CELEX: 51987PC0700
Language: en
Date: 1987-12-23
Title: Proposal for a COUNCIL REGULATION (EEC) on the rules of origin for trade between Spain and Portugal in the period during which the transitional measures are applied (submitted by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (87) 700
Vol. 1987/0320
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                /                          /
                                               COM(87 ) 700 final
                                               Brussels , 23 December 1987
                                   Proposal for a
                              COUNCIL REGULATION ( EEC )
      on the rules of origin for trade between Spain and Portugal in the
            period during which the transitional measures are applied
                           ( submitted by the Commission )
                                S
                                Xc>\    *5    *ν     jf
                                       40 ! an
                                            on Si
   C0M(87 ) 700 final
 ---pagebreak---                           EXPT.ANATORY             NOTE
1.       The form of the origin rules in trade between Spain and Portugal
1.1      The rules of origin in Council Regulation ( EEC ) No . 84G/86 of
         3 March 1986 ( 1 ) are closely linked to the preferential origin rules
         used in the EEC-EFTA Agreements , being based on the principle that
         if sufficient working or processing is carried out on non¬
         originating ( imported ) materials , then the final product is regarded
         as originating . The measure of sufficient working or processing is
         that the imported materials must be classified in a different
         nomenclature ( tariff ) heading than the product .
1.2      There are exceptions from this basic 'change of heading' rule .
         These take the form of two Annexes .
1.3      In addition , specific conditions for products originating in the
         rest of the Community of headings Nos . 74.03 and 76.02 and
         Chapters 84 to 92 were introduced by Council Regulation ( EEC )
         No . 2474 /86 of 24 July 1982 ( 2 ).
1.4      The different headings concerned are those of the Customs
         Cooperation Council Nomenclature for the classification of goods in
         customs tariff ( CCCN ).
2.       The Harmonized System ( H.S. )
2.1      The current CCCN will be replaced on 1 January 1988 by a new
         nomenclature which is identical to the H.S. at a four digit level
         ( that is , at heading rather than six digit code level ).
         Consequently the current origin rules based on the present CCCN will
         no longer be easily useable by any country which has adopted the
         H.S. .
2.2      It is therefore necessary for the Community to negotiate with its
         preferential partners new origin rules based on the headings of the
         H.S. to come into force on 1 January 1988 and to adapt its
         autonomous measures •
( 1 ) O.J. No . L 83 of 27.03.1986 , p. 1 .
( 2 ) O.J. No . L 212 of 02.08.1986 , p. 7 .
 ---pagebreak---                                       _ O _
3.    The proposai
3. 1  The économie content
      The Commission has , in order to keep the size of the problem within
      manageable limits , adopted the principle of a 'neutral'
      transposition so as to preserve the status quo in economic terms .
3.2   The new presentation of the rules
3.2.1 In consultation with the Member States it has been decided to do
      away with the separate Lists in Annexes I and II of Regulation ( EEC )
      No . 846 /86 and to combine them in a single List ( Annex III of the
      proposal ) . This List wi.1.1 then contain all the exceptions from the
      basic 'change of heading' rule . The new single List will also
      mention the 'change of heading' criteria insofar as it concerns
      individual products in that List . It will not be read in
      conjunction with a separate 'change of heading' rule as in the case
      with Lists A and B at present .
3.2.2 A set of introductory notes to the List have been drawn up giving :
      - guidance on how to apply the List ; and ,
      - in the case of textile products , the mixtures tolerance and
         accessories rules which are , at present , contained in footnotes to
         List A.
      This has allowed a fuller treatment of those aspects which , in the
      past , have given rise to misunderstanding .
3.2.3 The Annex on the percentage rules applicable to products originating
      in the rest of the Community ( Annex TV of the proposal ) has been
      amended to take account of the introduction of the H.S. , the rates
      being the same as those used in Regulation ( EEC ) No . 2474/86 .
4.    A consolidated text
      To assure the clarity of this change to a system based on a new
      Nomenclature , it is considered necessary to issue a new consolidated
      text of Regulation No . 846 /86 as amended by Regulation No . 2474 /86 .
 ---pagebreak---                                 3
Conclusion
The new form of presentation of the origin rules is a lot clearer
and easier to use . Guidance has been given on how to apply the
List , which was not there before . This should result in lower
administrative costs to producers and a wider use of the
opportunities available .
The economic effects of the current rules have been maintained , but
unnecessary rules have been eliminated , potentially unclear rules
have been revised and , where possible , rules have been simplified .
 ---pagebreak---                             ANNEX
     ESTIMATE CF IMPACT ON COMPETITIVENESS AND EMPLOYMENT
As this is a restructuring of the current rules of origin appli ¬
cable in trade between Spain and Portugal because of the intro ¬
duction of the Harmonized System on 1 January 1988 , which will
keep the status quo in respect of their economic effect this
proposal will not have any impact on small and medium sized
businesses .
 ---pagebreak---                                                                      - 1 -
                                           COUNCIL REGULATION ( EEC) No                      /
                       on the rules of origin for trade between Spain and Portugal in the period during which
                                                   the .transitional measures are applied
      THE COUNCIL OF THE EUROPEAN COMMUNITIES.                                 detailed quidance on how it should be interpret¬
                                                                               ed; whereas it is therefore advisable to 3IHSnd the
                                                                               Regulation to extent, rendered necessary by the new
      Having regard to the Treaty establishing the European                    presentation of the origin rules;
      Economic Community,
                                                                               Whereas it is appropriate for the proper func¬
      Having regard to the Act of Accession of Spain and                        tioning of the origin rules to redraft certain pro¬
      Portugal, and in particular Article 1 of Protocol No 3 ,                  visions with a view to facilitating the work of
      annexed thereto,                                                          users and customs administrations 3nd to repeal ReC)J–
                                                                               lation ( EEC ) No 846/86,
     •Having regard to the proposal from the.Commission,
                                                                               HAS ADOPTED THIS REGULATION :
      Whereas Council Regulation ( EEC ) No . 846 /86
                   ( I ) , as amended by '            Regulation
      (EEC ) No. 2474 /86 '                     ( 2 ), lays down                                          TITLE I
      the rules of origin for trade between Spain and
      Portugal during the transitional period ;
                                                                                    Definition of the concept of ‘originating products’
      Whereas the origin rules contained in Regulation ( EEC )                                            Article I
      No . 846 /86 are based on the use of the Customs
      Cooperation Council Nomenclature ; whereas the
                                                                                For the purposes of the arrangements established in
      Customs Cooperation Council          ^ approved the ’In¬                 Article I (2) and (3) of Protocol No 3 to the Act of
      ternational Convention on the Harmonized Commodi¬                        Accession, the following products shall be considered
      ty Description and Coding System’ ( hereinafter                          as :
      referred to as the H.S. ) on 14 June 198' ; whereas
      it is the intention that as from 1 January 1988                           1 . products originating in Spain :
      the H.S. will replace the current nomenclature                                (a) products wholly obtained in Spain :
      for the purposes of international trade ; whereas                             (b) products obtained in Spain in the manufacture
      it is therefore necessary to adapt the rules of                                   of which products other than those referred to
      origin contained in Regulation ((EEC)   EEC ) NoNo 846/86
                                                           846/86 insofar
                                                                     insofar asS        in (a ) are used, provided that the said products
they are based on the use of the H.S. ;                                                 have undergone sufficient working or process¬
                                                                                        ing within the meaning of Article 3 . This con ¬
      Whereas , in the light of experience , the present ¬                              dition shall not apply, however, to products
      ation of the origin rules could be improved by                                    which, within the meaning of this Regulation,
                                                                                        originate in Portugal ;
      grouping all the exceptions to the basic change
      of heading rule into one List and by providing
                                                                                2.  products originating in Portugal :
                                                                                    (a) products wholly obtained in Portugal :
                                                                                    (b) products obtained in Portugal in the manufac¬
                                                                                        ture of which products other than those
                                                                                         referred to in ( a ) are used , provided that the
                                                                                         said products have undergone sufficient work*
                                                                                         ing or processing within the meaning of
      *-                                                                                 Article 3 . This condition shall not apply, how­
      ( 1 ) O.J. No . L 81 of 27.0 1 . 1986 ; p. 1 .                                     ever, to products which , within the meaning of
      ( 2 ) O.J. No . L 212 of 02.08.1986 , p. 7 .                                       this Protocol, originate in Spain.
 ---pagebreak---                                                              - 2 -
The products in Annex' II               shall be temporarily       A.       Ihe expressions 'Chapters' and 'headings'
excluded from the scope of this Regulation . Neverthe¬             used in this Regulation shall mean the Chapters
less, the arrangements regarding administrative cooper¬            and the headings ( four diqit codes ) used in the
ation and Article 1 1 shall apply muiaiis mutandis to              Nomenclature which makes up the 'Harmonised Com¬
these products .                                                   modity Description and Coding System' ( herein¬
                                                                   after referred to as the Harmonized System ),
                              Article 2                            Ihe expression 'classified' shall refer to the
                                                                   classification of a product or material under a
The following shall be considered as wholly obtained               particular heading .
either in Spain or in Portugal within the meaning of
Article I ( 1 ) (a) and ( 2) ( a):
                                                                   5.       For the purpose of implementing Article l ( I ) (b)
(a) mineral products extracted from their soil or from             and (2) (b) the following shall always be considered as
      their seabed ;                                               insufficient working or processing to confer the status
                                                                   of originating product, whether or not there is a change
(b) vegetable products harvested there ;
                                                                   of           . heading :
(c) live animals born and raised there ;
                                                                    (a) operations to ensure the preservation of merchan ¬
(d) used articles collected there lit only for the recov ¬                  dise in good condition during transport and storage
      ery of raw materials ;                                                ( ventilation , spreading out , drying, chilling, placing
                                                                             in salt, sulphur dioxide or other aqueous solutions,
(e ) waste and scrap resulting from manufacturing
      operations conducted there ;
                                                                             removal of damaged parts, and like operations ):
                                                                    (b ) simple operations consisting of removal of dust ,
(0 goods produced there exclusively from products                            sifting or screening, classifying, matching ( includ ¬
      specified in subparagraphs ( a ) to ( e ).                             ing the making up of sets of articles ), washing,
                                                                             painting, cutting up ;
                                                                    ( c) ( i ) changes of packing and breaking up and
                                                                                   assembly of consignments ;
                             Article 3                                       (ii ) simple placing in bottles, flasks, bags, cases,
                                                                                   boxes, fixing on cards or boards, etc., and all
                                                                                   other simple packing operations :
1.     for the purpose of implementing Article 1 ( 1 )
( b ) and ( 2 ) ( b), non-originating materials ShsLL be            ( d ) affixing marks, lables or other like distinguishing
                                                                             signs on products or their packaging :
considered to be sufficiently worked or processed
when the product obtained is classified in a
                                                                    ( e ) simple mixing of products, whether or not of differ-
                                                                          ■ ent kinds, where one or more components of the
 heading which is different from those in which                              mixtures do not meet the conditions laid down in
 all the non-oriqinating materials used in its ma¬                           this Protocol to enable them to be considered as
 nufacture are classified , subject to the provi¬                            originating either in the Community or in Portugal :
 sions of paragraphs 2 , 3 and 5 below .                            (0 simple assembly of parts of articles to constitute a
                                                                             complete article :
 2 . For a product mentioned in colunns 1 and 2 of                  ( g ) a combination of two or more operations specified
 the List in Annex 111 , the conditions set out in                           in subparagraphs ( a ) to ( 0 :
 column .5 for the product concerned must be ful¬
                                                                     ( h ) slaughter of animais .
 filled instead of the rule in paragraph 1 .
