassembly of the good that would have
performed its original purpose or would have been restored or repaired shall not be considered as the
change required by the rule set forth in the matrix.  The parts recovered from the good or the articles
removed from the good shall retain the country of origin of the good prior to disassembly.  If
disassembly does not confer origin on a disassembled good this approach should be taken.  Theproposed rule (c) is difficult to implement, due to the fact that not all parts or articles have the
marking of the country of origin.
OPTION C: (by Chapter Note/Rule (c))  (IND)
47. A change of classification which results from the disassembly of the good that would have
performed its original purpose or would have been restored or repaired shall not be considered as the
change required by the rule set forth in the matrix.  The parts recovered from the good or the articles
removed from the good shall retain the initial country of origin of the parts or the articles.  If
disassembly does not confer origin on a good this approach is theoretically correct.  When the countryof origin of the part or article is marked on its surface, this approach does not confuse the
manufacturers or traders.
Option D:  (by application of Appendix 2, Rule 2)  (EC)48. A change of classification which results from the disassembly of the good that would have
performed its original purpose or would have been restored or repaired shall not be considered as thechange required by the rule set forth in the matrix.  It is not necessary to have a provision in the
Chapter Notes/Rules to deal with this issue.  The origin of the parts recovered from the good or of the
articles removed from the good is determined by a [g eneral] [final] residual rule set forth in Appendix
2, Rule 2.  [A rule to be finalised]G/RO/37/Add.3
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ANNEX TO WCO Doc. OC0029/1
HARMONIZED NON-PREFERENTIAL RULES OF ORIGIN*
Provisional Text of the Technical Committee on Rules of Origin
as revised at its 17th Session
Where no square bracket is placed in the text, it is understood that a general consensus has been
reached on the text, subject to the overall coherence examination.
* Order of rules and the placement of rules are to be finalised.
DEFINITIONS
[References to manufacturing, producing or processing goods include any kind of working, assembly
or processing operation.
Methods of obtaining goods include manufacturing, raising, growing, breeding, mining, extracting,
harvesting, fishing trapping, gathering, hunting and capturing.
Material includes ingredients, parts, components, subassemblies and goods that were physically
incorporated into another good or were subject to a process in the production of another good.
Originating material means a material whose country of origin, as determined under these rules, is the
same country as the country in which the material is used in production.
Non-originating material means a material whose c ountry of origin, as determined under these rules,
is not the same country as the country in which that material is used in production.
Customs Valuation Agreement means the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994.
["Essential character" means the predominant physical nature, principal function, or other attribute of
a good, that establishes the identity of the good. (CAN)]]
Observation :
(a) The definitions should include a definition of “change in tariff classification” instead of
indicating such a definition in Appendix 2, Rule 3 (Rules of Application) (IND)
(b) The inclusion of the term  “essential character” in the definitions is not necessary since this term
is not used in the harmonized rules of origin.  Moreover, no satisfactory definition of this term
has been established so far.  (EC)
(c) The scope of application should be the first provision of the Annex followed by Definitions.
Thereafter the General Rules should be gin in numbered sequence.  (CAN)(IND)G/RO/37/Add.3
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GENERAL RULES
General Rule 1:  SCOPE OF APPLICATION
Rules of Origin provided in this Annex shall be as defined in Article 1, paragraph 1 of the
Agreement on Rules of Origin annexed to the Agreement Establishing the World Trade
Organization (WTO), and shall be applied for the purposes set out in Article 1, paragraph 2 of
the Agreement on Rules of Origin.
General Rule 2:  HARMONIZED SYSTEM
1. References to headings and subheadings are references as they appear in the Harmonized
Commodity Description and Coding System (herei nafter referred to as “Harmonized System”
or “HS”) as amended and in force.  Classification of goods within headings and subheadings of
the Harmonized System is governed by  the General Interpretative Rules and any relative
Section, Chapter and Subheading Notes to that System.  Classification of goods within anyadditional subdivisions created for purposes of the rules of origin  shall also be governed by the
General Interpretative Rules and any relative Section, Chapter and Subheading Notes to the
Harmonized System, unless the rules of this Annex otherwise require.
2. [The outcome of an origin determination und er the Harmonized Non-Preferential Rules of
Origin shall not be affected by the amendments to the Harmonized System. (CAN)(IND)]
When amendments to the Harmonized System are recommended by the CCC [WCO Council] ,
a technical review shall be undertaken with respect to their possible effect upon the results of
origin determinations under the Harmonized Non- Preferential Rules of Origin.   Necessary
technical rectifications approved by the WTO shall take effect on the date when theamendments to the Harmonized System enter into force. [Such approval shall be made at least
one year before the entry into force of the amendments to the Harmonized System.  Otherwise
the technical rectifications shall take effect on the date specified by the Committee on Rules of
Origin. (JPN)]
The Technical Committee intends to consult with the Committee on Rules of Origin concerning
possible institutional arrangements for technical review and rectification.  As provided in Art. 6 of the
Agreement, such technical review should encompass not only alignment with the HS, but also
technical review of the origin rules to k eep them updated and assure administrability.
General Rule 3:  DEFINITIONS
[moved to the beginning of this Annex]
General Rule 4:  DETERMINATION OF ORIGIN
The country of origin of a good shall be determined in accordance with these General Rules and
in accordance with the provisions of Appendix 1 and Appendix 2, applied in sequence.G/RO/37/Add.3
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[General Rule 5 (Proposed) : DE MINIMIS
Non-originating materials that do not meet the primary rules set forth in Appendix 2 shall be
disregarded in determining the country of origin provided that these materials do not exceed the
threshold laid down in Appendix 2.  This provis ion is hereinafter referred to as the “de minimis
rule”. (EC)]
(to be considered with other de minimis proposals in General Rule 8 and Appendix 2, Rule 6)
General Rule 5: MINIMAL OPERATIONS OR PROCESSES
[The following operations or processes, taken by themselves or in combination with each
other and undertaken for the purposes prescribed herein, are considered to be minimal and
thus shall be treated as provided in Paragrap h 2 to Appendix 1 [or Rule 3 to Appendix 2, as
appropriate (Deletion proposed by PHI, CH, IND )]]:
(i) operations or processes to ensure the preservation of goods in good condition for the
purposes of transport or storage;
(ii) operations or processes to facilitate shipment or transportation;
(iii) operations or processes that concern the packaging or presentation of goods for sale.]
Observations:
Minimal operations and processes have already been taken into account in the preparation of the
product-specific rules.  Appendix-level exclusions would override rules at the chapter and matrix
level which have been agreed to confer origin. (CH)(PHI)
The above definitions should be deleted; minimal operations or processes should be as specified in
the list of examples below. (IND)
[Examples of minimal operations or processes include, among others:
- ventilation
- spreading out
- drying
- chilling- removal of damaged parts
- application of grease, anti-rust paint or protective coating
- removal of dust
- cleaning
- washing- sifting or screening
- sorting
- classifying or grading
- testing or calibration
- breaking bulk- packing, unpacking or repacking
- grouping of packages
- affixing of marks, labels or distinguishing signs on goods or their packagesG/RO/37/Add.3
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- dilution with water or any other aqueous solution
- ionizing
- salting
- husking
- shelling (unshelling)- stoning
- crushing  (IND) ]
This list should be deleted. (CAN)(US)(HK)(PHI)
With a view to an uniform application of this pr ovision, an indicative list of processes regarded as
minimal operations according to this definition would be appropriate.  A list will be provided later
on.  (EC)  (CHI) supports this approach.
See Referral Issues Nos. 1 & 2
General Rule 6:  NEUTRAL ELEMENTS
[[Unless otherwise provid ed in this Annex, (MOR) (TUN )] in order to determine whether a
good originates in a country, the origin of th e power and fuel, plant and equipment, including
safety equipment, or machines and tools used to obtain a good or the materials used in its
manufacture which do not remain in the good or form part of the good shall not be taken into
account.]
This provision is not necessary. (PHI) (HK) (SEN) (IND) (NZ)(MAL)
See Referral Issue No. 3
General Rule 7:  PACKING AND PACKAGING MATERIALS AND CONTAINERS
Unless the provisions of Appendix 1 or Appendix 2 otherwise require, the origin of packing and
packaging materials and containers presented with the goods therein shall be disregarded in
determining the origin of the goods under General Rule 4, provided such packing and
packaging materials and containers are classifi ed with the goods under the Harmonized System.
The packing and packaging materials and containers which are not classified with their contents
are separate goods, thus their origin shall be determined in accordance with the appropriaterules set forth in Appendices 1 and 2.
[General Rule 8:  DE MINIMIS]
[In application of rules in Appendices 1 and 2, non-originating materials that do not meet the
primary rule set forth for the obtained good shall be disregarded in determining the country of
origin provided these materials do not exceed the threshold of 20% of the ex-works price of
such a good.  (MOR)]
(To be considered with proposed De Minimis rules at proposed General Rule 5 and  in
Appendix 2, Rule 6.)G/RO/37/Add.3
Page 15
This Rule is not necessary.  (PHI) (SEN)(IND)(MAL)(NZ)
See Referral Issue No. 4G/RO/37/Add.3
Page 16
APPENDIX 1 - Wholly Obtained Goods
1. Scope of Application
This Appendix sets forth the definitions of the goods that are to be considered as being wholly
obtained in one country.
2. Minimal Operations and Processes
For purposes of this Appendix, minimal operations or processes referred to in General Rule 4,
Paragraph 3 shall not be taken into account in determining whether a good has been wholly
obtained in one country.
Definitions Notes
1. The following goods are to be considered as
being wholly obtained in one country :
(a) Live animals born and raised in that country; In definitions 1 (a), (b), and (c) the term "animals"
covers all animal life, including mammals, birds,
fish, crustaceans, molluscs, reptiles, bacteria and
viruses.
(b) Animals obtained by hunting, trapping, fishing,
gathering or capturing in that country;Definition 1 (b) covers animals obtained in the
wild, whether live or dead, whether or not bornand raised in that country.
(c) Products obtained from live animals in that
country;Definition 1 (c) covers products obtained from
live animals without further processing, including
milk, eggs, natural honey, hair, wool, semen anddung.
(d) Plants and plant products harvested, picked or
gathered in that country;Definition 1 (d) covers all plant life, including
fruit, flowers, vegetables, trees, seaweed, fungiand live plants grown in that country.
(e) Minerals and other naturally occurring
substances, not included in definitions (a)-(d),
extracted or taken in that country;Definition 1 (e) covers crude minerals and other
naturally occurring substances, including rock or
solar salt, crude mineral sulphur occurring in free
state, natural sands, clays, stones, metallic ores,
crude oil, natural gas, bituminous minerals, naturalearths, ordinary natural waters, natural mineralwaters, natural snow and ice.G/RO/37/Add.3
Page 17
Definitions Notes
(f) Scrap and waste derived from manufacturing or
processing operations or from consumption inthat country and fit only for disposal or for therecovery of raw materials;Definition 1 (f) covers all scrap and waste,
including scrap and waste resulting frommanufacturing or processing operations or
consumption in the same country, scrap
machinery, discarded packaging and household
rubbish and all products that can no longer
perform the purpose for which they wereproduced, and are fit only for discarding or for the
recovery of raw materials.  Such manufacturing or
processing operations include all types of
processing, not only industrial or chemical but
also mining, agricultural, construction, refining,incineration and sewage treatment operations.
(g) [Articles collected in that country which can no
longer perform their original purpose nor are
capable of being restored or repaired and whichare fit only for disposal or for the recovery ofparts or raw materials;]
(h) Alternative 1 :
[Parts or raw materials recovered in that country
from articles which can no longer perform their
original purpose nor are capable of being
restored or repaired;] [1]
Alternative 2 :
[Parts or raw materials obtained in that country
from articles collected in that country which are
not fit for their original purpose nor are capable
of being restored or repaired and are fit only for
disposal or for the recovery of parts or rawmaterials;]
                                                     
1[In the recovery of parts or raw materials, envir onmental considerations may arise, particularly for
radioactive, hazardous and toxic waste that may result from  the recovery of parts or raw materials from Articles.
In this connection, this rule is without prejudice to Me mbers’ rights to take WTO-consistent measures to protect
the environment.]G/RO/37/Add.3
Page 18
Definitions Notes
(i) Goods obtained or produced in that country
solely from products referred to in (a) - (f) [and(g) and (h)] above;[For a good to be considered wholly obtained in
one country under definition 1(i):
(i)      The good must have been obtained or
produced from the products of that country
mentioned in definitions 1(a) to (h);
(ii)      the products of definitions 1(a) to (h) must
not have undergone processing in anothercountry; and
(iii)     the good must not contain
materials not considered to be wholly obtained inthat country.]
[2 (i)  Products of sea-fishing and other products
taken from the sea outside a country are
considered to be wholly obtained in the country
of registration of the vessel that carries out those
operations.
(ii)  Goods obtained or produced on board
factory ships are considered to be wholly
obtained in the country of registration of the
factory ship, provided that those goods are
manufactured from the products referred to insubparagraph (i) originating in the samecountry.
(iii)  Products taken from the sea-bed or subsoil
beneath the sea-bed outside a country are
considered to be wholly obtained in the countrythat has the rights to exploit that sea-bed orsubsoil.][The term “registration” in Definition 2(i) and (ii)
includes registration that a country grants to
chartered vessels or factory ships, provided this
registration is in accordance with the requirements
of that country.]
[2Alternative Text
(i)  Products of sea-fishing and other products
taken from the sea outside the territorial sea and
maritime zones over which the coastal state has
jurisdiction are considered to be wholly
obtained in the state of registration of the vessel
that carries out those operations.
(iii)  products taken from the area of the seabed
and ocean floor and subsoil thereof outside
national jurisdiction, as defined in accordance
with the provisions of the United Nations
Convention on the Law of the Sea, areconsidered to be wholly obtained in the state
that has the exploitation rights, in conformity
with the provisions of that Convention and the
Agreement relating to the Implementation of
Part XI of that Convention of 28 July 1994.][The term “registration” in Definition 2(i) and (ii)
includes registration that a country grants tochartered vessels or factory ships, provided this
registration is in accordance with the requirements
of that country.]G/RO/37/Add.3
Page 19
APPENDIX 2 - Product Specific Rules of Origin
Rule 1 Scope of Application
This Appendix sets forth rules for determining the country of origin of a good when the origin
of the good is not determined under Appendix 1.
Rule 2 Determination of origin
[Principles of Approach]
[Origin Determination under Primary Rules insertion of this header proposed by (HK)(PHI);
deletion proposed by (US)(CAN) ]
The country of origin shall be determined in accordance with the following provisions,
applied in sequence;
(a)  when a primary rule specifies that the origin of a good is the country in which the good
was obtained in its natural or unprocessed state,  the country of origin of the good shallbe the country in which that good was obtained in that condition;
N.B.  reference to other Ottawa-type rules (where born, where raised, where grew) to be
added when final decisions are made on product-specific rules.]
(b)  the country of origin of a good is the last country of production [provided] [where
(IND)(PHI)(HK)(MAL)(BRA)] a primary rule applicable to the good was satisfied in
that country;
[(c)(i) [when a good undergoes a non-origin conferring operation, the origin of the good is the
country from which the good originated immediately prior to such an operation.]
Observation  :  The scope of this provision (c)(i)as drafted is overly broad; there should be
reference  to operations identified in the Annex, such as minimal operations or processes or
other non-origin conferring operations as specified at a Chapter level.  (EC)
[(c)(ii)
Alternative 1
[when no applicable primary rule was satisfied [in the last country of manufacture or
processing deletion proposed by (PHI) ][and no applicable chapter residual rule was satisfied]
but the good has been produced in that country by further processing of [a material or article]
[an article] classified in the same provision as that of the good, the country of origin of the
good is the country in which that [material or article] [article] originated, provided that any
materials subsequently added to the [material or article][article] have undergone the change of
classification or have otherwise satisfied any other requirement specified in the primary rule
applicable to the good;]G/RO/37/Add.3
Page 20
Alternative 2
[when the further processing of a good does not change the classification of the good, and any
materials used in the further processing satisfy the primary rule for the good, the country oforigin of the good is the country of origin prior to the further processing;]
Alternative 3
[when no applicable primary rule was satisfied in the last country of manufacture or
production [and no applicable chapter residual rule was satisfied] and the good was produced
as a result of further processing which did not change its classification, the country of originof the good is the country of origin prior to such further processing;]
Observation: This provision (c)(ii) is unnecessary as the idea and consequences of its
application are taken up in subparas. (b) and (c)(i).  Moreover, the provision is not properly
a rule but a principle; as such, it needs to be reformulated and probably presented elsewhere.
(IND)(SEN)
[Origin Determination under Residual Rules insertion of this header proposed by (HK)(PHI);
deletion proposed by (US)(CAN) ]
[(d) when no applicable primary rule has been satisfied [in the last country of production -
deletion proposed by (IND) ],  the country of origin shall be determined as indicated in
the applicable residual rule specified at the chapter level;]
Observations:
It may be appropriate to apply (d) before (c)(i)and (c)(ii). (US) (CH) (EC) (EGY) (CAN)
(JPN) (MOR))
The placement here is appr opriate.  (HK)(IND)(MAL)
(e) when no applicable primary rule was satisfied in the last country of manufacture or
processing of the good [and no applicable chapter residual rule was satisfied deletion
proposed by (PHI) ], and the good is produced from materials originating in a single
country, the country of origin of the good is the country in which those materials
originated;
[(f)  when no applicable primary rule was satisfied [in the last country of manufacture or
processing of the good deletion proposed by (PHI  ][and no applicable chapter residual
rule was satisfied], and the good is produced from materials originating in a single
country that did not undergo the change of classification or otherwise satisfy the primaryrule applicable to the good, the country of origin of the good is the country in which that
material originated;]G/RO/37/Add.3
Page 21
Observations:
This provision (f) is highly important because of its relation to the primary rules.  When a
primary rule is not met, account should be taken in the residual rules of the design of the
primary rules, giving due weight to the intended results of the primary rules and seeking not
to give originating status to an operation or material by application of a residual rule when
the applicable primary rule was intended to prevent that same result.  That is why this rule
bases origin on the country of origin of the material(s) originating in a single country which
did not satisfy a primary rule, and thus complements the outcome of the primary rule.  If the
applicable primary rule is change of heading “except from a specified heading”, then
obviously the intent of the primary rule was that the specified change did not result in
substantial transformation.  It is thus logical and appropriate to focus on the origin of the
materials which did not undergo the required change. (US)
This provision (f) should be deleted.  In the residual rules origin should be based upon the
origin of all the materials used, without distinction.  (IND)
The provision (f) introduces an extra step in determination of origin and is overly complex to
apply.  In many cases the materials used will originate in several countries, and thus origin
would be found by application of subparagraph (g). (EC)(EGY)
This provision (f) has to be considered in relation  to primary rules submitted to the CRO
which are based on the exclusion of specified materials.  (CH)
Additional provision  proposed for application before provision (g):  [when the good is
produced from originating or non-originating materials of more than one country and aprimary rule has not been satisfied for the good, the country of origin of the good shall be the
country of origin of the material that fulfills the major role with regard to the use of the good;
(CAN)]
Observation : This is a very practical and transparent method of determining origin in a
residual environment by first focussing on the use of the good and associating based on that
material which fulfils the major role in this regard. (CAN)
(g) when no applicable primary rule was satisfied [in the last country of manufacture or
processing of the good deletion proposed by (PHI) ][and no applicable chapter residual
rule was satisfied], and the good is produced from materials [(whether or not
originating)] of more than one country [that did not undergo the change of classificationor otherwise satisfy the primary rule applicable to the good deletion proposed by
(IND )(CAN)  ], the country of origin of the good shall be the country in which the major
portion of those materials originated, as determined on the basis specified in each
chapter.
Observations:
The bracketed text referring to materials which did not undergo change of classification or otherwise
satisfy the primary rule should be deleted.  In the residual rules origin should be based upon the
origin of all the materials used, without distinction.  (IND)(CAN)G/RO/37/Add.3
Page 22
The bracketed text in (g) referring to materials which did not undergo change of classification or
otherwise satisfy the primary rule should be retained for the reasons expressed in the observation
regarding subparagraph (f). (US)
General Observation:
All three provisions, subparagraphs (e), (f), and (g), will be necessary to determine origin in certain
cases and should be retained.    (COL)
[(h) the country of origin of the good shall be the last country of production. (CAN) ]
Observation :  Subparagraph (h) to be used in only the few cases where subparagraph (g) cannot
provide a single country of origin.  Normally, this wo uld only occur in the case of a tie, at which point
a rule providing origin to the last country of production is the most predictable, clear and simplest
solution. (CAN)
Rule 3 Rules of Application
(a) [Subject to [the minimal operations or processes referred to in General Rule 5 or any
other applicable provisions – deletion proposed by (PHI)],  rules of origin that refer to
change in classification require that each non-originating material in the good hasundergone a change in classification at the level of the Harmonized System (Section,
Chapter, heading, or subheading), or of any additional subdivision thereof, specified in
the rule.]
(b) [Unless the rules of this Appendix require comparison of originating and non-originating
materials, the origin criteria set forth in th e rules apply only to non-originating materials.
(EC)]
(c) [The term “change in tariff classification” is understood to mean that non-originating
materials used in the production of a good are not classified in the same split subheading,
subheading, split heading, heading, respectively, as the good that is under examination.
(TUN)]
[Rules of origin that refer to change in cla ssification require that each foreign material in
the good undergo a change in classification at the level of the Harmonized System
(section, chapter, heading, subheading), or of any additional subdivision thereof,
specified in the rule, by reason of production, other than by the minimal operations orprocesses defined in General Rule 5 or in applicable legal notes.  (US)]
_______________
A suggestion was made to consolidate the above provisions within the following text:
In applying this Appendix:
[(a) Origin shall be determined according to the rules provided for goods based upon
their classification in the Harmonized System and any additional subdivisions created
thereunder, and subject to other rules [or chapter notes (CAN) ] provided in this Annex.G/RO/37/Add.3
Page 23
(b) Rules of origin that refer to change in classification require that each non-originating
material in the good undergo the change of classification specified in the rule, other than
by the minimal operations or processes defined in General Rule 5 or any other applicable
non-origin conferring process.  (US)]
_______________
(d) Minimal operations or processes
[For the purposes of this Appendix:
(i) [minimal operations or processes referred to in General Rule 5 shall not confer origin
on a good; and deletion proposed by (CH)(PHI) ]
(ii) a minimal operation or process referred to in General Rule 5 or a combination of
them shall not preclude conferring origin on a good if origin is conferred as a result of
other operations or processes.]
_______________
Observations and Drafting Guidelines for Rule 3, Rules of Application
The Technical Committee took note that for completeness, a rule concerning the application of origin
criteria might require more elements than those embodied in the texts above.  The Technical
Committee was of the view that consideration should be given to inclusion and appropriate
arrangement of the following elements:
• Application of rules of origin begins with classification of the good in the HS and the
identification of the corresponding product descript ion in the Harmonized Non-Preferential Rules
of Origin;
• An indication of where the rules of origin are to be found (matrix, chapter, Appendices, General
rules), and that rules of origin are to be applied together with any applicable legal notes, chapter
notes or rules of interpretation;
• An indication that primary rules are those rules found at a matrix or chapter level which confer
origin and are to be applied first.  All rules of origin are primary rules unless otherwise
indicated;
• Residual rules are found at chapter [section] or appendix level, are specifically designated as
such, and are applied only if primary rules give no result;
• For primary rules, both change of classification or other, a rule applicable to a good is met when
non-originating materials undergo the required change in the last country of production; [For
residual rules this is not decided, and normally residual rules will be applied according to their
terms]
• It is also to be considered whether the present Rule 4 on intermediate materials could be included
under Rule 3 as a Rule of Application.G/RO/37/Add.3
Page 24
Separate specific application instructions are needed for change of classification rules as follows:
-  to indicate that all non-originating materials must undergo the required change of classification
(subject to any limitations under a de minimis rule if agreed). ( Under other kinds of rules it is not
necessarily the case that all materials undergo the required change);
-  to indicate the changes in classification which do not confer origin, such as disassembly, change of
use, or change of classification by reason of GIR 2(a) of the HS.
There are three provisions that might be placed here as relating to the application of change of
classification criteria :  treatment of GIR 2(a); di sassembly and the origin of disassembled parts; and
change of use.  Presentation of rules on these items as Appendix 2 Rules of Application would permit
the deletion of these provisions from the Chapters in which they appear, and the Technical Committee
decided to pursue this approach.
The Technical Committee’s previous discussions on these issues took place largely in the context of
rules for Chapters 84-90.  The unresolved issues  which emerged from these discussions are now
considered by the Technical Committee to be horizontal issues relating  to the application of origin
criteria based on change in tariff classification which should be resolved in the context of rules of
application in the overall architecture.  These issues, originally formulated as Unresolved Issues in
Referral Doc. 0015 covering Chapters 84-90,  are reproduced at the end of this document following
the presentation of the other Unresolved Issues arising in the overall architecture.
 
Rule 4 Intermediate materials*
[[Except as otherwise provided in this A ppendix, (US)] materials which have acquired
originating status in a country by virtue of fulfilling the rules set forth in this Appendix [Annex(CAN)(US)] are considered to be originating materials of that country for the purpose of
determining the origin of a good incorporat ing such materials or a good made from such
materials by further working or processing in that country.]
*Subject to finalisation of the residual rules.
Rule 5 Special provisions
(a) Accessories and spare parts and tools
[Accessories, spare parts, tools and instru ctional or other informational material
[, instructional and other informational material (MAL)] classified and presented with a good
shall be disregarded in determining the origin of that good under General Rule 4, provided they
are imported and normally sold therewith and correspond, in kind and number, to the normal
equipment thereof.]
Observations:
Consideration could be given to moving this provis ion to the Annex, as it applies to the entire
Annex. (HK)
The provision is potentially troublesome as drafted because the terms “accessories” and
“spare parts” are not sufficiently precise.  The provision needs to avoid leaving  wide scope for
differing interpretations.  (NIG)G/RO/37/Add.3
Page 25
[(b) [Fungible goods and materials]
[When it is necessary to determine the origin of interchangeable goods or materials which are
combined [commingled (US)] in inventory so that  it is not practical to segregate the goods or
materials by their country of origin, for purposes of the application of the origin rules, anallocation by country of origin can be made [for the relevant production period (US)] in
accordance with an applicable recognised inventory management method.]
Observations:
The Technical Committee has not reached a resolution on this issue.  Some Members favour it,
some oppose it, and others continue to study its utility.  During the 15th Session Members noted
that answers to the following questions would help the consideration:
To what products does this provision apply?
What is the inventory management method to be adopted?
Clarification on “applicable recognized inventory management method”.
Clarification on “for the purposes of the application of the origin rules”.
Is the provision also used for the purposes of clarifying the residual rule ?
The following Members indicated at the 17th Session that for them the text left uncertain what
goods were considered fungible; what was an inventory management method.  (HK, EGY, PHI)
The proposed method is considered to result in the arbitrary assignment of origin. (MAL)
The provision is beneficial when considering the commercial reality of trade.  As well, it is not
a rule of origin. (CAN)
(c) Putting up in sets [or kits (CAN )(NZ)(CH) ]
[For purposes of these rules and except as otherwise provided in this Appendix:
Goods put up in sets shall retain the origin of the individual articles in the set. (US)]
[For purposes of determining the origin of sets  [kits] and except as otherwise provided in this
Appendix:
(1) [Merely putting articles into sets is not origin conferring.]
(2) for [goods explicitly mentioned as sets in a heading of the HS deletion proposed by PHI ] and
for goods classified as sets by GIR 3(b) of the HS, the following rules shall apply:
(i) The country of origin of a set [or kit] put up from articles that originate in one
country shall be that country;
(ii) [The country of origin of a set [or kit] put up from articles that originate in more
than one country shall be that country of origin of the article or articles that confer
the essential character of the set or kit as a whole. (CAN)(MAL)]
[The country of origin of a set put up from articles that originate in more than one
country shall be the country of the article(s) representing the highest value, the
value of the articles having the same origin being taken together. (EC)]G/RO/37/Add.3
Page 26
[The country of origin of a set put up from different articles shall be the country
which contributes with the highest value to the set, taking into account the value of
the articles and the work carried out, the value of the articles (including work)
having the same origin being taken together; and
For the purposes of this paragraph,  the term “work” means that the country which
put up articles into sets can consider its work (value) carried out as an equivalent
part of the calculation. (CH)]
(3) for goods merely put together that are not classified together by GIR 3(b) and do not satisfy
the requirements of GIR 3(b) of the Harmonized System, the following rule shall apply:
The origin of the goods shall be the origin of individual articles.]
Observations:
The proposed rule should cover only sets defined under GIR 3(b); for sets explicitly mentioned in
headings of the HS primary rules have been devised to address each case and should be
retained.  (PHI)
The proposed rule should cover all sets and provide the same rule for them. (CAN)
The term “essential character” is not appropriate as a criterion to determine the origin of sets
because it might be subject to different interpretations.  No satisfactory definition of this term
has been established so far.  (EC)
See Referral Issue No. 5
[Rule 6  DE MINIMIS]   See also General Rule 8
[In application of the primary rules in Appendix 2, non-originating materials that do not meet
the primary rule set forth for the obtained good shall be disregarded in determining the country
of origin provided these materials do not exceed the threshold of 20% of the ex-works price of
such a good.  (CH)]
[1. Non-originating materials that do not undergo an applicable change in tariff classification or
satisfy any other applicable requirements of these Regulations shall be disregarded indetermining the country of origin of the goods if:
(a)   In the case of goods classified under any other chapter of the Harmonized System other
than under any of Chapters 1 to 4, 6 to 8, 11, 12, 15, 17 and 20 the value of the non-originating
materials is not more than 7% of the transactional value of the good, or 10% of the volume ofthe total alcoholic strength of the goods classified under Chapter 22; and
(b)   [in the case of goods classified under Chapters 50 to 63, the combined weight of the non-
originating materials does not exceed 7% of the total weight of the goods;]G/RO/37/Add.3
Page 27
2.  For the purpose of paragraph 1, the value of the good or the material shall be:
(a)   the transaction value of the good or material, determined in accordance with Article 1 of
the Customs Valuation Agreement;  or
(b)  in the event that there is no transaction value or the transaction value of the good or
material is unacceptable under Article 1 of the Customs Valuation Agreement, determined
in accordance with Article 2 through 7 of the Customs Valuation Agreement.
3. For purposes of paragraph 1:
(a)  the value of the good shall be adjusted to an f.o.b. basis, and
(b)  the value of the material shall be adjusted to a c.i.f. basis.
4.      For purposes of applying the Customs Valuation Agreement under this General Rule, the
principles of the Customs Valuation Agreement shall apply to domestic transactions, with suchmodifications as may be required by the circu mstances, as would apply to international
transactions.  (CAN)]
Observation :  A de minimis rule, if adopted, should not be applicable to origin determination
for goods of Chapters 9 or 21.  (COL)
Subparagraph 3 of the Canadian proposal is no t consistent with the WTO Valuation
Agreement.  (JPN)
De minimis rules should be articulated on a Chapter or product sector basis.  (JPN)
(KOR)(EGY)(COL)
A de Minimis rule is not necessary. (PHI) (SEN)(IND)(MAL)(NZ)
See Referral Issue No. 4G/RO/37/Add.3
Page 28
WCO Doc. 42.574/Cor.
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTER 15
The Technical Committee informs the Committee that Issue No. 45 in this template rescinds
and replaces the Issue bearing the same number in the template (Doc. 42.574) of 24 June 1998.
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation
ISSUE NO. 45: REFINING (RE-REFINING) OF FATS AND OILS:OPTION A: Yes(1) Refining of crude oils
1. Crude oils are not suitable for direct consumption or for specific technical purposes because
of their acidity and their organoleptic characteristics.  To make them suitable for consumption or usefor specific technical purposes, they have to be refined.  The refining process (chemical or physical)
entails eliminating the odour, taste, colour and acidity of a crude oil.
2. This process is considered to reflect the last substantial transformation when at least:
(a) all the following operations are carried out on crude oils in a single country:
- Neutralization with alkali or de-acidification (removal of the free fatty acids
from the oil);
- Decolorizing (removal of colouring substances); and
- Deodorizing (separation of the volatile odorous and flavourous substances by
distillation) (EC, EGY, JPN).
(b) three of the following operations are carried out on crude oils in a single country:
- neutralization with alkali or de-acidi fication (removal of the free fatty acids
from the oil);
- decolorizing (removal of colouring substances);
- deodorizing (separation of the volatile odorous and flavourous substances by
distillation);
- stabilization (AUS, CH, MEX, NOR, SG, TH, TUN).
3. The origin of a refined oil is the country where it was refined from a crude oil (AUS, CH, EC,
EGY, JPN, MEX, NOR, SG, TH2)
(2)  Refining of crude fats
4. Crude fats are not suitable for direct consumption or for specific technical purposes because
of their acidity and their organoleptic characteristics.  To make them suitable for consumption or use
                                                     
2 See table under "HS codes concerned".G/RO/37/Add.3
Page 29
for specific technical purposes they have to be refined.  The refining process (chemical or physical)
entails eliminating the odour, taste, colour and acidity of a crude fat.
5. The origin of a refined fat is the country where it was refined from a crude fat (AUS, JPN,
MEX).
(3) Re-refining of oils
6. There is also a substantial transformation when the processes mentioned in 2 (a) or (b) above
are applied to an oil that is already refined.  Even when refined, certain oils are still unsuitable for
consumption and, more particularly, are unsuitable for specific technical purposes.  That is why they
are re-refined.
7. Re-refining is intended mainly to correct deficiencies remaining from the first refining
process, e.g. to remove levels of iron or other impurities to meet quality standards.
8. Consequently, the origin of a re-refined oil is  the country where it is re-refined (EGY) (CH).
OPTION B: No9. Fats and oils occur widely in nature and are formed in the cells of certain plants or animals
from which they are extracted by various means such as pressure or use of solvents.
10. The essential characteristics of fats and oils and their essential molecular structure as a
compound are formed in the source material and they are also present unaltered in the extracted oil in
crude form.  These essential characteristics are not changed by refining.
11. Refining is done to remove impurities such as solids and free fatty acids from the
crude oils.  Odour and colour are improved through the process of bleaching and deodorizing.
However, these are merely physical changes.  The refining process does not affect the chemical
properties and molecular structure of the oil itself, even at this stage when an oil is referred to as
having been fully refined.
12. Obviously, if refining does not modify the essential characteristics of an oil, re-refining
cannot modify those characteristics and, consequently, cannot constitute a last substantial
transformation.
13. The origin of a fat or oil is the country where it was extracted from animals or plants (ARG,
BRA, CAN, COL, IND, KOR, MAL, MOR, PHI, SEN, US)
3 .
                                                     
