WORLD TRADE  
ORGANIZATION  TN/MA/W/18/Add.8 
4 July 2005 
 
 (05-2882) 
Negotiating Group on Market Access Original:   English 
  
 
MARKET ACCESS FOR NON-AGRICULTURAL PRODUCTS 
 
Treatment of Non- Ad Valorem  Technical Tariffs
 
 
Communication from the United States 
 
Addendum  
  
 The following communication, dated 1 July 2005,  is being circulated at the request of the 
Delegation of the United States. 
_______________  
 
 In the context of the WTO negotiations on non-agricultural market access, WTO Members 
have agreed that all non -ad valorem  tariffs shall be converted to ad valorem equivalents (AVEs) on 
the basis of a methodology to be determined and bound in ad valorem  terms at the end of the Round.  
The United States would like to present an explanation of its proposed methodology for AVE conversion for 133 “technical tariffs” it maintains at the HS-8 digit level.  
 
 U.S. technical tariffs are those tariffs where the tariff is based on non-tariff lines (for example, many watch tariffs need to be calculated at the 10-digit, statistical HTS line), or based on parts 
classified elsewhere (derived tariffs), or otherw ise not possible to estimate without seeing the actual 
imported product.  An example of a derived tariff is ensembles; for “ensembles” the rate is “The rate 
applicable to each garment in th e ensemble if separately entered.” 
  The WTO Secretariat lists 133 items where th e United States has an “other” type of 
non-ad valorem  tariff which are often referred to as tec hnical tariffs.  These products are listed in 
Annex 1
1. 
 
1)   For 94 items requiring 10-digit data, the Un ited States will calculate the AVE using the HS 10 
digit level data and apply the general AVE me thodology.  The United States will provide the 
HS 10-digit data to the WTO Secretariat as well. 
 2)  For the 39 “derived” and other technical tari ffs in the U.S. tariff schedule, the United States 
will retain the “derived” rate for ensembles and certain “oth er” items but will convert all 
component parts to ad valorem equivalents and bind them in ad valorem  terms. 
 
 Leaving technical tariffs in place for those items  where the rate is derived for each component 
will serve as a way to ensure exporters to the Un ited States that the rates for ensemble components 
will not rise.  For example, certain cotton jackets now  subject to the 6.2% rate would not have to pay 
an estimated 10.2% or 12.6% just becau se they were imported as an ensemble.  
                                                     
 
1 In English only. TN/MA/W/18/Add.8 
Page 2  
 
 Annex 1  
 
HTS8 BRIEF DESCRIPTION Proposed AVE Method 
26030000 Copper ores and concentrates Calculate using 10-digit data. 
26070000 Lead ores and concentrates Calculate using 10-digit data. 
26161000 Silver ores and concentrates Calculate using 10-digit data. 
26169000 Precious metal (other than silver) ores a nd concentrates Calculate using 10-digit data. 
26201960 Ash and residues (not from the mfr. of iron or steel), 
containing mainly zinc, other than hard zinc spelter/zinc 
dross & skimmings Calculate using 10-digit data. 
61032100 Men's or boys' ensembles, kn itted or crocheted, of wool or 
fine animal hair Retain as derived rate; 
convert components into AVEs 
61032200 Men's or boys' ensembles, knitted or cr ocheted, of cotton Retain as derived rate; 
convert components into AVEs 
61032300 Men's or boys' ensembles, kn itted or crocheted, of synthetic 
fibers Retain as derived rate; 
convert components into AVEs 
61032910 Men's or boys' ensembles, kn itted or crocheted, of artificial 
fibers Retain as derived rate; 
convert components into 
AVEs 
61032920 Men's or boys' ensembles, kn itted or crocheted, of textile 
materials nesoi Retain as derived rate; 
convert components into 
AVEs 
61042100 Women's or girls' ensembles,  knitted or crocheted, of wool 
or fine animal hair Retain as derived rate; 
convert components into AVEs 
61042200 Women's or girls' ensembles, knitted or crocheted, of cotton Retain as derived rate; 
convert components into AVEs 
61042300 Women's or girls' ensemb les, knitted or crocheted, of 
synthetic fibers Retain as derived rate; 
convert components into 
AVEs 
61042910 Women's or girls' ensemb les, knitted or crocheted, of 
artificial fibers Retain as derived rate; 
convert components into 
AVEs 
61042920 Women's or girls' ensembles,  knitted or crocheted, of textile 
materials nesoi Retain as derived rate; 
convert components into AVEs 
62032130 Men/boy ensemble suit/jack et/trouser, not knit/crochet, of 
worsted wool fabric with yarn 18.5 micron or less average fiber diameter Retain as derived rate; 
convert components into AVEs 
62032190 Men's or boys' ensembles, not  knitted or crocheted, of wool 
or fine animal hair, nesoi Retain as derived rate; 
convert components into AVEs 
62032230 Men's or boys' ensembles, not knitted or crocheted, of 
cotton, other than judo, karate and other oriental martial arts 
uniforms Retain as derived rate; 
convert components into 
AVEs 
62032300 Men's or boys' ensembles, not knitted or crocheted, of 
synthetic fibers Retain as derived rate; 
convert components into 
AVEs  TN/MA/W/18/Add.8 
 Page 3 
 
