WORLD TRADE
ORGANIZATIONG/VAL/W/129
8 October 2003
(03-5313)
Committee on Customs Valuation Original:  English
QUESTIONS FROM THE UNITED STATES TO MEXICO ON CERTAIN CUSTOMS
VALUATION POLICIES
The following communication, dated 7 October 2003, has been received from the delegation
of the United States.
_______________
Questions from the United States of Am erica for Mexico concerning Estimated Prices
(G/VAL/W/121)
- According to G/VAL/W/121, if the claimed customs value is below the estimated price, the
good is presumed to be undervalued.  How is this consistent with Mexico’s obligations under
the WTO Agreement on Customs Valuation?
- Are estimated prices used only as a surety mechanism?- Does Mexico calculate estimated prices for all goods imported into Mexico?  If not, on what
percentage of goods does Mexico use estimated prices?
- Do estimated prices apply only to certain goods?- In G/VAL/W/121 it is stated, “when a decision has been made to apply an estimated price for
a specific product, it is published in the Official Journal of the Federation.”  How many such
decisions have been made?  How long do these decisions remain in effect?
- Does Mexico have a separate surety mechanism besides the use of estimated prices?  If so,
when is that method employed?
- If an estimated price is used for surety purposes, in what percentage of import transactions
subject to estimated pricing does it become the final appraised value?
- In cases where the final appraised value is less than the estimated price, is the importer
refunded the difference?  When and how does this occur?
- What methods of valuation are used for final appraisement when estimated prices are
employed to arrive at an amount for surety?  For example, what percentage of imports use
transaction value, transaction value of identical or similar merchandise, etc.?
- In G/VAL/W/121 Mexico states that “estimated prices are of a general, non-discriminatory
nature and only provide a point of reference for the initiation of an investigation by the taxauthority with regard to valuation, on account of the presumed undervaluation of the goods.”
How does this measure comply with Mexico’s obligations under the WTO Agreement?
- Why does Mexico use a “margin of undervaluation” to calculate estimated prices?
- How long has Mexico been utilizing estimated prices in order to comply with Article 13 of
the Agreement?G/VAL/W/129
Page 2
Questions from the United States of Am erica for Mexico concerning Post-Importation
Verification Practices
- What is the legal basis under the WTO Agreement on Customs Valuation for post-importation
verifications of exporters?  What is the relevance of the information sought?
- Please provide the nature of the contract between the Government of Mexico and any
post-importation verification provider.  How is it determined which exporter will undergo
such a verification?  Does the operation of this regime apply to the exporters of all Members,
or only a limited number of Members?
- What findings are expected from the post-importation verification provider to the
Government of Mexico?  Will any legal recommendations or determinations be included with
any such findings?  On what legal basis will such determinations or recommendations be
made?
- What safeguards are provided with respect to confidentiality of information provided under
the post-importation verifications of the information that may be provided by an exporter?
- What is the legal basis and authority of the post-importation verification provider in Mexico
to operate in countries outside of Mexico?  Has Mexico obtained permission from other
countries for such operations?
- From whom will the post-importation verification provider obtain the necessary information
for a post-importation audit?  If from the exporter, what national law of Mexico and what
laws of other countries give the post-importation verification provider the authority to obtain
the information and for exporters to provide the requested information?
- What information will an importer/exporter be asked to provide to the post-importation
verification provider?  Are there penalties which result when the exporter or importer does
not provide the requested information?   Please confirm that there will be no other
consequences related to importations based on an exporter not responding to such a request.
If there will be consequences, please describe them, along with the legal basis under the WTO
Agreement on Customs Valuation.
- Will the post-importation verification provider contact other parties that may be relevant to an
importation transaction as well as, for example, the manufacturer, selling agent, seller, etc.?
If so, are these parties obligated to provide the post-importation verification provider with the
requested information?  What are the consequences for not providing the requestedinformation?
- Is the importer notified by the Government of Mexico of a post-importation verification?- Is the importer notified by the Government of Mexico on the post-importation verification
findings including the information provided by the exporter?
- How does an importer appeal a decision made by the post-importation verification provider?
How does an exporter appeal a decision made by the post-importation verification provider?
- What information will be kept confidential by the post-importation verification provider?
Please provide the specific nature of any or all restrictions mandated by the Government of
Mexico for treatment of such information by the post-importation verification provider.  If
there are none related to the contractual relationship between Mexico and the
post-importation verification provider, please explain why.  If there are such restrictions,G/VAL/W/129
Page 3
please describe the process by which the Government of Mexico will ensure that such a
mandate is being followed.
- What is the legal remedy provided by the Government of Mexico to an exporter for a breach
of confidentiality or misuse of information obtained by the post-importation verificationprovider?  What consultative process is provided by the Government of Mexico for Members
whose exporters may be affected by a breach of confidentiality?
__________