3 See table under "HS codes concerned".G/RO/37/Add.3
Page 30
HS CODES CONCERNED:
HS Codes Refining Re-refining
Yes No Yes No
15.01 and 15.024AUS, JPN, MEX, TUN BRA, CAN, CH, KOR, MAL,
PHI, SG, TH,  US,
15.03 AUS, JPN, MEX, TH, TUN BRA, CAN, CH, KOR, MAL,
PHI, SG, US,
15.04 AUS, CH, EC, EGY, JPN,
MEX, NOR, TH, TUNBRA, CAN, KOR, MAL, PHI,
SG, USCH, EGY AUS, BRA, CAN, EC, JPN, KOR,
MAL, MEX, NOR, PHI, SG, TH, US
15.05 AUS, CH, EGY, JPN, MEX,
NOR, SG, TH, TUN ,BRA, CAN, KOR, MAL, PHI,US
15.06 AUS, CH, EC, EGY, JPN,
MEX, NOR, TUNBRA, CAN, KOR, MAL, PHI,
SG, TH, US
15.07 AUS, CH, EC, EGY, JPN,
MEX, NOR, SG, TUNARG, BRA, CAN, IND, KOR,
MAL, PHI, TH, USEGY ARG, AUS, BRA, CAN, CH, EC,
IND, JPN, KOR, MAL, MEX, NOR,
PHI, SG, TH, US
15.08 AUS, CH, EC, EGY, JPN,
MEX, NOR, SG, TH, TUNARG, BRA, CAN, IND, KOR,
MAL, PHI, SEN, US
15.09 and 15.10 AUS, CH, EC, JPN, MEX,
NOR, SG, TH, TUNARG, BRA, CAN, KOR, MAL,
MAR, PHI, US
15.11 AUS, CH, EC, EGY, JPN,
MAL, MEX, NOR, SG, TH,TUNARG, BRA, CAN, COL, IND,
KOR, PHI, USEGY ARG, AUS, BRA, CAN, CH, COL,
EC, IND, JPN, KOR, MAL, MEX,NOR, PHI, SG, TH, US
15.12 AUS, CH, EC, EGY, JPN,
MEX, NOR, SG, TH, TUNARG, BRA, CAN, IND, KOR,
MAL, PHI, USEGY ARG, AUS, BRA, CAN, CH, EC,
IND, JPN, KOR, MAL, MEX, NOR,
PHI, SG, TH, US
15.13 AUS, CH, EC, EGY, JPN,
MAL, MEX, NOR, SG, TH,
TUNARG, BRA, CAN, IND, KOR,
PHI, SEN, USEGY ARG, AUS, BRA, CAN, CH, EC,
IND, JPN, KOR, MAL, MEX, NOR,
PHI, SEN, SG, TH, US
15.14 AUS, CH, EC, EGY, JPN,
MEX, NOR, SG, TH, TUNARG, BRA, CAN, IND, KOR,
MAL, PHI, SEN, US
15.15 AUS, CH, EC, EGY, JPN,
MEX, NOR, SG, TH, TUNARG, BRA, CAN, KOR, MAL,
PHI, USCH, EGY ARG, AUS, BRA, CAN, CH, EC,
JPN, KOR, MAL, MEX, NOR, PHI,
SG, TH, US
15.16 AUS, CH,  EGY, MEX, NOR,
NZ, SG, TUNCAN, KOR, MAL, PHI, US
15.21 (a) CH, EC, EGY, NOR, TUN CAN, JPN, KOR, MAL, MEX,
PHI, TH, US
REFERENCES:
41.504, 41.505, 41.531, 41.632, 41.735, 41.745, 42.284, 42.284/Rev., 42.574, Annex C/1 to Doc.
OC0030E1.
                                                     
4 EC will confirm its position.G/RO/37/Add.3
Page 31
WCO Doc. OC009/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
AGREED RULES OF ORIGIN SUBMITTED BY THE TECHNICAL COMMITTEE
ON RULES OF ORIGIN FOR ENDORSEMENT BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTER 71
This document concerns a Chapter Note proposed for Chapter 715.
THIRD REFERRAL CONCERNING CHAPTER 71
The Committee on Rules of Origin is invited to de cide whether the following Chapter Note, with the
operations it implies, is origin-conferring.
ISSUE No. 5: SHOULD THE TRANSFORMATION OF A BLANK INTO A FINISHED
ARTICLE BE REGARDED AS A SUBSTANTIAL TRANSFORMATION ?
OPTION A: Yes
1. Where certain conditions laid down in the fo llowing Chapter Note are met, the transformation
to a finished article from blanks or other unfinished forms classified in the same heading or
subheading as the finished article is to be regarded as a substantial transformation.
2. The following Chapter Note is proposed:“1. For the purposes of this Chapter, whenever finished goods are produced from blanks or other
unfinished forms classified in the same heading or subheading as the finished goods, they
shall originate in the country in which the goods were finished, provided that :
(a) In their imported prefinished condition, the blanks or unfinished forms were not
capable of being sold in their condition as imported or of functioning for their
ultimate use and have not been advanced beyond cleaning or working to remove
flash, sprues, burrs or similar excess material, and
(b) The blanks or unfinished goods are configured to final shape by significant removal
of material (other than by edge-working process).” (US, CAN, CH)
OPTION B: NO
B/1 : No
3. “The origin of a product obtained from a blank shall be the country in which the blank
acquires the essential characteristics of the finished product and is classified in the same heading or
subheading as the finished product by application of  HS GIR 2 (a) or otherwise.  Further finishing
shall not change the origin as long as the classification does not change.” (IND)
                                                     
5 First referral : Doc. 42.344/Rev.
Second referral : Doc. OR 42.383.G/RO/37/Add.3
Page 32
B/2: No
4. The transformation of blanks or other unfinished forms into finished articles, both classified
in the same heading or subheading, is not to be regarded as substantial transformation.  Moreover, theproposed Chapter Note is not clear enough and can be wrongly interpreted.” (EC)
HS CODES CONCERNED:  71.13, 71.14, 71.15, 71.16.G/RO/37/Add.3
Page 33
WCO Doc. OC0012/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
AGREED RULES OF ORIGIN SUBMITTED BY THE
TECHNICAL COMMITTEE ON RULES OF ORIGIN FOR
ENDORSEMENT BY THE COMMITTEE ON RULES OF ORIGIN
CHAPTER 70
This document concerns a Chapter Note proposed for Chapter 70.  It should be examined in
relation to Issues 5 and 6 in Doc. 42.269 of 10 March 1998.
The Committee on Rules of Origin is invited to decide whether the Chapter Note below,
specifying that certain operations do not confer origin, can be adopted.
ISSUE NO. 7: TRIMMING OR CUTTING OF WOVEN FABRICS OR ARTICLES OF GLASS
FIBRES CANNOT BE REGARDED AS A SUBSTANTIAL TRANSFORMATION
EVEN IF THERE IS A CHANGE OF TARIFF SUBHEADING
Proposed Chapter Note
1. "For subheadings 7019.51 to 7019.90, those rules which refer to a change of subheading shall
not apply to changes which are the result solely of trimming or cutting".
OPTION A: YES
2. This Chapter Note is acceptable because trimming, which consists of removing asperities, and
the cutting of glass fibre woven fabrics or articles of glass fibres are simple operations which cannot
confer origin even if there is a change in tariff subheading (US) (CAN) (JPN) (MEX).
OPTION B: NO3. This Chapter Note is not acceptable because the trimming and cutting of woven fabrics or
articles of glass fibres confer origin when there is a change of tariff subheading.  This Chapter Note is
not necessary, the rules of origin in the tables are sufficient (IND).
HS CODES CONCERNED : 7019.51, 7019.52, 7019.59, 7019.90.G/RO/37/Add.3
Page 34
WCO Doc. OC0014/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTERS 28 TO 35 AND 38 TO 39
FOURTH REFERRAL6
Chapters 28-35, 38-39
ISSUE NO. 25: PURIFICATION RESULTING IN A GOOD SUITABLE FOR NON-TOXIC USES
FOR HEALTH AND SAFETY
OPTION A: Yes1. In the chemicals sector the Technical Committee has generally seen fit to adopt a rule
providing that purification of a good is origin conferring.  Under the first part of the purification rule
the elimination of 80 percent of the content of existing impurities confers origin.  In the second part of
the rule, presumably where less than 80 percent of the existing impurities might be removed, origin is
nevertheless conferred when the reduction or elimin ation of impurities results in a good suitable for
certain enumerated applications.
2. The reduction or elimination of impurities to produce a good suitable for non toxic uses for
health and safety should be included in the enumerated purification applications and, consequently,
should be considered as origin conferring.  This application differs from the enumerated
pharmaceutical, medical, cosmetic, veterinary or food grade uses. The standard of purification, which
is being achieved, is not necessarily found under the pharmaceutical, medical, cosmetic, veterinary or
food grade applications.  While a specific level of reduced toxicity necessary for safe use in human oranimal applications is the objective, the source of the standard may be a consumer safety agency,
private industry association or proprietary standard.  In all cases, however, the standard is objective.
Without the attainment of the specified standard the good is not suitable for its intended use.  A prime
example of the kind of good covered by this provision in the purification rule is children’s toys, which
must be meet precise standards of reduced toxicity for safe use.
3. The purification rule for the chemicals sector should include a provision recognizing that
origin is conferred when the reduction or elimination of impurities results in a good suitable for non
toxic uses for health and safety. (CH)
OPTION B:  No
4. The proposed provision should not be included under the purification rule.  Given the lack of
world-wide defined standards of reduced toxicity for the goods and activities described, the
application of the rule will produce inharmonious resu lts.  What could constitute an origin conferring
purification operation in one country might be only a minimal operation in another.  Such outcomes
are not in keeping with the purposes of harmonization of non-preferential rules of origin.
                                                     
6 This referral is a supplement to the previous refe rrals made for this product sector in WCO Referral
Docs. 42.626 and 42.627.  The Issue for Decision is numbered in accordance with the sequence established in
WCO Doc. 42.626.G/RO/37/Add.3
Page 35
5. Apart from this, there can be a high degree of confidence that most of the applications
described, if not all of them, are taken up in the existing provision covering purification for
pharmaceutical, medical, cosmetic, veterinary or food grade substances.  The proposed rule should not
be included as an origin conferring purification operation. (IND)
RELEVANT HS CODES:  Purification Rule for Chapters 28-35, 38-39.G/RO/37/Add.3
Page 36
WCO Doc. OC0016/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTERS 28 - 38
(FOR HEADING 35.07)
SECOND REFERRAL1
ISSUE No. 23: PRODUCTION OF ISOLATED ENZYMES AND ENZYME CONCENTRATES
FROM ENZYMES
OPTION A: Yes1. Isolated enzymes and enzyme concentrates are derived from enzymes for specialized
applications such as pharmaceutical uses, food processing, textile production and paper
manufacturing.  Various techniques are employed to produce these goods.  Isolated enzymes may be
produced by chemical or non-chemical extraction, wh ile concentrates also may be made by chemical
or non-chemical means.  The goods produced are new goods created for pre-determined purposes and
should be considered as having undergone substantial transformation.
2. Change of tariff classification at the heading or subheading level is insufficient to express the
change from enzymes to isolated or concentrat ed enzymes because almost all of the changes
described take place within the subheadings without any change of tariff classification.  The rules at
the chapter level concerning purification and chemical reaction also are insufficient to cover all of theways in which the isolated and concentrated enzymes are produced.  It is therefore necessary to
provide for separate identification of isolated and concentrated enzymes so as to indicate in the rules
of origin that change from enzymes to these goods is  origin conferring. The rule should be (US) (PHI)
: CTHS
OPTION B: Yes, provided
3. The change from enzymatic concentrates to isolated enzymes or from isolated enzymes or
concentrates to prepared enzymes can be regarded as a substantial transformation insofar as chapter
rules are satisfied.
4. Isolated enzymes are actually obtained by isolation or purification of enzymes concentrates.
Chapter rule on purification is applicable to them.
5. Enzymatic concentrates are usually extracted from animal organs, plants, microorganisms or
culture-broths.  Lastly, prepared enzymes are obtained by dilution of concentrates or by intermixing
isolated enzymes or enzymatic concentrates.  Therefore, chapter rule on mixtures applies to theseproducts and CTH is the appropriate criterion for heading 35.07. (EC)
The rule should be:CTH  (COL, CAN, NZ, EGY, EC) or
CTSH  (JPAN, MEX, CH)
RELEVANT HS CODE NUMBER:  35.07G/RO/37/Add.3
Page 37HS Code
NumberDescription of goods Origin criteria Notes Comments
AB C D E
35.07 Enzymes; prepared enzymes not
elsewhere specified or included.As indicated at the split heading and
subheading levelSubmitted to CRO for Decision
[ex 35.07(a) Isolated enzymes  (US) CTHS  (US)(PHI)
ex 35.07(b) Enzyme concentrates  (US) CTHS  (US)(PHI)
ex 35.07(c) Enzyme (US) CTHS (US)(PHI)]
3507.10 -  Rennet and concentrates thereof [CTSH]  (JPN)(MEX)(CH)
[CTH] (COL) (CAN) (NZ) (EGY)(EC)
3507.90 -  Other [CTSH]  (JPN) (MEX) (CH)
[CTH] (COL) (CAN) (NZ) (EGY)(EC)G/RO/37/Add.3
Page 38
WCO Doc. OC0023/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
TEXTILES AND PRODUCTS RELATED TO TEXTILES
CLASSIFIED IN CHAPTERS 30, 42, 43, 50 – 67, 87, 88, 91, 94, 95 AND 96
FOURTH REFERRAL
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
ISSUE 74: IS THERE A NEED FOR A NOTE TO SECTION XI AND CHAPTERS 42 AND 43
CONCERNING MINOR PROCESSING OPERATIONS NOT AFFECTING
ORIGIN?
N.B.: The Technical Committee has noted that this issue is closely related to the assembly
questions set out in Issues Nos. 45 and 46 of the Second Referral on Textiles (Doc. 42.271).  In those
referred issues the Technical Committee considered matters relating to assembly in a single country.
Many of the options presented included proposals that certain operations relating to such items as
buttonholes, cuffs, fasteners, hems and the like were not to be considered or taken into account.  Thereis limited similarity in that the Note for Section XI (applicable also to Chapters 42 and 43) which is
the subject of this Referral includes references to a few of such operations and items.  The Referral is
not included under Issues Nos. 45 and 46, however, its scope is broader than merely the definition of
assembly in a single country for goods of Chapters 61 and 62.  Instead, the proposed note would apply
across the Section and to made up articles of Chapters 42 and 43.
OPTION A:  Yes1. There is a need for an assurance that under any circumstances certain operations in this
product sector will not confer origin.  This proposal is a group of fundamental limitations, whichapply to the enumerated operations when they take place singly.  The proposal is intended to
safeguard the results intended under the primary and residual rules from inappropriate deflection of
country of origin.
A Legal Note for Section XI and for Chapters 42 and 43 should appear as follows:
"Minor processing operations not affecting origin.  For the purposes of determining the
country of origin for goods falling within Section XI that are not wholly obtained in one
country, the following individual processes, considered singly, are minimal operations or
processes and shall not affect the origin of the goods concerned, whether or not such
processes result in changes of classification:
(a)  Working or finishing one or more edges by hemming, rolling, whipping or similar means
or by knotting fringe;
(b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the
finished state by cutting along dividing threads;(c) Assembling or joining goods by sewing or stitching for convenience of shipment or
other temporary purposes;
(d) Putting up goods for retail sale or in sets or ensembles (US)"G/RO/37/Add.3
Page 39
OPTION B: No
2. The proposed Legal Note is inappropriate.  Some of its elements are included in other
elements of the overall architecture and therefore are redundant, such as putting up for retail sale.  The
enumerated cutting operations are already taken up in the formulation of the product-specific rules, or
in certain circumstances should not be excluded from being taken into account in origindetermination.
The proposed Legal Note should be deleted (EC, IND).
RELEVANT HS CODES:  HS Section XI (Chapters 50-63), Chapters 42 and 43ISSUE 75: IS THERE A NEED FOR RESIDUAL RULES AT  A CHAPTER LEVEL FOR
ASSEMBLY OF ARTICLES OF APPAREL AND CLOTHING ACCESSORIES
FROM PARTS FOR THE GOODS?
Background
3. The assembly of articles of apparel and clothing accessories from parts for the goods is
presented in Issue 45 and 46 in Second Referral Doc.42.271.  But this Referral Document does not
cover the cases in which the primary rules are not met.
4. Different opinions on whether or not the re sidual rules covering those cases would be
necessary  and what could be the contents of the residual rules were discussed during the 17 th Session
of the Technical Committee on Rules of Origin
5. The Committee on Rules of Origin is invited to decide whether or not the residual rules for
assembly of articles of apparel and clothing accessories from parts for the goods would be necessaryand what could be included in the residual rules.
OPTION A:  Yes6. This option recognizes the necessity of residual rules for the assembly of articles of apparel
and clothing accessories from parts for the goods and this opinion can be categorized follows :
OPTION 1A:7. When no country satisfies the primary rule dete rmining the origin of the assembly of articles
of apparel and clothing accessories from parts for the goods, the country in which 8 or more major or
other parts of the goods are assembled shall be the country of origin for the goods.  (CAN).
OPTION 2A:8. When application of the primary rules of Chapters 61 and 62 (including the product specific
rules provided in the matrix) do not result in a determination of a country of origin, the country oforigin shall be determined as follows:
“Where the primary rule for a good assembled from parts requires that the good be wholly
assembled in a single country, the country of origin of such a good that was not wholly
assembled in a single country, is the country in which the most significant assemblyoperations were performed in the making-up of the good, without regard to the addition ofG/RO/37/Add.3
Page 40
buttons and other fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps,
epaulettes, ornaments and other minor components”. (US)
OPTION 3A:9. When the above Option 2A conditions are not satisfied, the country of origin of other goods
of chapter 61 and 62 shall be the country where the textile fabric or knit-to-shape components was
formed, or in the case of a good containing textile fabrics or knit-to-shape component of more one
country, the origin of the good is the country in which the textile fabric or knit-to-shape component
that predominates by weight was formed.   (US)
OPTION 4A:
10. When application of the primary rules of Chapters 61 and 62 (including the product specific
rules provided in the matrix) do not result in a determination of a country of origin, the country of
origin shall be determined as follows :
“Where the primary rule for a good assembled from parts requires that the good be wholly
assembled in a single country, the country of origin of such a good that was not wholly
assembled in a single country, is the country in which the most significant assembly
operations were performed in the making-up of the good, without regard to:
- attaching and/or making up of the following, for example: buttons and other fasteners,
patch pockets, foot straps, trimmings, ornaments, cuffs, plackets, belt loops,
epaulettes, labels, collars, lining, padding, pockets other than patch pockets,
waistbands, garment accessories, facings, self belts, pleats;
-  making button holes, hemming, pres sing, stone or acid washing.  (HK)"
[N.B.  This option is submitted without prejud ice to Hong Kong’s position on chapter residual
rules for textile chapters.]
OPTION B: No
11. This option does not recognize  the necessity of residual rules for the assembly of articles of
apparel and clothing accessories from parts for the goods.
OPTION 1B:12. For the determination of the assembly of articles of apparel and clothing accessories of
headings 61.01 to 61.15 and 62.01 to 62.12 from parts for the goods, specific residual rules are notnecessary.  When the primary rules provided for assembled articles of Chapter 61 and 62 are not
satisfied, the origin of such articles should be determined by application of the general residual rules
set forth in Appendix 2, Rule 2. (EC,  CH) The criterion to be used in this context is value. (EC) The
criterion for this residual rule should be country contributing most to the total value of the good in
terms of total parts and related processing activities. (CH).
OPTION 2B:13. For the purposes of Chapters 61 and 62, the country of origin of an article of apparel or
clothing accessories shall be the country where such apparel or clothing accessory, as the case maybe, is finally assembled.  Final assembly means where the article assumes the essential character of
the final product and thereby gets classified as the final product.  Further operations which do not
change the classification will not change the origin. (IND)G/RO/37/Add.3
Page 41
RELEVANT HS CODES:  61.01 to 61.15,  62.01 to 62.12
ISSUE 76: DOES THE PUTTING UP IN PACKINGS FOR RETAIL SALE OF SETS
CLASSIFIED IN HEADING 63.08, CONS ISTING OF WOVEN FABRIC AND
YARN, WHETHER OR NOT WITH ACCESSORIES,  FOR MAKING UP INTORUGS, TAPESTRIES, EMBROIDERED TABLE CLOTHS OR SERVIETTES, OR
SIMILAR TEXTILE ARTICLES, RESULT IN SUBSTANTIAL
TRANSFORMATION?
OPTION A: Yes14. The preparation of a set may require a large degree of planning, purchasing, logistics and
overall know-how to produce a set which can be marketable for its intended purpose as a group of
different goods put together to carry out a particular purpose.  The fact that in this heading there is a
separate commercial identity defined in the Harmonized System confirms that the good has
independent utility as a whole and is recognized as an article of commerce with a certain importance
in trade.
15. It is entirely appropriate to consider that the operation of putting up a set of heading 63.08
results in substantial transformation.  The change of tariff classification from goods of other heading
to a set of this heading reflects this substantial transformation without any other condition or
consideration.  The rule should be : CTH (CH, IND, MAL, MOR, PAK).
OPTION B:  Yes, provided16. The putting up of a set of heading 63.08 may be origin conferring under the condition that a
limited amount of non-originating materials is used.  The rule should be : Change to this heading ifthe value of non-originating materials used does not exceed 25% of the ex-works price of the product
(EC, TUR, EGY).
OPTION C:  No
17. Merely putting up a set of heading 63.08, without also manufacturing at least some of the
fabric or yarn is not origin conferring.  Without accompanying manufacturing such an operation
amounts to merely collecting goods and packaging them.  The rule should be:
(a)  CTH, provided that the fabric or the yarn meets the tariff shift rule that would be
applicable if the fabric or the yarn were classified alone.
The origin of such a set should be based on the origin of the yarn or the fabric, provided the
yarn or the fabric meets the tariff shift rule in that country. (CAN)
(b)  a change to yarns of sets of this heading, except from heading 50.04 through 50.05, 51.06
through 51.09, 52.04 through 52.06, 53.06 through 53.08, 54.01 through 54.05, 55.08 through55.10 and 56.05 through 56.06; and A change to fabric of sets of this heading from any other
heading, except from heading 50.07, 51.11 through 51.13, 52.08 through 52.12, 53.09 through
53.11, 54.07 through 54.08, 55.12 through 55.16, 56.02 through 56.03, 56.08, 58.01 through
58.04, 58.06, 58.09 through 58.11, 59.03, 59.07 or 60.01 through 60.02
The origin of such a set should be based on the origin of the yarn and the fabric. (MEX)G/RO/37/Add.3
Page 42
(c)  CTH except from heading 50.07, 51.11 through 51.13, 52.08 through 52.12, 53.09
through 53.11, 54.07 through 54.08, 55.12 through 55.16, 56.02 through 56.03, 56.08, 58.01
through 58.06, 58.08 through 58.11, 59.03, 59.06 through 59.07 or 60.01 through 60.02
The origin of such a set should be based on the origin of the fabric. (US, BRA)
(d)  The country of origin of woven fabric or yarn in the set which gives the set its essential
character of a set can be considered as the country of origin of the set.
The origin of such a set should be based on the origin of the yarn or the origin of the fabric
which gives the essential character. (JPN)
RELEVANT HS CODES:  63.08
63.08
6308.00Sets consisting of woven fabric and yarn,
whether or not with accessories, for making upinto rugs, tapestries, embroidered table clothsor serviettes, or similar textile articles, put up in
packings for retail sale.a)  The country of origin of woven fabric or
yarn in the set which gives the set its essentialcharacter of a set can be considered as thecountry of origin of the set. (JPN)]
b)  CTH (CH) (IND) (MAL) (MOR) (PAK)
c)  Change to this heading if the value of non-originating materials used does not exceed 25%of the ex-works price of the product (EC)(TUR) (EGY)]
d)  CTH, provided that the fabric or the yarnmeets the tariff shift rule that would beapplicable if the fabric or the yarn were
classified alone. (CAN)]
e)  A change to yarns of sets of this heading,
except from heading 50.04 through 50.05,51.06 through 51.09, 52.04 through 52.06,53.06 through 53.08, 54.01 through 54.05,55.08 through 55.10 and 56.05 through 56.06;and
A change to fabric of sets of this heading from
any other heading, except from heading 50.07,
51.11 through 51.13, 52.08 through 52.12,53.09 through 53.11, 54.07 through 54.08,55.12 through 55.16, 56.02 through 56.03,56.08, 58.01 through 58.04, 58.06, 58.09
through 58.11, 59.03, 59.07 or 60.01 through
60.02 (MEX)
f)   CTH except from heading 50.07, 51.11through 51.13, 52.08 through 52.12, 53.09through 53.11, 54.07 through 54.08, 55.12through 55.16, 56.02 through 56.03, 56.08,58.01 through 58.06, 58.08 through 58.11,
59.03, 59.06 through 59.07 or 60.01 through
60.02 (US) (BRA)G/RO/37/Add.3
Page 43
ISSUE 77: IS THERE A NEED FOR CHAPTER RESIDUAL RULES FOR GOODS OF HS
SECTION XI (TEXTILES AND TEXTILE ARTICLES) AND TEXTILE-RELATED
GOODS OF OTHER HS CHAPTERS?
N.B.  In the harmonization work a category of goods was identified which was considered to
share characteristics of the textiles sector.  These goods were designated as “textile-related”, and theagreed rules and unresolved issues for them were referred to the Committee in Referral Doc. 42.269, a
companion document to the principal Referral Doc. 42.271.  The residual rules for assembly in this
sector are addressed in Issue No. 75 of this Referral.
OPTION A:  Yes
There will be cases in the textiles and related sectors in which the primary rules will not
produce an origin result.  Where the primary rules are based upon assembly in a single country, or are
based upon the country in which a textile material was formed, there is a need to account for the
origin of goods assembled in more than one country or consisting of textile materials formed in more
than one country.
OPTION 1A:
It is considered appropriate to specify these outcomes under the residual rules at each
appropriate chapter so as to give immediate resort to the applicable residual rule, each of which is
designed for the goods classified in the respective chapters.  It is considered that to rely upon the
general, Appendix 2 residual rules for these goods would not produce the predictable results needed in
this product sector.  The chapter residual rules should provide : at Chapters 30, 42, 43, 58, 59, 61, 62,
63, 64, 65, 66, 87, 88, 91, 94, 95 and 96, for the origin of the designated goods to be determined as
specified.  The rules proposed are reproduced as an annex to this document.  (US)
OPTION 2A:
In order to ensure a predictable, consistent and transparent result for users who are seeking an
origin for goods in chapters 50 to 60 which have not  met an applicable primary rule.  The following
residual rule is proposed:
The country of origin of goods of this Chapter shall be the country in which the textile fabric
was woven or knit.  (CAN)
OPTION B:  No
The general residual rules at Appendix 2 are co nsidered to be entirely sufficient for the
purpose.  In cases where the applicable primary rule is not met, the arrangement of the architecture
will direct the user to a single rule in which is applied the appropriate residual rule criterion
designated for the relevant chapter. (CH, IND)
RELEVANT HS CODES:  Chapters 30, 42, 43, 50-63, 64, 65, 66, 87, 88, 91, 94, 95 and 96.G/RO/37/Add.3
Page 44
RESIDUAL RULES PROPOSED BY USA:
The following proposed residual rules are submitted for chapters 50 through 63 and for the following
headings: 3005.90, 42.02, 42.03, 43.03, 64.06, 65.01--65.05, 66.01, 87.08, 88.04, 91.13, 94.04,
9502.91 and 9612.10.
CHAPTER 30
1. The country of origin of goods of subheading 3005.90 that contain textile material shall be the
country where the textile material was formed, or in the case of a good containing textile materials of
more than one country,  the origin of the good is the country in which the textile material that
predominates by weight was formed.
CHAPTER 42
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of a good of headin g 42.02 or 42.03 that was assembled from parts, but
was not wholly assembled in a single country, is the country in which the most significant assembly
operations were performed in the making-up of the good, without regard to the addition of buttons and
other fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornamentsand other minor components.
CHAPTER 43
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of goods of heading 43.03 that was assembled from parts, but was not
wholly assembled in a single country, is the country in which the most significant assemblyoperations were performed in the making-up of the good, without regard to the addition of buttons and
other fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments
and other minor components.
CHAPTER 58
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of quilted fabrics of heading 58.11 of this Chapter shall be the country
in which the exterior textile fabric was formed, or in the case of a good containing textile fabrics ofmore than one country,  the origin of the good is the country in which the exterior textile fabric that
predominates by weight was formed.G/RO/37/Add.3
Page 45
CHAPTER 59
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of fabrics of this Chapter, except textile wall coverings of heading
59.05, shall be the country where the textile fabric was formed, or in the case of a good containing
textile fabrics of more than one country,  the origin of the good is the country in which the textile
fabric that predominates by weight was formed.
CHAPTER 61
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. Where the primary rule for a good assembled from parts requires that the good be wholly
assembled in a single country, the country of origin of such a good that was not wholly assembled in a
single country, is the country in which the most significant assembly operations were performed in the
making-up of the good, without regard to the addition of buttons and other fasteners, belt and hanger
loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments and other minor components.
2. The country of origin of other goods of this Chapter shall be the country where the textile
fabric or knit-to-shape component was formed, or in the case of a good containing textile fabrics or
knit-to-shape component of more than one country,  the origin of the good is the country in which the
textile fabric or knit-to-shape component that predominates by weight was formed.
CHAPTER 62
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. Where the primary rule for a good assembled from parts requires that the good be wholly
assembled in a single country, the country of origin of such a good that was not wholly assembled in a
single country, is the country in which the most significant assembly operations were performed in the
making-up of the good, without regard to the addition of buttons and other fasteners, belt and hanger
loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments and other minor components.
2. The country of origin of other goods of this Chapter shall be the country where the textile
fabric was formed, or in the case of a good containing textile fabrics of more than one country,  the
origin of the good is the country in which the textile fabric that predominates by weight was formed.
CHAPTER 63
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of goods of this Chapter shall be the country where the textile fabric
was formed, or in the case of a good containing textile fabrics of more than one country,  the origin of
the good is the country in which the textile fabric that predominates by weight was formed.G/RO/37/Add.3
Page 46
CHAPTER 64
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin,
 1. The country of origin of a good of heading 64.06 that was assembled from parts, but was not
wholly assembled in a single country, is the country in which the most significant assembly
operations were performed in the making-up of the good, without regard to the addition of buttons and
other fasteners, hanger loops, labels, foot straps, ornaments and other minor components.
CHAPTER 65
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. For a good of headings 65.01 through 65.05 that was assembled from parts, where the
primary rule requires that the good be wholly assembled in a single country, is the country in which
the most significant assembly operations were performed in the making-up of the good, without
regard to the addition of buttons and other fasteners, hanger loops, tighteners, labels, hat bands,
ornaments and other minor components.
CHAPTER 66
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of a good of heading 66.01 that was assembled from parts, but was not
wholly assembled in a single country, is the country in which the most significant assembly
operations were performed in the making-up of the good, without regard to the addition of buttons and
other fasteners, hanger loops, labels, ornaments and other minor components.
CHAPTER 87
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of safety seat belts of heading 87.08 that were assembled from narrow
woven fabrics of heading 58.06 is the country where the fabrics were formed, or in the case of such a
good containing textile fabrics of more than one country, the origin of the good is the country in
which the textile fabric that predominates by weight was formed.
CHAPTER 88
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of parts of and accessories to parachutes (including dirigible parachutes
and paragliders) and rotochutes of heading 88.04 is the country where the fabrics were formed, or inG/RO/37/Add.3
Page 47
the case of such a good containing textile fabrics of more than one country, the origin of such good is
the country in which the textile fabric that predominates by weight was formed.
CHAPTER 91
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall be
determined as follows:
1. The country of origin of goods of heading 91.13 that contain textile fabric or other textile
material shall be the country where the textile fabric or other material was formed, or in the case of a
good containing textile materials of more than one country,  the origin of the good is the country in
which the textile fabric or other textile material that predominates by weight was formed.
CHAPTER 94
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall bedetermined as follows:
1. The country of origin of goods of heading 94.04 shall be the country where the textile fabric
was formed, or in the case of a good containing textile fabrics of more than one country, the origin of
the good is the country in which the exterior textile fabric that predominates by weight was formed.
CHAPTER 95
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall bedetermined as follows:
1. The country of origin of a good of subheading 9502.91 that was assembled from parts, but
was not wholly assembled in a single country, is the country in which the most significant assembly
operations were performed in the making-up of the good, without regard to the addition of buttons andother fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments
and other minor components.
CHAPTER 96
When application of the primary rules of this chapter (including the product specific rules provided in
the matrix) does not result in a determination of a country of origin, the country of origin shall bedetermined as follows:
1. The country of origin of typewriter or similar ribbons of subheading 9612.10 shall be the
country where the textile fabric was formed, or in the case of a good containing textile fabrics of more
than one country, the origin of the good is the country in which the textile fabric that predominates byweight was formed.G/RO/37/Add.3
Page 48
WCO Doc. OC0025/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
SECOND REFERRAL7
CHAPTER 82
Tools, implements, cutlery, spoons and forks, of base metal;
parts thereof of base metal
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
ISSUE No. 1: PRODUCTION OF A FINISHED GOOD OR PART FROM AN UNFINISHED
GOOD OR PART, INCLUDING FROM A BLANK (CHAPTER NOTES)
1. Chapter 82 covers a wide variety of products from quite simple to highly complex ones.  The
product-specific rules set out for goods of Chapter 82 do not take account of all the different processes
where substantial transformation takes place.  Thus, concerning to setting out the Chapter Notes on
the production of a finished good or part from an unfinished good or part, including from a blank,different options have been proposed.
N.B. This issue covers in general transformation of unfinished products of chapter 82OPTION A: YesOPTION A/1: US [1. When neither the product specific rules provided in the matrix are determinant of origin the
following Chapter Notes shall apply:
(a)  Goods produced from an incomplete or unfinished article classifiable in the same heading
or subheading by application of GIR 2 (a).  Where goods are produced from an incomplete or
unfinished (other than unassembled or disassembled) article which had the essential character
of the complete or finished goods and was classifiable, by application of GIR. 2(a), in the
same heading or subheading as the complete or finished goods, origin of the presented goods
shall be determined as follows:
(i)  Blanks:  Where the goods are produced from a blank:
(1)  Provided all the following criteria are met, the country of origin of the
goods shall be the country in which the blank was finished:
(a)  In its imported prefinished condition, the blank was not capable
of functioning for its ultimate use and was not advanced beyond
                                                     
7 First referral: Doc. 42.576 contained draft Issues 1 and 2 which were not submitted to the CRO.  This
referral contains Issue 1 which covers old issues 1 and 2.  This is done in view of the results of the discussion
during 17th Session and  in view of the developments in architecture, especially when the internal structure of
primary rules is concerned (cascading approach). (Sec)G/RO/37/Add.3
Page 49
cleaning or working to remove flash, spurs, burrs or similar excess
material, and
(b)  In the country in which the goods were finished:
(i)  The blank was configured to final shape by the removal
of material (other than by honing or polishing), or bybending, hammering, pressing, stamping or similar forming
process; and
(ii)  The blank underwent one or more of the following
processes:
1)  Hardening to a minimum hardness of 38 degrees
Rockwell C or equivalent standard of hardness; or2)  Assembly with five or more parts (other than
parts of general use as defined in Note 1(g) to
Section XVI of the HS).
(2)  If the criteria of subparagraph (1) above are not satisfied, the country of
origin of the goods shall be the country of origin of the blank.
(ii)  Other.  Where the goods are produced from an incomplete or
unfinished article, other than a blank, the origin of presented goods
shall be the country of origin of the incomplete or unfinished articlefrom which it was produced.
(b)  Other Goods of this Chapter.  When paragraph 1(a)(i) or 1(a)(ii) is not satisfied, the
country of origin shall be the country in which the working edge, working surface or working
part underwent a change of classification to a heading of this Chapter from any other Chapter(e.g. from a bar or rod of Chapter 72 to a chisel of Heading 82.05) ]
OPTION A/2: CH[1. The manufacturing process for the assembly of a finished product from parts, other than
“simple assembly”, is considered the last substantial transformation.  The TCRO decided that
assembly in chapter 82 will be covered by the rules finally agreed for chapters 84-90 (Sec.)
2. Whenever the change of classification rules set out for goods of Chapter 82-83 are not
determinative of the country of origin of the good;  the following substantial transformation rules are
to be applied:
(a)  A finished good or part produced from a non-originating unfinished article or parts
classified in the same heading or subheading as the finished good or part shall originate in the
country in which the good or part was finished, provided that the unfinished good or part is
not functioning for its ultimate use in his imported condition and has undergone at least
mechanical treatment, refining of form-, positional- and surface tolerances of functionalfinished shapes such as turning, milling, drilling, broaching, grinding, polishing, honing,
eroding and one or more of the following processes:
- assembly by build-up such as but not limited to welding, soldering, shrinking, bolting, gluing,
fitting, fixing, spooling, winding, connecting, wiring, coupling;  or
- heat treatment or thermochemical treatment such as glowing, tempering, hardening;  or
- treatment for the purpose of shaping form ing such as cold or warm forming;  orG/RO/37/Add.3
Page 50
- surface treatment such as coating, compressing, condensing, impregnating (excluding
temporary conservation for transport and/or storage purpose), insulating.
(b)  A finished good or part produced from a non-originating unfinished article or parts
classified in the same heading or subheading as the finished good or part which does not
satisfy the conditions mentioned in (a) above shall originate in the country in which the
assembly takes place provided that more than 10 constituent parts, other than screws andbolts, are assembled.]
OPTION A/3: MOR[1. Obtaining a finished product by assembly from parts is considered the last substantial
transformation.]  The TCRO decided that assembly in chapter 82 will be covered by the rules finally
agreed for chapters 84-90 (Sec.)
OPTION B:  No2. The product specific rules provide for all cases of substantial transformation in Chapter 82.  A
general Chapter Note is not necessary.  A residual rule determines the origin of goods that do not meetthe relevant product specific rule..
OPTION B/1: (EC)3. Origin will go to the country in which the blank is originated.  Further finishing will not
change the origin so long as the classification does not change.
OPTION B/2: (IND)(JPN)(CAN)4. Origin will go to the country in which the blank acquires the essential characteristics of the
finished product and is classified as the finished product by application of GIR2(a) or otherwise.
Further finishing will not change the origin so long as the classification does not change.
RELEVANT HS CODES:  82.01 to 82.15,
REFERENCE DOCUMENT:  Doc. 42.576G/RO/37/Add.3
Page 51
WCO Doc. OC0026/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
SECOND REFERRAL8
CHAPTER 83
Miscellaneous articles of base metal
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
ISSUE No. 1: PRODUCTION OF A FINISHED GOOD OR PART FROM AN UNFINISHED
GOOD OR PART, INCLUDING FROM A BLANK (CHAPTER NOTES)
1. Chapter 83 covers a wide variety of products from quite simple to highly complex ones.  The
product-specific rules set out for goods of Chapter 83 do not take account of all the different processes
where substantial transformation takes place.  Thus, concerning to setting out the Chapter Notes on
the production of a finished good or part from an unfinished good or part, including from a blank,
different options have been proposed.
N.B. This issue covers in general transformation of unfinished products of Chapter 83.
OPTION A: Yes
OPTION A/1: CH
[1. The manufacturing process for the assembly of a finished product from parts, other than
“simple assembly”, is considered the last substantial transformation.  The TCRO decided that
assembly in chapter 83 will be covered by the rules finally agreed for chapters 84-90 (Sec.)
2. Whenever the change of classification rules set out for goods of Chapter 82-83 are not
determinative of the country of origin of the good;  the following substantial transformation rules are
to be applied:
(a)  A finished good or part produced from a non-originating unfinished article or parts
classified in the same heading or subheading as the finished good or part shall originate in the
country in which the good or part was finished, provided that the unfinished good or part is
not functioning for its ultimate use in his imported condition and has undergone at least
mechanical treatment, refining of form-, positional- and surface tolerances of functional
finished shapes such as turning, milling, drilling, broaching, grinding, polishing, honing,
eroding and one or more of the following processes:
- assembly by build-up such as but not limited to welding, soldering, shrinking, bolting,
gluing, fitting, fixing, spooling, wind ing, connecting, wiring, coupling;  or
                                                     