  5 > f.- or products falling within Chapters 84 to
  91       as an alternative to satisfying the cond¬
 itions set out in column t , the exporter may opt
 to apply the conditions set out in column A of
 the List in Annex III           instead .
 ---pagebreak---                                                             - 3 -
                              Article 4                               Accordingly ,, it follows that :
  1.     By derogation from Article 1 , originating                   - when a product composed of a group or assembly
  status shall also be conferred on products fall¬                      of articles is classified under the terms of
  ing within the headings and Chapters set out in                       the Harmonized System in a single heading , the
  Annex IV , by working , processing or assembly in                     whole constitutes the unit of gualification ;
 which the combined value of the materials origin¬
  ating in the Community as constituted on 31 Decem¬                  - wnen a consignment consists of a number of
  ber 1985 , hereinafter referred to as 'The Community                  identical products classified under the same
 of len' , and non-originating materials incorpor¬                      heading of the Harmonized System , each product
  ated does not exceed the percentage of the value                      must be taken individually when applying the
 of the finished product fixed for them in Annex                        origin rules .
 IV .
 Where non-originating materials are incorporated ,                 2 Accessories, spare parts and tools dispatched with
                                                                     a piece of equipment; machine, apparatus or vehicle
 the value of these materials may never exceed ,                     which are part of the normal equipment and included
within the limits set out in Annex IV :                              in the price thereof, or are not separately invoiced, are
                                                                     regarded as - one with the piece of equipment, machine,
 - for        • products falling within Chapters 84 to               apparatus or vehicle in question .
     91: the percentage set out for these products
    in column 4 of the List in Annex III , or in co¬
    lumn 1 when no rule is given in column 4 ;                      3 . Sets within the meaning of General Rule 3 of the
                                                                Harmonized System shall be regarded as originating when all
- for           products falling within headings                     component articles are originating products . Neverthe ¬
                                                                     less, when a set is composed of originating and non -
    Nos . 74.07 , 74.08 , 76.04 and 76.05 :         40 % of
                                                                     originating articles, the set as a whole shall be regarded
     the value of the finished product .                             as originating provided that the value of the non-ori ¬
                                                                     ginating articles does not exceed 15 % of the total value
 2.        Article 1     . shall apply mutatis mutandis for          of the set.
         determination of the status of products origina¬
         ting in the Community of Ten . However, when
       • the said originating status is conferred following          4.   Where , under General Rule 5 of the Harmonized
         application of the rules laid down in paragraph 1.
         only the percentages and the conditions laid               System , packing is included with the product for
     .. down with regard to non-originating materials                classification purposes , it shall be included for
         incorporated apply.         •   , .                        purposes of determining origin .
                                                                    5 - In order to determine whether goods originate in
                                                                    Spain or in Portugal, it shall not be necessary to estab-
                             Article 5                              lish whether the power and fuel, plant and equipment.
                                                                  . and machines and tools used to obtain such goods ori-
 1 . Ihe unit of qualification for the application                  ginate in third countries or not.
of the origin rules shall be the particular pro¬
duct which is considered as the basic unit when
determining classification using the Nomenclature
of the Harmonized System . In the case of sets of
products which are classified by virtue of Gene¬
ral Rule i           the harmonized system, the urit of qualification shall be
determined in respect of each item in the set ;
this also applies to the sets of headings
Nos . 63.08 , 82.06 and 96.05 .
 ---pagebreak---                                                                                    Article 8
                                                         The exporter or his authorized representative shall sub ¬
                                                         mit any supporting evidence indicating that one of the
                                                         internal Community transit documents referred to in
                                                         Article 7. endorsed with the words Portuguese origin'
                                                         or ‘Spanish origin' , as appropriate , in accordance with
                                                         Article 17 of Regulation ( EEC ) No 409 / 86 , may cor¬
                                                         rectly be made out in respect of the goods for export to
                                                         Spain or Portugal as the case may be .
                        Article 6
                                                                                  Article 9
 1.   Ihe term ’value’ in the List in Annex ill                                                              2)
 shall mean the customs value at the time of the          î.Council Régulation (EEC) No 3351 /83                 shall apply
 import of the non-originating materials used or ,        mutatis mutandis to the making out of the internal
 if this is not known and cannot be ascertained ,        Community transit documents referred to in Article 7
                                                         and to the provision of the evidence of the originating
 the first ascertainable price paid for the mate ¬       status of products of the Community of Ten.
 rials in the territory concerned .
                                                         The supplier must state clearly in his declaration that
Where the value of the originating materials used        the products have originated either in the Community
needs to be established , the first subparagraph shall   of Ten or in Spain or in Portugal.
 be applied mutatis mutandis .
                                                         2.    For the purposes of Article 1 ( 1 ) (b) last sentence
 2 . Ihe term ’ex-works price’ in the List in An ¬       and (2) (b) last sentence, evidence of the originating
 nex 111 shall mean the ex-works price of the pro ¬      status of Spanish or Portuguese products may also take
 duct obtained minus any internal taxes which are ,      the form of one of the internal Community transit
 or may be , repaid when the product obtained is         documents referred to in Article7 , made out in Spain
                                                         or Portugal as the case may be.’
 exported .
                                                                                   Article 10
                       TITLE II
                                                          1.  In order to ensure the proper application of this
                                                         Title. Spain and Portugal - w. V-
               Administrative coopération
                                                                    shall assist each other, through their respec¬
                                                         tive customs administrations, in checking the authen¬
                                                         ticity and accuracy of the internal Community transit
                        Article  7                       documents T2 ES. T2L ES, T2 PT or T 2 L PT or
                                                         documents having the same effect .
Originating products within the meaning oT this Regu ¬
lation may be imported into Spain or Portugal under      For the purpose of subsequent verification , the Spanish
the preferential arrangements provided for in Article l  or Portuguese customs authorities must keep the said
of Protocol No 3 to the Act of Accession on production   internal Community transit documents, or copies of
of an internal Community transit document T 2 ES ,       documents having the same effect , for not less than two
T 2 L ES. T 2 PT or T 2 L FT, or other document having   years .
the same effect, made out in Spain or Portueal as the
case may be, as provided for in Article I7 of Commission
Regulation ( EEC) No 409/86 .                            2 . Subsequent verification of the documents shall be
                                                         carried out in accordance with the relevant provisions
                                                         of the Community transit system .
1)0J No L 46, 25.2.1986, p.5
2)0J No L 339, 5.12.1983, p.19
 ---pagebreak---                                                            - 5 -
                          TITLE III                                                        Article J 2
                      General provisions
                                                                 1 . The Committee on Origin set up by Article 12 of Council
                                                                 Regulation (EEC) No 802/6e may examine all matters
                           A rticle 11                           relating to the implementation of this Regulation which
                                                                 are raised by its chairman either on his own initiative or
                                                                 at the request of a representative of one of the Member
 1.   Products used in the manufacture of products of a          States .
kind to which this Regulation applies and in respect of
which an internal Community transit document T 2 ES ,
T 2 L ES. T 2 PT or T 2 L PT. or other document having           2. The provisions required for applying the definition
the same effect, is made out in Spain or Portugal in             of the concept of 'originating products’ shall be
accordance with Article 17 of Regulation ( EEC ) No              adopted in accordance with the procedure laid down in
409 / 86 , must :                                                Article 14 (2) and (3 ) of Regulation ( EEC) No 802/68 .
( a ) be in free circulation in Spain or Portugal , as the
      case may be ; or
                                                                                           Article 13
( b ) have given rise to the payment in Spain or Portugal        If the application of this Regulation and, in particular,
      of the compensating levy provided for in                   the provisions relating to products contained in
      Article 8 (4 ) of Commission Regulation ( EEC )                Annex IV given rise to difficulties of the kind
      No 526 / 86 of 28 February 1986 on transitional            referred to in Article 379 of the Act of Accession , the
      measures for trade within the Community in goods           new Member State concerned may apply for authoriza¬
      obtained in Spain or Portugal , or in another Mem ¬        tion to take protective measures in accordance with the
      ber State under a system providing for suspension          provisions of that Article.
      or drawback of customs duties or other import
      charges – compensating levy ( ' ).
 The exporter may opt for rule ( a ) or rule (b ).
                                                                                            Il ILE IV
 2. However, by way of exception from paragraph I ,
 products from another Member State covered by a
 Community internal transit document T 2 . T 2 L, T2                                   final provisions
 ES , T 2 L ES. T 2 PT or T 2 L PT. or a document hav ¬
 ing the same effect , made out in the said Member State ,                                 Article 14
 which are used in Spain or Portugal in the manufacture
 of products of the kind to which this Regulation                 1.   Regulation (EEC ) No . 846 /86 is hereby
 applies, may be the subject of drawback or other form           repealed .
 of exemption from customs duties applicable between
 the other Member States and Portugal or Spain as the            2.    References to the provisions repealed shall
 case may be.
                                                                 be construed as references to this Regulation .
                                                                 References to the Articles of Regulation ( EEC )
                                                                 No . 846 /86 shall be interpreted in accordance
 Cl OJ No L 52,^28^2. L986 . D. L „
  (2) 0J No L f48, 28.6.1968, p.1                                with the table of equivalence in Annex 1 .