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
62032920 Men's or boys' ensembles, not knitted or crocheted, of 
artificial fibers Retain as derived rate; 
convert components into AVEs 
62032930 Men's or boys' ensembles, not knitted or crocheted, of 
textile materials nesoi Retain as derived rate; 
convert components into AVEs 
62042100 Women's or girls' ensemble s, not knitted or crocheted, of 
wool or fine animal hair Retain as derived rate; 
convert components into AVEs 
62042230 Women's or girls' ensemble s, not knitted or crocheted, of 
cotton, other than judo, karate and other oriental martial arts 
uniforms Retain as derived rate; 
convert components into 
AVEs 
62042300 Women's or girls' ensemble s, not knitted or crocheted, of 
synthetic fibers Retain as derived rate; 
convert components into 
AVEs 
62042920 Women's or girls' ensemble s, not knitted or crocheted, of 
artificial fibers Retain as derived rate; 
convert components into AVEs 
62042940 Women's or girls' ensemble s, not knitted or crocheted, of 
textile materials nesoi Retain as derived rate; 
convert components into AVEs 
78011000 Refined lead, unwrought  Retain as derived rate; 
convert components into 
AVEs 
78019100 Lead (o/than refined lead), containing by weight antimony 
as the principal other element, unwrought Retain as derived rate; 
convert components into 
AVEs 
78019930 Lead (o/than refined lead),  bullion Retain as derived rate; 
convert components into AVEs 
78019990 Lead (o/than refined lead), unw rought nesoi Retain as derived rate; 
convert components into AVEs 
82059000 Sets of articles (handtools and other specified tools) of two 
or more subheadings of heading 8205 Retain as derived rate; 
convert components into AVEs 
82060000 Tools of two or more of headings 8202 to 8205 put up in 
sets for retail sale Retain as derived rate; 
convert components into 
AVEs 
82111000 Sets of assorted knives w/cutting blades serrated or not 
(including pruning knives) Retain as derived rate; 
convert components into 
AVEs 
82151000 Sets of assted. base metal spoons, forks, ladles, etc. & 
similar kitchen or tableware, w/at least one article plated w/prec. metal Retain as derived rate; 
convert components into AVEs 
82152000 Sets of assted. base metal spoons, forks, ladles, etc. & 
similar kitchen or tableware, w/no articles plated with precious metal Retain as derived rate; 
convert components into AVEs 
90059040 Parts and accessories, for binoculars, monoculars, optical 
telescopes, or astronomical instruments, incorp. good or 
9001 or 9002 Retain as derived rate; 
convert components into 
AVEs TN/MA/W/18/Add.8 
Page 4  
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
90059080 Parts and accessories, including mountings, for binoculars, 
monoculars, other optical telescopes, and other astronomical instruments, nesi Retain as derived rate; 
convert components into AVEs 
90159000 Parts and accessories for surveying, hydrographic, 
oceanographic, hydrological, meteorological or geophysical instruments and appliances Retain as derived rate; 
convert components into AVEs 
90179000 Parts and accessories for drawing, marking-out or 
mathematical calculating instruments, and for hand-held instruments for measuring length Calculate using 10-digit data. 
90259000 Parts & accessories of hydrometers & like floating 
instruments, thermometers, pyrometers, barometers, 
hygrometers, psychrometers & combinations Retain as derived rate; 
convert components into 
AVEs 
91011140 Wrist watches with cases of or clad with precious metal, 
electrically operated, with mechanical display only, with 0-
1 jewel in mvmt Calculate using 10-digit data. 
91011180 Wrist watches with cases of or clad with precious metal, 
electrically operated, with mechanical display only, w/more than 1 jewel in mvmt Calculate using 10-digit data. 
91011940 Wrist watches with cases of or clad with precious metal, 
electrically operated, with both opto-electronic and mechanical displays, 0-1 jewel Calculate using 10-digit data. 
91011980 Wrist watches with cases of or clad with precious metal, 
electrically operated, w/both opto-electronic & mechanical 
displays, over 1 jewel Calculate using 10-digit data. 
91012180 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, with automatic winding, w/17 jewels 
or less in mvmt Calculate using 10-digit data. 
91012910 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, not automatic winding, with 0-1 jewel in mvmt Calculate using 10-digit data. 
91012920 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, not automatic winding, with 2-7 jewels in mvmt Calculate using 10-digit data. 
91012930 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, n/auto winding, 8-17 jewels, mvmt n/o $15 & n/o 15.2 mm Calculate using 10-digit data. 
91012940 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, n/auto winding, 8-17 jewels, mvmt 
n/o $15 & ov 15.2 mm Calculate using 10-digit data. 
91012950 Wrist watches with cases of or  clad with precious metal, not 
electrically operated, not automatic winding, 8-17 jewels, 
movement over $15 Calculate using 10-digit data. 
91019940 Watches (excl. wrist watches) with cases of or clad with 
precious metal, not electrically operated, w/8-17 jewels in mvmt, mvmt n/o $15 ea Calculate using 10-digit data. 
91021110 Wrist watches nesoi, electrically operated, mechanical 
display only, 0-1 jewel, gol d/silver-plated case, band of 
textile mat. or base metal Calculate using 10-digit data. 
91021125 Wrist watches nesoi, electrically operated, mechanical 
display only, 0-1 jewel, case nesoi, with band of textile 
material or base metal Calculate using 10-digit data.  TN/MA/W/18/Add.8 
 Page 5 
 