8 First referral: WCO Doc. 42.511 contained draft Issues 1 and 2 which were not submitted to the CRO.
This referral contains Issue 1 which covers old issues 1 and 2.  This is done in view of the results of the
discussion during 17th Session and  in view of the developments in architecture, especially when the internal
structure of primary rules is concerned (cascading approach). (Sec)G/RO/37/Add.3
Page 52
- heat treatment or thermochemical treatment such as glowing, tempering, hardening;
or
- treatment for the purpose of shaping forming such as cold or warm forming;  or
- surface treatment such as coating, compressing, condensing, impregnating (excluding
temporary conservation for transport and/or storage purpose), insulating.
(b)  A finished good or part produced from a non-originating unfinished article or parts
classified in the same heading or subheading as the finished good or part which does not
satisfy the conditions mentioned in (a) above shall originate in the country in which the
assembly takes place provided that more than 10 constituent parts, other than screws and
bolts, are assembled.]
OPTION A/2: MOR[1. Obtaining a finished product by assembly from parts is considered the last substantial
transformation.]  The TCRO decided that assembly in Chapter 83 will be covered by the rules finally
agreed for chapters 84-90 (Sec.)
OPTION B:  No
2. The product specific rules provide for all cases of substantial transformation in Chapter 83.  A
general Chapter Note is not necessary.  A residual rule determines the origin of goods that do not meet
the relevant product specific rule..
OPTION B/1: (EC)3. Origin will go to the country in which the blank is originated.  Further finishing will not
change the origin so long as the classification does not change.
OPTION B/2: (IND)(JPN)(CAN)4. Origin will go to the country in which the blank was originated (EC) on acquired the essential
characteristics of the finished product and is classified as the finished product by application ofGIR2(a) or otherwise.  Further finishing will not ch ange the origin so long as the classification does
not change.
RELEVANT HS CODES:  83.01 to 83.11,REFERENCE DOCUMENT:  Doc. 42.511G/RO/37/Add.3
Page 53
WCO Doc. OC0028/2
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTERS 1 TO 24
(FOURTH REFERRAL)9
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
SECRETARIAT NOTE
Apart from the cases of mixtures already submitted to the CRO for decision (see
Doc. 42.146, Issues 32, 33, 36, 65, 66, 76, 100 and 106), the Technical Committee is still examining
how the origin of certain other mixtures should be determined.
In the light of the Technical Committee’s discussions on the residual rules, there seems to be
agreement that the origin of a large number of mixtures from the agricultural sector will be
determined horizontally.  This method appears to be appropriate for mixtures of the same type of
product (such as wheat) of different origins.  In this case, the mixing operation does not result in achange of tariff classification.  The same approach  also seems appropriate for determining the origin
of mixtures of different products (such as corn and wheat) classifiable in the HS Nomenclature on the
basis of GIR 3.
In addition, for mixtures specified as such in the HS Nomenclature, not yet submitted to the
Committee for decision, and for which specific proposals have been made, below are draft templates
intended to help the Technical Committee make its decision.
The preparation of several draft templates has been necessary because the Members
supporting a given proposal are not always the same.  Hence, if the Technical Committee decides onreferral to the Committee for decision, the Members are invited to specify their positions with regard
to each of the proposed options or to indicate, where applicable, the new option or options that reflect
their points of view.
                                                     
9    The 120 agricultural sector issues, already submitted to the Committee for decision, are presented as
follows:
DOCUMENT ISSUE(S)
1st referral 42.146 1 to 111
2nd referral 42.536 112 to 114
3rd referral 42.574 115 to 120G/RO/37/Add.3
Page 54
ISSUE No. 121:   OBTAINING MIXTURES OF VEGETABLES OR FRUITS CLASSIFIED IN
SUBHEADINGS 0710.90, 0711.90, 0712.90 OR  0813.50
1. Mixtures of frozen vegetables are classified in subheading 0710.90, those provisionally
preserved (by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions) but
unsuitable in that state for immediate consumption are classified in subheading 0711.90, those ofdried vegetables in subheading 0712.90 and those of dr ied fruits or nuts of Chapter 8 in subheading
0813.50.
OPTION A: YES (CAN)2. “Mixtures” of vegetables classified in subheading 0710.90, 0711.90 or 0712.90 are very
complex and sophisticated, being made up of several sorts of ingredient and requiring a very shortcooking time in a microwave oven.  These mixtures are prepared for cooking taking account of the
fact that some components cook faster than others.  The manufacturers skilfully ensure that various
ingredients normally requiring different cooking times will cook in a standard time in a microwave
oven.  The dimension or size of each component of the mixture is calculated accordingly.  The
country of origin of these mixtures is therefore the country where the mixture was obtained.
3. In most cases, preparing mixtures of dried fruit or nuts of Chapter 8 classifiable in subheading
0813.50 requires the addition of seasonings, preservatives and other ingredients.  A certain degree of
skill is also required in terms of the selection, size and balance of the constituents.  The mixtures
obtained are new products and different from the initial products used, and should therefore beconsidered as originating in the country where the components were mixed.
OPTION B: No4. Producing mixtures does not constitute a substantial transformation (EC, IND, NZ).5. In the case of mixtures of various vegetables or fruit of the same origin, the country of origin
remains the country in which the plants grew from which the various components of the mixture were
obtained (IND, NZ).
6. In the case of mixtures of various vegetables or fruit of different origins, the country of origin
is to be determined by applying a residual rule (IND) based on weight (NZ).
7. The origin of mixtures of vegetables or fruit has to be determined by a residual rule (EC)RELEVANT HS CODES:  0710.90, 0711.90, 0712.90 and 0813.50.
ISSUE No. 122
10: OBTAINING MIXTURES OF COFFEE:
OPTION A:  Yes, provided8. Blending of coffee substantially transforms the input used.  The finished blend is different
from the starting materials in terms of fragrance and flavour.  Blending is also a process that requires
                                                     
10 Secretariat Note
 During the 17th Session when accepting draft Doc. OC0028, Members made several substantial
comments on Issue 122.  The Secretariat undertook to put these comments on paper after the session and
seek further clarification from the participants at the 17th Session.  Consequently, the text presented below is
subject to confirmation by the participants at the 17th Session.G/RO/37/Add.3
Page 55
great skill.  Each blending coffee is based on the need to satisfy a precise taste requirement on the part
of the consumer.  Consequently, the origin of blended coffee is the country where the blending takes
place.  (JPN)
OPTION B: No
9. In itself, the blending of coffee is not considered a substantial transformation.  The origin of
blends of different varieties of coffee of the same origin or of various origins is determined by
application of the residual rules (EC).  In this case, it is proposed that the weight criterion be used.
OPTION C:10. This needs to be discussed when the product specific rule for coffee is addressed.  This is an
issue that is meant to be examined at the CRO meet ing.  In this respect a Chapter Note was included
in the matrix.
RELEVANT HS CODE:  09.01
ISSUE NO. 123: OBTAINING MIXTURES CLASSIFIED IN CHAPTER 15
11. There are two types of mixture in Chapter 15:- mixtures of products of the same type remainin g classified in the same heading (subheading);
and
- mixtures of two or more types of fats or oils classifiable in heading 15.17, if edible, and in
heading 15.18 if not.
12. The procedure chosen by Members for which obtaining mixtures from this Chapter is a
substantial transformation differs somewhat from the horizontal method.  The scope of the proposals
also differs.  Some Members cover Chapter 15 as a whole, whereas others apply their proposal only to
products of headings 15.07 to 15.15.
OPTION A: Yes, provided that:
13. The country in which a mixture classified in [headings 15.07 to 15.15] [Chapter 15] is
obtained after satisfying the criteria set out in the fo llowing definition is the country of origin of this
mixture.  This definition, proposed as the Note to Chapter 15, reads as follows:
For the purposes [of headings 15.07 to 15.15] [of Chapter 15:
(a) the deliberate and proportionally controlled mixing or blending (including dispersing) of
materials to conform to predetermined specifications which results in the production of a good
having attained new physical, chemical or technical characteristics in terms of taste, odour or
purity and use different from the input materials is considered to be origin conferring.
(b) However, the addition of diluents only is to be disregarded in determining the origin of the
good. (CH, NOR, SG)
OPTION B: No14. The preparation of mixtures classified in Chapter 15 does not constitute a substantial
transformation (EC, CAN, IND).G/RO/37/Add.3
Page 56
15. In the case of mixtures of various types of fats or oils originating in the same country, the
country of origin of the mixture remains that wh ere the plants grew (whence the animals came) from
which the different components of the mixture were obtained (IND, PHI).
16. In the case of mixtures of various types of fats or oils of different origins, the country of
origin is to be determined by applying a residual rule.
17. The origin of mixtures of fats or oils has to be determined by a residual rule.  (CAN, EC)RELEVANT HS CODES:  [15.07 to 15.15]  [Chapter 15]ISSUE NO. 124:  OBTAINING MIXTURES CLASSIFIED IN EACH OF THE SUBHEADINGS OF
HEADING 19.01 (OF CHAPTER 18) FROM MATERIALS ALSO CLASSIFIED
IN EACH OF THOSE SAME SUBHEADINGS
18. The products classified in heading 19.01 are largely made up of mixtures.
These mixtures can be obtained:
(a) directly from materials classified outside heading 19.01 (milk, flour, malt, etc.);(b) from materials classified in another subheading of heading 19.01 (especially changes from
subheading 1901.90 to subheading 1901.10 or 1901.20);  or
(c) from materials classified in the same subheading.19. The mixtures in (a) and (b) above are covered by Issues 65 and 66 of Doc. 42.146 submitted
to the Committee for decision on 19 January 1998.
20. This classification issue relates only to mixtur es covered in (c) above, i.e. those remaining
classified in the subheading in which the differen t materials involved in the manufacture of the
mixture are classified.  That manufacture does not entitle change on tariff classification.
21. Given the scope of the subheadings of heading 19.01, this issue only seems to relate to the
mixtures classified in subheadings 1901.20 and 1901.90.
OPTION A: Yes (CAN)
11
22. Obtaining a mixture from materials classified in the same subheading is a last substantial
transformation.  A mixture or dough of subhead ing 1901.20 mixed with another mixture or another
dough of the same subheading with a view to obtain ing an intermediary product for the preparation of
bakers’ wares is a substantial transformation.  It may be a mixture of a dough (or a mixture) intended
for preparing bread and another dough for preparing cakes on biscuits, and vice versa.  It may also be
a mixture of two or more preparations for infant use, not put up for retail sale.
                                                     
11 CAN considers it necessary to have a Note for Chapter 18 setting out the origin criteria which make
it possible to regard as substantial transformation the obtaining of mixtures within the headings and subheadingsof Chapter 18 without there being a change of classification.  Since this is the same issue as for heading 19.01,
the Technical Committee decided to refer this proposal to the Committee for decision under Issue no. 124
above, which deals with the same problem for heading 19.01.G/RO/37/Add.3
Page 57
23. These operations are generally intended to enrich a dough (or a mixture) with the components
of another dough or another mixture with specific ingredients.  They thus make it possible to obtain a
balanced intermediary product.  The country of origin of a mixture of doughs, mixtures or
preparations classified in subheading 1901.20 or 1901.90, obtained without a change of tariff heading,
is therefore the country in which this mixture was obtained.
OPTION B: No
24. Obtaining a mixture from materials classified in the same subheading is not a substantial
transformation.
RELEVANT HS CODES:  1901.20 and 1901.90, Chapter 18 (CAN)
ISSUE No. 125:  OBTAINING MIXTURES OF TOBACCO CLASSIFIED IN HEADING 24.01 OR
24.03 FROM TOBACCO OF DIFFERENT ORIGINS :
OPTION A: Yes
25. Obtaining mixtures of tobacco from tobacco originating from several countries is the last
substantial transformation, as the characteristics of the mixed product are completely different from
those of the tobacco used.  The country of origin of these mixtures is the country in which the tobacco
was mixed according to the criteria set by the following Chapter Note :
”For the purposes of headings 24.01 and 24.03, any deliberate and proportionally controlled
mixing or blending of tobacco resulting in a product with a determined composition confers
origin” (JPN, SEN).
OPTION B: No26. Mixing tobacco is not the last substantial transformation.  The country of origin of a mixture
of tobacco obtained from tobacco of different origins is to be determined by applying a residual rule
(EC, IND).
RELEVANT HS CODES:  24.01 and 24.03G/RO/37/Add.3
Page 58
WCO Doc. OC0032/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTERS 30 - 38
Non-origin conferring operations for Chemicals
THIRD REFERRAL12
ISSUE No. 24: SHOULD THE ADDITION, WHETHER OR NOT IN COMBINATION, OF
DILUENTS ONLY OR OF THE ADDITIVES ENUMERATED IN HS CHAPTER
NOTE 1(F) AND 1(G) TO CHAPTER 29 FOR THE PURPOSES INDICATED
THEREIN, BE DISREGARDED IN DETERMINING THE ORIGIN OF THE
GOOD?
OPTION A: Yes  (US)(CAN)(PHI)
1. For purposes of Chapters 30 to 38, the addition of the substances identified in Note 1 to
Chapter 29 for the purposes identified therein is not origin conferring.
2. Note 1 to Chapter 29 identifies a number of substances which may be added to the products of
that chapter without changing the classification of the product.  This is due to the fact that the addition
of the substances is considered so minor with respect to the character of the good that the good retains
its identity as the original chemical product, even though mixtures are generally excluded from that
chapter.
3. For similar reasons the addition of such substances such as anti-dusting agents, or stabilizers
for the preservation or transport of the products of these chapters, or the addition of an odoriferous
substance or colouring agent simply to identify the products, are simply too minor in terms of the
effect on the goods to be considered origin conferring.  They are properly understood as minimaloperations or processes which should be disregarded for origin purposes.
OPTION B: No (CH)4. During the 11th Session different chapter rules in the chemical chapters were adopted by the
Technical Committee as Basket 1.  After adopting these rules, a proponent of Option A put forward a
request to introduce "non-origin conferring processes"  for the chapters 28 to 38 as indicated in the
notes 1 (f)and (g) to Chapter 29.  The exclusions are mainly addressed to restrict the application of the
mixture rule.  Based on this request, the Technical Committee agreed to introduce certain minimal
operations identified in Note 1 to chapter 29 in the mixture rule of the chapters 28 and 29, reopening a
Basket 1 decision.  This decision was acceptable because in the chapters 28 and 29 are classified -
with minor exceptions -chemically defined compounds.
5. Chapters 30 to 38 instead cover mainly preparations and mixtures which need the addition of
some components mentioned in Note 1 to chapter 29.  Some Members have therefore refused to
                                                     
12   This referral is a supplement to the previous referrals made for this product sector in Referral Documents
42.626 and 42.627.  The Issue for Decision is number ed in accordance with the sequence established in Doc.
42.626.G/RO/37/Add.3
Page 59
reopen the Basket 1 mixture rule for chapters 30 to 38 and have also refused to introduce further such
restrictions under a rule setting out on "non-origin conferring processes".
6. There must be no contradiction between the "non-origin conferring processes" and specific
origin conferring processes rules already agreed under Basket 1  Chapter rules.  The necessary
specific minimal operations have already been excluded from these specific chapter rules.13
7. In addition, the proposal of "non-origin conferring processes" is linked with the template onGeneral Rule 5 on minimal operations and processes where similar concerns were expressed.
RELEVANT HS CODES:  Chapters 30-38
                                                     
13 Examples:
Chemical reaction :   exclusion only of dissolving in water or other solvents, elimination of solvent including
solvent water, addition or elimination of water of crystallization.
Mixtures and blends : Chapters 28-29: exclusion of the addition of diluents only or additives enumerated in HS
Chapter Note 1(f) and 1(g) to Chapter 29 fo r the purposes indicated therein (precisely,
i.e. transportation and storage), to be disregarded in determining the origin of the good.G/RO/37/Add.3
Page 60
WCO Doc. OC0033/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
CHAPTER 95
Toys, games and sports requisites; parts and accessories thereof
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
ISSUE No.33: PRODUCTION OF A FINISHED GOOD OR PART OF HEADING 95.06 FROM A
BLANK (CHAPTER NOTES)
OPTION A: Yes  (US) (KOR)
1. Not all changes from forged or cast blanks to finished goods or parts are considered as
substantial transformation.  A Chapter Note is proposed to specify the conditions of processes or
operations by which the blanks substantially change their characters.  A change of classification rule
should be complemented by the Chapter Note to express substantial transformation of articles and
equipment for sports or outdoor games.  This Chapter Note is applicable to goods of heading 95.06only.
2. The Chapter Note should be:
For the purposes of heading 95.06 when the goods are produced from forged or cast blanks
which had the essential character of the complete or finished goods and were classifiable, by
application of HS General Interpretative Rule 2(a), in the same heading or subheading as the
complete or finished goods:
(1) Provided the following criteria are met, the country of origin of the goods shall be the
country in which the blank was finished:
(a) In its imported prefinished condition, the blank was not capable of
functioning for its ultimate use and was not advanced beyond cleaning or
working to remove flash, sprues, burrs or similar excess material, and
(b) In the country in which the goods were finished:
(i) The blank was configured to final shape by the removal of material
(other than merely by honing or polishing or both), or by bending,
hammering, pressing, stamping or similar forming process; and
(ii) The blank underwent one or more of the following processes:
- Heat treatment or thermochemical treatment, such as glowing,
tempering, hardening;  or
- Assembly with five or more parts (other than parts of general use as
defined in Note 1(g) to Section XVI of the HS);  or
- Surface treatment, such as coating, compressing, condensing,
impregnating or insulating;G/RO/37/Add.3
Page 61
(2) If the criteria of subparagraph (a) above are not satisfied, the country of origin of the
goods shall be the country of origin of the blank.
OPTION B:  No  (EC) (JPN) ((CH) (CAN) (HK) (PHI) (MEX) (TH)
3. A change of tariff classification criterion has a built-in mechanism to refrain simple processes
or operations from conferring origin on a finished good or part manufactured from a blank that has the
essential character of that good or part.  Such changes from blank to the finished good or part should
be regarded as insubstantial transformation.  There is no reason to single out the finishing process of
articles and equipment for sports or outdoor games.  Thus no exception of this principle is acceptable.
RELEVANT HS CODE: 95.06G/RO/37/Add.3
Page 62
 WCO Doc. OC0034/1
Chapter Notes
Chapters 1 to 97
Secretariat Note:
This document is not a new referral.  As indicated in the text, the issues have been already submitted
to the CRO in other relevant Referral Documents, however, to facilitate further considerations of the
CRO the Secretariat compiled all Chapter Notes for Chapters 1 to 97 in one document.G/RO/37/Add.3
Page 63CHAPTER 1
[Criteria to apply A ppendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 2
[Product Specific] [Chapter] Residual Rule
[Where the origin of the goods cannot be determined by applying the primary rules for this chapte r, the origin shall be the cou ntry in which the animals were
slaughtered.  (CAN)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 3
[Product Specific] [Chapter] Residual Rule
[Where the origin cannot be conferred on the goods by applying th e primary rules for this Chapter, the country of origin shall be determined by the place of
capture or, if this criterira is not met, by the weight (NZ)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]G/RO/37/Add.3
Page 64CHAPTER 4
[Product Specific] [Chapter] Residual Rule
[Where the origin of a mixture of dairy product cannot be determin ed by applying the primary rules for this Chapter, the origin  shall be the country where the
mixing took place, provided that the inputs originating in that country represent at least 80 % by weight of the milk used.  If  not, the origin shall be the country
accounting for the largest percentage of non-originating milk by weight. (CAN)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 5
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 6
[Product Specific] [Chapter] Residual Rule
[Where the floral compositions of subheading ex 06.03(a) or ex 06.04(a) are made from materials of various origins, the origin of the composition shall be the
country in which it was made. (CAN)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 65CHAPTER 7
Chapter Note
[Origin criteria for mixtures classified in subheadings 0710.90, 0711.90 or 0712.90 (CAN)]    Submitted to CRO for decision  (Doc.OC0028, Issue No.121)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 8
Chapter Note
[Origin criteria for mixtures classified in subheading 0813.50 (CAN)]  Submitted to CRO for decision (Doc.OC0028, Issue No.121)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 9
Chapter Notes
[ Origin criteria for mixtures/blending of coffee of diverse origins (JPN)14]  Submitted to CRO for decision (Doc.OC0028, Issue No.122)
                                                     
14 The particular cases of the mixtures referred to in Note 1 (b) to Chapter 9 (HS Note) have already been submitted to the CRO fo r decision (Doc.42.146, Issue No.36).G/RO/37/Add.3
Page 66[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 10
[Product Specific] [Chapter] Residual Rule
[Where the origin of a mixture of cereals cannot be determined by  applying the primary rules for this chapter, the origin shall  be the country where the mixing
took place, provided that the inputs originating in that country represent at least 85 % by weight of the non-originating cerea ls used (CAN)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 11
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 12
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:G/RO/37/Add.3
Page 67[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
CHAPTER 13
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 14
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 68CHAPTER 15
Chapter Notes
1. Mixtures    Submitted to CRO for decision (Doc.OC0028, Issue No. 123)
[For the purposes of [headings 15.07 to 15.15] [Chapter 15]:
(a) The deliberate and proportionally controlled mixing or blending  (including dispersing) of materials to conform to predetermi ned specifications
which results in the production of a good having attained new physical or chemical characteristics in terms of taste, odour  or  purity and use different
from the input materials is considered to be origin conferring.
(b) However, the addition of diluents only is to be disregar ded in determining the origin of the good. (SG) (CH) (NOR)]
2.  Definition of the term “refining”    Submitted  to CRO for decision (Doc.42.574/Cor, Issue No. 45)
[Refining (chemically or physically) is considered to be the last substantial transformation if at least:
(a) all the following operations are carried out on crude oils in a single country:
- neutralization with alkali or de-acidification (removal of the free fatty acids from the oil);
- decolorizing (removal of colouring substances); and
- deodorizing (separation of the volatile odorous and flavourous substances by distillation )  (AUS, EC, EGY15, MEX, JPN16)
(b) three of the following operations are carried out on crude oils17 in a single country:
- Neutralization with alkali or de-acidification (removal of the free fatty acids from the oil);
- Decolorizing (removal of colouring substances);
- Deodorizing (separation of the volatile odorous and flavourous substances by distillation);
 - Stabilization (CH) (NOR) (SG) (TH) (TUN)]
3. Definition of “chemical reaction” for the purposes of headings  15.16 and 15.18    Submitted to CRO for decision (Doc.42.574, Is sue No.115)
[For the purposes of headings 15.16 and 15.18, a chemical reaction is defined as follows:
                                                     
15 EGY considers that there is also substantial transformation when the operations mentioned in 2(a) relate to refined oils of hea dings 15.04, 15.07, 15.11, to 15.13 or 15.15.
16 JPN considers obtaining refined fats from crude fats also constitutes a substantial transformation.
17 CH considers that there is also a substantial transformation when the operations mentioned in 2(b) relate to refined oils of he ading 15.04 or 15.15.G/RO/37/Add.3
Page 69A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical reactions for the purposes of this definition :
1) Dissolving in water or other solvents;
2) The elimination of solvents including solvent water;  or
3) The addition or elimination of water of crystallization.  (EC)]
[Product Specific] [Chapter] Residual Rule
[The CIF value of non-originating materials imported and used in the production does not exceed 75 % of the ex-factory price of  the goods.
The method of calculating foreign content is as follows:
FC = CIF value of NORM x 100% ≤ 75%
Ex-factory price
FC: foreign contentNORM: Non-originating raw materialsEx-factory price = Total materials cost + Direct  labour costs + Overhead costs + Profit (SG)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 70CHAPTER 16
Chapter Notes
1.a) [Changes to this Chapter from Chapter 2 or 3 merely by addition of seasoning or preservatives are not considered as substa ntial transformation. (US)
(CAN) (COL) (PHI) (KOR) (MEX) (MOR)]    Submitted to CRO for decision (Doc.42.146, Issues Nos.49 and 50)
b) [Changes to goods in this chapter from any other heading merely by addition of seasoning or preservatives or curing and/or s moking and cooking of such
products are not considered as substantial transformation. (AUS)]    Submitted to CRO for decision (Doc.42.146, Issues Nos.49 and 50)
2. [Food preparations of agricultural products of Chapters 16 to  21 are defined on the basis of one of the following two criter ia :
a) Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as dep artment stores,
supermarkets, conventional markets, etc.
b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing the intermediate products for the food industry fo r the
purpose of enhancing the suitability for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the quality of the added material or component. (KOR)]    Submitted to CRO for decision (Doc.42.146, Issue No.49)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 71CHAPTER 17
Chapter Notes
[Food preparations of agricultural products of Chapters 16 to 21 are defined on the basis of one of the following two criteria:
(a) Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as de partment stores,
supermarkets, conventional markets, etc.
(b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing the intermediate products for the food industry fo r the
purpose of enhancing the suitability for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the quality of the added material or component. (KOR)]    Submitted to CRO for decision (Doc. 42.146, Issue No. 49)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 72CHAPTER 18
Chapter Notes
1. [Origin criteria for mixtures classified in Chapter 18 (CAN)]    Submitted to CRO for decision (Doc.OC0028, Issue No.124)
2. [Food preparations of agricultural products of Chapters 16 to 21are defined on the basis  of the following two criteria :
a) Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as dep artment stores,
supermarkets, conventional markets, etc.
b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing the intermediate products for the food industry fo r the
purpose of enhancing the suitability for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the quality of the added material or component.  (KOR)]    Submitted to CRO for decision (Doc.42.146, Issue No.49)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 73CHAPTER 19
Chapter Notes
1. [Origin criteria for mixtures classified in heading 19.0118, (CAN)]    Submitted to CRO for decision (Doc.OC0028, Issue No.124)
2. [Food preparations of agricultural products of Chapters 16 to 21are defined on the basis of one of the following two criteri a.
(a) Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as de partment stores,
supermarkets, conventional   markets, etc.
(b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing the intermediate products for the food industry fo r the
purpose of enhancing the suitability  for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the quality of  the added material or component.  (KOR)]     Submitted to CRO for decision (Doc.42.146, Issue
No.49).
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]
                                                     