 ---pagebreak---                                                     - 6 •
                      Artide 1 *>                          January 1988 under the rules in force before that
                                                           date , shall be accepted
 1.  Products which were exported before 1 January                      according to the rules in force when
 1988 accompanied by one of the internal Community         they were issued .
 transit documents or other documents havinq the
 same effect , referred to in Article 7 , shall be
 considered as originating under the rules in for¬                               Artide 16
 ce on 1 January 1988 .
                                                            Ihis Regulation shall enter into force on 1 Janu ¬
 2.  Internal Community transit documents or other         ary 1988 .
 documents having the same effect , issued before 1
Ihis Regulation shall be binding in its entirety and directly applicable in all Member States .
Done at Brussels , ... 1987 .
                                                          for the Council
                                                          I lie President
 ---pagebreak---                                        1                       ANNEX   I
                    (  ABLE        Of EQUIVALENCE
      Regulation ( EEC ) No . 846 /86             Present Regulation
Article 1                              Article 1
Article 2                              Article 2
Article  I :
- paragraph 1 :
  - subparagraph 1 a ) and b )         Article 3 , paragraphs 1 atuf 2
  - subparagraph 2                     Article 3 , paragraph 4
  - subparagraph 3                     Annex III , Introductory Note 4.4
- paragraph 2 :
  - a ) and b )                        Article 3 , paragraph 3
  - c)                                 Article 4 , paragraph 1
- paragraph 2 ( a )                    Article 4 , paragraph 2
                                       Article 3 , paragraph 1
- paragraph 3                          Article 3 , paragraph 2
- paragraph 4                          Article 3 , paragraph *
- paragraph 3                          Article 3 , paragraph 4
- paragraph 6                          Article 3 , paragraph 3
- paragraph 7                          Article 3 , paragraph 3
 ---pagebreak---                                                      2
          Regulation ( EEC ) No . 846 /06                            Present Regulation
Article 4                                            Article 6
Article 9                                            Article     7
Article 6                                            Article 8
Article 7                                            Article 9
Article 8                                            Article     10
Article 9                                             Article    11
Article         10                                    Article     12
Article 10 ( a )                                      Article     11
–
                                                      Article     14
–                                                     Article     19
Article         11                                    Article     16
Annex I , Lists A and 0                               Annex III , single list , columns 1 , 2
                                                      and  5
 Annex II , Lists I and II                            Annex III , single list , columns 1 , 2 ,
                                                      and  1 or 4
Annex II , List 111                                   Annex  IV
Annex       1 l l                                     Annex  1 l
mrmrwm- m-r–m   m m-m'm mm mm wr~*Tw-*rm tr–mrmrm-r,
 ---pagebreak---                                                                  ANNEX II
                   LISI OK PRODUCIS REFERRED 10 IN ARIICLE 1
        WHICH ARE I EMPORARIL Y EXCLUDED FROM THE SCOPE OF THIS   REGULATION
   H.S.
 Heading                           Description of product
   No .
ex 27.07    Oils in which the weight of the aromatic constituents exceeds
            that of the non - aromatic constituents , being oils similar to
            mineral oils obtained by distillation of high temperature coal
            tar , of which more than 65 % by volume distils at a temperature
            of up to 250 * C ( including mixtures of petroleum spirit and
            benzole ), for use as power or heating fuels
27.09 to    Mineral oils and products of their distillation ; bituminous
27.15       substances ; mineral waxes
ex 29.01    Acyclic hydrocarbons for use as power or heating fuels
ex 29.02    Cyclanes and cyclenes ( other than azulenes ), benzene , toluene ,
            xylenes , for use as power or heating' fuels'
ex 54.0.1   Lubricating preparations containing petroleum oils or of oils
            obtained from bituminous minerals , provided they represent less
            than 70 % by weight
ex 54.04    Artificial waxes and prepared waxes with a basis of paraffin ,
            petroleum waxes , waxes obtained from bituminous minerals , slack
            wax or scale wax
ex 58.11    Prepared additives for lubricating oil , containing petroleum
            oils or oils obtained from bituminous minerals
 ---pagebreak---                                                  I                      ANNE X 111
                              LISI OK WORKING OR PROCESSING
              REQUIRED 10 BE CARRIED OU I ON NON-OR [ GINA I I NG HAIfRIALS
      IN ORDER I HA I  1 HE PRODUCI MANUK AC I IJRED CAN OBIAIN ORIGINATING SIAIUS .
i              i- TP- 22
General
N o t e_ j
1.1        Ihe first two columns in the List describe the product obtained .
           Ihe first column gives the heading number , or the Chapter number ,
           used in the Harmonized System and the second column gives the
           description of goods used in that System for that heading or
           Chapter . for each entry in the first two columns a rule is
           specified in columns I and 4 . Where , in some cases , the entry in
           the first column is preceded by an 'ex' , this signifies that the
           rule in column i or column 4 only applies to the part of that
           heading or Chapter as described in column 2 .
 1.2       Where several heading numbers are grouped together in column 1 or a
           Chapter number is given and the description of product in column 2
           is therefore given in general terms , the adjacent rule in column I
           or column 4 applies to all products which , under the Harmonized
           System , are classified in headings of the Chapter or in any of the
           headings grouped together in column 1 .
1.3        Where there are different rules in the List applying to different
           products within a heading , each indent eontains the description of
           that part of the heading covered by the adjacent rule in column 1
           or column 4 .
 1.4       for the products of Chapters 04 to 91 inclusive , if no origin rule
           is given in column 4 , the rule set out in column I has to be
           applied .
N o t e_ 2
2. 1       Ihe term 'manufacture' covers any kind of working or processing
           including 'assembly' or specific operations . However , see Note 1.9
           below .
 ---pagebreak---                                          - 2 -
2.2       Ihe term 'material' covers any ' inqredient ' , 'raw material' ,
          'component' or 'part' , etc ., used in the manufacture of the product .
2.' *     Ihe term 'product' refers to the product being manufactured , even if
          it is intended for later use in another manufacturing operation .
N ot e_ J
3.1       In the case of any heading not in the List or any part of a heading
          that is not in the List , the 'change of heading' rule set out in
          Article 3(1 ) applies . If a 'chanqe of heading * condition applies to
          any entry in the List , then it is contained in the rule in column 1 .
3.2       Ihe working or processing required by a rule in column 5 or column 4
          has to be carried out only in relation to the non - originating
          materials used .   Ihe restrictions contained in a rule in column 3
          or column 4 likewise apply only to the non-originating materials
          used .
 3.3      Where a rule states that 'materials of any heading' may be used ,
          materials of the same heading as the product may also be used ,
          subject , however , to any specific limitations which may also be
          contained in the rule . However , the expression 'manufacture from
          materials of any heading including other materials of heading
          No . ...' means that only materials classified in the same heading as
          the product of a different description than that of the product as
          given in column 2 of the List may he used .
 3.4      If a product , made from non-originating materials which has acquired
          oriqinating status during manufacture by virtue of the change of
          heading rule or its own List rule , is used as a material in the
          process of manufacture of another product , then the List rule
          applicable to the product in which it is incorporated does not apply
          to it .
          - For example , an engine of heading No . 84.07 , for which the rule
             states that the value of the non - or i gina t i ng materials which may
             be incorporated may not exceed 40 % of the ex-works price , is made
             from 'other alloy steel roughly shaped by forging' of heading
             No . 72.24 .
 ---pagebreak---                                            - 5 -
             If this forging has been forqed in the country concerned from a
             non-originating ingot then the forging has already acquired origin
            by virtue of the rule for heading No - ex 72.24 in the l.ist . It
             can then count as originating in the value calculation for the
             engine reqardless of whether it was produced in the same factory
             or another .    Ihe value of the non-originating ingot is thus not
             taken into account when acldino up the value of the non-oriqinating
            matarialu used .
5.5       Even if the change of heading rule or the rule contained in the List
          are satisfied , a product does not have origin if the processing
          carried out , taken as a whole , is insufficient in the senoe of
          Article 3 (5 ) .
N ot e_ 4
4.1       Ihe rule in the List represents the minimum amount of working or
          processing required and the carrying out of more working or
          processing also confers originating status ; conversely , the carrying
          out of less working or processing cannot confer origin . Ihus if a
          rule says that non-originating material at a certain level of
          manufacture may be used , the use of such material at an earlier
          stage of manufacture is allowed and the use of such material at a
          later stage is not .                       •
4.2       When a rule in the List specifies that a product may be manufactured
          from more than one material , this means that any one or more of the
          materials may be used . It does not require that all be used .
          - For example , the rule for fabrics says that natural fibres may be
            used and that chemical materials , among other materials , may also
             be used .   ( his does not mean that both have to be used , one can
             use one or the other or both .
          If , however , a restriction applies to one material and other
          restrictions apply to other materials in the same rule , then the
          restrictions only apply to the materials actually used .
 ---pagebreak---                                             4
          - For example , the rule for sewing machines specifies that the
             thread tension mechanism used has to originate and that the
             zig-iag mechanism used also has to originate ; these two
             restrictions only apply if the mechanisms concerned are actually
             incorporated into the sewing machine .
4.3       When a rule in the List specifies that a product must be
          manufactured from a particular material , the condition obviously
          does not prevent the use of other materials which , because of their
          inherent nature , cannot satisfy the rule .
          - For example , the rule for heading No . 19.04 which specifically
             excludes the use of ce. reals or their derivatives does not prevent
             the use of mineral salts , chemicals and other additives which are
             not produced from cereals .
          - For example , in the case of an article made from non-woven
             materials , if the use of only non - ori g i na t i ng yarn is allowed for
             this class of article , it is not possible to start from non-woven
             cloth - even if non-wovens cannot be made from yarn . In such
             cases , the starting material would anyway be at the stage before
             yarn - that is the fibre stage .
          See also Note 7.3 in relation to textiles .
4.4       If in a rule in the List two or more percentages are given for the
          maximum value of non-originating materials that ran be used , then
          these percentages may not be added together . Ihe maximum value of
          all the non-originating materials used may never exceed the highest
          of the percentages given . Furthermore the individual percentages
          must not be exceeded in relation to the particular materials they
          appl y to .
j ext i les
5.1        Ihe term 'natural fibres'   is used in the List to refer to fibres
          other than artificial or synthetic fibres and is restricted to the
          stages before spinning takes place , including waste and unless
          otherwise specified , the term 'natural fibres' includes fibres that
          have been carded , combed or otherwise processed but not spun .
 ---pagebreak--- Ihe term 'natural fibres' includes horsehair of heading No . 05.01 ,
silk of headings Nos . 50.02 and 50 . Of as well as the wool fibres ,
fine or coarse animal hair of headinqs Nos . 51.01 to 51.05 , the
cotton fibres of headinqs Nos . 52.01 to 52.01 and the other
vegetable fibres of headinqs Nos . 51.01 to 51.05 .