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
91021130 Wrist watches nesoi, electrically operated, mechanical 
display only, 0-1 jewel, gold- or silver-plated case, with band of material nesoi Calculate using 10-digit data. 
91021145 Wrist watches nesoi, electrically operated, mechanical 
display only, 0-1 jewel, case nesoi, with band of material nesoi Calculate using 10-digit data. 
91021150 Wrist watches nesoi, electrically operated, mechanical 
display only, over 1 jewel, gol d/silver-plated case, band of 
textile or base metal Calculate using 10-digit data. 
91021165 Wrist watches nesoi, electrically operated, mechanical 
display only, over 1 jewel, case nesoi, with band of textile 
material or base metal  Calculate using 10-digit data. 
91021170 Wrist watches nesoi, electrically operated, mechanical 
display only, over 1 jewel, gold- or silver-case, with band of 
material nesoi Calculate using 10-digit data. 
91021195 Wrist watches nesoi, electrically operated, mechanical 
display only, over 1 jewel, case nesoi, with band of material nesoi Calculate using 10-digit data. 
91021920 Wrist watches nesoi, electrically operated, w/both 
optoelectronic & mechanical displays, 0-1 jewel, band of textile material or base metal Calculate using 10-digit data. 
91021940 Wrist watches nesoi, electrically operated, w/both 
optoelectronic & mechanical displays, 0-1 jewel, band of 
material nesoi Calculate using 10-digit data. 
91021960 Wrist watches nesoi, electrically operated, w/both 
optoelectronic & mechanical displays, over 1 jewel, band of 
textile mat. or base metal Calculate using 10-digit data. 
91021980 Wrist watches nesoi, electrically operated, w/both 
optoelectronic & mechanical displays, over 1 jewel, band of material nesoi Calculate using 10-digit data. 
91022110 Wrist watches nesi, automa tic winding, 0-1 jewel, watch 
band of textile material or base metal Calculate using 10-digit data. 
91022125 Wrist watches nesi, automa tic winding, 0-1 jewel, watch 
band not of textile material or base metal Calculate using 10-digit data. 
91022130 Wrist watches nesi, automa tic winding, 2-17 jewels, watch 
band of textile material or base metal Calculate using 10-digit data. 
91022150 Wrist watches nesi, automa tic winding, 2-17 jewels, watch 
band not of textile material or base metal Calculate using 10-digit data. 
91022170 Wrist watches nesi, auto matic winding, over 17 jewels, 
watch band of textile material or base metal Calculate using 10-digit data. 
91022190 Wrist watches nesi, auto matic winding, over 17 jewels, 
watch band not of textile material or base metal Calculate using 10-digit data. 
91022904 Wrist watches nesoi, not electrically operated, not 
autowind, 0-1 jewel, entered w ith straps/bands/bracelet of 
tex. mat. or base metal Calculate using 10-digit data. 
91022910 Wrist watches nesoi, not electrically operated, not 
automatic winding, 0-1 jewel, with strap/band/bracelet of 
material nesoi Calculate using 10-digit data. 
91022915 Wrist watches nesoi, not electrically operated, not 
automatic winding, 2-7 jewels, with strap/band of textile 
material or base metal Calculate using 10-digit data. TN/MA/W/18/Add.8 
Page 6  