18 Concerns mixtures produced within heading 19.01 without entailing a change of tariff classification.G/RO/37/Add.3
Page 74CHAPTER 20
Chapter Notes
[Food preparations of agricultural products of Chapters 16 to 21are defined on the basis of one of the following two criteria:
a) Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as dep artment stores,
supermarkets, conventional markets, etc.
b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing intermediate products for the food industry for th e
purpose of enhancing the suitability for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the  quality of the added material or component. (KOR)]    Submitted to CRO for decision (Doc.42.146, Issue No.49)
[Product Specific] [Chapter] Residual Rule
[Where the origin of mixtures of fruit juices of heading 20.09 cannot be determined by applying the primary rules for this Chap ter, the origin shall be the
country whose inputs represent over 70 % by volume.  If this percentage is not reached, the origin shall be the country of the products accounting for the largest
percentage by volume. (AUS)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 75CHAPTER 21
Chapter Note
[Food preparations of agricultural products of Chapters 16 to 21 are defined on the basis of one of the following two criteria :
(a)  Products to be consumed directly by the ultimate purchaser and normally sold to the ultimate purchaser in places such as d epartment stores,
supermarkets, conventional  markets, etc.
(b) Intermediate products which meet one of the following requirements and are to be used in the food industry:
(i) Products made through processes which are commonly used for manufacturing intermediate products for the food industry for th e
purpose of enhancing the suitability for mechanical production and lowering production costs in subsequent processes.
(ii) Products whose ingredients are homogenized so that the said ingredients are not technically separable or economically possi ble.
(iii) Products which are transformed into those with essential character as specific prepared products through the addition of m aterial or a
component, regardless of the quality of the added material or component. (KOR)]    Submitted to CRO for decision (Doc.42.146, Issue No.49)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)]
[weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 76CHAPTER 22
Chapter Note
[A de minimis of 10% is essential in heading 22.08 to allow for the use of alcoholic base products in the flavouring of distill ed spirits. (CAN)]    Submitted to
CRO for decision (Doc.42.146, Issue No.107).
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 23
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]G/RO/37/Add.3
Page 77CHAPTER 24
Chapter Note
[For the purposes of headings 24.01 and 24.03, any deliberate and pr oportionally controlled mixing or blending of tobacco resul ting in a product with a
determinated composition confers origin. (SEN)]    Submitted to CRO for decision (Doc.OC0028, Issue No.125)
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[total value of the components, taking account of the related transformation operations  (CH)][weight or volume criterion, as applicable  (NZ)]
CHAPTER 25
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[Weight (CAN) (EC) (US)][Total value of parts and related processing activity (CH)]
CHAPTER 26
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[Weight (CAN) (EC) (US)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 78CHAPTER 27
Chapter Notes
1. Chemical reaction    Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
a) dissolving in water or other solvents;b) the elimination of solvents including solvent water;  orc) the addition or elimination of water of crystallization.
2. Specific processes that confer origin    Submi tted to CRO for decision (Doc.42.535, Issue No.7)
[Goods of headings  27.07, 27.10 through 27.13 of Chapter 27 that ha ve been obtained as a result of a chemical reaction or spec ified physical separation
process, including the processes listed below, are deemed to be goods of the country where the reaction or the process occurred  (EC) (SG) (NOR) (TH)
(JPN) (NZ):
a) vacuum distillation;
[b) redistillation by fractionation (including extractive distillation); (EC) ]
c) cracking (including catalytic cracking, hydrocrackin g, thermal cracking, coking, visbreaking, platforming );
d) catalytic reforming;
e) desulphurization (removal of bound sulphur);
f) alkylation (including dehydr oalkylation, hydroalkylation);
g) hydrogenation;
h) extraction by means of selective solvents;
i) the process comprising all the following operations: processing  with concentrated sulphuric ac id, oleum or sulphuric anhydri de, neutralisation
with alkaline agents;
j) polymerisation;
k) isomerization;
[l) deparaffining by a process other than filtering, in respect of products falling within heading 27.10 only; (EC)]
[m) in respect of fuel oils falling within heading ex 27.10, atmo spheric distillation, on condition that less than 30% of these products distils, by
volume, including losses, at 300oC by the ASTM D 86 method. (EC)]G/RO/37/Add.3
Page 79[n) in respect of heavy oils other than gas oils and fuel oils falling within heading ex 27.10 on ly treatment by means of a high -frequency electrical
brush-discharge. (EC)]
3. Mixing and blending    Submitted to CRO for decision (Doc. 42.535, Issue No.8 )
a) [For the purposes of headings 2707and 2710 to 2715, the delibera te and proportionally controlled mixing or blending (includi ng dispersing) of
materials to conform to predetermined specifications which resu lts in the production of a good having physical, chemical charac teristics which are
relevant to the purposes or uses of the good and are different from the input materials is to be considered to be origin confer ring.  (EC) (SG)]
b) [Goods of headings 27.07 or 27.10 that have been blended to co nform to specific predetermined physical specifications, such as boiling point
range, viscosity, solidification temperature, research or motor octane number, or cetane number, which are different from the s pecifications of  the input
materials, are deemed to be goods of the country where the blending occurred, provided that:
(i) In the case of  motor fuels (other than diesel fuels), the g ood has a Research Octane Number (RON) of 6 or more units higher  than that of
the blending component that by volume constitutes the single largest blending component obtained from a single country;  or
(ii) In the case of other goods, not more than 70 percent by volume of the product is composed of blending components originati ng from a
country other than the country where the blending occurred. (US)]
4. [List of simple processes which do not confer origin:   Submitted to CRO for decision (Doc.42.535, Issue No.9 )
- cleaning
- decantation
- desalination
- water separation
- filtering
- colouring- marking
- obtaining a sulphur content as a result of mixing products with different sulphur contents
- any combination of these operations. (EC) (NOR) (ARG) (NZ) (JPN) (TH)]
5. Value added rule    Submitted to CRO for decision (Doc.42.535, Issue No.10 )
[Goods of headings 27.07 or 27.10 that are not wholly the product of one country shall be deemed to originate in the last count ry where the following
occurs:
The CIF value of non-originating materials imported and used in the production does  not exceed 75% of the ex-factory price of the goods.  The method of
calculating foreign content is as follows :G/RO/37/Add.3
Page 80Foreign Content = CIF Value of Non-originating Raw Materials x 100%  <  75%
                                       Ex-Factory Price
where Ex-Factory Price = Total materials cost + Direct labour costs + Overheads costs + Profits. (SG)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume, as appropriate (US) ][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 81CHAPTER 28
Chapter Notes
1.  Chemical Reaction  Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
a) dissolving in water or other solvents;
b) the elimination of solvents including solvent water;  or
c) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
2.   Mixtures and blends    Basket 1
a) The deliberate and proportionally controlled mixing or blending  (including dispersing) of materials to conform to predetermi ned specifications
which results in the production of a good having physical or chemi cal characteristics which are relevant to the purposes or use s of the good and are
different from the input materials is to be considered to be origin conferring.
b) However the addition, whether or not in combination, of diluents only or of the additives enumerated in HS Chapter Note 1(d) and 1(e) to
Chapter 28 for the purposes indicated therein, is to be disregarded in determining the origin of the good.
3.  Purification   Basket 1,    Submitted to CRO for decision for bracketed text (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a)  purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  orb) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;(iii) elements and components for use in in micro-electronics;
(iv) specialized optical uses;G/RO/37/Add.3
Page 82[(v) [non toxic uses for health and safety];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process;  or
(viii) nuclear grade uses.
4.  Change in particle size
1) Reduction in particle size :   Basket 1
The deliberate and controlled reduction in particle size of a good, other than by merely crushing, resulting in a good having a  defined particle size,
defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have d ifferent physical or chemical
characteristics from the input materials is considered to be origin conferring.
2) Increase in particle size:     Submitted to CRO for decision (Doc.42.626, Issue No.4)
[The deliberate and controlled [modification] in particle size of a good, other than by merely crushing [or pressing,] resultin g in a good having a defined
particle size, defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have different physical
or chemical characteristics from the input materials is considered to be origin conferring.]
Note: If Paragraph 2 is accepted by the CRO, it should be adopted in the place of Paragraph 1; only the words “modification” and   “or pressing”
are for decision.
5. Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The production of standard materials is to be considered as origin con ferring.
6. Isomer Separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin conferring.
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods of this chapter produced by mixing or otherwise combin ing materials of different origins, originate in the country that  produced the
materials (disregarding solvents and other additives permitted by HS Chapter note 1) that predominate by weight or volume, as a ppropriate, over those of
each other single country.  (US)]G/RO/37/Add.3
Page 83[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume, as appropriate (EC)]
[Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 84CHAPTER 29
Chapter Notes
1.  Chemical Reaction    Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
a) dissolving in water or other solvents;
b) the elimination of solvents including solvent water;  or
c) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
2.  Mixtures and blends    Basket 1
a) The deliberate and proportionally controlled mixing or blending  (including dispersing) of materials to conform to predetermi ned specifications
which results in the production of a good having physical or chemi cal characteristics which are relevant to the purposes or use s of the good and are
different from the input materials is to be considered to be origin conferring.
b) However the addition, whether or not in combination, of diluents only or of the additives enumerated in HS Chapter Note 1(f) and 1(g) to
Chapter 29 for the purposes indicated therein, is to be disregarded in determining the origin of the good.
3.  Purification   Basket 1,    Submitted to CRO for decision for bracketed text (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a)  purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  or
b) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;(iv) specialized optical uses;
[(v) [non toxic uses for health and safety];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);G/RO/37/Add.3
Page 85(vii) carriers used in a separation process;  or
(viii) nuclear grade uses.
4.  Change in particle size
1) Reduction in particle size :   Basket 1
The deliberate and controlled reduction in particle size of a good, other than by merely crushing, resulting in a good having a  defined particle size,
defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have d ifferent physical or chemical
characteristics from the input materials is considered to be origin conferring.
2) Increase in particle size:     Submitted to CRO for decision (Doc.42.626, Issue No.4)
[The deliberate and controlled [modification] in particle size of a good, other than by merely crushing [or pressing,] resultin g in a good having a defined
particle size, defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have different physical
or chemical characteristics from the input materials is considered to be origin conferring.]
Note: If Paragraph 2 is accepted by the CRO, it should be adopted in the place of Paragraph 1; only the words “modification” and   “or pressing”
are for decision.
5. Standard Materials     Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The production of standard materials is to be considered as origin con ferring.
6. Isomer Separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin conferring.
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods of this chapter produced by mixing or otherwise combin ing materials of different origins, originate in the country that  produced the
materials (disregarding solvents and other additives permitted by HS Chapter note 1) that predominate by weight or volume, as a ppropriate, over
those of each other single country.  (US)]G/RO/37/Add.3
Page 86[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume, as appropriate (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 87CHAPTER 30
Chapter Notes
1.  Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
a) dissolving in water or other solvents;b)  the elimination of solvents including solvent water;  orc) the addition or elimination of water of crystallizationA chemical reaction as defined above is to be considered origin conferring.
2. Mixtures and blends   Basket 1,    Submitted to CRO for decision for Bracketed Texts  (Doc.42.626, Issue No.5)
[Except for goods of heading 30.03] The deliberate and proportionally controlled mixing or blending (including dispersing) of m aterials [other than the
addition of diluents only ] to conform to predetermined specifications which results in the production of a good having physica l or chemical
characteristics which are relevant to the purposes or uses of the good and are different from the input materials is to be cons idered to be origin conferring.
3. Purification   Basket 1,    Submitted to CRO for decision for Bracketed Text (Doc.OC0014, Issue No.5)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  or
b) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);G/RO/37/Add.3
Page 88(vii) carriers used in a separation process;  or
(viii) nuclear grade uses.
4.  Change in particle size    Submitted to CRO for decision (Doc.42.626, Issue No.4)
[The deliberate and controlled modification in particle size of a good, other than by merely crushing or pressing, resulting in  a good having a defined
particle size, defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have different physical
or chemical characteristics from the input materials is considered to be origin conferring. (CH)]
5. Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The production of standard materials is to be considered as origin con ferring.
6.  Isomer Separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin conferring.
7. Non-origin confering processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
8. Packing for retail sale    Basket 1
The change of classification resulting from the mere putting up for retail sale of products of this Chapter is to be disregarde d for the determination of
origin.
9.  Biotechnological Processes  Basket 1
(a) Biological or biotechnological culturing,  hybridization or genetic modification of:
(i) micro-organisms (bacteria, viruses (including phages) etc.) or
(ii) human, animal or plant cells; and
(b) production, isolation or purification of cellular or intercellular structures (such as isolated genes, gene fragments and p lasmids) are regarded as
origin conferring.G/RO/37/Add.3
Page 89[Product Specific] [Chapter] Residual Rule     Submi tted to CRO for decision (Doc.OC0023E2, Issue No.77)
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods of headings 30.03 and 30.04 produced by mixing or otherwis e combining materials of different origins, originate in the country that produced the
therapeutic or prophylactic materials (disregarding solvents and other nonactive additives) that predominate by weight or volum e, as appropriate, over
those of each other single country.
2. Goods of Subheading 3006.50 that satisfy the change of heading ru le merely as a result of putting up articles in first aid bo xes or kits, originate in the
country that produced the largest number of articles in the box or kit.
3. The country of origin of goods of subheading 3005.90 that contain textile material shall be the country where the textile mat erial was formed, or in the
case of a good containing textile materials of more than one country, the origin of the good is the country in which the textil e material that predominates by
weight was formed.  (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume, as appropriate (US)][Weight, volume or value, as appropriate (EC)]
[Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 90CHAPTER 31
Chapter Notes
1.  Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water;  or
3) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
2.  Mixtures and Blends   Basket 1,    Submitted to CRO for decision for Bracketed Text  (Doc.42.626, Issue No.5)
The deliberate and proportionally controlled mixing or blending (including dispersing) of materials [other than the addition of  diluents alone] to conform
to predetermined specifications which results in the production of a good having physical or chemical characteristics which are  relevant to the purposes or
uses of the good and are different from the input materials is to be considered to be origin conferring.
3.  Purification   Basket 1,    Submitted to CRO fo r decision for Bracketed Text  (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied :
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities; orb) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;
(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process;  or
(viii) nuclear grade uses.G/RO/37/Add.3
Page 914. Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The production of standard materials is to be considered as origin con ferring.
5.  Isomer Separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin conferring.
6. Non-Origin Conferring Processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
7.   Packing for retail sale    Basket 1
The change of classification resulting from the mere putting up for retail sale of products of this Chapter is to be disregarde d for the determination of
origin.
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods of this chapter produced by mixing or otherwise combin ing materials of different origins, originate in the country that  produced the
fertilizing materials (disregarding solvents) that predominate by weight or volume, as appropriate, over those of each other si ngle country.  (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume (EC)]
[Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 92 CHAPTER 32
Chapter Notes
1.  Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water; or
3) the addition or elimination of water of crystallization.
A chemical reaction as defined above is to be considered origin conferring.
2.  Mixtures and Blends   Basket 1,    Submitted to CRO for decision for Bracketed Text (Doc.42.626, Issue No.5)
a)  The deliberate and proportionally controlled mixing or blending (including dispersing) of materials [other than the additio n of diluents only] to
conform to predetermined specifications which results in the production of a good having physical or chemical characteristics w hich are relevant to the
purposes or uses of the good and are different from the input materials is to be considered to be origin conferring.
b)  Notwithstanding paragraph 1, the processing of crude dyestuffs and pigments (including the addition of diluents only) to pr oduce a standardized
product fulfilling prescribed specifications for shade, brightne ss, colour strength, particulate size, particle distribution or  solubility is to be considered as
origin conferring.
3.  Purification   Basket 1,    Submitted to CRO for decision for Bracketed Text   (Doc. OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities; orb)  the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in micro-electronics;G/RO/37/Add.3
Page 93(iv) specialized optical uses;
[(v) [non toxic uses for health and safety];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process;  or(viii) nuclear grade uses.
4.  Change in particle size
1) Reduction in particle size :   Basket 1
The deliberate and controlled reduction in particle size of a good, other than by merely crushing, resulting in a good having a  defined particle size,
defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have d ifferent physical or chemical
characteristics from the input materials is considered to be origin conferring.
2) Increase in particle size:     Submitted to CRO for decision (Doc.42.626, Issue No.4)
[The deliberate and controlled [modification] in particle size of a good, other than by merely crushing [or pressing,] resultin g in a good having a defined
particle size, defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have different physical
or chemical characteristics from the input materials is considered to be origin conferring.]
Note: If Paragraph 2 is accepted by the CRO, it should be adopted  in the place of Paragraph 1; only the words “modification” and  “or pressing” are
for decision..
5.  Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The production of standard materials is to be considered as origin con ferring.
6.  Isomer separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin conferring.
7.  Non-Origin Conferring Processes    Submitted to CRO for decision for Bracketed Text  (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]G/RO/37/Add.3
Page 948.  Packing for retail sale    Basket 1
For the purposes of heading 32.12, the change of classification resulting from the mere putting up for retail sale of products of this Chapter is not to be
considered origin conferring.
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
Goods of this chapter produced by mixing or otherwise combining materials of differen t origins, originate in the country that p roduced the materials of
this chapter (disregarding solvents) that predominate by weight or volume, as appropriate, over those of each other single coun try.  (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume (EC) (US)]
[Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 95CHAPTER 33
Chapter Notes
N.B.: A template for referral to the CRO (Doc.42.626 , Issue No. 6) has been prepared on the issue of whether any Chapter Rules should be laid
down for Chapter 33. (Sec.)
1.  Mixtures and Blends    Submitted to CRO for decision (Doc.42.626, Issues Nos. 5 and 6)
[For the purposes of this Chapter(CH)(E GY)(US)][For the purposes of heading 33.02 and appearing only at the level of that heading (EC) ] the deliberate
and proportionally controlled mixing or blending (including disper sing) of materials [other than the addition of diluents only]  to conform to
predetermined specifications which results in the production of a good having physical or chemical characteristics which are re levant to the purposes or
uses of the good and are different from the input materials is to be considered to be origin conferring.]
2.  Purification    Basket 1,    Submitted to CRO  for decision for bracketed text (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  orb)  the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in micro-electronics;
(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process; or(viii) nuclear grade uses.
3. Separation    Submitted to CRO for decision (Doc. 42.626, Issue No. 7)
Separation, by chromatography, extraction, precipitation, (refining), or specific mechanical treatments, is considered to be or igin conferring provided that
one of the following criteria is satisfied:
(i) obtaining goods with specific purity;
[(ii) obtaining goods with specific odoriferous characteristics;
(iii) obtaining goods with specific flavouring characteristics;] orG/RO/37/Add.3
Page 96(iv) obtaining goods suitable for specific uses.  (EC) (CH) (SG)]
4.  Packing for retail sale    Submitted to CRO for decision (Doc.42.626, Issue No.6)
For the purposes of this Chapter the change of classification resulting from the mere putting up for retail sale of products of  this Chapter is not to be
considered origin-conferring.
5.  Change in use    Basket 1
The change of classification resulting from the mere change in use described in HS Nomenclature is not to be considered origin- conferring.
6. Non Origin-Conferring Processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume (EC)(US)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 97CHAPTER 34
Chapter Notes
1.  Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water;  or
3) the addition or elimination of water of crystallization.
A chemical reaction as defined above is to be considered origin conferring.
2.  Mixtures and Blends    Basket 1,    Submitted to CRO for decision for Bracketed Text (Doc.42.626, Issue No.5)
The deliberate and proportionally controlled mixing or blending (including dispersing) of materials [other than the addition of  diluents only] to conform
to predetermined specifications which results in the production of a good having physical or chemical characteristics which are  relevant to the purposes or
uses of the good and are different from the input materials is to be considered to be origin conferring.
3.  Purification  Basket 1,    Submitted to CRO fo r decision for bracketed te xt  (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities; orb) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;
(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) arriers used in a separation process;  or
(viii) nuclear grade uses.G/RO/37/Add.3
Page 98 4. Reduction in particle size  Basket 1
The deliberate and controlled reduction in particle size of a good, other than by merely crushing, resulting in a good having a  defined particle size,
defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have d ifferent physical or chemical
characteristics from the input materials is considered to be origin conferring.
5. Non-Origin Conferring Processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
6.  Packing for retail sale    Basket 1
For the purposes of subheading 3402.20, the change of classification resulting from the mere putting up for retail sale of prod ucts of this Chapter is not to
be considered origin conferring.
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume (EC) (US)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 99CHAPTER 35
Chapter Notes
1.  Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water;  or
3) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin-conferring.
2.  Mixtures and Blends   Basket 1,    Submitted to CRO for decision for Bracketed text (Doc.42.626, Issue No.5)
For the purposes of subheading 3502.20 and headings 35.06 and 35.07, the deliberate and proportionally controlled mixing or ble nding (including
dispersing) of materials [other than the addition of diluents on ly] to conform to predetermined specifications which results in  the production of a good
having physical or chemical characteristics which are relevant to  the purposes or uses of the good and are different from the i nput materials is to be
considered to be origin conferring.
3. Purification   Basket 1,    Submitted to CRO fo r decision for bracketed text (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied :
a) purification of a good resulting in the elimination of 50 percent of the content of existing impurities; orb)  the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;
(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process;  orG/RO/37/Add.3
Page 100(viii) nuclear grade uses.
4.  Reduction in particle size   Basket 1
The deliberate and controlled reduction in particle size of a good, other than by merely crushing, resulting in a good having a  defined particle size,
defined particle size distribution or defined surface area, which are relevant to the purposes of the resulting good and have d ifferent physical or chemical
characteristics from the input materials is considered to be origin conferring.
5.  Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The productio n of standard materials is to be considered as origin con ferring.
6.  Isomer Separation    Basket 1
The isolation or separation of isomers from a mixture of isomers is to be considered as origin-conferring.
7.  Non-Origin Conferring Processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
8.  Packing for retail sale    Basket 1
For the purposes of heading 35.06, the change of classification resulting from the mere putting up for retail sale of products of this Chapter is not to be
considered origin-conferring.
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume (EC) (US)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 101CHAPTER 36
No Chapter Note
CHAPTER 37
Chapter Notes
1.  Mixtures and Blends    Submitted to CRO for decision (Doc.42.626, Issue No.5)
[For the purposes of heading 37.07,  the deliberate and proportionally controlled mixing or blending (including dispersing) of materials [other than the
addition of diluents only] to conform to predetermined specifications which results in the production of a good having physical  or chemical
characteristics which are relevant to the purposes or uses of the good and are different from the input materials is to be cons idered to be origin
conferring.]
2.  Non-Origin Conferring Processes    Submitted to CRO for decision (Doc.OC0032, Issue No.24)
[- For the purposes of Chapters 30-38 the addition, whether or not in  combination, of the additives enumerated in HS Chapter Notes  1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)][Weight or volume, as appropriate (US)][Weight, volume or value, as appropriate (EC)]
[Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 102CHAPTER 38
Chapter Notes
1. Chemical Reaction   Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water;  or
3) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
2.  Mixtures and Blends    Basket 1,    Submitted to CRO for decision for Bracketed Text (Doc.42.626, Issue No.5)
For the purposes of headings 38.01, 38.04, 38.06, 38.07, 38.08 through 38.15, 38.19 through 38.21, 38.23 and 38.24,  the deliberate and proportionally
controlled mixing or blending (including dispersing) of material s [other than the addition of diluents only (SG) (US)] to confo rm to predetermined
specifications which results in the production of a good having physical or chemical characteristics which are relevant to the purposes or uses of the good
and are different from the input materials is to be considered to be origin conferring.
3. Purification   Basket 1,    Submitted to CRO for decision for bracketed text to CRO (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  orb) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;
(iv) specialized optical uses;
[(v) non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);G/RO/37/Add.3
Page 103(vii) carriers used in a separation process;  or
(viii) nuclear grade uses.
4. Separation    Submitted to CRO for decision (Doc.42.626, Issue No.7)
Separation, by chromatography, extraction, precipitation, (refining), or specific mechanical treatments, is considered to be or igin conferring provided that
one of the following criteria is satisfied:
(i) obtaining goods with specific purity;
[(ii) obtaining goods with specific odoriferous characteristics;
(iii) obtaining goods with specific flavouring characteristics;] or
(iv) obtaining goods suitable for specific uses..  (EC) (CH) (SG)]
5. Change in particle size
1) Reduction in particle size :   Basket 1
For the purposes of headings 38.02, 38.08, 38.09, 38.11, 38.12 and 38.15, the deliberate and controlled reduction in particle s ize of a good, other than by
merely crushing, resulting in a good having a defined particle size, defined particle size distribution or defined surface area , which are relevant to the
purposes of the resulting good and have different physical or chemical characteristics from the input materials is considered t o be origin conferring.
2) Increase in particle size:     Submitted to CRO for decision ( Doc.42.626, Issue No.4 )
[For the purposes of headings 38.02, 38.08, 38.09, 38.11, 38.12 and 38.15, the deliberate and controlled [modification] in part icle size of a good, other
than by merely crushing [or pressing,] resulting in a good having a defined particle size, defined particle size distribution o r defined surface area, which
are relevant to the purposes of the resulting good and have different physical or chemical characteristics from the input mater ials is considered to be
origin conferring.]
Note: If Paragraph 2 is accepted by the CRO, it should be adopted in the place of Paragraph 1; only the words “modification” and  “or pressing” are
for decision.
6.  Standard Materials   Basket 1
Standard materials (including standard solutions) are preparations suitable for analytical, calibrating or referencing uses hav ing precise degrees of purity
or proportions which are certified by the manufacturer.  The productio n of standard materials is to be considered as origin con ferring.G/RO/37/Add.3
Page 1047.  Packing for retail sale    Basket 1
For the purposes of headings 38.08 and 38.13, the change of classification resulting from the mere putting up for retail sale o f products of this Chapter is
to be disregarded for the determination of origin.
8.  Non-Origin Conferring Processes    Submitted to CRO for decision (Doc. OC0032, Issue No. 24)
[- For the purposes of Chapters 30-38 the addition, whether or not in combination, of the additives enumerated in HS Chapter Not es 1(f) and 1(g) to
Chapter 29 for the purposes indicated therein is  not origin conferring. (CAN) (PHI) (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume, as appropriate (US)]
[Weight, volume or value, as appropriate (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 105CHAPTER 39
Chapter Notes
1. Chemical Reaction Paragraph a ) : Basket 1
Paragraph b ) : Submitted to CRO for decision (Doc.42.627, Issue No.1)
a) A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by brea king intramolecular
bonds and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water;  or
3) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
This definition comprises all types of polymerization reactions and chemical modification of polymers, including cross-linking by hardener/cross-linking
agents and irradiation.
b) [The products are considered to have undergone a chemical reaction only if more than 30% by weight of the monomer units in t he total polymer
content have undergone a modification which results in the breaking of the bonds of the appendages to the main polymer chain an d by forming new
intramolecular bonds or by altering the spatial arrangement of the atoms of the appendages.
The following are not considered to be chemical  reactions for the purposes of this definition:
1) dissolving in water or other solvents;
2) the elimination of solvents including solvent water; or
3) the addition or elimination of water of crystallization.
(This rule applies to headings 39.01- 39.13.) (CAN)]
2. Mixtures and Blends    Submitted to  CRO for decision (Doc.42.627, Issue No.2 )
a) [The deliberate and proportionally controlled mixing or blending including dispersing of materials [other than the addition o f diluents only] to
conform to predetermined specifications which results in the production of a good having physical or chemical characteristics w hich are relevant to the
purposes or uses of the good and are different from the input materials is to be considered to be origin conferring.]G/RO/37/Add.3
Page 106b) [The deliberate and proportionally controlled mixing or blendi ng of polymers, which results in the production of a polymer bl end having physical
and/or chemical characteristics different from the individual constituents, is considered to be origin conferring.  (Headings 3 9.01-39.15)
This definition comprises polymer compounding and the use of recycled polymers. (EC)]
c) [The deliberate and proportionally controlled mixing or blendi ng of materials other than only the addition of solvents or dil uents, to conform to
predetermined specifications which results in the production of a good having performance characteristics which are relevant to  the purposes or uses of
the good and are different from those of the input materials, provided that no more than 60 percent by weight of the total poly meric component in the
finished good originates from a country other than the country where the blending occurred.  (CAN)]
3. Purification  Basket 1,    Submitted to CRO fo r decision for bracketed te xt  (Doc.OC0014, Issue No.25)
Purification is considered to be origin conferring prov ided that one of the following criteria is satisfied:
a) purification of a good resulting in the elimination of 80 percent of the content of existing impurities;  or
b) the reduction or elimination of impurities resulting in a good suitable for one or more of the following applications:
(i) pharmaceutical, medical, cosmetic, veterinary or food grade substances;
(ii) chemical products and reagents for analytical, diagnostic or laboratory uses;
(iii) elements and components for use in in micro-electronics;(iv) specialized optical uses;
[(v) [non toxic uses for health and safety ];
(vi) biotechnical use (e.g., in cell culturing, in genetic technology, or as a catalyst);
(vii) carriers used in a separation process; or
(viii) nuclear grade uses.
4. Change in particle size
1) Reduction in particle size :   Basket 1
The deliberate and controlled reduction in particle size of a good including micronizing by diss olving a polymer and subsequent  precipitation, other than
by merely crushing, resulting in a good having a defined particle size, defined particle size distribution or defined surface a rea relevant to the purposes of
the resulting good and having different physical or chemical charac teristics from the input materials is considered to be origi n conferring.
2) Increase in particle size :    Submitted to CRO for decision (Doc.42.626, Issue No.4)
[The deliberate and controlled modification in particle size of a good including micronizing by dissolving a polymer and subseq uent precipitation, other
than by merely crushing, resulting in a good having a defined particle size, defined particle size distribution or defined surf ace area, which are relevant toG/RO/37/Add.3
Page 107the purposes of the resulting good and have different physical or chemical characteristics from the input materials is consider ed to be origin conferring.
(CH)]
Note: If Paragraph 2 is accepted by the CRO, the term “reduction” in Paragraph 1 shall be amended to “modification”. (Sec)
5. Separation (Headings 39.01- 39.14)    Submitted to CRO for decision (Doc.42.626, Issue No.7)
[Separation, by chromatography, extraction, precipitation, (refining) , or specific mechanical treatments, is considered to be o rigin conferring provided
that one of the following criteria is satisfied:
(i) obtaining goods with specific molecular weight distribution;
(ii) obtaining goods with specific purity;
[(iii) obtaining goods with specific odoriferous characteristics;
(iv) obtaining goods with specific flavouring characteristics;]  or
(v)  obtaining goods suitable for specific uses..  (EC) (CH) (SG)]
6. Shaping and further processing on semi-finished articles (Headings 39.16 - 39.17 and 39.19 - 39.21)    Submitted to CRO for decision (Doc.42.626,
Issue No.3)
[The following shaping and other processes on semi-finished articles in order to obtain finished articles are regarded as subst antial transformations:
Cold drawing, hand-fabricating thermoforming, laminating, formin g of vulcanized fibre, bonding of plastics, machining, and coat ing with an adhesive
layer.  (EC) (CH)]
[Product Specific] [Chapter] Residual Rule
 [When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not result in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods of headings 39.01 through 39.14 produced by mixing or otherw ise combining materials of diff erent origins, originate in the country that
produced the polymers that predominate by weight or volume, as appropriate, over those of each other single country.]
 [Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume, as appropriate (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 108CHAPTER 40
Chapter Notes
1. Chemical Reaction      Basket 1
A “chemical reaction” is a process (including a biochemical process) which results in a molecule with a new structure by breaki ng intramolecular bonds
and by forming new intramolecular bonds, or by altering the spatial arrangement of atoms in a molecule.
The following are not considered to be chemical  reactions for the purposes of this definition:
a) dissolving in water or other solvents;
b) the elimination of solvents including solvent water;  or
c) the addition or elimination of water of crystallization
A chemical reaction as defined above is to be considered origin conferring.
2. Mixtures and Blends 1)  addition of diluents only;  and
2)  percentage of originating polymer content.     Submitted to CRO for decision (Doc.42.627, Issue No.6)
[The deliberate and proportionally controlled mixing or blending (including dispersing) of materials [other than the addition o f diluents only] to conform
to predetermined specifications which results in the production of a good having physical or chemical characteristics which are  relevant to the purposes or
uses of the good and are different from the input materials is to be considered to be origin conferring [ provided that no more  than 60 percent by weight of
the total polymeric component in the finished good originates fro m a country other than the country where the blending occurred .  (CAN)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight (CAN)]
[Weight or volume, as appropriate (US)]
[Weight volume or value, as appropriate (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 109CHAPTER 41
Chapter Notes:
1. Definition of provisionally prepared leather       Basket 1
Provisionally prepared leather is a leather that has not yet undergone an irreversible tanning process but may have been treate d with tanning agents so that
it becomes less susceptible to putrefaction and better prepared for subsequent tanning.
2. Definition of tanned leather       Basket 1
Tanned leather is a leather that has been converted permanently or irreversibly from hides or skins by the application of tanni ng agents, which may be
mineral or vegetable or both.  Tanned leather includes chrome tanned (wet blue) and vegetable tanned leather.
3. Definition of retanned leather      Basket 1
Retanned leather is a tanned leather that has been further treated with tanning agents.  Re-tanned leather includes chrome tann ed (wet blue) leather that
has been further tanned with mineral, vegetable or synthetic agents to improve the leather.
4. Definition of finished leather       Basket 1
Finished leather is a tanned leather, which may or may not have been retanned, but which has been subjected to further processi ng to affect, for example,
the softness, permeability, colour, appearance, surface texture or firmness of the leather.  Such processes may include dyeing,  drying, buffing, glazing,
embossing, coating or varnishing.
5. Definition of parchment-dressed leather       Basket 1
Parchment-dressed leather is prepared from raw hides or skins, not by a process of tanning, but by treating the raw hides and s kins to ensure their
preservation.  These are softened, dehaired, defleshed, washed a nd then stretched on a frame, coated with a paste containing wh iting and soda or slaked
lime, shaved to reduce them to the desired thickness and ground with pumice.  Finally, they may be dressed with gelatin and sta rch.G/RO/37/Add.3
Page 110CHAPTER 42
Chapter Notes
[1. Minor processing operations not affecting origin.    Submitted to CRO for decision (Doc.OC0023, Issue No.74)
For the purposes of determining the country of origin for goods falling within Section XI that are not wholly obtained in one c ountry, the following
individual processes, considered singly, are minimal operations and shall not affect the origin of the goods concerned, whether  or not such processes
result in changes of classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other materials; or separating goods produced in the finished state by cutting along dividing threa ds;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;  or
d) Putting up goods for retail sale or in sets or ensembles. (US)]
2.  For the purposes of this chapter, those rules which refer to  a change of heading or subheading shall not apply to changes w hich result from disassembly
(Basket 1
19)
[3.  Those rules which refer to a change of heading or subheadin g shall not apply to changes which result solely from the appli cation of General Rule of
Interpretation 2 (a) with respect to collection of parts that are presented as unassembled articles of another heading or subhe ading. (US)]    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
[4.  The term “complete making-up” means that all the operations following cutting have to be performed.  However, making-up sh all not necessarily be
considered as incomplete where one or more finishing operations have not been carried out.
The following is a list of examples of finishing operations:- fitting of buttons and/or other types of fastenings;
- making of button-holes;
- finishing off the ends of trouser legs and sleeves or the bottom hemming of skirts and dresses;
- fitting of trimmings and accessories such as pockets, labels, badges, etc.;
- ironing and other preparations of garments for sale “ready made”. (EC)]    Submitted to CRO for decision (Doc.42.271, Issue No.55)
                                                     
19 During the “coherence” phase, the possibility will be examined of  placing this Note at Appendix level, possibly with a referen ce to the Chapters to which it applies.G/RO/37/Add.3
Page 111[Product Specific] [Chapter] Residual Rule      Subm itted to CRO for decision (Doc.OC0023E2, Issue No.77)
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of a good of heading 42.02 or 42.03 that wa s assembled from parts, but was not wholly assembled in a si ngle country, is
the country in which the most significant assembly operations were performed in the making-up of the good, without regard to th e addition of buttons and
other fasteners, belt and hanger loops, belts, patch pockets, la bels, foot straps, epaulettes, ornaments and other minor compon ents. (US)]G/RO/37/Add.3
Page 112CHAPTER 43
Chapter Notes
[1. Minor processing operations not affecting origin.    Submitted to CRO for decision (Doc.OC0023, Issue No.74)
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, are minimal operations and shall not affect the origin of the goods concerned, whether  or not such processes
result in changes of classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other materials; or separating goods produced in the finished state by cutting along dividing thre ads or lines;
c) Assembling or joining goods by sewing, or stitching fo r convenience of shipment or other temporary purposes; or
d) Putting up goods for retail sale or in sets or ensembles. (US)]
2. For the purposes of headings 43.03 and 43.04, those rules which refer to a change of heading or subheading shall not apply t o changes which result from
disassembly   Basket 1
20
[3. Those rules which refer to a change of heading or subheading shall not apply to changes which result solely from the applic ation of General Rule of
Interpretation 2(a) with respect to collection of parts that are presented as unassembled articles of another heading or subhea ding. (US)]    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
[4. The term “complete making-up” means that all the operations following cutting have to be performed.  However, making-up sha ll not necessarily be
considered as incomplete where one or more finishing operations have not been carried out.
The following is a list of examples of finishing operations:- fitting of buttons and/or other types of fastenings;
- making of button-holes;
- finishing off the ends of trouser legs and sleeves or the bottom hemming of skirts and dresses;
- fitting of trimmings and accessories such as pockets, labels, badges, etc.;
- ironing and other preparations of garments for sale “ready made”. (EC)]    Submitted to CRO for decision (Doc.42.271, Issue No.55)
                                                     
20 During the “coherence” phase, the possibility will be examined of  placing this Note at Appendix level, possibly with a referen ce to the Chapters to which it applies.G/RO/37/Add.3
Page 113[Product Specific] [Chapter] Residual Rule      Subm itted to CRO for decision (Doc.OC0023E2, Issue No.77)
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of heading 43.03 that was assembled from parts, but was not wholly assembled in a single count ry, is the country
in which the most significant assembly operations were performed in the making-up of the good, without regard to the addition o f buttons and other
fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments and other minor components. (US)]G/RO/37/Add.3
Page 114CHAPTER 44
Chapter Notes
1. For the purposes of this chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from
disassembly.  Basket 1.
Those rules which refer to a change of heading or subheading shal l not apply to changes which result solely from the applicatio n of General Rule of
Interpretation 2(a) with respect to collections of parts that are presented as unassembled articles of another heading or subhe ading.    Submitted to CRO
for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
CHAPTER 45
Chapter Notes
1. For the purposes of this chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from
disassembly.  Basket 1 .
2. Those rules which refer to a change of heading or subheading sh all not apply to changes which result solely from the applicat ion of General Rule
of Interpretation 2(a) with respect to collections of parts that are presented as unassembled articles of another heading or su bheading.    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
CHAPTER 46
Chapter Notes
1. For the purposes of this chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from
disassembly.  Basket 1.
2. Those rules which refer to a change of heading or subheading sh all not apply to changes which result solely from the applicat ion of General Rule
of Interpretation 2(a) with respect to collections of parts that are presented as unassembled articles of another heading or su bheading.    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
CHAPTER 47
 (No Chapter Note)G/RO/37/Add.3
Page 115CHAPTER 48
Chapter Notes
1. For the purposes of this chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from
disassembly.  Basket 1 .
2. Those rules which refer to a change of heading or subheading shall not apply to changes which result solely from the applicat ion of General Rule
of Interpretation 2(a) with respect to collections of parts that are presented as unassembled articles of another heading or su bheading.    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
3. For headings 48.14 through 48.23, those rules which refer to a change of heading or subheading shall not apply to changes whi ch are the result
solely of trimming or cutting to rectangular (including square) shape.  Basket 1 (Endorsed by CRO)
CHAPTER 49
Chapter Notes
1. For the purposes of this chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from
disassembly.  Basket 1
2. Those rules which refer to a change of heading or subheading shall not apply to changes which result solely from the applicat ion of General Rule
of Interpretation 2(a) with respect to collections of parts that are presented as unassembled articles of another heading or su bheading.    Submitted to
CRO for decision (Doc.OC 0031, Issue No.4; Doc.OC0029)
CHAPTER 50
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;G/RO/37/Add.3
Page 116b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 51
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin .
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;
b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]G/RO/37/Add.3
Page 117CHAPTER 52
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submi tted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 53
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;G/RO/37/Add.3
Page 118d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 54
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 55
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:G/RO/37/Add.3
Page 119a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;
b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 56
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;
b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]G/RO/37/Add.3
Page 120CHAPTER 57
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
CHAPTER 58
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;G/RO/37/Add.3
Page 121d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of quilted fabrics of heading 58.11 of this Chapter shall be the country in which the exterior textile fabric was formed, or in
the case of a good containing textile fabrics of more than one country,  the origin of the good is the country in which the ext erior textile fabric that
predominates by weight was formed.   (US)]
CHAPTER 59
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin .
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;
b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:G/RO/37/Add.3
Page 122[1. The country of origin of fabrics of this Chapter, except textile wall coverings of heading 59.05, shall be the country where  the textile fabric was
formed, or in the case of a good containing textile fabrics of more than one country,  the origin of the good is the country in  which the textile fabric that
predominates by weight was formed (US)]
CHAPTER 60
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[The country of origin of goods of this Chapter shall be the country in which the textile fabric was woven and knit.  (CAN)]G/RO/37/Add.3
Page 123CHAPTER 6121
Section Note:    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin .
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
Chapter Notes:    Submitted to CRO for decision (Doc. 42.271, Issue No. 46)
[1. / OPTION 1:
a) For the purposes of this chapter, and subject to paragraph (b), the term “assembled in a single country” means that all of th e assembly operations
following the cutting of the fabric ,or the knitting or crocheting  to shape, of the parts have been performed in that country.
b) For the purposes of paragraph (a) performing or not performing operations such as the following shall not affect the determin ation of whether the
good has been assembled in a single country: attaching: items such as accessories, buttons and/or other fasteners, pockets, tri mmings, cuffs, plackets,
labels, [collars (JPN) (PHI) (MAL) (CH) (NOR)]; making button holes, hemming. (EC) (JPN) (PHI) (MAL) (TUR) (CH) (NOR) (FIJ) (CR )]
[1/ OPTION 2:
a) For the purposes of this chapter, and subject to paragraph (b), the term “assembled in a single country” means that all of th e assembly operations
following the cutting of the fabric to shape of the parts have been performed in that country.
b) For the purposes of paragraph (a) performing or not performing operations such as the following shall not affect the determin ation of whether the
good has been assembled in a single country: [attaching and/or making up of the following, for example (HK)] [attaching to garm ents or accessories
(US)] :  buttons and other fasteners, patch pockets, foot straps , trimmings, ornaments, cuffs, plackets, belt loops, epaulettes , labels, [collars (US) (HK)],
                                                     