Ihe terms 'textile pulp' , 'chemical materials' and 'paper makinq
materials' are used in the List to describe the non-textile
materials ( these are not classified in Chapters 50 to 61 ) which can
be used to manufacture artificial , synthetic or paper fibres or
yarns .
Ihe term 'man-made staple fibres' is used in the List to refer to
synthetic or artificial filament tow , staple fibres or waste , of
headings Nos . 55.01 to 55.07 .
In the case of the products classified in those headinqs in the List
to which a reference is made to this Introductory Note , the
conditions set out in column .1 of the List shall not be applied to
any textile materials used in their manufacture which , taken
together , represent 10 Si or less of the total weiqht of all the
textile materials used ( but see also Notes 6.1 and 6.4 below ).
However , this tolerance may only be applied to mixed products which
have been made  from two or more basic textile materials .
 ---pagebreak---                                   6
Ihe following are the basic textile materials :
- si 1 k i
- wool ;
- coarse animal hair ;
- fine animal hair ;
- horsehair ;
- cotton ;
- paper making materials ;
- flax ;
- true hemp ;
- jute and other textile bast fibres ;
- sisal and other textile fibres of the genus Agave ;
- coconut , abaca , ramie and other vegetable textile fibres ;
- synthetic man-made filaments ;
- artificial man-made filaments ;
- synthetic man-made staple fibres ;
- artificial man-made staple fibres .
- For example , a yarn of heading No . - 52.05 made from cotton fibres
   of heading No . 52.0 * and synthetic staple fibres of heading
   No . 55.06 is a mixed yarn . Iherefore , non-originating synthetic
   staple fibres that do not satisfy the origin rules ( which require
   the use of non- originating chemical materials ) may be used up to
   a weight of 10 % of the yarn .
- For example , a woollen fabric of headinq No . 51.12 made from
   woollen yarn of heading No . 51.07 and synthetic yarn of staple
   fibres of heading No . 55.09 is a mixed fabric .   Iherefore ,
   non-originating synthetic yarn that does not satisfy the origin
   rules ( which require the use of non-originating man-made staple
   fibres not carded or combed or otherwise prepared for spinninq )
  may be used up to a weight of 10 % of the fabric .
 ---pagebreak---                                                 7
         - For example , tufted textile fabric of heading No . > 8.02 made from
           cotton yarn of headinq No . 52.05 and cotton fabric of heading
           No . 52.10 is only a mixed product if the cotton fabric is itself a
           mixed fabric being made from yarns classified in two separate
           headings or if the cotton yarns used are themselves mixtures .
         - For example , if the tufted textile fabric concerned had been
           made from cotton yarn of heading No . 52.05 and synthetic fabric of
           heading No . 54.07 , then , obviously , the yarns used are two
           separate basic textile materials .
         - For example , a carpet with tufts made both from artificial yarns
           and tufts made from cotton yarns and with a jute backing is a
           mixed product because three basic textile materials are used .
            Ihus , any non - or i ni nat ing materials that are at a later stage of
           manufacture than the rule allows may be used , provided their total
           weight taken together does not exceed 10 S of the weight of the
           carpet .   Ihus , both the jute backing and / or the artificial yarns
           could be imported at that stage of manufacture , provided the
           weight conditions are met .
6. 5     In the case of fabrics incorporating 'yarn made of polyurethane
         segmented with flexible segments of polyether whether or not gimped'
         this exception is 20 % in respect of this yarn .
6.4      In the' case of fabrics incorporating strip consisting of a core of
         aluminium foil or of a core of plastic film whether or not coated
         with aluminium powder , of a width not exceeding 5 mm , sandwiched by
         means of an adhesive between two films of plastic film , this
         exception is 10 X in respect of this strip .
N ote, 7
7.1      In the case of those textile products , which are marked in the List
         by la footnote referring to this Introductory Note , textile trimmings
         and accessories which do not satisfy the rule set out in the List in
         column I for the made up product concerned may be usad provided that
         their weight does not exceed !0 X of the total weiqht of all the
         textile materials incorporated .
 ---pagebreak--- textile trimminqs and accessories are those classified in
Chapters 50 to 65 . Linings and interlininqs are not to be regarded
as trimmings or accessories .
Any non-textile trimmings and accessories or other materials used
which contain textiles do not have to satisfy the conditions set out
in column 5 even though they fall outside the scope of Note A. -5 .
In accordance with Note 4.5 , any non- ori gina t ing non-textile
trimmings and accessories or other product , which do not contain any
textiles , may , anyway , be used freely where they cannot be made from
the materials listed in column 1 .
N.B. : Where a percentage rule applies , the value of trimmings and
       accessories must be taken into account when calculating the
       value of the non-originating materials incorporated .
- For example , if a rule in the List says that for a particular
  textile item , such as a blouse , yarn must be used this does not
  prevent the use of metal items , such as buttons , because they
  cannot be made from textile materials .
 ---pagebreak---                                                                 - 9 -
    H. S.                                                                                  Working or processing
   Heading                    Description of product                            carried out on nnr>-oriqina( inq materials
     No .                                                                            that confers origin.ating status
     (1 )                               (2 )                                                        (*)
ex 29.04   Natural crystalline graphite , with enriched carbon        Enriching of tr íe carbon content , purifying and grinding of
           content , purified and ground                              crude crystalline qraphite
ex 29.15   Marble, nerely cut by sawinq or otherwise into blocks or   Cutting , by sawing or otherwise, of marble ( even if
           slabs of a square or rectantjular shape , of a thickness   already s»n ) of a thickness exceeding 25 cm
           not exceeding 25 cm
ex 25.16   Granite porphyry , basalt , sandstone and other monunental Cutting , by sawing or otherwise, of stone ( even if already
           and building stone , nerely cut by sawing or otherwise,    3awn ) of a thickness exceeding 25 cm
           into blocks or slabs of a square or rectangular shape, of
           a thickness not exceeding 25 an
ex 25.18   Calcined dolomite                                          Calcination of doloniite not calcined
ex 25.19   Crushed natural magnesian carbonate ( nagnesite) in        Manufacture in which all the materials used are classified
           hernetically sealed containers and magnesium oxide,        in a heading other than that of the product .    However ,
           whether or not pure, other than fused maqnesia or dead     natural magnesium carbonate ( magnesite) may be used
           burned ( sintered) magnesia
ex 25.20   Plasters specially prepared for dentistry                  Manufacture in which the value of all the materials used
                                                                      does not exceed 50 % of the ex-works price of the product
ex 25.24   Natural asbestos fibres                                    Manufacture from asbestos concentrate
ex 25.25   Mica powder                                                Grinding of mica or mica waste
ex 25 . 10 Earth colours , calcined or powdered                       Calcination or qrindinq of earth colours
ex 27.07   Oils in which the weight of trie aromatic constituents     these are Annex II prodjets
           exceeds that of the nsrvarcmatic constituents , beinq
           oils similar to mineral oils obtained by distillation of
           high temperature coal tar , of which more than 65 lí by
           volane distils at a tenperature of up to 250° C
           ( including mixtures of petroleun spirit and benzole), for
           use as power or heating fuels
 ---pagebreak---                                                                         - 10 -
    H.S.                                                                                           Working or processing
   Heading                        Description of product                                 carried out on non-originating materials
     No .                                                                                     that confers originating status
      0)                                    (2 )                                                             0)
27.09 to    Mineral oils and products of their distillation ;                  these are Annex 11 products
27.15       bituninous substances ; mineral waxes
ex Chap 28   Inorganic chemicals ; organic or inorganic compounds of           Manufacture in which all the materials used are classified
             precious metals , of rare earth metals , of radioactive           in a heading other than that of the product . However,
             elements or of isotopes ; except for headings                     naterials classified in the same heading may be used
             Nos . ex 28.11 and ex 28.1.5 for which the rules are set          provided their value does not exceed 20 % of the ex-works
             out below                                                         price of the product
ex 28.11     Sulphur trioxide                                                  Manufacture from sulpixjr dioxide
ex 28 . VI   Aluni nian sulphate                                               Manufacture in which the value of all tie naterials used
                                                                               does not exceed 50 % of the ex-works price of the product
ex Chap 29   Organic clenicals , except for headinqs Nos . ex 29,01 ,          Manufacture in which all the materials used arc classified
             ex 29.02 , ex 29.05 , ex 29.06 , 29.15 , ex 29 . 52 , 29 . 55 and  in a heading other than that of the product .   However ,
             29. 54 , for which the position is set out below                   naterials classified in tlie sane headinq may be used
                                                                                provided their value does not exceed 20 % of the ex-works
                                                                                price of the procUct
ex 29.01     Acyclic hydrocarbons for use as power or heating fuels             Ihese are Annex II products
ex 29.02     Cyclanes and cyclenes ( other than a?ulenes ), bercene,            Ihese are Annex 11 procUcts
              toluene , xylenes , for use as power or heating fuels
ex 29.05     Metal alcoholates of alcohols of this heading and of              Manufacture from materials of any heading , including other
              ethanol or glycerol                                               materials of heading No . 29.05 . However , netal
                                                                                alcoholates of this heading may be used , provided their
                                                                                value does not exceed 20 % of the ex-works price of tie
                                                                                product
29.15         Saturated acyclic nionocarboxylic acids and their                 Manufacture from materials of any heading .   However , tie
              anhydrides , halides , peroxides and peroxyacids ; their          value of all the materials of headings Nos . 29.15 and
              halogenated , sulphonated , nitrated or nitrosated                29.16 used may not exceed 20 % of tie ex-works price of
              derivatives                                                       the product
ex 29 . 52   - internal ethers and their halogenated , sulphonated ,            Manufacture from materials of any heading . Mcwever , the
                nitrated or nitrosated derivates                                value of all tie materials of heading No . 29.09 used may
                                                                                not exceed 20 % of the ex-works price of the product
             - Cyclic acetals and internal heniiacetals and their              Manufacture from materials of any heading
                haloqenated , sulphonated , nitrated or nitrosated
           .    derivates
 ---pagebreak---                                                                        - 11 -
      H. S.                                                                                        Workinq or processing
     Heading                         Description of product                              carried out on non-originatinq materials
        No .                                                                                  that confers originating status
        (0                                     (2 )                                                         (O
29 . Vi          Heterocyclic expounds with nitrogen heteroatoni(s ) only ;
                 nucleic acids and their salts :
                 - lactams , other thim 6-hexanolactam ( epsilon capro¬       Manufacture from materials of any headinq . However , the
                   lactam ), 6-aiiinopenicillanic acid , 7-aminocepha-        value of all the materials of headings Nos . 29. 32 and
                   losporanic acid and 7-aminodesacetoxycephalasporanic       29. 3,3 used may not exceed 30 % of the ex-works price of
                   acid; monoa¿epines ; dia/epines ; abocines ( whether or    the product (1 )
                   not hydroqenated)
                 - other                                                      Manufacture from materials of any heading . However, the
                                                                              value of all tie materials of headings Nos. 29. 32 and
                                                                              29. 33 used may not exceed 20 % of the ex-works price of
                                                                              the product
29.34            Other heterocyclic conpounds :
                 - caipounds containing a phonothiaxine ring system           Manufacture Iran materials of any heading. However , the
                    ( whether or not hydrogenated), not further fused;        value of all the materials of headings Nos. 29 . 32 , 29. 35
                   nionothiaiionoa^epines ; monothiins ; monooxanonoadnes ;   and 29. 34 used may not exceed 50 % of the ex-works price
                    monooxanonoa^oles ( wticther or not hydrogenated)         of the product 0 )
                 - other                                                      Manufacture fron materials uf any heading . Hu,/ever , the
                                                                               value of all the materials of headings Nos . 29 . 32 , 29 . 35
                                                                              and 29 . 34 used may not exceed 2U % of the ex-works price
                                                                              of the product
ex Chap 30       Pharmaceutical products , except for headings tbs . 30,02 ,  Manufacture in which all the materials used ara classified
                  30.03 and 30.04 , for which the rules are set out below     in a heading other than that nf the product . However,
                                                                              iioterials classified in the samo headinq may be used
                                                                              provided their value does not exceed 20 % οΓ the ex'-vorks
                                                                              price of the product
(1 )    Ihis rule shall only apply until '1 farcii 1991 .
