G/C/W/733  
 
31 October  2016 
(16-5969) Page: 1/3 
Council for Trade in Goods    
 
 INTROD UCTION OF HARMONIZED  SYSTEM 2017   CHANGES INTO  
WTO SCHEDULES OF CON CESSIONS  
DRAFT WAIVER DECISIO N 
The General Council,  
Having regard  to Articles IV:2 and IX:3 of the Marrakesh Agreement establishing the World Trade 
Organization (the "WTO Agreement");  
Recognizing  that the adoption of the Harmonized Commodity Description and Coding System 
(hereinafter referred to as the "Harmonized System") has, in addition to facilitating international 
trade and the analysis of trade statistics, ensured greater uniformi ty in countries' customs 
classification, thus enabling them to monitor and protect the value of tariff concessions;  
Noting  that, in accordance with Article 16 of the Harmonized System Convention, the Council of the 
World Customs Organization adopted a Reco mmendation on 27 June 20 14 concerning amendments 
to the Harmonized System which will come into force on 1 January 2017, and that a second 
Recommendation was adopted on 11 June 2015 , which  includes corrections and complementary 
amendments to Chapter 44  (both amendments are collectively hereinafter referred to as "HS2017  
changes");  
Noting the procedure [adopted by the Gen eral Council to introduce HS2017  changes, to Schedules of 
Concessions ]1, which in certain cases may require negotiations and/or consultation s under 
Article  XXVIII of GATT  1994;  
Considering  that the Members listed in the Annex2 to this decision concerned would need more time 
to proceed with consultations or possible Article XXVIII negotiations;  
Considering that other Members not listed in the A nnex to this Decision may already have 
domestically implemented HS2017  changes, or may intend to do so, pending incorporation of such 
changes into their Schedules of Concessions, and may also desire to be covered by this waiver;  
Decides, in view of the exc eptional circumstances, to suspend the application of the provisions of 
Article II of GATT 1994:  
a)  for those Members listed in the Annex, for a further year until 31  December 201 7; 
and 
b)  for any other Member not listed in the Annex that notifies the Committe e on Market 
Access of its wish to be included in the waiver decision  from the date of 
implementation of the HS 2017 changes for that Member until  31 December 201 7;  
to the extent necessary for the purpose of enabling such Members to domestically implement t he 
recommended amendments to the Harmonized System nomenclature pending incorporation of such 
changes into their Schedules of Concessions, subject to the following conditions:  
                                                
1 Secretariat note:  a reference to the adopted procedures would be included  in this footnote . 
2 Column one  of the Annex lists the Members; c olumn two i ndicates the Member's date of 
implementation of HS2017  changes ; and column three indicates whether the Member has also implemented 
the corrections and complementa ry amendments to HS Chapter 44.  G/C/W/733  
 
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  i.  Members covered by paragraphs (a) and (b) of this Decision shall, where 
necessa ry, promptly enter into negotiations and/or consultations with 
interested Members pursuant to paragraphs 1 -3 of Article  XXVIII of 
GATT 1994;   
ii.  The negotiations and/or consultations mentioned above shall, to the extent 
possible, be completed by 31 December 2017; and  
iii.  In accordance with the provisions of Article XXVIII:3 of GATT 1994, applied 
mutatis  mutandis  to the present waiver, pending the entry into force of the 
results of the negotiations and/or consultations mentioned above, the other 
Members will be f ree to suspend concessions initially negotiated with the 
Member concerned to the extent that they consider that adequate 
compensation is not offered by the Member concerned.  G/C/W/733  
 
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  ANNEX  
MEMBERS WHICH HAVE R EQUESTED TO BE COVER ED BY THE WAIVER  
UNDER THE ABOVE DE CISION  
 
Member  Date of Implementation of the  
WCO Council Decision  
 
Adopted on 27 June 2014 : Adopted on 11 June 2015 : 
1. Canada  1 January 2017  1 January 2017  
2. Costa Rica  1 January 2017  1 January 2017  
3. China  1 January 2017  1 January 2017  
4. Hong Kong, China  1 January 2017  1 January 2017  
5. Korea  1 January 2017  1 January 2017  
6. New Zealand  1 January 2017  1 January 2017  
7. Norway  1 January 2017  1 January 2017  
8. Russian Federation  1 January 2017  1 January 2017  
9. Separate Customs 
Territory of Taiwan, 
Penghu, Kinmen and 
Matsu  31 December 2020  31 December 2020  
10. United States  1 January 2017  31 December 2017  
 
 
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