21 There is an agreement in the TCRO that the change in use of the goods is not origin conferring process.G/RO/37/Add.3
Page 124[lining, padding, pockets other than patch pockets, waist bands, garment accessories, facings, self belts, pleats (HK)];making button holes, hemming,
[pressing, stone or acid washing (US) (HK)] (US) (MEX) (HK) (SEN) (GUA) (EGY) (AUS)]
[1/ OPTION 3:
a) For the purpose of this chapter, and subject to paragraph (b), “both cut or knitted or crocheted to shape and sewn or otherwi se assembled in the
country claiming origin” means that all of the assembly operation s along with the cutting of the fabric, or the knitting or cro cheting to shape , of the parts
have been performed in that country.
b) For the purpose of paragraph (a) performing or not performing operations such as the following shall not affect the determina tion of whether the
good has been assembled in a single country: attaching:  buttons and other fasteners, patch pockets, foot straps, trimmings, or naments, cuffs, plackets,
belt loops, epaulettes, labels, collars, pa dding and waist bands. (N Z) (BRA) (ARG) (PAK)]
[1/OPTION 4:
a) For the purposes of this chapter, except for goods knitted or crocheted to shape, the term “substantial assembly” means sewin g together or
assembly of all the major garment parts of a good of this chapter.
b) For the purposes of this chapter “major garment parts” means integral components of a garment, but does not include parts suc h as collars, cuffs,
waistbands, plackets, pockets, linings, paddings or accessories. (CAN)]
[1/OPTION 5:
For the purposes of Chapters 61 and 62, the country of origin of an article of apparel or clothing accessories shall be the cou ntry where such apparel or
clothing accessory, as the case may be, is finally assembled.  Final assembly means where the article assumes the essential cha racter of the final product
and thereby gets classified as the final product.  Further operations which do not change the classification will not change th e origin (IND)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.75)
[2/OPTION 1:
When no country satisfies the primary rule determining the origin  of the assembly of articles of apparel and clothing accessori es of heading 61.01 to
61.15 and 62.01 to 62.12 from parts for the goods, the country in which 8 or more major or other parts of the goods are assembl ed shall be the country of
origin for the goods.  (CAN)]
[2/OPTIONS 2 and 3:When application of the primary rules of this Chapter (including  the product specific rules provided in the matrix) do not resu lt in a determination of a
country of origin, the country of origin shall be determined as follows :G/RO/37/Add.3
Page 1251. Where the primary rule for a good assembled from parts requires that the good be wholly assembled in a single country, the co untry of origin of
such a good that was not wholly assembled in a single country, is the country in which the most significant assembly operations  were performed in the
making-up of the good, without regard to the addition of buttons and other fasteners, belt and hanger loops, belts, patch pocke ts, labels, foot straps,
epaulettes, ornaments and other minor components.
2. The country of origin of other goods of this Chapter shall be the country where the textile fabric or knit-to-shape component s was formed, or in
the case of a good containing textile fabrics or knit-to-shape component of more than one country, the origin of the good is th e country in which the
textile fabric or knit-to-shape component that predominates by weight was formed.   (US)]
[2/OPTION 4:
When application of the primary rules of Chapters 61 and 62 (including the product specific rules provided in the matrix) do no t result in a determination
of a country of origin, the country of origin shall be determined as follows :
Where the primary rule for a good assembled from parts requires that the good be wholly assembled in a single country, the coun try of origin of such a
good that was not wholly assembled in a single country, is the country in which the most significant assembly operations were p erformed in the making-
up of the good, without regard to:
- attaching and/or making up of the following, for example: bu ttons and other fasteners, patch pockets, foot straps, trimmings,  ornaments, cuffs,
plackets, belt loops, epaulettes, labels, collars, lining, padding, pockets other than patch pockets, waistbands, garment acces sories, facings, self belts,
pleats;
- making button holes, hemming, pres sing, stone or acid washing.  (HK)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Value (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 126CHAPTER 6222
Section Note :    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin .
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along dividi ng threads;
c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
d) Putting up goods for retail sale or in sets or ensembles.  (US)]
Chapter Notes :    Submitted to CRO for decision (Doc. 42.271, Issue No. 46)
[1. / OPTION 1:
a) For the purposes of this chapter, and subject to paragraph (b), the term “assembled in a single country” means that all of th e assembly operations
following the cutting of the fabric ,or the knitting or crochetin g to shape, of the parts have been performed in that country.
b) For the purposes of paragraph (a) performing or not performing operations such as the following shall not affect the determin ation of whether the
good has been assembled in a single country: attaching: items such as accessories,buttons and/or other fasteners, pockets, trim mings, cuffs, plackets,
labels, [collars (JPN) (PHI) (MAL) (CH) (NOR)]; making button holes, hemming. (EC) (JPN) (PHI) (MAL) (TUR) (CH) (NOR) (FIJ) (CR )]
[1/ OPTION 2:
a) For the purposes of this chapter, and subject to paragraph (b), the term “assembled in a single country” means that all of th e assembly operations
following the cutting of the fabric to shape of the parts have been performed in that country.
b) For the purposes of paragraph (a) performing or not performing operations such as the following shall not affect the determin ation of whether the
good has been assembled in a single country: [attaching and/or making up of the following, for example (HK)] [attaching to garm ents or accessories
(US)] :  buttons and other fasteners, patch pockets, foot straps , trimmings, ornaments, cuffs, plackets, belt loops, epaulettes , labels, [collars (US) (HK)],
                                                     
22 There is an agreement in the TCRO that the change in use of the goods is not origin conferring process.G/RO/37/Add.3
Page 127[lining, padding, pockets other than patch pockets, waist bands, garment accessories, facings, self belts, pleats (HK)];making button holes, hemming,
[pressing, stone or acid washing (US) (HK)] (US) (MEX) (HK) (SEN) (GUA) (EGY) (AUS)]
[1/ OPTION 3:
a) For the purpose of this chapter, and subject to paragraph (b), “both cut or knitted or crocheted to shape and sewn or otherwi se assembled in the
country claiming origin” means that all of the assembly operation s along with the cutting of the fabric, or the knitting or cro cheting to shape , of the parts
have been performed in that country.
b) For the purpose of paragraph (a) performing or not performing operations such as the following shall not affect the determina tion of whether the
good has been assembled in a single country: attaching:  buttons and other fasteners, patch pockets, foot straps, trimmings, or naments, cuffs, plackets,
belt loops, epaulettes, labels, collars, pa dding and waist bands. (N Z) (BRA) (ARG) (PAK)]
[1/OPTION 4:
a) For the purposes of this chapter, except for goods knitted or crocheted to shape, the term “substantial assembly” means sewin g together or
assembly of all the major garment parts of a good of this chapter.
b) For the purposes of this chapter “major garment parts” means integral components of a garment, but does not include parts suc h as collars, cuffs,
waistbands, plackets, pockets, linings, paddings or accessories. (CAN)]
[1/OPTION 5:
For the purposes of Chapters 61 and 62, the country of origin of an article of apparel or clothing accessories shall be the cou ntry where such apparel or
clothing accessory, as the case may be, is finally assembled.  Final assembly means where the article assumes the essential cha racter of the final product
and thereby gets classified as the final product.  Further operations which do not change the classification will not change th e origin (IND)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.75)
[2/OPTION 1:
When no country satisfies the primary rule determining the origin  of the assembly of articles of apparel and clothing accessori es of heading 61.01 to
61.15 and 62.01 to 62.12 from parts for the goods, the country in which 8 or more major or other parts of the goods are assembl ed shall be the country of
origin for the goods.  (CAN)]G/RO/37/Add.3
Page 128[2/OPTIONS 2 and 3:
When application of the primary rules of this Chapter (including  the product specific rules provided in the matrix) do not resu lt in a determination of a
country of origin, the country of origin shall be determined as follows :
1. Where the primary rule for a good assembled from parts requires that the good be wholly assembled in a single country, the co untry of origin of
such a good that was not wholly assembled in a single country, is the country in which the most significant assembly operations  were performed in the
making-up of the good, without regard to the addition of buttons and other fasteners, belt and hanger loops, belts, patch pocke ts, labels, foot straps,
epaulettes, ornaments and other minor components.
2. The country of origin of other goods of this Chapter shall be the country where the textile fabric or knit-to-shape component s was formed, or in
the case of a good containing textile fabrics or knit-to-shape component of more than one country, the origin of the good is th e country in which the
textile fabric or knit-to-shape component that predominates by weight was formed.   (US)]
[2/OPTION 4:
When application of the primary rules of Chapters 61 and 62 (including the product specific rules provided in the matrix) do no t result in a determination
of a country of origin, the country of origin shall be determined as follows :
Where the primary rule for a good assembled from parts requires that the good be wholly assembled in a single country, the coun try of origin of such a
good that was not wholly assembled in a single country, is the country in which the most significant assembly operations were p erformed in the making-
up of the good, without regard to:
- attaching and/or making up of the following, for example: bu ttons and other fasteners, patch pockets, foot straps, trimmings,  ornaments, cuffs,
plackets, belt loops, epaulettes, labels, collars, lining, padding, pockets other than patch pockets, waistbands, garment acces sories, facings, self belts,
pleats;- making button holes, hemming, pres sing, stone or acid washing.  (HK)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Value (EC)][Total value of parts and related processing activity (CH)]G/RO/37/Add.3
Page 129CHAPTER 63
Section Note:    Submitted to CRO fo r decision (Doc.OC 0023E2, Issue No.74)
[Minor processing operations not affecting origin.
For the purposes of determining the country of origin for goods falling within Section XI  that are not wholly obtained in one country, the following
individual processes, considered singly, shall not affect the origin of the goods concerned, whether or not such processes resu lt in changes of
classification:
(a) Working or finishing one or more edges by hemming, rolling, whipping or similar means or by knotting fringe;(b) Cutting fabrics, yarns or other textile materials; or separating goods produced in the finished state by cutting along divid ing threads;
(c) Assembling or joining goods by sewing or stitching fo r convenience of shipment or other temporary purposes;
(d) Putting up goods for retail sale or in sets or ensembles.  (US)]
[Product Specific] [Chapter] Residual Rule    Submit ted to CRO for decision (Doc.OC0023E2, Issue No.77)
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of this Chapter shall be the country where the textile fabric was formed, or in the case of a good containing textile
fabrics of more than one country,  the origin of the good is the country in which the textile fabric that predominates by weigh t was formed (US)]G/RO/37/Add.3
Page 130CHAPTER 64
Chapter Notes:
1. Definition of "formed uppers" : Submitted to CRO for decision (Doc. 42.533, Issue No. 11)
[Uppers of Heading No. 64.06 having closed bottoms, which have been shaped by lasting, molding or otherwise, but not by simply closing at the bottom.]
(US) (HK) (CH) (CAN) (PHI)]
[Uppers with insole material attached to the upper, which would prevent the base of a foot placed in the upper from coming in c ontact with the ground.
Except for footwear of moccasin style construction, where the upper material is continued under the foot to form an insole from  one continuous piece of
leather.] (AUS)
2. For the purposes of this Chapter, those rules which refer to a change of heading or subheading shall not apply to changes whi ch result from disassembly.
Basket 1
[Product Specific] [Chapter] Residual Rule:    Submitted to CRO for decision (Doc. OC0023E2, Issue No.77)
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin.
1. The country of origin of a good of heading 64.06 that was assembled from parts, but was not wholly assembled in a single coun try, is the country in
which the most significant assembly operations were performed in the making-up of the good, without regard to the addition of b uttons and other
fasteners, hanger loops, labels, foot straps , ornaments and other minor components (US)]G/RO/37/Add.3
Page 131CHAPTER 65
[Product Specific] [Chapter] Residual Rule:    Submitted to CRO for decision (Doc. OC0023E2, Issue No.77)
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a
country of origin, the country of origin shall be determined as follows:
[1. For a good of headings 65.01 through 65.05 that was assembled from parts, where the primary rule requires that the good be w holly assembled in
a single country, is the country in which the most significant assembly operations were performed in the making-up of the good,  without regard to the
addition of buttons and other fasteners, hanger loops, tightener s, labels, hat bands, ornaments and other minor components (US) ]
CHAPTER 66
Chapter Notes
For the purposes of this Chapter, those rules which refer to a change of heading or subheading shall not apply to changes which  result from disassembly.
Basket 1.
[Product Specific] [Chapter] Residual Rule:    Submitted to CRO for decision (Doc. OC0023E2, Issue No.77)
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a
country of origin, the country of origin shall be determined as follows:
[1. The country of origin of a good of heading 66.01 that was assembled from parts, but was not wholly assembled in a single cou ntry, is the country
in which the most significant assembly operations were performed in the making-up of the good, without regard to the addition o f buttons and other
fasteners, hanger loops, labels, ornaments and other minor components (US)]
CHAPTERS 67- 69
No Chapter NoteG/RO/37/Add.3
Page 132CHAPTER 70
Chapter Notes
For heading 7019.51 to 7019.90, those rules which refer to a change of subheading shall not apply to changes which are the resu lt solely of trimming or
cutting.  Submitted to CRO for decision  (Doc.OC0012, Issue No.7)
CHAPTER 71
Chapter Note
[For the purposes of this Chapter, whenever finished goods are produced from blanks or other unfinished forms classified in the  same heading or
subheading as the finished goods, they shall originate in the country in which the goods were finished, provided that :
a) In their imported prefinished condition, the blanks or unfinished forms were not capable of being sold in their condition as imported or of
functioning for their ultimate use and have not been advanced be yond cleaning or working to remove flash, sprues, burrs or simi lar excess material, and
b) The blanks or unfinished goods are configured to final shape by significant removal of material (other than by edge-working p rocess)]    Submitted to
CRO for decision (Doc.OC0009, Issue No.5)
CHAPTER 72
Chapter Notes
For the purposes of this Chapter, a change of classification resulting only from cutting is not regarded as a substantial trans formation.  Basket 1
For the purposes of this Chapter, the expression “cold-rolling” means cold-reduction resulting in changes to the crystalline st ructure of the workpiece.
Cold-rolling does not include a very light cold-rolling process (skin pass or pinch pass) which acts only on the surface of the  material and does not result
in change to its crystalline structure.  Basket 1G/RO/37/Add.3
Page 133CHAPTER 73
Chapter Notes:
Assembling operations, other than simple assembling operations, within  this Chapter are to be considered as substantial transfo rmation. Basket 1 (in
principle, the text to be finalised later)
[For heading 73.18, mere attachment without grinding to shape, heat treatment and surface treatment operation it not considered  to be a substantial
transformation. (JPN)]
For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), the  following changes shall not
confer origin:
a) changes which result from disassembly;b) changes which result from packaging or repackaging; or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading. Basket 1 (in principle, the text to be finalised later)
CHAPTER 74
Chapter Notes:     Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;
b) changes which result from packaging or repackaging; orG/RO/37/Add.3
Page 134c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading.
CHAPTER 75
Chapter Notes:    Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not conside red to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;b) changes which result from packaging or repackaging;  or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts that  are presented as
unassembled articles of another heading or subheading.
CHAPTER 76
Chapter Notes:     Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;G/RO/37/Add.3
Page 135b) changes which result from packaging or repackaging;  or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading.
CHAPTER 78
Chapter Notes:     Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;
b) changes which result from packaging or repackaging; or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts that  are presented as
unassembled articles of another heading or subheading.
CHAPTER 79
Chapter Notes:    Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:G/RO/37/Add.3
Page 136 a) changes which result from disassembly;
b) changes which result from packaging or repackaging; or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading.
CHAPTER 80
Chapter Notes:    Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.
3. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;b) changes which result from packaging or repackaging; or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading.
CHAPTER 81
Chapter Notes:     Basket 1 (in principle, the text to be finalised later)
1. For the purposes of this Chapter, assembly operations, other than simple assembly operations, of goods of this Chapter are to  be considered as substantial
transformation.
2. A change of classification solely by virtue of coiling of bars or rods to wire or uncoiling wire to bars or rods is not consi dered to be substantial
transformation.G/RO/37/Add.3
Page 1373. For the purposes of those rules of origin which refer to a change of classification (i.e. change of heading or subheading), t he following changes shall not
confer origin:
a) changes which result from disassembly;
b) changes which result from packaging or repackaging;  or
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading.
CHAPTER 82
Chapter Notes:
1. Assembly       Submitted to CRO for decision (Doc.OC0031, Issue No.1)
[The manufacturing process for the assembly of a finished product from parts, other than “simple assembly”, is considered the l ast substantial
transformation.  (CH)]
[Obtaining a finished product by assembly from parts is considered the last substantial transformation. (MOR)]
2. Disassembly      Submitted to CRO for decision (Doc.OC0031, Issues Nos.11 and 12; Doc.OC0029)
Disassembly operations, including those which result in a change of tariff classification, shall not be considered origin confe rring.   Basket 1
[The parts or any article recovered from the good shall retain the country of origin of the good prior to disassembly.]
3. Change of use      Submitted to CRO for decision (Doc.OC0031, Issue No.9; Doc.OC0029)
[A change of classification which results from the change of use of a good that has not undergone any further working or proces sing shall not be
considered as the change required by the rule set out in Appe ndix 2.  The good shall retain the country of origin it had prior to the change of
classification.]G/RO/37/Add.3
Page 138 4. Sets       Submitted to CRO for decision (Doc.OC0029)
[OPTION A:
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of origin of  the articles that confer
the essential character on the set as a whole;4) In the event that neither 2) nor 3) is met, the country of origin shall be the single country in which the greatest number of  articles in the set were
made.  (JPN)]
[OPTION B:1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that originate in more than one country shall be the single country in wh ich the greatest number
of articles in the set were made.
4) In the event that neither 2) nor 3) is met, the country of orig in shall be the country of origin of the articles that confer the essential character on
the set as a whole; (US)]
[OPTION C:
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that orig inate in more than one country shall be the country of the artic le(s) representing the
highest value, the value of the articles having the same origin being taken together.  (EC)]
5. Incomplete or unfinished goods under the HS GIR 2(a)      Submitted to CRO for decision (Doc.OC0025/2, Issue No.1)
[When neither the product specific rules provided in the matrix  are determinant of origin the following shall apply:  (US)]
[Whenever the change of classification rules set out for goods of Chapter 82 are not determinative of the country of origin of the good; the following
substantial transformation rules are to be applied:  (CH)]G/RO/37/Add.3
Page 139 [A-1. Goods produced from an incomplete or unfinished article cl assifiable in the same heading or subheading by application of GIR.2(a):
Where goods are produced from an incomplete or unfinished (other than unassembled or disassembled) article which had the essent ial character of the
complete or finished goods and was classifiable, by application of GIR.2(a), in the same heading or subheading as the complete or finished goods, origin
of the presented goods shall be determined as follows:
i. Blanks:
Where the goods are produced from a blank:
(1) Provided all the following criteria are met, the country of origin of the goods shall be the country in which the blank was finished:
a) In its imported prefinished condition, the blank was not capable of functioning for its ultimate use and was not advanced bey ond
cleaning or working to remove flash, spurs, burrs or similar excess material, and
b) In the country in which the goods were finished:
(i) The blank was configured to final shape by the removal of material (other than by honing or polishing), or by bending,
hammering, pressing, stamping or similar forming process;  and
(ii) The blank underwent one or more of the following processes:
1) Hardening to a minimum hardness of 38 degrees Rockwell C or equivalent standard of hardness;  or
2) Assembly with five or more parts (other than parts of general use as defined in Note 1(g) to Section XVI of the
HS).
(2) If the criteria of subparagraph (1)(a) above are not satisfied, the country of origin of the goods shall be the country of o rigin of the blank.
ii. Other.
Where the goods are produced from an incomplete or unfinished ar ticle, other than a blank, the origin of presented goods shall be the country of
origin of the incomplete or unfinished article from which it was produced.  (US)]
[A-2. A finished good or part produced from a non-originating unfinished article or part classified in the same heading or subhe ading as the finished good or
part shall originate in the country in which the good or part was finished, provided that the unfinished good or part is not fu nctioning for its ultimate use
in his imported condition and has undergone at least mechanical treatment, refining of form - positional - and surface toleranc es of functional finished
shapes such as turning, milling, drilling, broaching, grinding , polishing, honing, eroding and one or more of the following pro cesses :
- assembly by build-up such as but not limited to welding, solder ing, shrinking, bolting, gluing, fitting, fixing, spooling, win ding, connecting,
wiring, coupling,G/RO/37/Add.3
Page 140or
- heat treatment or thermochemical treatment such as glowing, tempering, hardening,
or
- treatment for the purpose of shaping fo rming such as cold or warm forming,
or
- surface treatment such as coating, compressing, condensing, im pregnating (excluding temporary conservation for transport and/o r storage
purpose), insulating,  (CH)]
[B-1. Other Goods of this Chapter.
When paragraph A-1(i) or A-1(ii) is not satisfied, the country of origin shall be the country in which the working edge, workin g surface or working part
underwent a change of classification to a heading of this Chapte r from any other Chapter (e.g. from a bar or rod of Chapter 72 to a chisel of Heading
82.05)  (US)]
[B-2. A finished good or part produced from a non-originating unfinished article or part classified in the same heading or subhe ading as the finished good or
part which does not satisfy the conditions mentioned in Rule A-2 above shall originate in the country in which the assembly tak es place provided that
more than 10 constituent parts, other than screws and bolts, are assembled.  (CH)]
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1.  Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or simil ar parts of plastic (Chapter
39)) shall have origin in the country of assembly.
2.  Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV or  similar parts of plastic
(Chapter 39)), and one or more of the parts (other than parts of general use, as defined in Note 2 to Section XV or similar par ts of plastic (Chapter 39))
satisfies the requirements for origin in the country of as sembly, shall have origin in the country of assembly.
3.  For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
a)  the attachment of parts of general use (as defined in No te 2 to Section XV or similar parts of plastic (Chapter 39)),G/RO/37/Add.3
Page 141b)  the attachment of handles, dials, knobs, hand cranks, and other consumer-operated controls,
c)  installation of articles not designed to become a permanent part of the good, or
d) the attachment of accessories or parts which serve only to enhance the operation of the good.  (US)]
[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Value  (EC)]
CHAPTER 83
Chapter Note
1. Assembly       Submitted to CRO for decision (Doc.OC0031, Issue No.1)
[The manufacturing process for the assembly of a finished product from parts, other than “simple assembly”, is considered the l ast substantial
transformation.  (CH)]
[Obtaining a finished product by assembly from parts is considered the last substantial transformation. (MOR)]
2. Incomplete or unfinished goods under the HS GIR 2(a)      Submitted to CRO for decision (Doc.OC0026/2, Issue No.1)
[Whenever the change of classification rules set out for goods of Chapter 83 are not determinative of the country of origin of the good; the following
substantial transformation rules are to be applied :
a) A finished good or part produced from a non-originating unfinished article or part classified in the same heading or subheadi ng as the finished
good or part shall originate in the country in which the good or part was finished, provided that the unfinished good or part i s not functioning for its
ultimate use in his imported condition and has undergone at least mechanical treatment, refining of form - positional - and sur face tolerances of functional
finished shapes such as turning, milling, drilling, broaching,  grinding, polishing, honing, eroding and one or more of the foll owing processes :
- assembly by build-up such as but not limited to welding, solder ing, shrinking, bolting, gluing, fitting, fixing, spooling, win ding, connecting,
wiring, coupling,
orG/RO/37/Add.3
Page 142- heat treatment or thermochemical treatment such as glowing, tempering, hardening,
or
- treatment for the purpose of shaping fo rming such as cold or warm forming,
or
- surface treatment such as coating, compressing, condensing, im pregnating (excluding temporary conservation for transport and/o r storage
purpose), insulating,
b) A finished good or part produced from a non-originating article or part classified in the same heading or subheading as the f inished good or part
which does not satisfy the conditions mentioned in Rule 2.a) abov e shall originate in the country in which the assembly takes p lace provided that more
than 10 constituent parts, other than screws and bolts, are assembled.  (CH)]
[Product Specific] [Chapter] Residual Rule
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1.  Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or simil ar parts of plastic (Chapter
39)) shall have origin in the country of assembly.
2.  Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV or  similar parts of plastic
(Chapter 39)), and one or more of the parts (other than parts of general use, as defined in Note 2 to Section XV or similar par ts of plastic (Chapter 39))
satisfies the requirements for origin in the country of as sembly, shall have origin in the country of assembly.
3.  For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
a)  the attachment of parts of general use (as defined in No te 2 to Section XV or similar parts of plastic (Chapter 39)),
b)  the attachment of handles, dials, knobs, hand cranks, and other consumer-operated controls,
c)  installation of articles not designed to become a permanent part of the good, ord) the attachment of accessories or parts which serve only to enhance the operation of the good.  (US)]G/RO/37/Add.3
Page 143[Criteria to apply Appendix 2, Rule 2(g)]
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Value  (EC)]
[weight  (US)]
CHAPTER 84
CHAPTER 85
CHAPTER 86
CHAPTER 87
CHAPTER 88
CHAPTER 89
CHAPTER 90
[Chapter Notes][Chapter Rules][Legal Notes]
For the purposes of this chapter:
[1. Limitations on change of classification rules :  (US)]
[[Notwithstanding the product specific rules in the matrix,] where a change of classification  (i.e., change of heading, subheading, split heading or split
subheading) results from one of the following circumstan ces, origin shall be determined as indicated:  (US)]
[Where satisfaction of the rules of this Appendix results solely  from the following circumstances, origin shall be determined a s indicated [herein] [in
Appendix].  (Alternative US Text)]
A. Disassembly
Disassembly operations, including those which result in a change of tariff classification, shall not be considered origin confe rring.   Basket 1
[1) A change of classification which results from the disassembly  of the good that can perform its original purpose shall not be  considered as the
change required by the rule set forth in the matrix.  The parts recovered from the good shall retain the country of origin of t he good prior to disassembly.
(US)   Submitted to CRO for decisi on (Doc.OC0031, Issues Nos.11 and 12)
[2) A change of classification which results from the disassembly of the good that cannot perform its original purpose without b eing restored or
repaired shall not be considered as the change required by the rule set forth in the matrix.  The country of origin of the reco vered parts shall be (one
among the following options (US):]    Submitted to CRO for decision (Doc.OC0031, Issues Nos.11 and 12)G/RO/37/Add.3
Page 144 [a) the country where the parts are recovered;]  (SEN)
[b) the country of origin of the good from which the parts are recovered;]  (CAN)[c) the initial country of origin of the parts.]  (IND)[Reassembly of disassembled parts:   Submit ted to CRO for decision (Doc.OC0031, Issue No.13)
A good reassembled from disassembled parts shall have origin in the country where the good satisfy the rule set forth in the ma trix.  If the country of
origin is not determined by the rule set forth in the matrix, [Note][Rule] [a [general] [final] residual rule]  2 shall apply. (CH)]
B. Packaging or repackaging      Submitted to CRO for decision (Doc.OC0031, Issue No.6)
[Where a change in classification results from packaging or repack aging the origin of the good shall be the origin prior to suc h packaging or repackaging.
(US) (AUS) (SEN)]
C. Application of HS GIR 2(a) - Collection of parts into kits       Submitted to CRO for decision (Doc.OC0031, Issues Nos.4 and 5)
[Where a change in classification results from the application of HS General Interpretative Rule 2(a) with respect to collectio ns of parts that are presented
as unassembled articles of another heading or subheading the indivi dual parts shall retain their origin prior to such collectio n.  (For goods assembled from
collections of parts, Note 2.C shall apply.)  (US) (AUS)]
[A change of classification which results from the application of Rule 2(a) of the General Rules for the Interpretation of the HS (GIR 2(a)), with respect
to a collection of parts, shall not be considered as the change required by the rule set forth in the matrix. (Sec)]
[A good assembled from a collection of parts that are classified by  virtue of the application of GIR 2(a) in the same heading o r subheading as the good
shall have origin in the country where, subject to paragraph [next], the relevant rule or note set out in the Appendix is satisfied.
The change of classification that may be required by the relevant rule in the matrices is considered to have taken place in the  country in which the good is
assembled from the collection of parts.]  (JPN) (CAN) (HK) (CH)
D. Functional units       Submitted to CRO for decision (Doc.OC0031, Issue No.7)
[Where a change in classification results from the application of note 4 to Section XVI of the HS to separately packaged goods presented together in a
single shipment the separately packaged goods shall retain  their origin prior to such presentation. (US) (JPN) (AUS)]G/RO/37/Add.3
Page 145E. Change of use      Submitted to CRO for decision (Doc.OC0031, Issue No.9)
[A change of classification which results from the change of use of the good shall not be considered as the change required by the rule set forth in the
matrix. (SEN)]
F. Recertification or retesting of articles      Submitted to CRO for decision (Doc.OC0031, Issue No.10)
[A change of classification which results from the recertification or retesting of the good shall not be considered as the chan ge required by the rule set
forth in the matrix. (Sec)]
G. Degradation of goods by ageing or consumption or any other reason       Submitted to CRO for decision  (Doc.OC0031, Issue No.8)
[[Unless otherwise provided] a change of classification which resu lts from degradation of the good by ageing or consumption or any other reason shall
not be considered as the change required by  the rule set forth in the matrix. (SEN)]
2-1. [Origin Conferring Primary Rules  (Sec)]:  (SG) (IND)      Submitted to CRO for decision  (Doc.OC0031, Issue No.1)
[A. Goods of this chapter that are not wholly the product of one country shall be deemed to originate in the last country where one of the following
occurs:
a) Non-originating materials undergo a change of classification fro m any other sub-heading, including a sub-heading of the same heading
(CTSH); or from any other heading (CTH) as indica ted in the specific headings or subheadings;  or
b) Obtaining goods from parts by assembly, including sub-assembly, shall be considered as reflecting last substantial transforma tion; or
c) Process (such as mounting of integrated circuits) as defined for the specific headings or subheadings which result in new cha racteristics
or use in the finished product.  (SG)]
[B. An assembly operation resulting in a new good having new characteristics is considered to be substantial transformation.  (I ND) (MOR) (SEN for
Chapters 84 to 86 only)]
[C. For the purposes of Chapter 87 the following goods, when asse mbled and finished, shall originate in the country where assemb ly and finishing
results in a change of subheading:
a) Bumpers;
b) Air bag systems (including inflators and modules);c) Body assemblies ;
d) Brakes and servo-brakes;
e) Gear boxes and similar gear assemblies;G/RO/37/Add.3
Page 146f) Axles, whether or not provided with other transmission components;
g) Wheels;
h) Suspension shock-absorbers;
ij) Vehicle suspension assemblies;k) Radiators;
l) Silencers and exhaust pipes;
m) Clutches;
n) Steering wheels, steering columns and steering boxes;
o) Handle bar assemblies;  andp) Chassis or frame assemblies. (US) ]
2-2. [Additional and residual  (US) ] [Origin Conferring Primary  (Sec)]  rules :
[When neither the product specific rules provided in the matrix nor legal note 1 above are determinant of origin, the following  shall apply: (US)]
[A. Goods produced from forged or cast blanks   (US) (CH) (AUS)      Submitted to CRO for decision (Doc.OC0031, Issue No.2)
Where goods are produced from forged or cast blanks which had the essential character of the complete or finished goods and wer e classifiable, by
application of HS General Interpretative Rule 2(a), in the same heading or subheading as the complete or finished goods:
1) Provided the following criteria are met, the country of origin of the goods shall be the country in which the blank was finis hed: (US) (CH) (AUS)
a) In its imported prefinished condition, the blank was not capable of functioning for its ultimate use and was not advanced bey ond cleaning
or working to remove flash, sprues, burrs or similar excess material, [and (US)] (AUS)
b) In the country in which the goods were finished: (US) (CH)
(i) The blank was configured to final shape by the removal of mate rial (other than merely by honing or polishing or both), or by
bending, hammering, pressing, stamping or similar forming process; and  (US) (CH)
(ii) The blank underwent one or more of the following processes:
1. [Hardening to a minimum hardness of 38 degrees Rockwell C [or Vickers H-V-3-70] or equivalent standard of hardness;
(US)]
[Heat treatment or thermochemical treatment, such  as glowing, tempering, hardening; (CH)]  or
2. Assembly with five or more parts (other  than parts of general use as defined in [Note 2 to Section XV or similar parts of
plastic (Chapter 39) (US)] [Note 1(g) to Se ction XVI of the HS (CH)]); or  (US) (CH)
3. Surface treatment, such as coating, compressing, condensing, impregnating or insulating; (CH)G/RO/37/Add.3
Page 1472) If the criteria of subparagraph 1) above are not satisfied, the country of origin of the goods shall be the country of origin  of the blank.  (US) (CH)
(AUS)]
[B. Finished goods or parts  produced from unfinished goods or parts, other than blanks :  (CH)      Submitted to CRO for decision  (Doc.OC0031,
Issue No.3)
Whenever the change of classification rules set out for goods of  chapters 84 to 90 and 93 are not determinant of the country of  origin of the good, the
following substantial transformation rules are to be applied:
a) A finished good or part produced from a non-originating unfinished good or part classified in the same heading or subheading as the finished
good or part shall originate in the country in which the good or part was finished, provided:
(i) the unfinished good or part is not functioning for its ultimate use in its imported condition and has undergone at least two  or more of the
following processes:
- assembly by built-up such as but not limited to welding, solder ing, shrinking, bolting, glueing, fitting, fixing, spooling, wi nding,
connecting, wiring, coupling;  or
- heat treatment or thermochemical treatment such as glowing, tempering, hardening;  or
- treatment for the purpose of shaping, form ing such as cold or warm forming;  or
- mechanical treatment, refining of form-, positional- and surface tolerances of functional finished shapes such as turning, mil ling,
drilling, broaching, grinding, polishing, honing, eroding;  or- surface treatment such as coating, compressing, condensing,  impregnating (excluding temporary conservation for transport
and/or storage purpose), insulating;   or
- system engineering, software-development and application;
and
(ii) The finished good or part has undergone final testing such as but not limited to balancing, spinning, voltage testing, perf ormance- or
isolation test.
b) A finished good or part, produced from a non-originating good or part, classified in the same subdivision as the finished goo d or part which do
not satisfy the conditions mentioned in Rule 2.B.a) above shall originate in the country contributing most to the product in te rms of total value of parts
(including an unfinished good) and related processing activities.” (CH)]
[C. [Other (US) ] [Chapter Residual Rules  (Sec)] :      Submitted to CRO for decision (Doc.OC0031, Issue No.1)
Where neither the product specific rules in the matrix nor the preceding legal notes are determinant of origin, the following s hall apply:  (US) (CH)
(AUS) (TUR for ex 8471.60(a) for split subheadings (A) and (B) only)G/RO/37/Add.3
Page 1481) Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in [Note 2 to Section XV or simila r parts of plastic
(Chapter 39) (US)] [note 1(g) to Section XVI of the HS (AUS)]) sh all have origin in the country of assembly, or (US) (AUS) (TUR  for ex 8471.60(a) for
split subheadings (A) and (B) only)
2) Goods produced as a result of processing non-originating components into a device or apparatus capable of performing one or m ore new
mechanical or electrical functions shall have origin in the coun try of such processing, or (US) (TUR for ex 8471.60(a) for spli t subheadings (A) and (B)
only)
3) [Residual rule ].— Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV of the
HS or similar parts of plastic (Chapter 39)), and one or more of  whose parts (other than parts of general use, as defined in [N ote 2 to Section XV of the
HS or similar parts of plastic (Chapter 39) (US)] [note 1(g) to  Section XVI of the HS (AUS)]) satisfies the requirements for or igin in the country of
assembly, shall have origin in the country of assembly. (US) (AUS) (TUR for ex 8471.60(a) for sp lit subheadings (A) and (B) onl y)
4) [For the purposes of Paragraph 2.C above (Sec)] the following shall not be considered origin conferring operations:
(i) the attachment of machinery to  a base; (US) (CH) (JPN) (AUS)
(ii) the [installation (US)] [attachment (JPN)] of machinery or a pparatus into cabinets or similar encasements; (US) (CH) (JPN) (AUS)
(iii) the attachment of parts of general use (as defined in [Note 2 to Section XV of the HS or similar parts of plastic (Chapter  39) (US)] [note
1(g) to Section XVI of the HS (CH) (JPN) (AUS)]); (US) (CH) (JPN) (AUS)
(iv) the attachment of handles, dials, knobs, hand cranks, an d other consumer-operated controls; (US) (CH) (JPN) (AUS)
(v) the attachment of a power cord, [change of mains voltage/freq uency by adding transformer, adapter or converter (TUR)] (US) ( CH)
(AUS)
(vi) installation of batteries, accumulators, [sensors, thermostats (TUR)] or [other (US)] [similar (JPN)] articles not designed  to [or supplied
(deletion proposed by US)] become a permanen t part of the good; (US) (CH) (JPN) (AUS)
(vii) the attachment of accessories or parts (including printed circuits with components assembled thereon), which serve only to  enhance the
operation of the machine or device; (US) (AUS)
(viii) presetting, adding, changing parameters and settings of a programme in a machine, equipment or electronic equipment; (TUR )
(ix) Adding manuals, warranty cards, conformance certificates to sta ndards with or without test, adding brand, name and/or model  labels or
relabelling; (TUR)
(x) Loading new software, version or different user language; (TUR)]
[Product specific] [Chapter] residual rules        Submitted to CRO for decision  (Doc.OC0023E2, Issue No.77)
[Chapter 87
When application of the primary rules of this Chapter (including  the product specific rules provided in the matrix) does not re sult in a determination of a
country of origin, the country of origin shall be determined as follows:G/RO/37/Add.3
Page 1491. The country of origin of safety seat belts of heading 87.08 that were assembled from narrow woven fabrics of heading 58.06 is  the country where
the fabrics were formed, or in the case of such a good containing textile fabrics of more than one country, the origin of the g ood is the country in
which the textile fabric that predominates by weight was formed.  (US)]
[Chapter 88
When application of the primary rules of this Chapter (including  the product specific rules provided in the matrix) does not re sult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of a parts of and accessories to parach utes (including dirigible parachutes and paragliders) and rotoch utes of
heading 88.04 is the country where the fabrics were formed, or in the case of such a good containing textile fabrics of more th an one country, the
origin of such good is the country in which the textile fabric that predominates by weight was formed.  (US)]
Criteria to apply Appendix 2, Rule 2(g)      Submitt ed to CRO for decision (Doc.OC0029, Doc.OC0031, Issue No.1)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
a) value  (EC);b) number of units or components  (US);
c) essential characters  (CAN);
d) essential characters for Chapters 84 and 85;  weight for Chapters 86 to 90  (JPN);e) total value of parts (including unfinished goods) and the related processing activities  (CH).
Definitions       Submitted to CRO for decision  (Doc.OC0031, Issue No.2)
a) [The term “blank” means an article, not ready for direct use, ha ving the approximate shape or outline of the finished article o r part, and which
can only be used, other than in exceptional cases, for completion into the finished article or part (e.g., bottle preforms of p lastics being intermediate
products having tubular shape, with one closed end and one open end threaded to secure a screw type closure, the portion below the threaded end being
intended to be expanded to a desired size and shape.] (Sec)
Method of calculating the ad valorem pe rcentage prescribed in Origin Criteria :  (EC)      Submitted to CRO for decision (Doc.OC0031, Issue No.1)
For the purposes of calculating the percentage of the value added requested:G/RO/37/Add.3
Page 150a) The term “ex works price” shall mean the price paid for the pr oduct obtained to the manufacturer in whose undertaking the las t working or
processing is carried out.  The ex-works price shall include the value of all materials used in manufacture and all costs (mate rial costs as well as other
costs) effectively incurred by the manufacturer.  Internal taxes which are, or may be, repaid when such product is exported or commercial price
reductions shall not be taken into account.
The terms “value acquired as a result of working and processing” and “incorporation of parts originating in the country of manu facture” shall mean the
increase in value resulting from the assembly itself, together with any preparatory, finishing and checking operations, and fro m the incorporation of any
parts originating in the country where the operations were carried out, including profit and general costs borne in that countr y as a result of these
operations.G/RO/37/Add.3
Page 151CHAPTER 91
Chapter Notes
Disassembly operations, including those which result in a change of tariff classification, shall not be considered origin confe rring.    Basket 1 (Endorsed
by CRO)
[Product specific] [Chapter] residual rules
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of heading 91.13 that contain textile fabric or other textile material shall be the country wh ere the textile fabric or
other material was formed, or in the case of a good containing textile materials of more than one country,  the origin of the g ood is the country in
which the textile fabric or other textile material that predominates by weight was formed.  (US)]      Submitted to CRO for decision
(Doc.OC0023E2, Issue No.77)
CHAPTER 92
Chapter Notes
1. For the purposes of  those rules of origin which refer to a change of classification (i.e. change of heading or change of sub heading), the following changes
shall not confer origin:
a) changes which result from disassembly.   Basket 1
b) changes which result from packaging or repackaging, or   Basket 1
[c) changes which result solely from application of General Rule of Interpretation 2 (a) with respect to collections of parts th at are presented as
unassembled articles of another heading or subheading. (US) ]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR2(a), the origin of the goods shall be  the origin of individual parts
(IND)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
[Product specific] [Chapter] residual rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:G/RO/37/Add.3
Page 1521. Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or similar  parts of plastic (Chapter
39)) shall have origin in the country of assembly.
2. Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)), and one or more of whose parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)) satisfies the requirements for origin in th e country of assembly, shall have origin in the country of ass embly.
3. For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
(a) he attachment of parts of general use (defined in Note 2 to Section XV or similar parts of plastic (Chapter 39));
(b) the attachment of handles, dials, knobs, hand cranks and other consumer-operated controls;(c) installation of batteries, accumulators or other articles not designed to become a permanent part of the good,  or(d) the attachment of accessories or parts which serve only to enhance the operation of the good. (US)]
Criteria to apply Appendix 2, Rule 2(g)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight or essential character (CAN)]
[Weight or volume, as appropriate (US)][Value (EC)][Total value of parts and related processing activity (CH)][Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 153CHAPTER 93
Chapter Notes
1. For the purposes of those rules of origin which refer to a change of classification (i.e., change of heading or change of sub heading), the  following
changes shall not confer origin:
a) changes which result from disassembly,   Basket 1
b) changes which result from packaging or repackaging, or   Basket 1
[c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts th at are presented as
unassembled articles of another heading or subheading. (US)]    Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR 2(a), the origin of the goods shall b e the origin of individual parts
(IND)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
3. [Whenever the change of classification rules set out for goods of chapters 84 to 90 and 93 are not determinant of the country  of origin of the good, the
following substantial transformation rules are to be applied:
A. A finished good or part produced from a non-originating unfinis hed good or part classified in the same heading or subheading as the finished
good or part shall originate in the country in which the good or part was finished, provided:
(i) the unfinished good or part is not functioning for its ultimate use in its imported condition and has undergone two or more of the
following processes:
- assembly by built-up such as but not limited to welding, solder ing, shrinking, bolting, glueing, fitting, fixing, spooling, wi nding,
connecting, wiring, coupling;  or
- heat treatment or thermochemical treatment such as glowing, tempering, hardening;  or
- treatment for the purpose of shaping, form ing such as cold or warm forming;  or
- mechanical treatment, refining of form-, positional- and surface tolerances of functional finished shapes such as turning, mil ling,
drilling, broaching, grinding, polishing, honing, eroding;  or
- surface treatment such as coating, compressing, condensing, im pregnating (excluding temporary conservation for transport and/o r
storage purpose), insulating;  or
- system engineering, software-development and application;
and
(ii) The finished good or part has undergone final testing such as but not limited to balancing, spinning, voltage testing, perf ormance- or isolation
test.G/RO/37/Add.3
Page 154B. A finished good or part, produced from a non-originating good or part, classified in the same subdivision as the finished goo d or part
which do not satisfy the conditions mentioned in Rule 3.A above shall originate in the country contributing most to the product  in terms of total
value of parts (including an unfinished good) and related processing activities.” (CH)]       Submitted to CRO for decision (Doc.OC0031, Issue
No.3)
[Product specific] [Chapter] residual rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or similar  parts of plastic (Chapter
39)) shall have origin in the country of assembly.
2. Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)), and one or more of whose parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)) satisfies the requirements for origin in th e country of assembly, shall have origin in the country of ass embly.
3. For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
a) the attachment of parts of general use (defined in Note 2 to Section XV or similar parts of plastic (Chapter 39));
b) the attachment of handles, dials, knobs, hand cranks and other consumer-operated controls;
c) installation of batteries, accumulators or other articles not designed to become a permanent part of the good, ord) the attachment of accessories or parts which serve only to enhance the operation of the good. (US)]
Criteria to apply Appendix 2, Rule 2(g)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight or essential character (CAN)][Weight or volume, as appropriate (US)]
[Value (EC)]
[Total value of parts and related processing activity (CH)]
[Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 155CHAPTER 94
Chapter Notes
1. For the purposes of those rules of origin which refer to a change of classification (i.e., change of heading or change of sub heading), the  following
changes shall not confer origin :
a) changes which result from disassembly (Basket 1)
b) changes which result from packaging, or (Basket 1)
[c)  changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts t hat are presented as
unassembled articles of another heading or subheading (US)]       Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR 2(a), the origin of the goods shall b e the origin of individual parts
(IND)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
3. [Obtaining goods from parts by assembly, including sub-assembly, shall be considered as reflecting last substantial transform ation; (MOR) (IND)]
Submitted to CRO for decision (Doc.OC0031, Issue No.1)
[Product specific] [Chapter] residual rules
 [When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not result in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of heading 94.04 shall be the country where the textile fabric was formed, or in the case of a  good containing textile
fabrics of more than one country, the origin of the good is the country in which the exterior textile fabric that predominates by weight was formed.  (US)]
Submitted to CRO for decision (Doc.OC0023E2, Issue No.77)
Criteria to apply Appendix 2, Rule 2(g)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight or essential character (CAN)][Weight or volume, as appropriate (US)]
[Value (EC)]
[Total value of parts and related processing activity (CH)]
[Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 156CHAPTER 95
Chapter Notes
1. For the purposes of those rules of origin which refer to a change of classification (i.e., change of heading or change of su bheading), the following changes
shall not confer origin:
a) changes which result from disassembly,   Basket 1
b) changes which result from packaging or repackaging, or   Basket 1
[c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading (US)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
[d) Presentation of goods for use other than that for which they were initially designed or intended is not origin conferring.  E.G., garments for babies
of 61.11 or 62.09 to accessories for dolls of 95.02.  Text to be developed (CAN) (EC) (US)]    Submitted to CRO for decision (Doc.OC0031, Issue
No.9; Doc.OC0029)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR 2(a), the origin of the goods shall b e the origin of individual parts
(IND)] Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
3. [Obtaining goods from parts by assembly, including sub-assembly, shall be considered as reflecting last substantial transform ation; (MOR)(IND)]
Submitted to CRO for decision (Doc.OC0031, Issue No.1)
4. Sets:      Submitted to CRO for decision (Doc.OC0029)
[OPTION A:
1) Putting articles up in sets shall not be considered as a substantial transformation;2) The country of origin of a set put up from articles that originate in one country shall be that country;3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of origin of  the articles that confer
the essential character on the set as a whole;
4) In the event that neither 2) nor 3) is met, the country of origin shall be the single country in which the greatest number of  articles in the set were
made.  (JPN)]G/RO/37/Add.3
Page 157[OPTION B:
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that originate in more than one country shall be the single country in wh ich the greatest number
of articles in the set were made.
4) In the event that neither 2) nor 3) is met, the country of orig in shall be the country of origin of the articles that confer the essential character on
the set as a whole; (US)]
[OPTION C:1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that orig inate in more than one country shall be the country of the artic le(s) representing the
highest value, the value of the articles having the same origin being taken together.  (EC)]
5. [For the purposes of heading 95.06 when the goods are produced from forged or cast blanks which had the essential character o f the complete or finished
goods and were classifiable, by application of HS General Interpretative Rule 2(a), in the same heading or subheading as the co mplete or finished goods :
A. Provided the following criteria are met, the country of origin  of the goods shall be the country in which the blank was finis hed:
a) In its imported prefinished condition, the blank was not capable of functioning for its ultimate use and was not advanced bey ond cleaning
or working to remove flash, sprues, burrs or similar excess material, and
b) In the country in which the goods were finished:
(i) The blank was configured to final shape by the removal of mate rial (other than merely by honing or polishing or both), or by
bending, hammering, pressing, stamping or similar forming process;  and
(ii) The blank underwent one or more of the following processes:
1. Heat treatment or thermochemical treatment, such as glowing, tempering, hardening;  or
2. Assembly with five or more parts (other than parts of general use as defined in Note 2 to Section XV of the HS or similar par ts of
plastic (Chapter 39));  or
3. Surface treatment, such as coating, compressing, condensing, impregnating or insulating;G/RO/37/Add.3
Page 158 B. If the criteria of subparagraph A above are not satisfied, the country of origin of the goods shall be the country of origin  of the blank (KOR)
(US)] Submitted to CRO for decision (Doc.OC0033, Issue No.33)
[Product specific] [Chapter] residual rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of a good of subheading 9502.91 that was assembled from parts, but was not wholly assembled in a single  country, is the country in
which the most significant assembly operations were performed in the making-up of the good, without regard to the addition of b uttons and other
fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments and other minor components.  (US)]    Submitted to CRO
for decision (Doc.OC0023E2, Issue No.77)
Criteria to apply Appendix 2, Rule 2(g)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:[Weight or essential character (CAN)][Weight or volume, as appropriate (US)][Value (EC)][Total value of parts and related processing activity (CH)]
[Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 159CHAPTER 96
Chapter Notes
1. [For the purposes of those rules of origin which refer to a ch ange of classification (i.e., change of heading or change of su bheading), the following
changes shall not confer origin:
a) changes which result from disassembly,    Basket 1
b) changes which result from packaging or repackaging, or   Basket 1
c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts that  are presented as
unassembled articles of another heading or subheading. (US)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR2(a), the origin of the goods shall be  the origin of individual parts
(IND)]      Submitted to CRO for decision (Doc.OC0031, Issue No.4; Doc.OC0029)
3. Sets:      Submitted to CRO for decision (Doc.OC0029)
[OPTION A:
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of origin of  the articles that confer
the essential character on the set as a whole;
4) In the event that neither 2) nor 3) is met, the country of origin shall be the single country in which the greatest number of  articles in the set were made.
(JPN)]
[OPTION B:
1) Putting articles up in sets shall not be considered as a substantial transformation;2) The country of origin of a set put up from articles that originate in more than one country shall be the single country in wh ich the greatest number
of articles in the set were made.G/RO/37/Add.3
Page 1603) In the event that neither 2) nor 3) is met, the country of orig in shall be the country of origin of the articles that confer the essential character on
the set as a whole; (US)]
[OPTION C:1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that orig inate in more than one country shall be the country of the artic le(s) representing the
highest value, the value of the articles having the same origin being taken together.  (EC)]
[Product specific] [Chapter] residual rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a
country of origin, the country of origin shall be determined as follows:
1. The country of origin of typewriter or similar ribbons of subheading 9612.10 shall be the country where the textile fabric wa s formed, or in the case of a
good containing textile fabrics of more than one country, the origin of the good is the country in which the textile fabric tha t predominates by weight was
formed.  (US)]    Submitted to CRO for decisi on (Doc.OC0023E2, Issue No.77)
Criteria to apply Appendix 2, Rule 2(g)
The criteria to determine the major portion of the materials as set forth in Appendix 2, Rule2(g) for this Chapter are:
[Weight or essential character (CAN)][Weight or volume, as appropriate (US)][Value (EC)][Total value of parts and related processing activity (CH)]
[Criteria to be left discretionary to each country (IND)]
CHAPTER 97
No Chapter NotesG/RO/37/Add.3
Page 161
WCO Doc. OC0035/1
UNRESOLVED ISSUES FOR DECISION BY THE
COMMITTEE ON RULES OF ORIGIN
AGREED RULES OF ORIGIN SUBMITTED BY
THE TECHNICAL COMMITTEE ON RULES OF ORIGIN
FOR ENDORSEMENT BY THE COMMITTEE ON RULES OF ORIGIN
ARE DESIGNATED AS “BASKET 1” IN THE ANNEX
CHAPTERS 91 to 9723
The Committee on Rules of Origin is invited to decide whether the products resulting from
processes described below have undergone their last substantial transformation.
ISSUE No. 1: ASSEMBLY OF MILITARY WEAPONS, FIREARMS AND RELATED DEVICES
FROM PARTS
OPTION A: Yes1. The assembly of military weapons and firearms from parts classified in heading 93.05 results
in substantial transformation of the parts and is or igin conferring.  The rule should be (CAN, US, CH,
MEX, JPN, PHI, TH):
CTH
OPTION B: Yes, provided2. The assembly of military weapons and firearms from parts is not considered substantial
transformation unless the assembly is accompanied  by the manufacture of one of the essential parts
of the mechanism.  The rule should be (EC):
CTH, with the exclusion of locks, breeches, breech boxes, frames or barrels of heading 93.05;
or assembly if accompanied by the production of at least one of the essential parts of the
mechanism (lock, breech, breech box, frame) or of the complete barrel.
RELEVANT HS CODES:  93.01 through 93.04ISSUE No. 2: PRODUCTION OF PARTS OF MILITARY WEAPONS AND FIREARMSOPTION A:3. The rule should be (CAN, US, MEX, EC, JPN, PHI):
CTH
                                                     