 ---pagebreak---                                                                  - 12 -
    H. S.                                                                                    Working or processing
   Heading                    Description of pnxtict                             carried out on non-originating materials
     No .                                                                             that confers originating status
      (1 )                              (2 )                                                          O)
10.02      Human blood; animal blood prepared for therapeutic,
           prophylactic or diagnostic uses ; anti-sera and other
           blood fractions ; vaccines , toxins , cultures of micro-
           organisus ( excluding yeasts) and similar products :
           - products consisting of two or more constituents which      Manufacture from materials of any heading , including other
              have been mixed together for therapeutic or               materials of heading No . 10.02 . Ihe materials of this
              prophylactic uses or unidwed prodjcts for these uses ,    description may also be used, provided their value does
              put up in measured doses or in forms or packings for      not exceed 20 % of the ex-works price of the product
              retail sale
           - other :
              - huiian blood                                            Manufacture from materials of any heading , including other
                                                                        materials of heading No . 10.02 .   Ihe materials of this
                                                                        description may also be used , provided their value does
                                                                        not exceed 20 % of the ex-works price of the product
              - animal blood prepared for therapeutic or prophylactic Manufacture from materials of any heading , including other
                uses                                                    materials of heading No . 10.02 . Ihe materials of this
                                                                        description may 0I30 bo used , provided tlieir value does
                                                                        not exceed 20 % of the ex-works price of the prodjct
              - blood fractions other than antisera , haemoglobin and   Manufacture from materials of any heading , including other
                serun globulin                                          materials of heading No . 10.02 . Ihe materials of this
                                                                        description may also be used , provided tlieir value does
                                                                        not exceed 20 % of the ex-works price of the product
              - haemoglobin, blood globulins and seam globulins         Manufacture from materials of any heading , including other
                                                                        materials of heading No . 10.02 .    Ihe materials of this
                                                                        description may also be used , provided tlieir value does
                                                                        not exceed 20 % of the ex-works price of the product
              - other                                                   Manufacture fro » (» ateríala of any hearting , including other
                                                                        »¡ateríais of heading Mo . *0.02 .   Ihe materials of this
                                                                        description may also be used , provided tlieir value does
                                                                        not exceed 20 % of thu ex-v.orks prir» of the predict
 ---pagebreak---       H.S.                                                                                       Working or processing
     Heading                        Description of prodict                             carried out on non-originating materials
       No .                                                                                 that confers originating status
       (0                                    (2 )                                                         (3 )
50.05 and       Medicaiients ( excluding goods of heading No . 50.02 , 50.03 Manufacture in which :
50.04           or 50.06 )                                                   - all the materials used are classified in a headinq other
                                                                               than that of the product .  However , materials of
                                                                               headings Nos . 50.0' and 30.04 may be used provided their
                                                                               value does not exceed 20 % of the ex-works price of the
                                                                               prodict , and
                                                                             - the value of all the materials used does not exceed 50 S
                                                                               of the ex-works price of the product
ex Chap 51      fertilisers except for heading No . ex 51.03 for which the   Manufacture in which all the materials used are classified
                rule is set out below                                        in a tieading other than that of the product . However ,
                                                                             materials classified in the same heading may be used
                                                                             provided that their value does not exceed 20 % of the
                                                                             ex-works price of the product
ex 51 . 05      Mineral or chemical fertilisers containing two or three      Manufacture in which :
                of the fertilising elenents nitrogen , phosphorous and       - all the materials used are classified in a heading other
                potassimi ; other fertilisers ; goods of this chapter , in     than that of the product . However , materials classified
                tablets or similar forne or in packages of a gross weight      in the same headinq may be used provided their value
                not exceeding 10 kg , except for :                             does not exceed 20 % of the ex-works price of the
                - sodimi nitrate                                               product , and
                - calcimi cyanamide                                          - the value of all the materials used does not exceed 50 %
                - potassimi sulphate                                           of the ex-works price of the product
                - naqnesimi potassimi sulphate
ex Chap 52      laming or dyeing extracts ;   tannins and their              Manufacture in which all the materials used are classified
                derivatives ; dyes , piqnents and other colouring matter ;   in a headinq other than that of the product . However,
                paints and varnislies ; putty and otlier mastics ; inks ;    neterials classified in the same (leading may be U3ed
                except for headings Npm ox     52.01 and '2.03 , for which   provided that their value does not exceed 20 % of the
                tiie rules are set out helow                                 ex-works price of the product
ex 52.01        lannins and their salts , ethers , esters and other          Manufacture from tanning extracts of vegetable origin
                derivatives
52.03           Colour lakes ; preparations as specified in Note 3 to this Manufacture fron materials of any headinq , except headinqs
                Chapter based on colour lates ( 1 )                          Nos . 32.03 and 32.04
( 1 ) Note 3 to Oiapter 32 says that these preparations are those of a kind used for colouring any material or used as ingredients
       in the manufacturing uf colouring preparations , provided they are nut classified in another headinq in fhapter 52 .
 ---pagebreak---                                                                       - 14 -
       H. S.                                                                                        Working or processing
      Heading                      Description of procUct                                carried out on non-originating materials
        No .                                                                                   that confers originating status
        (1 )                                                                                                 0)
 ex Chap 51     Essential oils and resinoids ; perfumery , cosmetic or        Manufacture in which all the materials used are classified
                toilet preparations ; except for heading No . 55.01 , for     in a heading other than that of the prodict . However,
                which the rule is set out below                               naterials classified in the sane heading may be used
                                                                              provided ttieir value does not exceed 20 % of ttie ex-works
                                                                              price of the product
 53.01          Essential oils ( terpeneless or not ), including concretes    Manufacture from materials of any heading, including
                and absolutes ; resinoids ; concentrates of essential oils    materials of a different 'group' ( 1 ) in this headinq.
                in fats , in fixed oils , in waxes or the like , obtained by However , materials of the same group may be used , provided
                enfleurage or maceration ; terpenic by-products of the         their value does not exceed 20 % of the ex-works price of
                deterpenation of essential oils ; aqueous distillates and the product
                aqueous solutions of essential oils
 ex Chap 54     Soap , organic surface-active agents , washinq                Manufacture in which all the materials used are classified
                preparations , lubricating preparations , artificial waxes ,   in a heading other than that of the product . However,
                prepared waxes , polishing or scouring preparations ,          naterials classified in the same heading may be used
                candles and similar articles , modelling pastes , "dental      provided their value does not exceed 20 % of the ex-works
                waxes” and dental preparations with a basis of plaster ;       price of the product
                except for headings Nos . ex 34.03 and 34.04 , for which
                the position is set out below
 ex 34.03       Lubricating preparations containing petroleum oils or          Ihese are Annex II products
                oils obtained from bituminous minerals , provided they
                represent less than 70 % by weight
 54.04          Artificial waxes and prepared waxes :
                - witii a basis of paraffin, petroleum waxes , waxes           Ihese are Annex 11 products
                  obtained from bituminous minerals , slack wax or scale
                  wax
                - other                                                        Manufacture from materials of any headinq , except :
                                                                               - hydrogenated oils having tie character of waxes of
                                                                                 heading No . 15.16
                                                                               - fatty acids not chemically defined or iixlistrial fatty
                                                                                 alcohols having the character of waxes of heading
                                                                                 No . 15.19
                                                                               - noterials of headinq No . 3/4 . 04 .
                                                                               However , tfiese naterials may be used provided ttieir value
                                                                             • does not exceed 20 % of the ex-works price of the product
.( 1 ) A 'group' is regarded as any part of the heading separated from the rest by a semi-colon.