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
91022920 Wrist watches nesoi, not electrically operated, not 
automatic winding, 2-7 jewels, with strap/band/bracelet of material nesoi Calculate using 10-digit data. 
91022925 Wrist watches nesoi, not electrically operated, n/autowind, 
8-17 jewels, mvmt n/o $15 & n/o 15.2 mm, band of textile material or base metal Calculate using 10-digit data. 
91022930 Wrist watches nesoi, not electrically operated, not 
automatic winding, 8-17 jewels, movement n/o $15 & n/o 15.2 mm, band of material nesoi Calculate using 10-digit data. 
91022935 Wrist watches nesoi, not electrically operated, 
n/autowinding, 8-17 jewel, mvmt n/o $15 & ov 15.2 mm, 
band of textile material or base metal Calculate using 10-digit data. 
91022940 Wrist watches nesoi, not electrically operated, 
n/autowinding, 8-17 jewel, mvmt n/o $15 & over 15.2 mm, 
with band of material nesoi Calculate using 10-digit data. 
91022945 Wrist watches nesoi, not electrically operated, not auto 
winding, 8-17 jewels, movement over $15 each, with band of textiles or base metal Calculate using 10-digit data. 
91022950 Wrist watches nesoi, not electrically operated, not auto 
winding, 8-17 jewels, mvmt over $15 each,  with band of material nesoi Calculate using 10-digit data. 
91022955 Wrist watches nesoi, not electrically operated, not 
automatic winding, over 17 jewels in the mvmt, with band 
of textiles or base metal Calculate using 10-digit data. 
91022960 Wrist watches nesoi, not electrically operated, not 
automatic winding, over 17 jewels in the movement, with 
band of material nesoi Calculate using 10-digit data. 
91029120 Watches (excl. wrist watches)  nesoi, electrically operated, 
with opto-electronic display only Calculate using 10-digit data. 
91029140 Watches (excl. wrist watches)  nesoi, electrically operated, 
with 0-1 jewel in the movement Calculate using 10-digit data. 
91029180 Watches (excl. wrist watches)  nesoi, electrically operated, 
with over 1 jewel in the movement Calculate using 10-digit data. 
91029920 Watches (excl. wrist watches) nesoi, not electrically 
operated, with 0-7 jewels in the movement Calculate using 10-digit data. 
91029940 Watches (excl. wrist watches) nesoi, not electrically 
operated, with 8-17 jewels in  movement, movement valued 
not over $15 each Calculate using 10-digit data. 
91029960 Watches (excl. wrist watches) nesoi, not electrically 
operated, with 8-17 jewels in  movement, movement valued 
over $15 each Calculate using 10-digit data. 
91029980 Watches (excl. wrist watches) nesoi, not electrically 
operated, having over 17 jewels in the movement Calculate using 10-digit data. 
91031020 Clocks with watch movement s, excluding clocks of heading 
9104, electrically operated, with opto-electronic display 
only Calculate using 10-digit data. 
91031040 Clocks with watch movement s, excluding clocks of heading 
9104, electrically operated, with 0-1 jewel in the movement Calculate using 10-digit data. 
91031080 Clocks with watch movement s, excluding clocks of heading 
9104, electrically operated, with over 1 jewel in the 
movement Calculate using 10-digit data.  TN/MA/W/18/Add.8 
 Page 7 
 