23 For Chapter 91, a previous Referral Document on product-specific rules was submitted as Doc.
41.610.  For Chapter 92, a previous Referral Document on product-specific rules was submitted as Doc. 41.841.This document supplements the previous documents by submitting chapter notes in Chapters 91 and 92.   ForChapters 93 to 97 this document is the first Referral.G/RO/37/Add.3
Page 162
OPTION B:
4. While substantial transformation is expressed for these goods by change of classification at
the heading level, the rule also needs to take account of the manufacture of parts from parts.  One such
instance is set out in Doc. 41.867, where the production of a positioning mount system using a
plunger cylinder classified in the same subheading (9305.90) is described.  This particular assemblyillustrates the need to take account of substantial transformations which take place without any change
in tariff classification.  The rule should be (CH):
CTH or change within subheading 9305.90
CH has indicated that this issue could be resolved if there is consensus on appropriate Chapter Notes
concerning assembly and the production of parts fr om sub-assemblies, as are being discussed for
Chapters 84-90.  Other delegations also expressed interest in this approach. (Sec.)
RELEVANT HS CODES:  9305.90ISSUE No. 3: PRODUCTION OF CARTRIDGES AND OTHER AMMUNITION FROM PARTS
THEREOF
OPTION A: Yes
5. The production of cartridges and ammunition using parts classified in the same heading is a
substantial transformation.  The rule should be (KOR):
CTH, and change within this heading from parts to articles
OPTION B: Yes, provided
6. The initial origin criterion for these goods should be change of tariff heading, under which the
change to goods from parts classified in the same he ading is not origin conferring.  However, origin is
conferred in the country in which the munition is loaded.  The rule should be (EC):
CTH; or loading the munition
OPTION C: No7. The production of munitions and cartridges from parts classified in the same heading is not
substantial transformation.  The rule should be (CAN, US, MEX, JPN, PHI):
CTH
RELEVANT HS CODES:  9306.10, 9306.21, 9306.29, 9306.30ISSUE No. 4: PRODUCTION OF BOMBS, GRENADES, TORPEDOES, MINES, MISSILES
AND SIMILAR MUNITIONS OF WAR FROM PARTS THEREOF
OPTION A: Yes8. The production of bombs, grenades, torpedoes, mines, missiles and similar munitions of war
from parts classified in the same subheading is a substantial transformation.  For subheading 9306.90the rule should be (US, IND, KOR, EGY, CAN, PHI):
CTSHSG/RO/37/Add.3
Page 163
OPTION B: Yes, provided
9. The principal origin criterion for these goods should be change of tariff heading.  There is no
such change which takes place as a result of the production of these goods from parts classified in the
same heading.  However, origin is conferred in  the country in which the munition is loaded; this
residual rule recognizes the production of munitions from parts provided that the operations includeloading the munition.  The rule should be (EC):
CTH; or loading the munition
EC indicated during the 13th Session th at it would consider joining Option A.
RELEVANT HS CODES:  9306.90ISSUE No. 5: PRODUCTION OF SWORDS, CUTLASSES, BAYONETS, ETC. FROM PARTS
CLASSIFIED IN THE SAME HEADING
OPTION A: Yes10. Parts classified in heading 93.07 undergo substantial transformation when used in the
production of swords, etc. of the same heading.  The rule should be (KOR) (TH):
CTH, or change within this heading from parts to articles.
OPTION B: No11. The change within heading 93.07 from parts to articles is not substantial transformation.  The
rule should be (EC) (US) (CAN) (PHI) (CH) :
CTH
RELEVANT HS CODES:  93.07
ISSUE No 6: ASSEMBLY OF FURNITUR E OF HEADINGS 94.01 AND 94.03 FROM PARTS
CLASSIFIED IN THE SAME HEADING
OPTION A: Yes12. The assembly of furniture from parts classified in the same headings is a substantial
transformation.  The rule should be (JPN, HK, MEX, KEN, PHI, US, CH):
CTH, or change from subheading 9401.90 (for heading 94.01)
CTH, or change from subheading 9403.90 (for heading 94.03)
or, with the same outcome for this issue,  CTSH (MOR, SG)
OPTION B: Yes, provided13. To properly take account of assemblies which might be too simple to amount to substantial
transformation, it is appropriate to make the change from parts to furniture conditional upon the
satisfaction of additional criteria.  The rule should be:G/RO/37/Add.3
Page 164
CTH, or change to subheadings 9401.10 through 9401.80 from 9401.90, and change to
subheadings 9403.10 through 9403.80 from 9403.90 provided that the relevant Chapter Note
on assembly is met. (CAN)
OPTION C: No
14. The change from parts of furniture to furniture is not substantial transformation.  The rule
should be:
CTH (TH, AUS)CTH, except from cushions and mattresses of heading 94.04 (EC) (COL)
The origin of the product shall be the count ry where the parts were manufactured (BRA)
RELEVANT HS CODES:  94.01, 94.03ISSUE No. 7: ASSEMBLY OF MEDICAL, SURGICAL, OR VETERINARY FURNITURE, OR
OF BARBERS’ CHAIRS FROM PARTS CLASSIFIED IN THE SAME HEADING
OPTION A: Yes15. The assembly of these furniture articles from parts is a substantial transformation.  The rule
should be (US, CH, PHI, SEN, COL, JPN, MEX):
CTHS (creating split heading)
OPTION B: Yes, provided16. As for headings 94.01 and 94.04, there is a risk that simple assemblies may take place.  It is
therefore appropriate to make the change from parts to goods conditional upon the satisfaction of
additional criteria.  The rule should be:
CTH, or change to goods from their parts provided that the relevant Chapter Note on
assembly is met.  (CAN)
OPTION C: No17. The change from parts to goods is not substantial transformation.  The rule should be:
CTH (TH, AUS, EC)
RELEVANT HS CODES:  94.02ISSUE No. 8: ASSEMBLY AND FINISHING OF ANTIQUE REPRODUCTION WOODEN
TABLES AND SEATS
OPTION A: Yes18. Antique reproduction tables are produced from raw wooden frames which undergo
extensive sanding, staining and lacquering.  A dom estically produced wooden or glass table top also
undergoes finishing, then the components are assembled.  The raw wooden frames undergo
substantial transformation without change of classification.  Antique reproduction wooden seats are
produced from raw wooden components and fabrics, foam, and hardware, and are extensively sandedG/RO/37/Add.3
Page 165
and lacquered followed by assembly.  For upholstered seats there is substantial transformation
accompanied by a change of tariff classification from subheading 9401.69 to 9401.61.  For seats not
upholstered there is substantial with no change of tariff classification.  The rule should be (SG):
CTSHS or added value criterion (for 9401.69 and 9403.60)
CTSH or added value criterion (for 9401.61) (MOR proposal for CTSH is in agreement for
this subheading)
OPTION B: No19. The operations described do not result in substantial transformation. The operations described
are finishing operations with only a small element of assembly.  The rule should be (JPN, MEX,KEN, PHI, US, CH, CAN, AUS, TH):
CTH/CTSH with no change within subheadingsCTH, except from mattresses and cushions of heading 94.04. (EC, SEN)The origin of the product shall be the country where the parts were manufactured. (BRA)
RELEVANT HS CODES:  ex9401.69(b), ex 9401.69(c), ex9403.60(a)
ISSUE NO. 9: PRODUCTION OF COMPLETELY KNOCKED-DOWN (CKD) WOODEN
SEATS, UPHOLSTERED AND OTHER
OPTION A: Yes
20. The production of CKD seats is an extensive process.  The raw wooden components for
frames are subject to drilling of the holes for joining, fitting of tenons for fastening, fitting of dowels,
and then undergo assembly into frames.  The assembled frames are sanded and prepared for staining
and polishing.  Sanding and staining are followed by the application of 3-5 coats of varnish.  Sanding
is carried out between coats of varnish.  Fabric, foam and plywood are cut to size to produce the seat.The finished frames and seats are packed in CKD form for assembly by the consumer.
21. The raw components without seat are substantially transformed are substantially transformed
into a complete furniture article comprising the fr ames and seat in CKD form ready to be assembled.
The finished products take on new characteristics and value from the inputs used.  The rule should be
(SG):
CTSH or added value (for 9401.61) (MOR proposal for CTSH is in agreement for this
subheading)
CTSHS or added value (for 9401.69)
OPTION B: No
22. The production of CKD seating from components does not result in substantial
transformation.  The operations described are finishing operations with only a small element ofassembly. The rule should be (JPN, ME X, KEN, PHI, US, CH, CAN, AUS, TH):
CTH/CTSH with no change within subheadingsG/RO/37/Add.3
Page 166
CTH, except from mattresses and cushions of heading 94.04. (EC, SEN)
The origin of the product shall be the country where the parts were manufactured. (BRA)
RELEVANT HS CODES:  9401.61, ex9401.69(a)
ISSUE No. 10:  PRODUCTION OF FURNITURE PARTS USING OTHER FURNITURE PARTS
OPTION A: Yes23. The production of furniture parts from other furniture parts (i.e., change between subheadings
9401.90 and 9403.90) is a substantial transformation.  The rule should be:
CTH  (CAN, CH, COL, MEX, US, PHI)
OPTION B: No24. Changes of tariff classification between parts for seating and parts for other furniture could
take place as a result of minor modifications with little or no manufacture.  It is therefore appropriate
to exclude such changes.  The rule should be:
CTH, except from 9403.90 (for 9401.90)(JPN)
CTH, except from 9401.90 (for 9403.90)(JPN)
CTH, except from 9403.90 and except from cushions or mattresses of heading 94.04 (for
9401.90) (AUS)
CTH, except from 9401.90 and except from cushions or mattresses of heading 94.04 (for
9403.90) (AUS)
CTH, except from mattresses and cushions of heading 94.04. (EC, SEN)
The origin of the product shall be the country where the parts were manufactured. (BRA)
RELEVANT HS CODES:  9401.90, 9403.90ISSUE No. 11: PRODUCTION OF FURNITURE AND FURNITURE PARTS USING CUSHIONS
AND MATTRESSES OF HEADING 94.04
OPTION A:  Yes
25. Cushions and mattresses of heading 94.04 undergo substantial transformation when used in
the production of furniture of headings 94.01 and 94.03.  The rule should be: (JPN, HK, MEX, KEN,
PHI, US, CH):
CTH, or change from subheading 9401.90 (for heading 94.01)CTH, or change from subheading 9403.90 (for heading 94.03)
or, with the same outcome for this issue,
CTSH (MOR, SG);  orG/RO/37/Add.3
Page 167
CTH, or change to subheadings 9401.10 through 9401.80 from 9401.90, and change to
subheadings 9403.10 through 9403.80 from 9403.90 provided that the relevant Chapter Note
on assembly is met. (CAN);  or
CTH (TH, AUS)
For parts classified in subheadings 9401.90 and 9303.90 AUS is aligned on Option B
OPTION B: No26. Cushions and mattresses of heading 94.04 do not undergo substantial transformation when
used in the production of furniture of headings 94.01 and 94.03.  The rule should be (EC, SEN):
CTH, except from mattresses and cushions of heading 94.04.
AUS would apply the same exclusion but only for parts classified in subheadings 9401.90 and
9403.90.
RELEVANT HS CODES:  94.01, 94.03
ISSUE No 12: PRODUCTION OF LAMPS AND LIGHTING FITTINGS FROM PARTSOPTION A: Yes27. The production of lamps and lighting fittings using materials classified anywhere within the
heading is substantial transformation.  The rule should be (JPN, HK, US, PHI, TH, MOR, MEX):
CTSH
OPTION B: Yes, provided28. The change from parts to lamps and lighting fi ttings may entail simple assemblies.  It is
appropriate to make such changes conditional upon the satisfaction of additional criteria.  The ruleshould be:
CTH, or change to subheadings 9405.10 through 9405.60 from subheadings 9405.91 through
9405.99 provided that the relevant Chapter Note on assembly is met. (CAN, SEN) or
OPTION C: No
29. The production of lamps and lighting fittings using parts or other goods classified within
heading 94.05 does not result in substantial transfor mation.  The rule should be (COL, CH, AUS, EC):
CTH
RELEVANT HS CODES:  9405.10 THROUGH 9405.60
ISSUE No. 13:  ASSEMBLY OF  WHEELED TOYS FROM PARTS
OPTION A: Yes30. The assembly of wheeled toys of heading 95.01 using parts classified in the heading results in
substantial transformation.  The rule should be (CAN, US, CH, HK, MOR):G/RO/37/Add.3
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CTHS
OPTION B: No31. Assembly of these parts does not result in substantial transformation.  The rule should be:
CTH (JPN, EC, TH,  KOR, SEN) or
CC (MEX)
RELEVANT HS CODES:  95.01ISSUE No. 14:  ASSEMBLY OF DOLLS FROM PARTS AND ACCESSORIES
OPTION A: Yes32. The assembly of dolls from parts and accessories classified in subheadings 9502.91 and
9502.99 is a substantial transformation.  The rule should be:
CTSH (CAN, PHI, US, TH, HK, MOR)
OPTION B: No
33. Substantial transformation does not take place when dolls are assembled from parts and
accessories of dolls.  The rule should be:
CTH (CH, SEN)
CTH, except from 9503.41 or 9503.49 (EC, BRA)
CTH, except from 9503.41, 9503.49, 61.11 or 62.09 (JPN)CTH, except from 9503.41, 9503.49 or 9503.90
CTSH, except from parts of stuffed dolls (MEX) ( proposal may agree partly with Option A.
(Sec.)
RELEVANT HS CODES:  9502.10ISSUE No. 15: ASSEMBLY OF TOYS AND PARTS OF TOYS USING PARTS CLASSIFIED IN
HEADING 95.03
OPTION A: Yes34. The rules should recognize the assembly of toys from identifiable parts also classified in this
heading as a substantial transformation.  The ru le should be (US, HK, MOR, PHI, TH, MEX):
CTHS from ex 95.03(e) and
CTH or change within ex 95.03(e) as a result of assembly (for parts)
OPTION B: Yes, providedG/RO/37/Add.3
Page 169
35. Many assemblies of goods of heading 95.03 result in substantial transformation.  However, to
account for some assembly operations which may be too simple to result in substantial transformation,
origin should be conferred only if criteria for assembly are met.  The rule should be (CAN):
CTH, or change from parts provided that the Chapter Note on assembly is met.
OPTION C: No
36. Changes from parts of toys to toys are not considered substantial transformation.  No change
within heading 95.03 is considered to be origin conferring.  The rule should be:
CTH (CH, SEN)CTH with exclusions (EC, JPN, KOR)
RELEVANT HS CODES:  95.03
ISSUE No. 16: PRODUCTION OF TOYS AND ACCESSORIES USING GOODS OF OTHER
HEADINGS - CHANGE OF USE
OPTION A:  Yes (goods of other headings not excluded)
37. The use of goods classified outside heading 95.03 is permissible.  (CAN, US, CH, SEN, HK,
MOR, MEX, PHI, TH)
OPTION B: No (exclusions are necessary)
38. For some toys there is a need to ensure that origin is not conferred by the mere adaptation of
certain goods for use as toys.  Specifically:
- No change from dolls, parts of dolls or dolls’ accessories to toys representing animals or non-
human creatures of ex 95.03(b).  The rule should be:
CTH except from 95.02 (EC, JPN, KOR)
and except from children's apparel of 61.11 or 62.09 (JPN, KOR)
- No change from musical instruments to toy musical instruments and apparatus of ex 95.03(c).
The rule should be:
CTH, except from 92.01 to 92.09 (EC)
- No change from sporting goods of 95.06 to other toy articles of ex 95.03(d).  The rule should
be:
CTH, except from 9506.31 through 9506.91 (EC); and
- No change from dolls or parts or accessories thereof or from children's apparel to parts and
accessories of toys of ex 95.03(e).  The rule should be:
CTH, except from 95.02 or 61.11 or 62.09.
RELEVANT HS CODES:  ex 95.03(a), ex 95.03(b), ex 95.03(c), ex 95.03(d), ex 95.03(e)ISSUE No. 17:  ORIGIN CRITERIA FOR TOYS PUT UP IN SETS OF HEADING 95.03Addressed under overall architecture.  (See Referral Doc. OC0029) (Sec.)G/RO/37/Add.3
Page 170
ISSUE No. 18: ASSEMBLY OF GOODS OF HEADINGS 95.04 AND 95.05 USING PARTS
CLASSIFIED IN THE RESPECTIVE HEADINGS
OPTION A: Yes
39. Splits of the respective headings are proposed in  order to lay down a rule to provide that the
change from parts to goods is origin conferring.  The parts identified in the corresponding split
headings are substantially transformed if there is a change within the split heading as a result of
assembly.  The rule should be (US, HK, CH, MOR):
CTHS for goods; CTH or change within split heading as a result of assembly for parts
OPTION B: Yes, provided
40. The assembly of goods from parts may be a substantial transformation.  Origin is conferred if,
in accordance with a Chapter Note, the change from parts satisfies one or more supplementary
requirements.  The rule should be (CAN):
CTSH or change from parts provided the relevant Chapter Note on assembly is met.
OPTION C: No
41. For these goods the assembly of the goods from parts classified within the headings is not
substantial transformation.  The rule should be:
CTH (JPN, EC)
CTSH (MEX, PHI, TH)
RELEVANT HS CODES:  95.04, 95.05ISSUE No. 19:  ASSEMBLY OF GOLF CLUBS FROM PARTSOPTION A: Yes42. The assembly of golf clubs from parts classified in the adjacent subheading results in
substantial transformation of the parts.  The rule should be (PHI, MEX, TH):
CTSH
OPTION B: Yes, provided43. The assembly of golf clubs from golf club parts does not result in substantial transformation
unless supplementary requirements are satisfied.  The rule should be:
CTSH, except from 9506.39; or change from 9506.39 provided that the relevant Chapter Note
on assembly is met. (CAN)
CTHS, provided that either the head or the shaft is originating in the country of assembly.
(US)G/RO/37/Add.3
Page 171
OPTION C: No
44. The assembly of golf clubs from golf club parts does not result in substantial transformation.
The rule should be (CH, JPN, EC):
CTH
RELEVANT HS CODES:  9506.31, ex 95.06(a)ISSUE No. 20: ASSEMBLY OF ARTICLES AND EQUIPMENT OF HEADING 95.06 FROM
PARTS
OPTION A: Yes45. Split of the heading is proposed in order to lay down a rule to provide that the change from
parts to goods is origin conferring. The rule should be (US, MOR, HK):
CTHS
OPTION B: Yes, provided46. The assembly of goods from parts may be a substantial transformation.  Origin is conferred if,
in accordance with a Chapter Note, the change from parts satisfies one or more supplementaryrequirements.  The rule should be (CAN):
CTSH or change from parts provided the relevant Chapter Note on assembly is met.
OPTION C: No47. The change from parts of this heading to goods of this heading does not reflect substantial
transformation.  The rule should be:
CTH (CH, JPN, EC):CTSH (PHI, MEX, TH)The results of a rule of CTSH are that origin is sometimes conferred by the assembly of parts
and sometimes it is not.  This is because generally the identifiable parts of the goods of heading 95.06
are classified in the same subheadings.  At the same time some goods, such as ski bindings, would
constitute parts depending upon the understanding of what constitutes a part. (Sec.)
RELEVANT HS CODES:  95.06ISSUE No. 21: MANUFACTURE OF ARTICLES FROM WORKED ANIMAL, VEGETABLE OR
MINERAL CARVING MATERIALS
OPTION A: Yes48. Substantial transformation takes place when the worked carving materials of headings 96.01
and 96.02 are used to make finished articles.  The rule should be (EC, JPN, US, CH, MEX):
CTSHS (for ex 9601.10(b) and ex 9601.90(b)G/RO/37/Add.3
Page 172
CTHS (for ex 96.02(b).  JPN proposes the additional condition, “except when it results only
from cutting in a straight line and the obtain ed goods still maintain the shape of their
materials.”
OPTION B: No
49. There is no substantial transformation when worked carving materials are made into articles
of the same headings.  The rule should be (CAN, TH):
CTHCAN indicated that it would review its position with a view towards joining Option A.
RELEVANT HS CODES:  96.01, 96.02
ISSUE No. 22: MAKING UP OF TRAVEL SETS FOR PERSONAL TOILET, SEWING OR SHOE
OR CLOTHES CLEANING
Addressed under overall architecture.  (See Referral Doc. OC0029) (Sec.)
ISSUE No. 23:  PRODUCTION OF SLIDE FASTENERS FROM IDENTIFIABLE PARTS
OPTION A: Yes50. The assembly of slide fasteners from identifiable parts classified in subheading 9607.20 is a
substantial transformation.  The detailed justification is set out in Technical File 41.442 (Sec.).   The
rule should be (MEX, US, CH, MOR):
CTSH
OPTION B: Yes, provided51. To ensure that the assembly of slide fasteners from parts is more than a simple assembly in a
given case, it is appropriate to lay down additional conditions.  It is contemplated that a Chapter Note
on assembly might specify that the assembly must in volve the putting together of three or more parts.
The rule should be:
CTH, or change to subheadings 9607.11 and 9607.19 from 9607.20, provided that the relevant
Chapter Note on assembly is met. (CAN)
OPTION C: No
52. The assembly of slide fasteners from identifiable parts does not result in substantial
transformation.  The rule should be (EC, JPN, PHI, KOR):
CTH
CTH and Residual Rule based on the origin of the slider (KOR)
RELEVANT HS CODES:  9607.11, 9607.19G/RO/37/Add.3
Page 173
ISSUE No 24:  ASSEMBLY OF BALL POINT, FELT TIPPED, FOUNTAIN, STYLOGRAPH AND
OTHER PENS FROM IDENTIFIABLE PARTS
OPTION A: Yes53. For the pens of heading 96.08 some of the identifiable parts, such as nibs and refills, are
classified in other subheadings of the heading.  The assemblies involving the use of such parts may be
expressed as “CTSH”.  However, numerous other parts, such as barrels, caps and mechanisms are
classifiable within the subheadings for the articles themselves.  Moreover, the assembly operations
involve numerous machining and working operations in addition to the assembly of parts.  For this
reason, it is appropriate to lay down a rule to provide that changes within the respective subheadings
resulting from assembly is origin conferring.  These operations are set out in Technical File 41.711
(Sec.).  The rule should be (CH, TH):
CTSH, or change within the subheading resulting from the assembly of pens from parts.
(excluding india ink drawing pens of 9608.31)
OPTION B: Yes54. The assembly of pens using identifiable parts classified in other subheadings of heading 96.08
results in substantial transformation.  The rule should be:
CTSH (PHI, MOR)(CAN, US, for 9608.31, 9608.39, 9608.40)
OPTION C: Yes, provided55. A ball point pen refill does not undergo substantial transformation when used in the assembly
of a ball point pen.  The same principle applies for felt tipped pens and for india ink drawing pens.The rule should be (MEX)
CTSH, except from subheading 9608.60 (KOR, CAN, US for 9608.10, 9608.20)
OPTION D: No56. The assembly of pens from identifiable parts does not result in substantial transformation.
The rule should be:
CTH (JPN, EC) (CH, for 9608.31)
RELEVANT HS CODES:  9608.10, 9608.20, 9608.31, 9608.39, 9608.40ISSUE No. 25:  ORIGIN CRITERIA FOR PEN AND PENCIL SETS
Addressed under overall architecture.  (See Referral Doc. OC0029) (Sec.)
ISSUE No. 26:  ORIGIN CRITERIA FOR REFILLS, NIBS, AND OTHER PARTS
OPTION A: CTSH (CAN, MEX , TH, MOR)OPTION B: CTH (CH, JPN, US, EC)RELEVANT HS CODES:  9608.60, 9608.91, 9608.99ISSUE No. 27:  PRODUCTION OF PENCILS FROM PENCIL LEADSG/RO/37/Add.3
Page 174
OPTION A: Yes
57. The manufacture of pencils from pencil leads results in substantial transformation.  The rule
should be (CAN, MEX, US, PHI, MOR, TH):
CTSH
OPTION B: Yes58. Not only does the production of pencils from leads result in substantial transformation, but so
does the production of finished pencils from unfinished units (blanks), normally imported ready for
cutting to length and finishing of the outer shapes.  The rule should be (KOR):
CTSHS
OPTION C: No
59. The production of pencils from pencil leads does not result in substantial transformation. The
rule should be (CH, JPN, EC)
CTH
RELEVANT HS CODES:  9609.10
ISSUE No. 2 :  ASSEMBLY OF CIGARETTE AND OTHER LIGHTERS FROM PARTSOPTION A: Yes60. The assembly of lighters from parts results in substantial transformation.  The rule should be:
CTSH (US, PHI, CAN, MOR, MEX)(CAN and MEX proposal to exclude changes between
non-refillable and refillable lighters of 9613.10 and 9613.20)
OPTION B: No61. The assembly of identifiable parts, e.g., outer casings, mill-edged wheels, reservoirs, does not
result in substantial transformation.  Th e rule should be (JPN, CH, EC, KOR):
CTH
RELEVANT HS CODES:  9613.10, 9613.20, 9613.30, 9613.80ISSUE No. 29: PRODUCTION OF PIPES AND PIPE BOWLS FROM ROUGHLY SHAPED
BLOCKS OF WOOD OR ROOT
OPTION A: Yes62. The manufacture of pipes and pipe bowls from roughly shaped blocks involves extensive
working and shaping which is considered to result in  substantial transformation.  the rule should be:
CTSHS (EC, CAN, US, CH, MEX, SEN)
OPTION B: NoG/RO/37/Add.3
Page 175
63. Substantial transformation does not take place as a result of the working of roughly shaped
blocks to produce pipes and pipe bowls.  The rule should be:
CTH (JPN, TH)
RELEVANT HS CODES:  9614.20(b)
ISSUE No. 30:  ORIGIN CRITERIA FOR SETS CLASSIFIED IN SUBHEADING 9614.90
Addressed under overall architecture.  (See Referral Doc. OC0029) (Sec.)
ISSUE No. 31: ASSEMBLY OF HAIRPINS, CURL ING PINS, CURLING GRIPS, HAIRCURLERS
AND THE LIKE, OTHER THAN THOSE OF HEADING 85.16
OPTION A: Yes, provided64. These assemblies may result in substantia l transformation.  The rule should be (CAN):
CTSHS, provided that the relevant Chapter Note on assembly is met.
OPTION B: No
65. There is no substantial transformation.  Most of the relevant parts are classified outside the
heading, while the assembly of any parts classified inside the heading is not likely or would be too
insignificant to be origin conferring.  The rule should be (TH, US):
CTH
RELEVANT HS CODES:  9615.90 (a)
ISSUE No. 32: ASSEMBLY OF VACUUM FLASKS AND OTHER VACUUM VESSELS FROM
IDENTIFIABLE PARTS
OPTION A:
66. Vacuum flasks are produced using both metal and glass inners.  A rule of CTH would allow
origin to be conferred if a metal inner is used, but not if the inner is of glass.  In order to recognize the
assembly of vacuum flasks using glass inners classified in this heading, which is a substantialtransformation, the rule should be (CAN, KOR, SEN, US, MOR):
CTHS
OPTION B:
67. The assembly of such parts does not result in substantial transformation.  The rule should be
(JPN, EC, TH):
CTH
RELEVANT HS CODES:  ex 96.17(a)G/RO/37/Add.3
Page 176
RULES OF ORIGIN RELATING TO UNRESOLVED ISSUES
SUBMITTED BY THE TECHNICAL COMMITTEE ON RULES OF ORIGIN
FOR DECISION BY THE COMMITTEE ON RULES OF ORIGIN;
AGREED RULES OF ORIGIN SUBMITTED BY THE
TECHNICAL COMMITTEE ON RULES OF ORIGIN
FOR ENDORSEMENT BY THE COMMITTEE ON RULES OF ORIGIN
– DESIGNATED AS “BASKET 1”.G/RO/37/Add.3
Page 177Chapter 91
Clocks and watche s and parts thereof
 Chapter Notes
 