 ---pagebreak---                                                                    - 15 -
    H. S.                                                                                       Working or processing
   Heading                     Description of product                                carried out on non-originating materials
     No .                                                                                  that confers originating status
      (1 )                              (2 )                                                             ( 1)
ex Chap 15 AlbtjTiinoidal schstances ; modified starches ; alues ;        Manufacture in which all the materials used are classified
           enzymes ; except for headings No . 15.05 and ex 55.07 for      in a heading other than the product . Hoever, materials
           which the rules are set out below                              classified in the gone heading may he used provided their
                                                                          value does not exceed 20 % of tt * ex-works price of lie
                                                                          product
15.05      Dextrins and other π-ndj find starches ( for exanple,
           pregelatinised or cstcrified starches ); glues based on
           starches , or on dextrins or other modified stardies :
           - starch ethers and esters                                     Manufacture fron materials of any headinq , including other
                                                                          naterials of heading No . 15.05
           - other                                                        Manufacture fron niaterials of any heading , except those of
                                                                          fteadirtg No . 11.08
ex .15.07  Prepared enzymes not elsewhere specified or included           Manufacture in which the value of all ttie niaterials used
                                                                          does not exceed 50 % of the ex-works price of the product
Chap .16   Explosives ; pyrotectmic products ; matches ; pyrophoric       Manufacture in which all the materials used are classified
           alloys ; certain combustible preparations                      in a heading other thaï that of the product . However,
                                                                          materials classified in the same heading may be used
                                                                          provided their value does not exceed 20 % of the ex-works
                                                                          price of the product
ex Chap 17 Photographic or cinematographic goods ; except for             Manufacture in which all the materials used are classified
           headings Nos . 57.01 , 17.02 and 17.04 for which the rules     in a heading other than that of the product . However,
           are set out belcw                                              materials classified in the sane heading may be used
                                                                          provided their value does not exceed 20 8 of the ex-vo rks
                                                                          price of tlie product
 ---pagebreak---                                                                    - 16 -
    H. S.                                                                                     Working or processing
   Heading                      Description of product                              carried out on non-originating materials
      No .                                                                               that confers originating status
      (1 )                                (2 )                                                          (5)
57.01      Photographic plates and film in the flat , sensitised ,
           unexposed , of any material other than paper , paperboard
           or textiles ; instant print film in the flat , sensitised,
           unexposed , whether or not in packs :
           - instant print film for colour photography , in packs          Manufacturo in which oil the materials used are classified
                                                                           in a heading other than that of the product . However , the
                                                                           value of all the materials of headinq No . 57.02 used may
                                                                           not exceed 50 % of the ex-works price of the product
           - other                                                         Manufacture in which all the materials used are classified
                                                                           in a heading other than heading No . 57.01 or 57.02
57.02      Photographic film in rolls , sensitised , unexposed , of any Manufacture in which all the materials used are classified
           material other than paper , paperboard or textiles ;            in a headinq other than heading No . 57 . ΠΙ or 57.02
           instant print film in rolls , sensitised , unexposed
57.04      Photographic plates , film , paper , paperboard and             Manufacture in which all the materials used are classified
           textiles , exposed but not developed                            in a heading other than headings Nos . 57.01 to 57.0i
ex Chap 58 Miscellaneous clonica! products ; except for headings           Manufacture in which all tlie materials used are classified
           Nos . ex 58.01 , ex 58.05 , ex 58.05 , ex 58.06 , ex 58.07 ,    in a heading other than that of the product . However ,
            58.08 to 58 . 14 , 58.18 to 58.20 , 5B.22 and 58.2.5 for which materials classified in the same headinq may be used
           the rules are set out below                                     provided their value does not exceed 20 % of the ex-works
                                                                           price of the product
ex 58.01   - Colloidal graphite in suspension in oil and send              Manufacture in which the value of all the materials used
              colloidal graphite ; carbonaceous pastes for electrodes      does not exceed 50 % of the ex-works price of the prodict
           - Graphite in paste form , being a mixture of more than         Manufacture in which value of all the materials of heading
              50 % by weight of graphite with mineral oils                 No . 54.05 used may not exceed 20 % of the ex-works price
                                                                           of the prodjet
 ---pagebreak---                                                                  - 17 -
    H. S.                                                                                   Working or processing
   Heading                    Description of product                              carried out on non-oriqinatinq materials
     No .                                                                              that confers originating status
      (1 )                               (2 )                                                        (3 )
ex 58.03   Refined tall oil                                             Refining of crude tall oil
ex 38.06   Spirits of sulphate turpentine , purified                    Purification by distillation or refining of raw spirits of
                                                                        sulphate turpentine
ex 58.06   ister gums                                                   Manufacture from resin acids
ex 58.07   Wood pitch ( wood tar pitch )                                Distillation of wood tar
18.08 to   Miscellaneous chemical products :
18.16 ,
18.18 to   - prepared additives for lubricating oil , containing        Ihese are Annex 11 products
18.20 ,      petroleum oils or oils obtained from bituminous
58.22 and    minerals , of heading No . 18.11
18.23
           - the following of heading No . 58 . 2 5 ;                   Manufacture in which all the materials used are classified
             - prepared hinders for foundry moulds or cores based on in a heading other than that of the product . However,
               natural resinous pruxUcLs                                materials classified in the same heading may be used
             - naphthenic acids , their water insoluble salts and       provided ttieir value does not exceed 20 % of tie ex-works
               their esters                                             price of the product
             - sorbitol other than that of heading No . 29.06
             - petroleum sulphonntes , excludinn petroleum
               sulphonates of alkali n«-tals , of riwinniuit or of
               ethanolanines ; thiophenated sulphonic acids of oils
               obtained from bituminous minerals , and tlieir salts
             - ion exchangers
             - getters for vacam tibes
             - alkaline iron oxide for too purification of gas
             - ammoniacal gas liquors and spent oxide produced in
               coal qas purification
             - sulphonaphthenic acids , their water insoluble salts
               and their esters
             - fusel oil and Dippel' s oil
             - mixtures of salts havinq different anione
             - copying pastes with a basis of gelatin, whetiier or
               not on a paper or textile backing
           - other                                                      Manufacture in which tl » value of all the materials used
                                                                        does not exceed 60 % of the ex-works price of the product
 ---pagebreak---                                                                       - 18 -
      H. S.                                                                                       Working or processing
     Heading                        Description of product                             carried out on non- originating materials
       No .                                                                                 that confers originating status
       (1 )                                    (2 )                                                        ( 5)
19.01 to         Plastics in primary forms , waste, parings and scrap , of
59.19            plastic:
                 - addition homopolymer ! /at ion procUcts                   Manufacture in which :
                                                                             - the value of all the materials used does not exceed r/(l %
                                                                                of the ex-works price of the product , and
                                                                             - the value of the materials of Chapter 39 used does not
                                                                                exceed 20 % of the ex-works price of the product (1 )
                  - other                                                    Manufacture in which the value of the materials of
                                                                             Chapter 59 used does not exceed 20 % of the ex-works price
                                                                             of the product (1 )
59.16 to          Semi-manufactures of plastics :
59.21
                  - flat products , further worked than only surface-worked  Manufacture in which the value of the materials of
                    or cut into fons other than rectanqles ; other           Chapter 19 used does not exceed 90 Sí of the ex-works price
                    products , further worked than only surface-worked       of the product
                  - other :
                    - of addition homopolynerization products                 Manufacture in which :
                                                                             - the value of all the materials used does not exceed 90 %
                                                                                 of the ex-works price of the product , and
                                                                              - the value of the materials of Chapter 59 used does not
                                                                                 exceed 20 % of the ex-works price of the product ( 1 )
                    - other                                                   Manufacture in which tiie value of the materials of
                                                                              Chapter 59 used does not exceed 20 Sí of the ex-works price
                                                                              of the product (1 )
 59.22 to         Articles of plastic                                         Manufacture in which the value of all U *» niaterials used
 59.26                                                                        •Joes not exceed r;Q % of the ex-works price of Uie product
 ( 1 ) In the case of products composed of materials classified in both headings Nos . il*. 01 to 59.06 , on the one hand , and in
        headings Nos. 59.07 to 59.11 , on the other hand , this restriction only a|jplies to that group of niaterials which predominates
        by weiglit in the procUct .
 ---pagebreak---                                                                      - 19 -
      H.S.                                                                                       Workinq or processing
     Heading                       Description of product                             carried out on non- originating materials
       No .                                                                                 that confers originating status
       (1 )                                   (2 )                                                         (1)
ex ftO.OI       Laniinated slabs of crepe rubber for shoes                  Laiiination of sheets of natural rubber
40.09           Conpounded rubber , unvulcarized , in primary fons or in    Manufacture in which the value of all the materials used ,
                plates , sheets or strip                                    except natural rubber , does not exceed 90 % of the
                                                                            ex-works price of the product
40.12           Retreaded or used pneumatic tyres of rubber , solid or
                cushion tyres , interchangeable tyre treads and tyre flaps
                of rubber :
                - retreaded pneenatic , solid or cushion, tyres of rubber    Retreading of used tyres
                - other                                                      Manufacture from π¡ateríais of any heading , except those of
                                                                             headings Nos . 40.11 or 40. 12
 ex 40.17       Articles of hard ruMor                                       Manufacture from hard rubber
 ex 41.02       Raw skins of sheep or lands , without wool on                Reniovai of wool from slieep or lamb skins , with wool on
 41.04 to       Leather , without finir or wool other than leatfier of       Retanning of pre-tanned leather
 41.07          heading No . 41.08 or 4I.U9                                   OR
                                                                             Manufacture in which all the materials used are classified
                                                                             in a heading other than that of the product
 41.09          Patent leather and patent laminated leather ; metallized     Manufacture from leather of headings Nos. 41.04 to 41.07
                 leather                                                     provided its value does not exceed 90 % of the ex-works
                                                                             price of the product
 ex ft 1.02      1 armed or dressed furskins , assembled :
                - plates , crosses and similar fons                          Bleaching or dyeing , in addition to cutting and assembly
                                                                             of non assenbled, tanned or dressed furskins
                 - other                                                     Manufacture from non-assanbled , tanned or dressed furskins
 41.01           Articles of apparel , clothing accessories and other        Manufacture troni non-assanbled tanned or dressed furskins ,
                 articles of furskin                                         of heading No . 41.02 ( 1 )
.( 1 ) Until 11 March 1990 , assenhled suzluki , grey Siberian squirrel and hanster skins of healing No . ft 1.0? Toy he used .