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
91039000 Clocks with watch movement s, excluding clocks of heading 
9104, not electrically operated  Calculate using 10-digit data. 
91040005 Instrument panel clocks fo r vehicles, air/spacecraft, vessels, 
clock movement over 50 mm wide, opto-electronic display only, n/o $10 each Calculate using 10-digit data. 
91040010 Instrument panel clocks fo r veh., air/spacecraft, vessels, 
clock mvmt over 50 mm wide, electric, nt optoelectronic display, n/o $10 each Calculate using 10-digit data. 
91040025 Instrument panel clocks fo r vehicles, air/spacecraft, vessels, 
w/clock movement ov 50 mm wide, opto-electronic display only, ov $10 each Calculate using 10-digit data. 
91040030 Instrument panel clocks fo r vehicles, air/spacecraft,vessels, 
w/clock mvmt ov 50 mm wide, electric, nt optoelectronic 
display, ov $10 each Calculate using 10-digit data. 
91040045 Instrument panel clocks fo r vehicles, air/spacecraft,vessels, 
w/watch or clock movement < 50 mm wide, opto-electronic display only Calculate using 10-digit data. 
91040050 Instrument panel clocks fo r vehicles, air/spacecraft, vessels, 
w/watch or clock movement < 50 mm wide, electric, not opto-electronic display Calculate using 10-digit data. 
91040060 Instrument panel clocks for vehicles, air/spacecraft or 
vessels, w/clock or watch movement < 50 mm wide, nonelectric Calculate using 10-digit data. 
91051140 Alarm clocks nesoi, electrically operated, with opto-
electronic display only Calculate using 10-digit data. 
91051180 Alarm clocks nesoi, electrically operated, other than with 
opto-electronic display only Calculate using 10-digit data. 
91051910 Alarm clocks nesoi, not electrically operated, movement 
measuring not over 50 mm, not designed to operate over 47 
hrs without rewinding Calculate using 10-digit data. 
91051920 Alarm clocks nesoi, not electrically operated, movement 
measuring n/o 50 mm, designed to operate over 47 hrs w/o 
rewinding, with 0-1 jewel Calculate using 10-digit data. 
91051930 Alarm clocks nesoi, not electrically operated, movement 
measuring n/o 50 mm, designed to operate over 47 hrs w/o 
rewinding, over 1 jewel Calculate using 10-digit data. 
91052140 Wall clocks nesoi, electrically operated, with opto-
electronic display only Calculate using 10-digit data. 
91052180 Wall clocks nesoi, electrically operated, other than with 
opto-electronic display only Calculate using 10-digit data. 
91052910 Wall clocks nesoi, not electrically operated, mvmt 
measuring n/o 50 mm, not designed or constr. to operate over 47 hrs without rewinding Calculate using 10-digit data. 
91052920 Wall clocks nesoi, not electrically operated, mvmt 
measuring n/o 50 mm, 0-1 jewe l, constructed/designed to 
operate over 47 hrs w/o rewinding Calculate using 10-digit data. 
91052930 Wall clocks nesoi, not electrically operated, mvmt 
measuring n/o 50 mm, ov 1 jewe l, constructed/designed to 
operate ov 47 hrs w/o rewinding Calculate using 10-digit data. 
91059140 Clocks nesoi, electrically operated, with opto-electronic 
display only Calculate using 10-digit data. TN/MA/W/18/Add.8 
Page 8  
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
91059180 Clocks nesoi, electrically operated, other than with opto-
electronic display only Calculate using 10-digit data. 
91069055 Apparatus for meas., recording or indicating time intervals, 
w/watch or clock mvmt., battery powered, w/opto-electronic display only Calculate using 10-digit data. 