Disassembly operations, including those which result in a change of tariff classification, shall not be considered origin confe rring. Basket 1  (Endorsed by CRO)
(See Doc. OC0029, Issue No. 11 on rules of application)
[Chapter Residual Rules
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a country
of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of heading 91.13 that contain textile fabric or other textile material shall be the country wh ere the textile fabric or other
material was formed, or in the case of a good containing textile materials of more than one country,  the origin of the good is  the country in which the
textile fabric or other textile material that predominat es by weight was formed.  (US)]  (Referral Doc.OC0023E1)
 
 G/RO/37/Add.3
Page 178
HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
91.01 Wrist-watches, pocket-watches
and other watches, includingstop-watches, with case ofprecious metal or of metal clad
with precious metal. [ CTH ]
 [ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.02 Wrist-watches, pocket-watches
and other watches, includingstop-watches, other than those
of heading No. 91.01.[ CTH ]
[ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.03Clocks with watch
movements, excluding clocksof heading No. 91.04.[ CTH ]
 [ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.04 Instrument panel clocks and
clocks of a similar type for
vehicles aircraft, spacecraft or
vessels.[ CTH ]
[ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.05 Other clocks. [ CTH ]
[ CTH, except from heading 91.08 or 91.09]Submitted to the CRO for decision (Doc.
41.610)G/RO/37/Add.3
Page 179HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
91.06Time of day recording
apparatus and apparatus formeasuring, recording orotherwise indicating intervals oftime, with clock or watch
movement or with synchronous
motor (for example, time-
registers, time-recorders).[ CTH ]
 [ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.07 Time switches with clock or
watch movement or withsynchronous motor.[ CTH ]
[ CTH, except from heading 91.08 or 91.09 ]Submitted to the CRO for decision (Doc.
41.610)
91.08 Watch movements, complete
and assembled.[ CTH ]
[ CTH, except from ex 91.10 (b) ]
[CTH,  except from ex 91.10 (b) or ex 91.10 (c)]Submitted to the CRO for decision (Doc.
41.610)
91.09 Clock movements, complete
and assembled.[ CTH ]
[ CTH, except from ex 91.10 (b) ][CTH,  except from ex 91.10 (b) or ex 91.10 (c)]Submitted to the CRO for decision (Doc.
41.610)
91.10 Complete watch or clock
movements, unassembled orpartly assembled (movementsets); incomplete watch or clockmovements, assembled; rough
watch or clock movements.As indicated for split heading
ex  91.10 (a) Complete watch or clock
movements, unassembled; rough
watch or clock movementsCTH except from heading 91.14 Basket 1 (Endorsed by CRO)G/RO/37/Add.3
Page 180HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
ex  91.10 (b) [Complete watch or clock
movements, partly assembled and
incomplete watch or clock
movements, assembled,
containing at least two of the
following components on a
common support: time reference
device, device for converting the
time reference for purposes of
display, time setting mechanism
or opto-electronic display ]
[Complete watch or clock
movements, partly assembled and
incomplete watch or clock
movements, assembled, the
foregoing being movements for
which all of the following
components, as appropriate, are
on a common support: time
reference device, device for
converting the time reference for
purposes of display, time setting
mechanism or opto-electronic
display ]    CTH ; or
     Change from ex - 91.10 (a), Submitted to the CRO for decision (Doc.
41.610)
ex  91.10 (c) Other   CTH, except from heading 91.14Basket 1 (Endorsed by CRO)
91.11 Watch cases and parts thereof.   As specified for subheadings
9111.10 -Cases of precious metal or of
metal clad with precious
metal  [ CTH ]
  [ CTH or change from blanks to finished goods
classified in the same subheading ]
  [ CTSH ]Submitted to the CRO for decision (Doc.
41.610)G/RO/37/Add.3
Page 181HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
9111.20 -Cases of base metal, whether or
not gold- or silver-plated   [ CTH ]
   [ CTH or change from blanks to finished
goods classified in the same subheading ]
    [ CTSH ]Submitted to the CRO for decision (Doc.
41.610)
9111.80 -Other cases  [ CTH ]
 [ CTH or change from blanks to finished goods
classified in the same subheading ]
  [ CTSH ]Submitted to the CRO for decision (Doc.
41.610)
9111.90 -Parts   CTH Basket 1 (Endorsed by CRO)
91.12 Clock cases and cases of a
similar type for other goods of
this Chapter, and parts thereof.As specified for subheadings.
9112.10 -Cases of metal    [ CTH ]
   [ CTH or change from blanks to finished
goods classified in the same subheading ]
    [ CTSH ]Submitted to the CRO for decision (Doc.
41.610)
9112.80 -Other cases     [ CTH ]
    [ CTH or change from blanks to finished
goods classified in the same subheading ]
    [ CTSH ]Submitted to the CRO for decision (Doc.
41.610)G/RO/37/Add.3
Page 182HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
9112.90 -Parts      CTH Basket 1 (Endorsed by CRO)
91.13 Watch straps, watch bands and
watch bracelets, and parts
thereof.As specified for subheadings.
9113.10 -Of precious metal or of metal
clad with precious metal [ CTH ]
 [ CTH or change from blanks to finished goods
classified in the same subheading ]
  [ CTH or change from parts to finished goods
classified in the same subheading ]Submitted to the CRO for decision (Doc.
41.610)
9113.20 -Of base metal, whether or not
gold- or silver-plated    [ CTH ]
    [ CTH or change from blanks to finished
goods classified in the same subheading ]
    [ CTH or change from parts to finished goods
classified in the same subheading ]Submitted to the CRO for decision (Doc.
41.610)
9113.90 -Other As indicated for split subheading
ex9113.90 (a) Watch straps, bands, etc.,
assembled[ CTH ]
[ CTH,  provided the goods are fully
assembled in one country ]Submitted to the CRO for decision (Doc.
41.610)
See Doc. OC0023G/RO/37/Add.3
Page 183HS Code
NumberDescription of Goods Origin Criteria Notes Comments
AB C D E
ex9113.90 (b) Watch straps, bands, etc., not
assembled [ CTH ]
 [ CTH, except from headings 50.07, 51.11
through 51.13, 52.08 through 52.12, 53.09
through 53.11, 54.07 through 54.08, 55.12through 55.16, 56.03, 58.01 through 58.02,58.06, 58.09, 59.03, 59.06 through 59.07,60.01 through 60.02 and from subheading
6307.90 ]Submitted to the CRO for decision (Doc.
41.610)
See Doc. OC0023
91.14 Other clock or watch parts.    [ CTH ]
    [ CTH or change from blanks to finished
goods classified in the same subheadings ]Submitted to the CRO for decision (Doc.
41.610)G/RO/37/Add.3
Page 184CHAPTER 92
 
 
 Chapter Legal Notes
 
 1. For the purposes of  those rules of origin which refer to a chan ge of classification (i.e. change  of heading or change of sub heading), the following changes shall
not confer origin:
 
 a) changes which result from disassembly. (Basket 1)
 b) changes which result from packaging or repackaging, or ( Basket 1)
[c) changes which result solely from  application of General Rule of Interpretation 2 (a) with respect to collections of parts t hat are presented as
unassembled articles of another heading or s ubheading. (US) ]   (Referral Doc.OC0029E1)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR2(a), the origin of the goods shall be  the origin of individual parts
(IND)] (Referral Doc.OC0029E1)
[Chapter Residual Rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a country
of origin, the country of origin shall be determined as follows:
1. Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or similar p arts of plastic (Chapter 39))
shall have origin in the country of assembly.
2. Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV of the  HS or similar parts of
plastic (Chapter 39)), and one or more of whose parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)) satisfies the requirements for origin in th e country of assembly, shall have origin in the country of ass embly.
3. For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
(a) the attachment of parts of general use (defined in Note 2 to Section XV of the HS);
(b) the attachment of handles, dials, knobs, hand cranks and other consumer-operated controls;
(c) installation of batteries, accumulators or other articles not designed to become a permanent part of the good, or
(d) the attachment of accessories or parts which serve only to enhance the operation of the good. (US)]
 G/RO/37/Add.3
Page 185 [Criteria for Residual Rules
 
 Weight or essential character (CAN)
 Weight or volume, as appropriate (US)
 Value (EC)
 Total value of parts and related processing activity (CH)
Criteria to be left discretionary to each country (IND)]
 
 
 
 G/RO/37/Add.3
Page 186CHAPTER 92
HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C DE
Chapter 92 Musical instruments;  parts and accessories
of such articlesAs indicated at heading level
92.01 Pianos, including automatic pianos;
harpsichords and other keyboard stringed
instruments.[ CTH ]
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working and
processing and if applicable theincorporation of parts originating in thecountry of manufacture represents at least 45
% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)
92.02 Other string musical instruments (for
example, guitars, violins, harps).[ CTH ]
[CTH except from 92.09 ;or
 Manufacture where the increase in value
acquired as a result of working andprocessing and if applicable theincorporation of parts originating in thecountry of manufacture represents at least 45
% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)
92.03 Keyboard pipe organs; harmoniums and
similar keyboard instruments with freemetal reeds.[ CTH ]
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working andprocessing and if applicable the
incorporation of parts originating in the
country of manufacture represents at least 45% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)
92.04 Accordions and similar instruments; mouth
organs.[ CTH ]Submitted to CRO for decision (Doc. 41.841)G/RO/37/Add.3
Page 187HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C DE
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working and
processing and if applicable theincorporation of parts originating in thecountry of manufacture represents at least 45
% of the ex-works price of the product ]
92.05 Other wind musical instruments (for
example, clarinets, trumpets, bagpipes).[ CTH ]
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working andprocessing and if applicable theincorporation of parts originating in thecountry of manufacture represents at least 45
% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)
92.06 Percussion musical instruments (for
example, drums, xylophones, cymbals,castanets, maracas).[ CTH ]
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working andprocessing and if applicable the
incorporation of parts originating in the
country of manufacture represents at least 45% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)
92.07 Musical instruments, the sound of which is
produced, or must be amplified, electrically
(for example, organs,  guitars, accordions).[ CTH ]
[CTH except from 92.09 ;or
Manufacture where the increase in value
acquired as a result of working and
processing and if applicable theincorporation of parts originating in thecountry of manufacture represents at least 45
% of the ex-works price of the product ]Submitted to CRO for decision (Doc. 41.841)G/RO/37/Add.3
Page 188HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C DE
92.08 Musical boxes, fairground organs,
mechanical street organs, mechanical
singing birds, musical saws and other
musical instruments not falling within anyother heading of this Chapter; decoy calls ofall kinds; whistles, call horns and other
mouth-blown sound signalling instruments.[ CTH ]
[CTH except from 92.09 ;or Manufacture
where the increase in value acquired as aresult of working and processing and ifapplicable the incorporation of partsoriginating in the country of manufacture
represents at least 45 % of the ex-works price
of the product ]Submitted to CRO for decision (Doc. 41.841)
92.09 Parts (for example, mechanisms for musical
boxes) and accessories (for example, cards,discs and rolls for mechanical instruments)
of musical instruments; metronomes, tuning
forks and pitch pipes of all kinds.CTHBasket 1 (Endorsed by CRO)
9209.10 - Metronomes, tuning forks and pitch pipes As specified for heading
9209.20 - Mechanisms for musical boxes
9209.30 - Musical instrument strings As specified for heading
-O t h e r  :
9209.91 -- Parts and accessories for pianos
9209.93 -- Parts and accessories for the musical
instruments of heading No. 92.03
9209.94 -- Parts and accessories for the musical
instruments of heading No. 92.07
9209.99 -- Other
9209.92 -- Parts and accessories for the musical
instruments of heading No. 92.02G/RO/37/Add.3
Page 189 CHAPTER 93
 
 
 Chapter Notes
 
 1. For the purposes of those rules of origin which refer to a chan ge of classification (i.e., change of heading or change of sub heading), the  following changes
shall not confer origin:
 
 (a) changes which result from disassembly, (Basket 1)
 (b) changes which result from packaging or repackaging, or (Basket 1)
[(c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts t hat are presented as
unassembled articles of another heading or subheading. (US)] (Referral Doc.OC0029E1)
 
 2. [For collection of parts merely put together that do not sati sfy the requirement of GIR2(a), the origin of the goods shall be  the origin of individual parts
(IND)] (Referral Doc.OC0029E1)
 
 3. [Whenever the change of classification rules set out for goods of chapters 84 to 90 and 93 are not determinant of the country  of origin of the good, the
following substantial transformation rules are to be applied :
 (1) A finished good or part produced from a non-originating unfinis hed good or part classified in the same heading or subheading  as the finished good or
part shall originate in the country in which the good or part was finished, provided:
 
 (i) the unfinished good or part is not functioning for its ultimate use in its imported condition and has undergone two or more of the following
processes:
 
• assembly by built-up such as but not limited to welding, solderin g, shrinking, bolting, glueing, fitting, fixing, spooling, win ding, connecting,
wiring, coupling; or
 
• heat treatment or thermochemical treatment such as glowing, tempering, hardening; or
 
• treatment for the purpose of shaping, form ing such as cold or warm forming; or
 
• mechanical treatment, refining of form-, positional- and surface to lerances of functional finished shapes such as turning, mill ing, drilling,
broaching, grinding, polishing, honing, eroding; or
 
• surface treatment such as coating, compressing, condensing, im pregnating (excluding temporary conservation for transport and/or  storage
purpose), insulating; orG/RO/37/Add.3
Page 190 
• system engineering, software-development and application;
and
(ii) The finished good or part has undergone final testing such as but not limited to balancing, spinning, voltage testing, perf ormance- or isolation
test.
(2) A finished good or part, produced from a non-originating good or part, classified in the same subdivision as the finished go od or part which do not
satisfy the conditions mentioned in Rule 3 (1) above shall origin ate in the country contributing most to the product in terms o f total value of parts
(including an unfinished good) and related processing activities.” (CH)]  (Referral Doc.OC0031)
 [Chapter Residual Rules
[When application of the primary rules of this chapter (includi ng the product specific rules provided in the matrix) does not r esult in a determination of a country
of origin, the country of origin shall be determined as follows:
1. Goods produced by assembly of 5 or more parts (other than parts of general use, as defined in Note 2 to Section XV or similar  parts of plastic (Chapter
39)) shall have origin in the country of assembly.
2. Goods produced by the assembly of less than 5 parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)), and one or more of whose parts (other than parts of general use, as defined in Note 2 to Section XV of t he HS or similar parts of
plastic (Chapter 39)) satisfies the requirements for origin in th e country of assembly, shall have origin in the country of ass embly.
3. For purposes of the subparagraphs 1 and 2 above, the following shall not be considered origin conferring operations:
(a) the attachment of parts of general use (defined in Note 2 to Section XV of the HS);
(b) the attachment of handles, dials, knobs, hand cranks and other consumer-operated controls;
(c) installation of batteries, accumulators or other articles not designed to become a permanent part of the good, or(d) the attachment of accessories or parts which serve only to enhance the operation of the good. (US)]
 [Criteria for Residual Rules
 Weight or essential character (CAN)
 Weight or volume, as appropriate (US)
 Value (EC)
 Total value of parts and related processing activity (CH)
Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 191CHAPTER 93
HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
Chapter 93 Arms and ammunition; parts and
accessories thereofAs indicated at heading level
93.01 Military weapons, other than revolvers,
pistols and the arms of heading No.93.07.[CTH (CAN) (US) (CH) (MEX) (JPN) (PHI)
(TH)]
[CTH, with the exclusion of locks, breeches,
breech boxes, frames or barrels of heading9305; or  assembly, accompanied by theproduction of at least one of the essential
parts of the mechanism (lock, breech, breech
box, frame) or of the complete barrel (EC)]Submitted to CRO for decision
Issue N°1
93.02 Revolvers and pistols, other than those of
heading No. 93.03 or 93.04.[CTH (CAN) (US) (CH) (MEX) (JPN) (PHI)
(TH)]
[CTH, with the exclusion of locks, breeches,
breech boxes, frames or barrels of heading9305; or  assembly, accompanied by the
production of at least one of the essential
parts of the mechanism (lock, breech, breechbox, frame) or of the complete barrel (EC)]Submitted to CRO for decision
Issue N°1
93.03 Other firearms and similar devices
which operate by the firing of anexplosive charge (for example, sportingshotguns and rifles, muzzle-loading
firearms, Very pistols and other devices
designed to project only signal flares,pistols and revolvers for firing blankammunition, captive-bolt humane killers,
line-throwing guns).[CTH (CAN) (US) (CH) (MEX) (JPN) (PHI)
(TH)]
[CTH, with the exclusion of locks, breeches,
breech boxes, frames or barrels of heading
9305; or  assembly, accompanied by the
production of at least one of the essentialparts of the mechanism (lock, breech, breech
box, frame) or of the complete barrel (EC)]Submitted to CRO for decision
Issue N°1G/RO/37/Add.3
Page 192HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
93.04 Other arms (for example, spring, air or
gas guns and pistols, truncheons),
excluding those of heading No. 93.07.[ CTH (CAN) (US) (CH) (MEX) (JPN)
(PHI) (TH) ]
[CTH, with the exclusion of locks, breeches,
breech boxes, frames or barrels of heading9305; or  assembly, accompanied by theproduction of at least one of the essentialparts of the mechanism (lock, breech, breech
box, frame) or of the complete barrel (EC)]Submitted to CRO for decision
Issue N°1
93.05 Parts and accessories of articles of
headings Nos. 93.01 to  93.04.[CTH (CAN) (US) (MEX) (EC) (JPN)
(PHI)]Submitted to CRO  for decision
See doc. 41.867 (CH)
Issue N° 2
[CTH and change within 9305.90(CH)]
9305.10
9305.21
9305.299305.90- Of revolvers or pistols
-Of shotguns or rifles of heading No.
93.03:
-- Shotgun barrels-- Other- Otheras indicated at  the heading levelG/RO/37/Add.3
Page 193HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
93.06 Bombs, grenades, torpedoes, mines,
missiles and similar munitions of war
and parts thereof; ca rtridges and other
ammunition and projectiles and partsthereof, including sh ot and cartridge
wads.As indicated at the subheading level
9306.10 - Cartridges for riveting or similar tools or
for captive-bolt humane killers and parts
thereof[CTH. (CAN) (US) (MEX) (EC) (JPN)
(PHI)]
[CTH; or loading the munition (EC)][CTH , or change within this heading from
parts to articles. (KOR)]Submitted to CRO for decision
Issue N° 3
- Shotgun cartridges and parts thereof; air
gun pellets
9306.21 -- Cartridges [CTH (CAN) (US) (MEX) (JPN) (PHI)]
[CTH; or loading the munition (EC)][CTH, or change within this heading from
parts to articles. (KOR)]Submitted to CRO for decision
Issue N° 3
9306.29 -- Other [CTH (CAN) (US) (MEX) (JPN) (PHI)]
[CTH; or loading the munition (EC)][CTH, or change within this heading from
parts to articles. (KOR)]Submitted to CRO for decision
Issue N° 3
9306.30 - Other cartridges and parts thereof [CTH (CAN) (US) (MEX)(JPN) (PHI)]
[CTH; or loading the munition (EC)][CTH , or change within this heading from
parts to articles. (KOR)]Submitted to CRO for decision
Issue N° 3G/RO/37/Add.3
Page 194HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
9306.90 - Other [CTH ; or loading the munition (EC) ]
[ As indicated at split subheading level  (US)
(IND) (EGY) (KOR) (CAN) (PHI)]Submitted to CRO for decision
Issue N° 3, Issue No. 4
ex 9306.90(a) Bombs, grenades, torpedoes, mines, missles
and similar munitions of war[CTSHS (US) (IND) (EGY) (KOR) (CAN)
(PHI) ]
[as indicated at subheading level (EC) ]Submitted to CRO for decision
Issue N° 3, Issue No. 4
ex 9306.90(b) Parts [CTH (US) (IND) (EGY) (KOR) (CAN)
(PHI )]
[as indicated at subheading level (EC) ]Submitted to CRO for decision
Issue N° 3, Issue No. 4
93.07 Swords, cutlasses, bayonets, lances and
similar arms and parts thereof and
scabbards and sheaths therefor.[CTH (EC) (US) (CAN) (PHI) (CH)]
[CTH, or change within this heading from
parts to articles. (KOR) (TH)]Submitted to CRO for decision
Issue N° 5G/RO/37/Add.3
Page 195CHAPTER 94
Chapter Notes
1. For the purposes of those rules of origin which refer to a change of classification (i.e., change of heading or change of sub heading), the  following changes
shall not confer origin :
(a) changes which result from disassembly (Basket 1)
(b) changes which result from packaging, or (Basket 1)
[(c)  changes which result solely from appli cation of General Rule of Interpretation 2( a) with respect to collections of parts that are presented as unassembled
articles of another heading or subheading (US)]  (Referral Doc.OC0029E1)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR 2(a), the origin of the goods shall b e the origin of individual parts
(IND)] (Referral Doc.OC0029E1)
3. [Obtaining goods from parts by assembly, including sub-assembly , shall be considered as reflecting last substantial transform ation; (MOR) (IND)]  (Referral
Doc.OC0031)
[Chapter Residual Rules
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a country
of origin, the country of origin shall be determined as follows:
1. The country of origin of goods of heading 94.04 shall be the country where the textile fabric was formed, or in the case of a  good containing textile
fabrics of more than one country, the origin of the good is the country in which the exterior textile fabric that predominates by weight was formed.  (US)]
(Referral Doc.OC0023E1)
[Criteria for Residual Rules
 