 ---pagebreak---                                                                       - 21 ) -
      H. S.                                                                                          Working nr processing
     Heading                      Description of product                                  carried out on nor>-oriqinatinq materials
       No .                                                                                    that confers originating status
       (1 )                                  (2 )                                                             (3 )
 ex 44.03     Wood roughly squared                                             Manufacture from wood in the rough , whether or not
                                                                                stripped of its bark or nerely roughed down
 ex 44.07     Wood sawn or chipped lengthwise , sliced or peeled , of a        Planing , sanding or finger^ jointing
              thickness exceeding 6 nm , planed , sanded or
              finger- jointed
  ex 44 . 0Θ  Veneer sheets and sheets for plywood , of a thickness not         Splicing, planing , sanding or finger- jointing
              exceeding 6 nm, spliced , and other wood sawn lengthwise,
              sliced or peeled , of a thickness not exceeding 6 ntn ,
              planed , sanded or finger- jointed
  ex 44.09    - Wood ( including strips and friezes for parquet                  Sanding or finger- jointing
                 flooring , not assembled) continuously shaped ( tonged,
                 grooved , rebated, chamfered , V-jointed , beaded , moulded,
                 rounded or the like ) along any of its edges or faces ,
                 sanded or finger- jointed
              - Beadings and mouldings                                           Beading or moulding
  ex 44.10 to Beadings and noul dings , including moulded skirtinq and           (ieadinq or moulding
  ex 44.13    other moulded boards
  ex 44.15    Packing cases , boxes , crates druis and similar packings ,        Manufacture from boards not cut to size
              of wood
  ex 44.16     Casks , barrels , vats , tubs and other coopers' products         Manufacture fron riven staves , not further worked than
               and parts thereof, of wood                                        sani on the two principal surfaces
  ex 44 . 1Θ  - Builder's joinery and carpentry of wood                          Manufacture in which all the materials used are classified
                                                                                  in a heading other than that of the product . However,
                                                                                 cellular wood panels , shingles and shakes may be used
              - Beadings and mouldings                                           Beading or moulding
  ex 44.21     Match splints ; wooden peqs or pins for footwear                  Manufacture from wood of any heading except drawn wood of
                                                                                 heading No . 44.09
  45.03       Articles of natural cork                                           Manufacture from cork of hearting No . 40,01
• ex 4Θ.1 1    Paper and paperboard , ruled , lined or squared only            . Manufacture from paper making neterials of chapter 47
 ---pagebreak---                                                                    - 21 -
      H. S.                                                                                      Working or processing
     Heading                     Description of product                                carried out on non-originatinq materials
        No .                                                                                that confers originating status
        (D                                 (2 )                                                           (O
48 . 16      Carbon paper , self-copy paper and other enpyinq or             Manufacture fron paper making materials of Chapter 47
             transfer pepers ( other than those of heading No . 43.09 ),
             duplicator stencils and offset plates , of paper , whether
             or not put up in boxes
48.17        envelopes , letter Carr's , plein postcards and                 Manufacture in which :
             correspondence cards , of paper or paperboard; boxes ,          - all the materials used are classified in a heading other
             pouches , wallets and writing corpendiuus , of paper or           than that of the product , and
             paperboard, containing an assortment of paper stationery        - the value of the materials used does not exceed 90 % nf
                                                                               tlie ex-works price of the product
ex 48 . 18   1 oilet paper                                                   Manufacture from paper Taking materials of Chapter 47
ex 48.19     Cartons , boxes , cases , bags and other packing containers ,   Manufacture in which :
             of paper, paperboard , cellulose wadding or webs of             - all the materials used are classified in a heading other
             cellulose fibres                                                  than that of the product , and
                                                                             - the value of all the materials used does not exceed 9Π %
                                                                               of the ex-works price of tie product
ex 48.20     Letter pads                                                     Manufacture in which the value of all tie materials used
                                                                             does not exceed 90 % of the ex-works price of the product
ex 48.2 1    Other paper , paperboard , cellulose wadding and webs of        Manufacture fron paper making materials of Chapter 47
             cellulose fibres , cut to si¿e or shape
49.09        Printed or illustrated postcards ; printed cards bearing Manufacture from materials not classified in headinq
             personal greetings , messages or announcements , whether or No . 49.09 or 49.11
             not illustrated , with or without envelopes or trimminqs
49 . 10      Calendars of any kind , printed , including calendar
             blocks :
             - calendars of the "perpetual " type or with replaceable        Manufacture in which :
                blocks mounted on bases other than paper or paperboard       - all the materials used are classified in a headinq other
                                                                               than that of the product , and
                                                                             - trie value of all the materials used does not exceed 90 %
                                                                               of the ex-works price of the product
             - other                                                         Manufacture from materials not classified in heading
                                                                           . No. 49.09 or 49.11
 ---pagebreak---                                                                        - 22 -
      H. S.                                                                                       Working or processing
     Heading                       Description of product                               carried out on non-originating materials
       No .                                                                                  that confers originating status
       (1 )                                   (2 )                                                          (.»)
ex 50 . Oi     Silk waste ( including cocoons unsuitable for reeling ,        Carding or conbing of silk waste
               yam waste and gametted stock ), carded or combed
55.01 to       Man-made staple fibres                                         Manufacture from chemical materials or textile pulp
55.07
ex Chap 50     Yam, monofilament and thread                                   Manufacture from ( 1 ):
to 55                                                                         - natural fibres not carded or conbed or otherwise
                                                                                 processed for spinning ,
                                                                              - chemical materials or textile pulp , or
                                                                              - paper making materials
ex Chap 50     Woven fabrics :
to 55
               - combined with ribber thread                                  Manufacture from single yarn ( 1 )
               - other                                                        Manufacture from ( 1 ):
                                                                              - coir yam,
                                                                              - natural fibres ,
                                                                              - nan-made staple fibres not carded or caibed or otherwise
                                                                                 processed for spinning ,
                                                                              - cfiemical materials or textile | iulp , or
                                                                              - paper making materials
                                                                                OR
                                                                              Printing accompanied by at least two preparatory or
                                                                               finishing operations ( such as scouring , bleaching ,
                                                                              mercerising , heat setting , raising , calendering , shrink
                                                                              resistmce processing , permanent finishing , decatising ,
                                                                              impregnating , mending and burling) where the value of tlie
                                                                              unprinted fabric used does not exceed 47.5 % of the
                                                                              ex-works price of the product
ex Chap 56      Wadding , felt and non- wo vens ; special yams ; twine        Manufacture from ( 1 ):
                cordage , ropes and cables and articles thereof except for - coir yarn,
                headings Nos . 56.02 , 56.06 , 56.05 and 56.06 , for which    - natural fibres , or
                the rules are set out below                                   - chemical materials or textile pulp
,,w
 ( 1 ) Cor special conditions relating to products made of a mixture of textile materials , see Introductory Note 6 .
 ---pagebreak---        H.S.                                                                                      Working or processing
      Heading                      Description of product                              carried out on non-originating materials
         No .                                                                               that confers originating status
         0)                                  (2 )                                                          (*)
 56.02          telt , whether or not impregnated, coated , covered or
                laminated :
                - needleloom felt                                            Manufacture from ( 1 ):
                                                                             - natural fibres ,
                                                                             - ctiemical materials or textile pulp .
                                                                             However :
                                                                             - polypropylene filament of heading No . 54.02 ,
                                                                             - polypropylene fibres of heading No . 55.01 or 55.06 , or
                                                                             - polypropylene filament tow of heading No . 55.01 ,
                                                                             of which the denomination in all cases of a single
                                                                             filament or fibre is less than 9 decitex may be used
                                                                             provided that their value does not exceed 40 % of the
                                                                             ex-works price of the product
                - other                                                      Manufacture from ( 1 ):
                                                                             - natural fihres ,
                                                                             - nan-made statile fibres made from casein, or
                                                                             - chemical materials nr textile pulp
 56.04          Rubber thread and cord , textile covered; textile yarn ,
                and strip and the like of heading No . Vi.fi'i 0 r 56 . 05 ,
                impregnated , coated , covered or slieathcd with riJilier or
                plastics :
                - rubber thread and cord , textile covered                   Hnnufacture from nf>¡v>r thrp**1 or enrd , not textile
                                                                             covered
                - other                                                      Manufacture from (1 ):
                                                                             - natural fibres not carded or caibed or otherwise
                                                                                processed for spinning ,
                                                                             - chemical materials or textile pulp , or
                                                                             - paper making materials
 56 . 05        Metallised yarn , whether or not gimpod, being textile       Manufacture from ( 1 ):
                yam, or strip or the like of heading No . 54.04 or 54.06 ,   - natural fibres ,
                contained with metal in the form of thread , strip or        - man-nade staple fibres not carded or combed or otherwise
                powder or covered with metal                                    processed for spinning ,
                                                                             - cheniical naterials of textile pulp , or
                                                                             - paper making materials
.( 1 ) tor special conditions relating to prodjcts niade of a mixture of textile materials , see Introilictory Note 6
 ---pagebreak---                                                                     - 24 -
      H. S.                                                                                     Working or processing
     Heading                     Description of product                               carried out on non-originating materials
       No .                                                                                that confers originating status
       0)                                  (2 )                                                           O)
56.06         Gimped yam, and strip and the like of ( leading No . 54.04   Manufacture from ( 1 ):
              or 54.05 , gimped ( other than those of heading No . 56.05   - natural fibres ,
              and gimped horsehair yarn ); chenille yarn ( including       - nan-node staple fibres not carded or conibed or otherwise
               flock chenille yam); loop wale-yam                              processed for spinning ,
                                                                           - cftemicai "ateríais or textile pulp , or
                                                                           - paper making materials
Chap 57       Carpets and other textile floor coverings :
              - of needleloom felt                                         Manufacture fron ( 1 ):
                                                                           - natural fibres , or
                                                                           - chemical materials or textile pulp .
                                                                           However :
                                                                           - polypropylene filaient of heading No . 54.02 ,
                                                                           - polypropylene fibres of heading No . 55.01 or 55.06 , or
                                                                           - polypropylene filament tow of heading No . 55.01 ,
                                                                           of which the denomination in all cases of a single
                                                                            filament or fibre is less than 9 decitex may be used
                                                                           provided that their value does not exceed 40 % of the
                                                                           ex-works price of the procUct
              - of other felt                                              Manufacture from ( 1 ):
                                                                           - natural fibres not carded or combed or otherwise
                                                                               processed for spinning , or
                                                                           - chemical materials or textile pulp
              - othor                                                      Manufacture from ( 1 ):
                                                                            - coir yarn,
                                                                           - synthetic or artificial filament yarn,
                                                                           - natural fibres , or
                                                                            - ren-made staple fibres not carded or conbed or otherwise
                                                                               processed for spinning
( 1 ) For special conditions relating to products made of a mixture of textile materials , see Introdictnry Note 6 .