91081140 Watch movements, comple te and assembled, electrically 
operated, with mechanical display or device to incorporate such display, 0-1 jewel Calculate using 10-digit data. 
91081180 Watch movements, comple te and assembled, electrically 
operated, with mechanical display or device to incorporate such display, over 1 jewel Calculate using 10-digit data. 
91081200 Watch movements, comple te and assembled, electrically 
operated, with opto-electronic display only Calculate using 10-digit data. 
91081940 Watch movements, comple te and assembled, electrically 
operated, w/both optoelectronic & mechanical displays, 
having 0-1 jewels Calculate using 10-digit data. 
91081980 Watch movements, comple te and assembled, electrically 
operated, w/both optoelectronic & mechanical displays, having over 1 jewel Calculate using 10-digit data. 
91091110 Alarm clock movements, complete and assembled, 
electrically operated, with opto-electronic display only Calculate using 10-digit data. 
91091120 Alarm clock movements, complete and assembled, 
electrically operated, with display nesoi, measuring not over 50 mm in width or diameter Calculate using 10-digit data. 
91091140 Alarm clock movements, complete and assembled, 
electrically operated, with display nesoi, measuring over 50 mm, valued not over $5 each Calculate using 10-digit data. 
91091160 Alarm clock movements, complete and assembled, 
electrically operated, with display nesoi, measuring over 50 
mm, valued over $5 each Calculate using 10-digit data. 
91091910 Clock movements nesoi, complete and assembled, 
electrically operated, with opto-electronic display only Calculate using 10-digit data. 
91091920 Clock movements nesoi, complete and assembled, 
electrically operated, with display nesoi, measuring not over 50 mm in width or diameter Calculate using 10-digit data. 
91091940 Clock movements nesoi, complete and assembled, 
electrically operated, with display nesoi, measuring over 50 mm, valued not over $5 each Calculate using 10-digit data. 
91091960 Clock movements nesoi, complete and assembled, 
electrically operated, with display nesoi, measuring over 50 mm, valued over $5 each Calculate using 10-digit data. 
91101100 Complete watch moveme nts, unassembled or partly 
assembled (movement sets) Retain as derived rate; 
convert components into 
AVEs 
91109020 Complete clock movements, unassembled or partly 
assembled (movement sets) Retain as derived rate; 
convert components into 
AVEs 
91109040 Incomplete clock movement s consisting of 2 or more pieces 
or parts fastened or joined together Retain as derived rate; 
convert components into AVEs   TN/MA/W/18/Add.8 
 Page 9 
 
 
 HTS8 BRIEF DESCRIPTION Proposed AVE Method 
91149030 Assemblies and subassemblies for clock movements 
consisting of 2 or more pieces or parts fastened or joined inseparably together Retain as derived rate; 
convert components into AVEs 
93010030 Rifles, military Calcul ate using 10-digit data. 
93033040 Rifles (o/than muzzle-loading), for sport, hunting or target-
shootings, valued o/$25 but n/or $50 each  Calculate using 10-digit data. 
93033080 Rifles (o/than muzzle-loading), for sport, hunting or target-
shooting rifles, valued at $25 and under or o/$50 each Calculate using 10-digit data 
96085000 Sets of pens, mechanical pencils, etc. from two or more 
subheadings 9608.10 - 9608.40 Retain as derived rate; 
convert components into AVEs 
   
__________