 Weight or essential character (CAN)
 Weight or volume, as appropriate (US)
 Value (EC)
 Total value of parts and related processing activity (CH)
Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 196
CHAPTER 94
HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
Chapter 94 Furniture; bedding, mattresses,
mattress supports,  cushions and similar
stuffed furnishings; lamps and  lighting
fittings, not elsewhere specified or
included;  illuminated signs, illuminated
name-plates and the like;  prefabricated
buildingsAs indicated at heading level
94.01 Seats (other than those of heading
No. 94.02), whether or not convertible
into beds, and parts thereof.Proposals as specified for subheadings
9401.10
9401.209401.30
9401.40
9401.50
     9401.61
     9401.69- Seats of a kind used for aircraft
- Seats of a kind used for motor
vehicles
- Swivel seats with variable height
adjustment
- Seats other than garden seats or
camping equipment, convertible into
beds
- Seats of cane, osier, bamboo or similar
materials
- Other seats, with wooden frames :
-- Upholstered
-- Other- Other seats, with metal frames :[CTH; or
Change to subheadings 9401.10 through
9401.80 from subheading 9401.90, provided
that the relevant Chapter Note on assembly is
met. (CAN)]
[The origin of the product shall be the country
where the parts were manufactured. (BRA)]
[CTH except from cushions and mattresses of
heading 9404 (EC) (COL)]
[CTH; or change from subheading 9401.90
(JPN)(HK)(MEX)(KEN)(PHI) (US) (CH)]
[ CTH  (TH) (AUS)]
[ CTSH (MOR)]Submitted to CRO for decision
Issue N°s. 6, 8, 9, 11
In the case of these products,
assembly does not constitute a
substantial transformation.  (BRA)G/RO/37/Add.3
Page 197HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
9401.71
9401.799401.80-- Upholstered
-- Other-O t h e r  s e a t s[ CTSH;
 or  Supplementary criteria where the CIF value
of non-originating materials imported and used
in the production does not exceed 75% of theex-factory price of the goods.  The method of
calculating foreign content is as follows:
FC = CIF value of NORM x 100 % <
 75%.
          EX-Factory priceFC : foreign contentNORM : non-originating raw materialsEx-factory price : = Total materials cost +
Direct labour costs + Overhead costs + Profit
and  as indicated at sp lit subheading level for
subheading 9401.69  (SG)]G/RO/37/Add.3
Page 198HS Code number Description of goods Origin Criteria Notes Comments
AB C D E
[ex 9401.69 (a) CKD wooden seats, not upholstered CTSHS, provided a combination of processes
including joining components to make theframes, sanding, lacquering, drilling and other
surface work performed.Technical file 41.641 (SG)
ex 9401.69 (b) Antique reproduction wooden seats,
not upholsteredCTSHS, provided a combination of processes
including joining components to make the back
and seats, sanding, lacquering and other surface
work performed;
orSupplementary criteria where the CIF value of
non-originating materials imported and used inthe production does not exceed 75 % of the ex-
factory price of the goods. The method of
calculating foreign content is as follows:
FC = CIF value of NORM x 100 % <
 75%.
          EX-Factory priceFC : foreign contentNORM : non-originating raw materialsEx-factory price : = Total materials cost + Direct
labour costs + Overhead costs + ProfitTechnical file 41.641 (SG)
ex 9401.69 (c) Other seats, with wooden frames, not
upholsteredCTSH (SG)]G/RO/37/Add.3
Page 199HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
9401.90 - Parts [ CTH, except from subheading 9403.90.
(JPN)]Submitted to CRO for decision
[ CTH (CAN) (CH) (COL)
 (MEX) (US) (TH)]Issue N° 10
[ CTSH (MOR) ]
[ CTH except from  subheading 9403.90
and except from cushions and mattressesof heading 94.04 (AUS)]
[The origin of the product shall be thecountry where the parts weremanufactured. (BRA)]In the case of these products,
assembly does not constitute a
substantial transformation.  (BRA)
[ CTH except from cushions andmattresses of heading 94.04 (EC)]
94.02 Medical, surgical, dental or
veterinary furniture (for example,
operating tables, examination tables,hospital beds with mechanicalfittings, dentists' chairs); barbers'chairs and similar chairs, having
rotating as well as both reclining and
elevating movements; parts of theforegoing articles.[ CTH; or
 Change from parts, provided the relevant
Chapter Note on assembly is met (CAN)]
[ CTH (TH) (AUS) (EC)]
[As indicated at the split heading level
(US) (CH) (PHI) (SEN) (COL) (JPN)
(MEX)]Submitted to CRO for decision
Issue N° 7
[ex 94.02 (a) Medical, surgical, dental or veterinary
furniture (for example, operating
tables, examination tables, hospital
beds with mechanical fittings,
dentists' chairs); barbers' chairs and
similar chairs, having rotating as
well as both reclining and elevating
movements ;CTHS (US) (CH) (PHI) (SEN) (COL)
(JPN) (MEX)Submitted to CRO for decision
Issue N° 7
ex94.02 (b) - Parts CTH (US) (CH) (PHI) (SEN) (COL) (JPN)
(MEX)]
94.03 Other furniture and parts thereof. As specified for subheadingsG/RO/37/Add.3
Page 200HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
9403.10 - Metal furniture of a kind used in
offices[ CTH; or
Change from subheading 9403.90 (JPN)
(PHI) (CH) (US) (MEX)]Submitted to CRO for decision
Issue N°s. 6,8,11
9403.20 - Other metal furniture [ CTH except from mattresses and
cushions of heading 94.04 (EC) (COL) ]
9403.30 - Wooden furniture of a kind used in
offices[ CTH; or
Change from subheading 9403.90,provided that the relevant Chapter Note on
assembly is  met. (CAN)]
9403.40
     9403.50
    9403.60- Wooden furniture of a kind used in
the kitchen
- Wooden furniture of a kind used in
the bedroom
 - Other wooden furniture[ CTH (TH) (AUS)]
[ CTSH  (MOR) ]
    9403.70  - Furniture of plastics
    9403.80  - Furniture of other materials,
including cane, osier, bamboo or similar
materials[CTSH; or
Supplementary criteria where the CIF
value of non-originating materialsimported and used in the production doesnot exceed 75 % of the ex-factory price of
the goods.  The method of calculating
foreign content is as follows:
FC = CIF value of NORM x 100 % <
 75%
          Ex-factory price
FC : foreign content
NORM : non-originating raw materials
Ex-factory price := Total materials cost +
Direct labour costs + Overhead costs +
Profit;
and as indicated at split subheading level
for subheading 9403.60  (SG)]G/RO/37/Add.3
Page 201HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
[ex 9403.60 (a) Antique reproduction wooden tableCTSHS provided a combination of
processes including making and joiningtable top to the frame, sanding, lacqueringand other surface work performed; or
Supplementary criteria where the CIF
value of non-originating materialsimported and used in the production
does not exceed 75 % of the ex-factory
price of the goods.  The method of
calculating foreign content is as
follows:
FC = CIF value of NORM x 100 % <  75%
          Ex-factory price
FC : foreign content
NORM : non-originating raw materialsEx-factory price := Total materials cost +
Direct labour costs + Overhead costs +
ProfitTechnical file 41.641 (SG)
ex 9403.60 (b) Other wooden furnitureCTSH (SG)]
9403.90 - Parts [ CTH except from subheading
 9401.90. (JPN)]Submitted to CRO for decision
Issue N° 10
[ CTH except from subheading 9401.90
and except from cushions and mattresses of94.04 (AUS) ]
[ CTH, except from mattresses and
cushions of heading 94.04 (EC)]
[ CTH (CAN) (CH) (COL)
 (MEX) (US) (PHI) (TH) ]
[The origin of the product shall be thecountry where the parts were
manufactured. (BRA)]In the case of these products,
assembly does not constitute a
substantial transformation.  (BRA)
[CTSH; orG/RO/37/Add.3
Page 202HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
Supplementary criteria where the CIF
value of non-originating materialsimported and used in the production doesnot exceed 75 % of the ex-factory price ofthe goods.  The method of calculating
foreign content is as follows:
FC = CIF value of NORM x 100 % <
 75%
          Ex-factory priceFC : foreign contentNORM : non-originating raw materials
Ex-factory price := Total materials cost +
Direct labour costs + Overhead costs +
Profit;
94.04 Mattress supports; articles of bedding
and similar furnishing (for example,
mattresses, quilts, eiderdowns,
cushions, pouffes and pillows) fittedwith any springs or stuffed orinternally fitted with any material orof cellular rubber or plastics, whether
or not covered.As specified for subheadings. After Basket 1 and Referral
decisions had been reached at the
13
th Session BRA proposed as
follows: The origin of the product
shall be the country where the
parts were manufactured
9404.10 Mattress supports CTH Basket 1
9404.21-Mattresses:
--Of cellular rubber or plastics, whether
or not coveredCTH Basket 1
9404.29 -- Of other materials CTH Basket 1
9404.30 - Sleeping bags [CTH (MEX) (CAN) (JPN) (CH) (NOR)
(PHI) (IND) (HK) (TH) ]Submitted to CRO for decision
(Doc. 42.269)
[CTH, except from headings 50.07, 51.11through 52.12, 53.09 through 53.11, 54.07through 54.08, 55.12 through 55.16, 56.02through 56.03, 56.08, 58.01 through 58.06,G/RO/37/Add.3
Page 203HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
58.08 through 58.11, 59.03, 59.06 through
59.07, and 60.02 and from subheading6307.90 (US)]
9404.90 - Other [CTH (MEX) (CAN) (JPN) (CH) (NOR)
(PHI) (IND) (HK) (TH) (EC) ]Submitted to CRO for decision
(Doc. 42.269)
[CTH, except from headings 50.07, 51.11
through 52.12, 53.09 through 53.11, 54.07through 54.08, 55.12 through 55.16, 56.02
through 56.03, 56.08, 58.01 through 58.06,
58.08 through 58.11, 59.03, 59.06 through59.07, and 60.02 and from subheading
6307.90 (US)]
94.05 Lamps and lighting fittings including
searchlights and spotlights and partsthereof, not elsewhere specified or
included; illuminated signs,
illuminated name-plates and the like,having a permanently fixed lightsource, and parts thereof not
elsewhere specified or included.As specified for subheadings .
9405.10 - Chandeliers and other electric
ceiling or wall lighting fittings,
excluding those of a kind used for
lighting public open spaces orthoroughfares[ CTSH (JPN) (HK) (US) (PHI) (TH)
(MOR) (MEX)]Submitted to CRO for decision
Issue N° 12
9405.20 - Electric table, desk, bedside or floor-
standing lamps[ CTH; or
 Change from parts of subheadings
9405.91 through  9405.99, provided that
the relevant Chapter Note on assembly is
met. (CAN)(SEN)]
9405.30 - Lighting sets of a kind used for
Christmas trees[ CTH (COL) (CH) (EC) (AUS)]
9405.40 - Other electric lamps and lighting
fittingsG/RO/37/Add.3
Page 204HS Code Number Description of goods Origin Criteria Notes Comments
ABCDE
9405.50 - Non-electrical lamps and lighting
fittings
9405.60 - Illuminated signs, illuminated name-
plates and the like
- Parts : CTH Basket 1
9405.91 -- Of glass
9405.92 -- Of plastics
9405.99 -- Other
94.06 Prefabricated buildings. CTH Basket 1G/RO/37/Add.3
Page 205Chapter 95
Chapter Notes:
1. For  the purposes of those rules of origin which refer to a ch ange of classification (i.e., chan ge of heading or change of s ubheading), the following changes shall
not confer origin:
(a) changes which result from disassembly, ( Basket 1)
(b) changes which result from packaging or repackaging, or (Basket 1)
[(c) changes which result solely from application of General Rule of Interpretation 2(a) with respect to collections of parts th at are presented as
unassembled articles of another heading or subheading (US)] (Referral Doc.OC0029E1)
(d) [Presentation of goods for use other than that for which they were initially designed or intended is not origin conferring.  E.G., garments for
babies of 61.11 or 62.09 to accessories for dolls of 95.02.  Text to be developed (CAN) (EC) (US)] (Referral Doc.OC0029E1)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR 2(a), the origin of the goods shall b e the origin of individual parts
(IND)] (Referral Doc.OC0029E1)
3.  [Obtaining goods from parts by assembly , including sub-assembly, shall be considered as reflecting last substantial transfor mation; (MOR)(IND)]  (Referral
Doc.OC0031)
4. Sets:  (Referral Doc.OC0029E1)
[OPTION A
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of origin of  the articles that confer the
essential character on the set as a whole;
4) In the event that neither (2) nor (3) is met, the country of origin shall be the single country in which the greatest number of articles in the set were made.
(JPN)]
[OPTION B1) Putting articles up in sets shall not be considered as a substantial transformation;2) The country of origin of a set put up from articles that originate in one country shall be that country;3) The country of origin of a set put up from articles that originate in more than one country shall be the single country in wh ich the greatest number of articles in
the set were made.G/RO/37/Add.3
Page 206 4) In the event that neither (2) nor (3) is met, the country of or igin shall be the country of origin of the articles that confe r the essential character on the set as a
whole; (US)]
[OPTION C
1) Putting articles up in sets shall not be considered as a substantial transformation;2) The country of origin of a set put up from articles that originate in one country shall be that country;3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of the artic le(s) representing the highest
value, the value of the articles having the same origin being taken together.  (EC)]
5. [For the purposes of heading 95.06 when the goods are produced from forged or cast blanks which had the essential character o f the complete or
finished goods and were classifiable, by application of HS General Interpretative Rule 2(a), in the same heading or subheading as the complete or
finished goods:
(1) Provided the following criteria are met, the country of origin of the goods shall be the country in which the blank was fini shed:
(a) In its imported prefinished condition, the blank was not capable of functioning for its ultimate use and was not advanced be yond cleaning or
working to remove flash, sprues, burrs or similar excess material, and
(b) In the country in which the goods were finished :
(i) The blank was configured to final shape by the removal of mate rial (other than merely by honing or polishing or both), or by  bending,
hammering, pressing, stamping or similar forming process; and
(ii) The blank underwent one or more of the following processes:
1. Heat treatment or thermochemical treatment, such as glowing, tempering, hardening; or
2. Assembly with five or more parts (other than parts of general use as defined in Note 1(g) to Section XVI of the HS); or
3. Surface treatment, such as coating, compressing, condensing, impregnating or insulating;
(2)  If the criteria of subparagraph (a) above are not satisfied, the country of origin of the goods shall be the country of or igin of the blank (KOR) (US)]
(Referral Doc.OC0033E)
[Chapter Residual Rules
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a country
of origin, the country of origin shall be determined as follows:G/RO/37/Add.3
Page 2071. The country of origin of a good of subheading 9502.91 that was assembled from parts, but was not wholly assembled in a single  country, is the country in
which the most significant assembly operations were performed in the making-up of the good, without regard to the addition of b uttons and other
fasteners, belt and hanger loops, belts, patch pockets, labels, foot straps, epaulettes, ornaments and other minor components.  (US)] (Referral
Doc.OC0023E1)
[Criteria for Residual Rules
 
 Weight or essential character (CAN)
 Weight or volume, as appropriate (US)
 Value (EC)
 Total value of parts and related processing activity (CH)
Criteria to be left discretionary to each country (IND)]
 
 G/RO/37/Add.3
Page 208CHAPTER 95
HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
Chapter 95 Toys, games and sports requisites; parts
and accessories thereofAs indicated at heading level
95.01 Wheeled toys designed to be ridden by
children (for example, tricycles, scooters,
pedal cars); dolls' carriages.[ CC (MEX)] Submitted to CRO for
decision
Issue N° 13
[ CTH (JPN) (EC) (TH) (KOR) (SEN) ]
[As indicated for split heading (US)(CAN)
(CH)(HK)(MOR)]
[ex 95.01 (a)  Wheeled toys designed to be ridden by
children (other than parts); dolls'carriages
(other than parts)CTHS (US) (CAN) (CH) (HK) (MOR)
ex 95.01 (b)  Parts and accessories CTH (US) (CAN) (CH) (HK) (MOR)]
95.02 Dolls representing only human beings. Proposals as specified for subheadings
9502.10 - Dolls, whether or not dressed [CTH, except from subheadings 9503.41
through 9503.49 or except from heading 61.11
or 62.09 (JPN)]Submitted to CRO for
decision
Issue N° 14
[ CTH, except from 9503.41 or 9503.49
(EC)(BRA)]
[ CTH except from subheading  9503.41,
9503.49 or 9503.90 (KOR) ]
[CTSH (CAN) (PHI) (US) (TH) (HK) (MOR) ]
[CTH (CH) (SEN)]
[CTSH, except from parts of stuffed dolls
(MEX)]G/RO/37/Add.3
Page 209HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
- Parts and accessories :
9502.91 -- Garments and accessories therefor,
footwear and headgear[CTSH (CAN) (PHI) (TH)] Submitted to CRO for
decision
( Doc. 42.269)
[CTH (CH) (HK) (MEX) (JPN)(BRA)]
[CTH, provided that the goods are either knit to
shape or fully assembled in one country] (US)]
[As indicated at th e split subheading level ] (EC)]In the column C the original
written proposals for thisheading are reproduced. TheTechnical Committeedecided that for these goods
of this heading the rule
finally agreed for the textileproducts of Chapters 61 and
62 should be adopted.
[ex 9502.91 (a) -- Finished or complete garments [Complete making-up] (EC) Decision as indicated at the
subheading level.
ex 9502.91 (b) -- Unfinished or incomplete garments [Manufacture from yarn] (EC)
ex 9502.91 (c) -- Clothing accessories of any textile fabric [Manufacture from yarn] (EC)
ex 9502.91 (d) -- Footwear and headgear [CTH] (EC)
ex 9502.91 (e) -- Accessories [CTH] (EC) NB: see Chapter note (EC)
9502.99 -- Other [CTSH (CAN) (PHI) (TH)]
[CTH  (CH) (HK) (MEX) (US) (EC)
(JPN)(BRA)]Submitted to CRO for
decision (Doc. 42.269)
NB: see Chapter note (EC)
95.03 Other toys; reduced-size ("scale") models
and similar recreational models, working
or not; puzzles of all kinds.Proposals as indicated for split heading
ex 95.03 (a)  Goods of this heading put up in sets or
outfitsCTH Basket  1
NB: see Chapter noteG/RO/37/Add.3
Page 210HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
ex 95.03 (b) Toys representing animals or non-human
creatures[ CTHS from  ex 95.03 (e) (US) (HK) (MOR)
(MEX) (PHI) (TH) ]Submitted to CRO for
decision
[ CTHS from  ex 95.03 (e) provided that the
relevant Chapter Note on assembly is met
(CAN) ]Issue N° 15
Issue N° 16
[ CTH (CH) (SEN)(BRA) ]
[ CTH except from heading 95.02 (EC) ]
[ CTH except from heading 95.02, 61.11 or
62.09 (JPN) (KOR) ]
ex 95.03 (c) Toy  musical intstruments and apparatus [ CTHS from  ex 95.03 (e) (US) (HK) (MOR)
(MEX) (PHI) (TH) ]Submitted to CRO  for
decision
[ CTHS from  ex 95.03 (e) provided that the
relevant Chapter Note on assembly is met
(CAN) ]Issue N° 15
Issue N° 16
[ CTH (CH) (SEN) ]
[ CTH except from heading 92.01 through 92.09
(EC) ]
[ CTH except from heading 95.02, 61.11 or
62.09 (JPN) (KOR) ]
ex 95.03 (d) Other articles of this heading [ CTHS from  ex 95.03 (e) (US) (HK) (MOR)
(MEX) (PHI) (TH) ]To be submitted to CRO for
decision
[ CTHS from  ex 95.03 (e) provided that the
relevant Chapter Note on assembly is met
(CAN) ]Issue N° 15
Issue N° 16
[ CTH (CH) (SEN)]
[ CTH except from subheading  9506.31 through
9506.91  (EC) ]
[ CTH except from heading 95.02, 61.11 or
62.09 (JPN) (KOR) ]G/RO/37/Add.3
Page 211HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
ex 95.03 (e) Parts and accessories [ CTH or a change within this split-heading as a
result of assembly (US) (HK) (MOR) (PHI) (TH)
(MEX)]To be submitted to CRO for
decision
[CTH or a change within this split-heading
provided that the relevant Chapter Note onassembly is met (CAN) ]Issue N° 15
Issue N° 16
[ CTH (CH) (SEN) (EC) (BRA)]
[ CTH except from heading 95.02, 61.11 or
62.09 (JPN) (KOR)]
9503.10 - Electric trains, including tracks, signals
and other accessories thereforAs indicated at split heading level
9503.20 - Reduced-size ("scale") model assembly
kits, whether or not working models,excluding those of subheading
No. 9503.10
9503.30 - Other construction sets and
constructional toys
- Toys representing animals or non-human
creatures :As indicated at split heading level
9503.41 -- Stuffed
9503.49 -- Other
9503.50 - Toy musical instruments and apparatus
9503.60 - Puzzles
9503.70 - Other toys, put up in sets or outfits
9503.80 - Other toys and models, incorporating a
motor
9503.90 - OtherG/RO/37/Add.3
Page 212HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
95.04 Articles for funfair, table or parlour
games, including pin tails, billiards, special
tables for casino games and automatic
bowling alley equipment.[CTSH  (PHI) (MEX) (TH)] Submitted to CRO for
decision
Issue N° 18
[CTSH or Change from parts provided the
relevant Chapter Note on assembly is met
(CAN)]
[CTH (JPN) (EC)]
[As indicated at the split heading level
(US)(HK)(CH)(MOR)]
[ex 95.04a - Articles for funfair, table or parlor games,
including pintables, billiards, special tables
for casino games and automatic bowling
alley equipment, (other than parts and
accessories)CTHS (US) (HK)(CH)(MOR)
ex 95.04b - Parts and accessories CTH or a change within this split heading as aresult of assembly (US) (HK)(CH)(MOR)]
9504.10 - Video games of a kind used with a
television receiverAs specified for heading or split heading.
9504.20 - Articles and accessories for billiards
9504.30 - Other games, coin- or disc-operated,
other than bowling alley equipment
9504.40 - Playing cards
9504.90 - Other
95.05 Festive, carnival or other entertainment
articles, including conjuring tricks and
novelty jokes.[CTSH  (MEX) (PHI) (TH)]Submitted to CRO for
decision
Issue N° 18G/RO/37/Add.3
Page 213HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
[CTSH  or Change from parts provided
the relevant Chapter Note on assembly is met.
(CAN)]
[CTH (JPN) (EC)]
[As indicated for split heading
(US)(HK)(CH)(MOR)]
[ex95.05 (a) - Festive , carnival or other entertainment
articles, including conjuring tricks and
novelty jokes, other than parts and
accessoriesCTHS (US) (HK)(CH)(MOR)
ex95.05 (b) - Parts and accessories CTH or a change within this split heading as a
result of assembly (US)  (HK)(CH)(MOR)]
9505.10 - Articles for Christmas festivities Proposals as specified for heading or split
heading.
9505.90 - Other
95.06 Articles and equipment for general
physical exercise, gymnastics, athletics,
other sports (including table-tennis) oroutdoor games, not specified or includedelsewhere in this Chapter; swimming pools
and paddling pools.Proposals as specified for subheadings or split
headingSubmitted to CRO for
decision
Issue N° 19Issue N° 20
[ex 95.06 (a) - Golf clubs CTHS, provided that either the shaft or the head
is originating in the country of assembly (US)
ex 95.06 (b)     Other articles and equipment for general
physical exercise, gymnastics, athletics,
other sports (including table-tennis) or
outdoor games, not specified or included
elsewhere in this chapter (other than parts
and accessories); swimming pools and
paddling pools (other than parts and
accessories)CTHS (US) (MOR) (HK)G/RO/37/Add.3
Page 214HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
ex 95.06 (c)    Parts and accessories CTH (US)(HK)]
- Snow-skis and other snow-ski equipment :
9506.11 -- Skis [CTSH  or Change from parts provided the
relevant Chapter Note on assembly is met.
(CAN)]Submitted to CRO for
decision
9506.12 -- Ski-fastenings (ski-bindings) [CTSH (PHI) (MEX) (TH) (KOR)] Issue N° 20
9506.19
9506.21-- Other
- Water-skis, surf-boards, sailboards and
  other water-sport equipment :
-- Sailboards[CTH (CH) (JPN) (EC)]
[as indicated for split heading  (US)(MOR)(HK)]
9506.29 -- Other
- Golf clubs and other golf equipment : [CTSH except from subheading 9506.39;
or  change to subheading 9606.31 fromsubheading 9506.39, provided that the relevant
Chapter Note on assembly is met. (CAN)]Submitted to CRO for
decision
Issue N° 19
9506.31 -- Clubs, complete [CTSH (HK) (PHI) (MEX) (TH)]
9506.32 -- Balls
[As indicated for split heading  (US)(MOR)]
9506.39 -- Other[CTH (CH) (JPN) (EC)]
9506.40 - Articles and equipment for table-tennis
- Tennis, badminton or similar rackets,
whether or not strung :[CTSH  or Change from parts provided the
relevant Chapter Note on assembly is met.
(CAN)]
[CTH (CH) (JPN) (EC)]Submitted to CRO for
decision
Issue N° 20
9506.51 -- Lawn-tennis rackets, whether or not
strung[As indicated for split heading  (US)
(MOR)(HK)]
9506.59 -- Other [CTSH (PHI) (MEX) (TH)]G/RO/37/Add.3
Page 215HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB C D E
- Balls, other than golf balls and
table-tennis balls :
9506.61 -- Lawn-tennis balls
9506.62 -- Inflatable
9506.69 -- Other
9506.70 - Ice skates and roller skates, including
skating boots with skates attached
-O t h e r  :
9506.91 -- Articles and equipment for general
physical exercise, gymnastics or athletics
9506.99 -- Other
95.07 Fishing rods, fish-hooks and other line
fishing tackle; fish landing nets, butterflynets and similar nets; decoy "birds" (otherthan those of heading No. 92.08 or 97.05)
and similar hunting or shooting requisites.CTH Basket 1
95.08 Roundabouts, swings, shooting galleries
and other fairground amusements;
traveling circuses, menageries andtheatres.CTH Basket 1G/RO/37/Add.3
Page 216CHAPTER 96
Chapter Notes  :
1.  [For the purposes of those rules of origin which refer to a ch ange of classification (i.e., chan ge of heading or change of s ubheading), the following changes shall
not confer origin :
(a) changes which result from disassembly, (Basket 1)
(b) changes which result from packaging or repackaging, or (Basket 1)
(c) changes which result solely from application of General Rule of  Interpretation 2(a) with respect to collections of parts tha t are presented as
unassembled articles of another heading or subheading. (US)] (Referral Doc.OC0029E1)
2. [For collection of parts merely put together that do not sati sfy the requirement of GIR2(a), the origin of the goods shall be  the origin of individual parts
(IND)] (Referral Doc.OC0029E1)
3. Sets:  (Referral Doc.OC0029E1)
[OPTION A
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of origin of  the articles that confer the
essential character on the set as a whole;
4) In the event that neither (2) nor (3) is met, the country of origin shall be the single country in which the greatest number of articles in the set were made.
(JPN)]
[OPTION B
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in more than one country shall be the single country in wh ich the greatest number
of articles in the set were made.
3) In the event that neither (2) nor (3) is met, the country of or igin shall be the country of origin of the articles that confe r the essential character on
the set as a whole; (US)]
[OPTION C
1) Putting articles up in sets shall not be considered as a substantial transformation;
2) The country of origin of a set put up from articles that originate in one country shall be that country;
3) The country of origin of a set put up from articles that origin ate in more than one country shall be the country of the artic le(s) representing the highest
value, the value of the articles having the same origin being taken together.  (EC)]G/RO/37/Add.3
Page 217[Chapter Residual Rules
When application of the primary rules of this chapter (including the product specific rules provided in the matrix) does not re sult in a determination of a country
of origin, the country of origin shall be determined as follows:
1. The country of origin of typewriter or similar ribbons of subheading 9612.10 shall be the country where the textile fabric wa s formed, or in the case of a
good containing textile fabrics of more than one country, the origin of the good is the country in which the textile fabric tha t predominates by weight was
formed.  (US)] (Referral Doc.OC0023E1)
[Criteria for Residual Rules
 
 Weight or essential character (CAN)
 Weight or volume, as appropriate (US)
 Value (EC)
 Total value of parts and related processing activity (CH)
Criteria to be left discretionary to each country (IND)]G/RO/37/Add.3
Page 218CHAPTER 96
HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
Chapter 96 Miscellaneous manufactured articles As indicated for headings
96.01 Worked ivory, bone, tortoise-shell, horn,
antlers, coral, moth er-of-pearl and other
animal carving material, and articles of  these
materials (including articles  obtained by
moulding).As indicated at the split heading level Submitted to CRO for decision
Issue N° 21
 ex 96.01 (a)  Worked ivory and other worked materials CTH Basket 1
 ex 96.01 (b) Articles [CTSHS (EC) (JPN) (US) (CH) (MEX) ] Submitted to CRO for decision
[ CTH (CAN) (TH) ] Issue No. 21
9601.10 - Worked ivory and articles of ivory As indicated at split heading level
   9601.20 -  Other
96.02 Worked vegetable or mineral carving
material and articles of these materials;moulded or carved articles of wax, of  stearin,
of natural gums or natural  resins or of
modelling pastes, and other  moulded or
carved articles, not  elsewhere specified or
included; worked,  unhardened gelatin
(except gelatin of  heading No. 35.03) and
articles of  unhardened gelatin.As indicated at the split heading level
ex 96.02  (a) - Worked vegetable or mineral carving
materialsCTH Basket 1
ex 96.02 (b) - Articles of vegetable or mineral carving
materials[ CTHS (EC) (JPN) (US) (CH) (MEX)] Submitted to CRO for decision
[ CTH (CAN) (TH)] Issue N° 22G/RO/37/Add.3
Page 219HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
96.03 Brooms, brushes (including brushes
constituting parts of machines,  appliances or
vehicles), hand-operated  mechanical floor
sweepers, not motorised,  mops and feather
dusters; prepared knots  and tufts for broom
or brush making;  paint pads and rollers;
squeegees (other  than roller squeegees).CTH Basket 1
96.04 Hand sieves and hand riddles. CTH Basket 1
96.05 Travel sets for personal toilet, sewing or shoe
or clothes cleaning.CTH, except when it results from only
making a set.Basket 1
96.06 Buttons, press-fasteners, snap-fasteners and
press-studs, button moulds and other parts
of these articles; button blanks.CTH Basket 1
96.07 Slide fasteners and parts thereof. Proposals as specified for subheadings
- Slide fasteners :
9607.11
  9607.19- Fitted with chain scoops of base metal
-  Other[CTH or
Change to subheadings 9607.11 through
9607.19 from 9607.20, provided therelevant Chapter Note on assembly is met.
(CAN)]Submitted to CRO for decision
Issue N° 23
[CTH (JPN) (EC) (PHI) (KOR) ]
Subsidiary Rule:
When the principalrule is not satisfiedthe country of originof the slide fastener
shall be the country of
origin of the slider(KOR)
[CTSH (MEX) (US) (CH) (TH) (MOR)] Technical file Doc. 41.442 (CH)G/RO/37/Add.3
Page 220HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
9607.20 - Parts [CTH (CAN) (JPN) (US) (EC) (PHI)]
[CTSH (MEX) (TH) (MOR)]Submitted to CRO for decision
see Doc. OC0029 for disassembly
issues
96.08 Ball point pens; felt tipped and other porous-
tipped pens and markers; fountain pens,stylograph pens and other pens;  duplicating
stylos; propelling or sliding pencils; pen-holders, pencil-holders and similar holders;parts (including caps and clips) of the
foregoing articles, other than those of
heading No. 96.09.As specified for subheadings Technical File 41.711 (CH)
9608.10 - Ball point pens [CTSH (PHI) (MOR) ] Submitted to CRO for decision
Issue N° 24
[CTSH, except from subheading 9608.60.
(MEX) (KOR) (CAN) (US)]
[CTH (JPN) (EC)]
[CTSH, or change within this subheading
resulting from the assembly of ball point
pens from parts (CH) (TH)]
9608.20 - Felt tipped and ot her porous-tipped pens
and markers[CTSH (PHI) (MOR)] Submitted to CRO for decision
[CTSH, except from subheading 9608.60.
(MEX) (KOR) (CAN) (US)]Issue N° 24
[CTH (JPN) (EC)]
[CTSH, or change within this subheading
resulting from the assembly of pens from
parts. (CH) (TH)]
- Fountain pens, stylograph pens and other
pens :G/RO/37/Add.3
Page 221HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
9608.31 -- Indian ink drawing pens [CTSH (CAN) (US) (PHI) (MOR) (TH)] Submitted to CRO for decision
[CTSH, except from subheading 9608.60
(MEX)]Issue N° 24
[CTH (CH) (JPN) (EC)]
9608.39 -- Other [CTSH (CAN) (US) (PHI) (MOR)] Submitted to CRO for decision
[CTSH, except from subheading 9608.60
(MEX)]Issue N° 24
[CTSH, or change within this subheading
resulting from the assembly of fountain
pens from parts. (CH) (TH)]
[CTH (JPN) (EC)]
9608.40 - Propelling or sliding pencils [CTSH (CAN) (MEX) (US) (PHI) (MOR)] Submitted to CRO for decision
[CTH (JPN) (EC)] Issue N° 24
[CTSH, or change within this subheading
resulting from the assembly of pencils
from parts (CH)]
9608.50 - Sets of articles from two or more of the
foregoing subheadingsCTH Basket 1
 9608.60 - Refills for ball point pens, comprising the
ball point and ink-reservoir[CTSH (CAN)(MEX) (TH) (MOR)] Submitted to CRO for decision
Issue N° 26
[CTH (CH) (JPN) (US) (EC)]
-O t h e rG/RO/37/Add.3
Page 222HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
9608.91 -- Pen nibs and nib points CTSH/CTH Basket 1
see Doc. OC0029 for disassembly
issues
9608.99 -- Other CTSH/CTH Basket 1
see Doc. OC0029 for disassembly
issues
96.09 Pencils (other than pencils of heading No.
96.08), crayons, pencil leads, pastels, drawingcharcoals, writing or drawing chalks and
tailors' chalks.Proposals as specified for subheadings .
9609.10 - Pencils and crayons, with leads encased in
a rigid sheath[CTSH (CAN) (MEX) (US) (PHI) (TH)
(MOR)]Submitted to CRO for decision
Issue N° 27
[ CTSHS (KOR) ]
[CTH (CH) (JPN) (EC)]
9609.20 - Pencil leads, black or coloured CTH Basket 1
9609.90 - Other CTH Basket 1
96.10 Slates and boards, with writing or drawing
surfaces, whether or not framed.CTH Basket 1
96.11 Date, sealing or numbering stamps, and the
like (including devices for printing orembossing labels), designed for operating inthe hand; hand-operated composing sticksand hand printing sets incorporating such
composing sticks.CTH Basket 1
96.12 Typewriter or similar ribbons, inked or
otherwise prepared for giving impressions,
whether or not on spools or in cartridges;ink-pads, whether or not inked, with orAs specified for subheadings .G/RO/37/Add.3
Page 223HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
without boxes.
9612.10 - Ribbons [CTH]
[CTH, except from headings
50.07, 51.11 through 51.13, 52.08 through52.12, 53.09 through 53.11, 54.07 through54.08, 55.12 through 55.16, 56.03, 58.06,
59.03, 59.06 through 59.07 and 60.02
(US)]Submitted to CRO for decision
Doc. 42.269, Issue No. 4
9612.20 - Ink-pads CTH Basket 1
96.13 Cigarette lighters and other lighters, whether
or not mechanical or electrical, and partsthereof other than flints and wicks.Proposals as specified for subheadings .
9613.10 Pocket lighters, gas fuelled, non-refillable [A change to subheadings 9613.10 through
9613.20 from any subheading outside that
group. (CAN)(MEX)]Submitted to CRO for decision
Issue N° 28
[CTSH (US) (PHI) (MOR)]
[CTH (JPN) (CH) (EC) (KOR)]
9613.20 - Pocket lighters, gas fuelled, refillable [A change to subheadings 9613.10 through
9613.20 from any subheading outside thatgroup. (CAN)(MEX)]Submitted to CRO for decision
Issue N° 28
[CTSH (US) (PHI) (MOR)]
[CTH (JPN) (CH) (EC) (TH) (KOR)]
9613.30 - Table lighters [CTSH (CAN) (MEX) (US) (PHI) (MOR)] Submitted to CRO for decision
[CTH (JPN) (CH) (EC) (TH) (KOR)] Issue N° 28
9613.80 - Other lighters [CTSH (CAN) (MEX) (US) (PHI) (MOR)] Submitted to CRO for decision
[CTH (JPN) (CH) (EC) (TH) (KOR)] Issue N° 28
9613.90 - Parts    CTH Basket 1G/RO/37/Add.3
Page 224HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
96.14 Smoking pipes (including pipe bowls) and
cigar or cigarette holders, and parts thereof.Proposals as specified for subheadings
9614.20 - Pipes and pipe bowls As indicated at split subheading level
ex-9614.20 (a) Roughly shaped blocks of wood or root, for the
manufacture of pipes and pipe bowlsCTH Basket 1
ex-9614.20 (b) Pipes and pipe bowls CTSHS (EC) (CAN) (US) (CH) (MEX)
(SEN)]Submitted to CRO  for decision
[ CTH (JPN) (TH)] Issue N° 29
9614.90 - Other CTH Basket 1
96.15 Combs, hair-slides and the like; hairpins,
curling pins, curling grips, hair-curlers andthe like, other than those of heading No.
85.16, and parts thereof.Proposals as specified for subheadings
- Combs, hair-slides and the like :
9615.11 -- Of hard rubber or plastics CTH Basket 1
9615.19 -- Other CTH Basket 1
9615.90 - Other: As indicated at split subheading level
 ex 9615.90 (a) -- Hairpins, curling pins, curling grips, hair-
curlers and the like, other than those of
heading No. 85.16,[ CTSHS, provided  that  the relevant
Chapter Note on assembly is met  (CAN) ]Submitted to CRO for decision
Issue N° 31
[ CTH (US) (TH) ]G/RO/37/Add.3
Page 225HS Code
NumberDescription of goods Origin Criteria Notes Comments
AB CD E
 ex 9615.90 (b) -- Parts thereof CTH Basket 1
96.16 Scent sprays and similar toilet sprays, and
mounts and heads therefor; powder-puffs
and pads for the application of cosmetics or
toilet preparations.CTH Basket 1
96.17 Vacuum flasks and other vacuum vessels,
complete with cases; parts thereof other than
glass inners.As indicated at split heading level
ex 96.17 (a) Vacuum flasks and other vacuum vessels,
complete with cases[ CTHS (CAN) (KOR) (SEN) (US)
(MOR)]
[CTH (JPN) (EC) (TH)]Submitted to CRO for decision
Issue N° 32
ex 96.17 (b) Parts thereof other than glass inners CTH Basket 1
96.18 Tailors' dummies and other lay figures;
automata and other animated displays used
for shop window dressing.CTH Basket 1G/RO/37/Add.3
Page 226CHAPTER 97
HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
Chapter 97 Works of art, collectors' pieces and antiques As indicated for headings At its 17th Session the
Technical Committee decidedto discontinue its discussions
on rules for this Chapter.
Members indicated concernsthat decisions of the TechnicalCommittee might haveundesirable implications fornational and international
policies on the protection of
cultural heritage.Technical file Doc. 42.144
(TUR)
97.01 Paintings, drawings and pastels, executed
entirely by hand, other than drawings ofheading n0 49.06 and other than hand-painted or hand-decorated manufacturedarticles; collages and similar decorative
plaquesProposals as specified for
subheadings
9701.10 - Paintings, drawings and pastels [CTSH] [Residual rule : nationality of the
artist or, if it is unknown,according to the country wherethe work of art was discovered.
(EC)]The residual rule is to be applied
where it appears to beimpossible to determine thecountry where the CTH
occurred. (EC)
9701.90 - Other [CTSH]
[CTH and residual rule (EC)] [Residual rule : nationality of the
artist or, if it is unknown,
according to the country wherethe work of art was discovered.
(EC)]The residual rule is to be applied
where it appears to be
impossible to determine thecountry where the CTH
occurred. (EC)
97.02 Original engravings, prints and lithographs. [CTH]G/RO/37/Add.3
Page 227HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
[CTH and residual rule  (EC)] [Residual rule : nationality of the
artist or, if it is unknown,
according to the country where
the work of art was discovered.(EC)]The residual rule is to be applied
where it appears to be
impossible to determine the
country where the CTHoccurred. (EC)
97.03 Original sculptures and statuary, in any
material.[CTH]
[CTH and residual rule  (EC)] [Residual rule : nationality of the
artist or, if it is unknown,
according to the country where
the work of art was discovered.
(EC)]The residual rule is to be applied
where it appears to beimpossible to determine the
country where the CTH
occurred. (EC)
97.04 Postage or revenue stamps, stamp-
postmarks, first-day covers, postalstationery (stamped paper), and the like,used, or if unused not of current or new
issue in the country to which they are
destined.[CTH]
[As indicated at the split heading level
(EC) (TUR)]
[ex9704(a) Collections (EC) (TUR) [(a)  Country of nationality of the
proprietor of the collection. (EC) ]
[(b)  The origin of the goods shall
be the country in which the piece
of this split heading was produced.(TUR)]There is no substantial change of
the quality, shape etc. of the
pieces only for being a
component of a collection.Therefore they maintain their
origin. (TUR)
ex9704(b) Other (EC) (TUR) CTH (EC) (TUR)]
97.05 Collections and collectors' pieces of
zoological, botanical, mineralogical,[CTH]G/RO/37/Add.3
Page 228HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
anatomical, historical, archaeological,
palaeontological, ethnographic or
numismatic interest.
[The origin of the goods shall be the
country in which the piece of thisheading was discovered. (TUR)
(EGY)]
[As indicated at the split heading level
(EC)]
[ex 9705(a) Collectors' pieces of zoological, botanical,
mineralogical, anatomical, historical,
archaeological, palaeont ological, ethnographic
or numismatic interest (EC)[Country where the piece was
discovered. (EC) (EGY)]
ex 9705(b) Collections (EC) [Country of nationality of theproprietor of the collection. (EC) ]There is no substantial change of
the quality, shape etc. of the
pieces only for being a
component of a collection.Therefore they maintain their
origin. (TUR)]
97.06 Antiques of an age exceeding one hundred
years.[CTH ]
[The origin of the goods shall be the
country in which the piece of this
heading was produced/created. (TUR)
(EGY)]
[Origin the pieces had when
produced (EC)]Antiquity (cultural property in
general) can be defined asmanmade instruments reflecting
the traditional life of people in
every way and the personal,collective and anonymousproducts, including handmadearts, handicrafts related to theG/RO/37/Add.3
Page 229HS Code
numberDescription of goods Origin Criteria Notes Comments
AB C D E
arts of science, technique,
culture, religion and mechanicswhich must be preservedbecause of their values and
uniqueness.
97.06 covers all antiques of an
age exceeding 100 years butdoes not cover articles of
headings 9701 through 9705.
The antiques are classified in
this heading only because theyexceed 100 years of age
although there is no substantial
transformation.
For this reason; the above
mentioned antiques are theproducts of the country where
they were produced/created. The
quality, origin and uniquenesswill not be changed because theyexceed 100 years  of age. Theymaintain the origin of thecountry where they were
produced/created. (TUR)
__________