 ---pagebreak---        H.S.                                                                                      Working or processing
      Heading                       Description of product                            carried out on non-originating materials
        No .                                                                                that confers originating status
        0 ).                                  (2 )                                                         (υ
 ex Oiap 98    Special woven fabrics ; tufted textile fabrics ; lace ;
               tapestries ; trimnings ; embroidery , except for headings
               Nos . 98.09 and 90.10 ; the rule for heading No . 98.10 is
               set out below :
               - canbined with rubber thread                                Manufacture from single yam (1 )
               - other                                                      Manufacture from ( 1 ):
                                                                            - natural fibres ,
                                                                            - nan-made staple fibres not carded or conbed or therwise
                                                                               processed for spinning , or
                                                                            - chemical materials or textile pulp
                                                                              OR
                                                                            Printing accompanied by at least two preparatory or
                                                                             finishing operations ( such as scouring , bleaching ,
                                                                             mercerising , heat setting , raising , calendering , shrink
                                                                             resistance processing , permanent finishing , decatising ,
                                                                             impregnating , mending and burlinq) wtiere tie value of tie
                                                                             crprinted fabric used does not exceed 47.9 % of tie
                                                                             ex-works price of the product
 98 . 10        F.mbroidery , in the piece , in strips or in motifs          Manufacture in which tie value of all the materials used
                                                                             does not exceed 90 % of the ex-works price of the predict
 09.01          textile fabrics coated with gum or amylaceous sibstances ,   Manufacture from yam
                of a kind used for the outer covers of books or the like ;
                traching cloth ; prepared painting canvas ; buckram and
                similar stiffened textile fabrics of a kind used for hat
                foundations
 09.02          lyre cord fabric of high tenacity yarn of nylon or other
                polyamides , polyesters or viscose rayon :
                - containing not moro than 90 % by weight of textile         Manufacture from yam
                  materials
                  otlier                                                   • Manufacture from chemical materials or textile pulp
.( 1 ) for special conditions relating In products node of a niixture of textile naterials , see Introductory Note 6 .
 ---pagebreak---        H.S.                                                                                         Working or prccessing
      Heading                      Description of product                               carried out on nun-originating materials
        No .                                                                                   that confers originating status
         0)                                  (2 )                                                            (.0
 39 . Of        1 extile fabrics impregnated, coated , covered or laminated Manufacture from yarn
                with plastics , other than those of heading No . 39.02
 39.04          Linoleun , whether or not cut to shape ; floor coverings     Manufacture form yarn (1 )
                consisting of a coating or covering applied on a textile
                backing , whether or not cut to shape
 39.03           1 extile wall coverings :
                - impregnated , coated , covered or laminated with rubber,   Manufacture from yarn
                    plastics or other materials
                - other                                                      Manufacture from ( 1 ):
                                                                             - coir yarn,
                                                                             - natural fibres ( except ramie ),
                                                                              - nan-nade staple fibres not carded or combed or otherwise
                                                                                processed for spinning , or
                                                                              - chemical materials or textile pulp
                                                                               OR
                                                                             Printing accompanied by at least two preparatory or
                                                                              finishing operations ( such as scouring , bleaching ,
                                                                              mercerising , heat setting , raising , calendering , shrink
                                                                              resistance processing , permanent finishing , decatising ,
                                                                              imp regnat ing , (lending and burling) where the value of the
                                                                              imprinted fabric used does not exceed 47.3 % of the
                                                                              ex-works price of the product
 39.06           Rubberised textile fabrics , other than those of heading
                No . 39.02 :
                - knitted or crocheted fabrics                                Manufacture from ( 1 ):
                                                                              - natural fibres ,
                                                                              - man-made staple fibres not canted or combed or otherwise
                                                                                 processed for spinning , or
                                                                              - chemical materials or textile pulp
                - other fabrics made of synthetic filanent yam,               Manufacture from chemical materials
                    containing more than 90 % by weight of textile
                    mntorinls
                    other                                                   . Manufacture from yarn
.( 1 ) For special conditions relating to products made of a mixture of textile materials , see Introductory Note 6 .
 ---pagebreak---                                                                          - 27 -
      H.S.                                                                                            Workinq or processing
     Heading                          Description of product                               carried out on non-originating materials
       No .                                                                                      that confers originating status
       (I )                                     (2 )                                                            (?)
99.07              lextile fabrics otherwise impregnated , coated or covered;   ^ ìnmjrMnhjTR fruii yarn
                   painted canvas being theatrical scenery , studio back¬
                   cloths or the like
ex 99 . OH         incandescent gas mantles , impregnated                       Manufacture from knitted tubular gas mantle fabric
99.09 to           lextile articles of a kind suitable for industrial use :
99 . Π
                   - polishing discs or rings otiier than of felt of heading    Manufacture from yarn or waste fabrics or rags of heading
                     No·. 99.11                                                 No . 65.10
                   - woven fabrics , of a kind conmonly used in papermakinq     Manufacture from ( i ):
                     or other machinery , felted or not , whether or not        - coir yarn,
                     impregnated or coated', tubular or endless with single     - frail tlie following materials :
                     or nul tipie warp anchor weft , or flat woven with             - yarn of polytetrafluoruethylene (2 ) ( >),
                     multiple warp anchor weft of heading No . 99.11                - yam, multiple , of polyamide, coated , impregnated or
                                                                                      covered with a phenolic resin ( 2 ),
                                                                                    - yam of syntlietic textile fibres of aranatic
                                                                                      polyamides , obtained by polycondensation of
                                                                                      m-phenylenediamine and isophthalic acid ( 2 ),
                                                                                    - monofil of polytetraf luoroethylene (2 ) (?),
                                                                                    - yam of synthetic textile fibres of poly-p- pi ien , lenes
                                                                                      terephthalamide ( 2 ),
                                                                                    - glass fibre yarn, coated with phenol resin and gimped
                                                                                      with acrylic yam (2 ) ( 5 ),
                                                                                - natural fibres ,
                                                                                - narv-made staple fibres not carded or canted or otiierwise
                                                                                    processed for spinninq , or
                                                                                - chemical materials or textile pulp
                   - other                                                      Manufacture frati ( 1 ):
                                                                                - coir yarn,
                                                                                - natural fibres ,
                                                                                - man-made 3tapXe fibres nut carded or combed or otherwise
                                                                                    processed for spinning , or
                                                                                - diemicai materials or textile pulp
( I ) for special conditions relating to products made of a mixture of textile materials , see Introductory Note 6 .
(2 )   Ibis provision ai .all apply until ' I Marcii 1991 .
( 1)   ?! iFs use of tills notorial i3 restricted to the manufacture of woven fabrics of a kind used in paper mal<inq machinery .
 ---pagebreak---                                                                         - 28 -
      H.S.                                                                                         Working or processing
     Heading                      Description of product                                 carried out on non-originating materials
       No .                                                                                   that confers originating status
       0)                                   (2 )                                                             (0
Chap 60        Knitted or crocheted fabrics                                    Manufacture from ( 1 ):
                                                                               - natural fibres ,
                                                                               - man-made staple fibres not carded or combed or
                                                                                  otherwise processed for spinning , or
                                                                               - cliendcal materials ur textile pulp
Chap 61        Articles of apparel and clothing accessories , knitted or
               crocheted :
               - obtained by sewing together or otherwise assembling ,         Manufacture from yarn ( 2 )
                 two or more pieces of knitted nr crocheted fabric which
                 have been either cut to foni or obtained directly to
                  form
               - other                                                         Manufacture from ( 1 ):
                                                                               - natural fibres ,
                                                                               - man-made staple fibres not carded or coil «d or otherwise
                                                                                  processed for spinning , or
                                                                               - chemical materials or textile pulp
ex Chap 62     Articles of apparel and clothing accessories , not knitted Manufacture fron yarn ( 2 )
               or crocheted , except for headings Nos . ex 62.02 ,
               ex 62.04 , ex 62.06 , ex 62.09 , ex 62.10 , 62 . H , 62.14 ,
               ex 62.16 and ex 62.17 for which the rules are set out
               below
ex 62.02 ,     Women's , girls' and babies' clothing and "other made up         Manufacture from yarn ( 2 )
ex 62.04 ,     clothing accessories", embroidered                                OR
ex 62.06 ,                                                                      Manufacture frati unenbroidered fabric provided Lite value
ex 62.09 and                                                                    of the unembroidered fabric used does not exceed 40 % of
ex 62.17                                                                        the ex-works price of the product ( 2 )
ex 62.10 ,     fire resistant equipment of fabric covered with foil of          Manufacture from yarn ( 2 )
ex 62.16 and   aliminised polyester                                              OR
ex 62.17                                                                        Manufacture frati uncoated fabric provided the value of t > íe
                                                                                LTicoated fabric used does not exceed 40 % of ttie ex-works
                                                                                price of the product ( 2 )
( 1 ) Tor special conditions relating * - products made of a mixture of textile materials , see Introductory Noto 6.
( 2 ) See Introductory Note 7 for the treatment of textile trimmings and accessories.
 ---pagebreak---                                                                        - 29 -
       H.S.                                                                                          Working or processing
      Heading                       Description of product                                carried out on non-originating materials
         No .                                                                                   that confers originating status
         (1 )                                 (2 )                                                            ( 5)
 62 . 1.5 and   Handkerchiefs , shawls , scarves , mufflers , mantillas ,
 62.14          veils and the like :
                - embroidered                                                   Manufacture from unbleached single yarn ( 1 ) (2 )
                                                                                 OR
                                                                                Manufacture from unembroidered fabric provided the value
                                                                                of the unembroidered fabric used does not exceed 40 % of
                                                                                the ex-works price of the product (2 )
                - other                                                         Manufacture from unbleached single yam ( 1 ) ( 2 )
 65.01 to       Blankets , travelling rugs , bed linen etc. ; curtains etc. ,
 65.04          other furnishing articles :
                - of felt , of nonwovens                                        Manufacture from ( 1 );
                                                                                - natural fibres , or
                                                                                - chemical materials or textile pulp
                - other :
                  - embroidered                                                 Manu· aclure from unbleached single yarn ( t )
                                                                                 OR
                                                                                Manufacture from u-ichroirlared fabric ( other than knitted
                                                                                or crochctati) provided the value of the ipw-brui - ferc..!
                                                                                fabric used does not exceed 40 % of Ue ex-works price of
                                                                                the prestici
                  - other                                                       Manufacture fron unbleached single yarn ( 1 )
 6.5.06         Sacks and bags , of a kind used for the packing of goocte       Manufacture fron ( 1 ):
                                                                                - natural fibres ,
                                                                                - nan-made staple fibres not carded or combed or otiiarwise
                                                                                  processed for spinning , or
                                                                                - ctianical materials or textile pulp
 6,5.06         larpaulins , sails for boats , sailboards or landcraft ,
                awnings , sunblinds , tents and camping goods :
                - nomvo vens                                                    Manufacture from ( 1 ):
                                                                                - natural fibres , nr
                                                                                - chemical materials or textile pulp
                  other                                                       . Manufacture from unbleached single yarn
 ( I ) for special conditions relating to products made of a mixture of textile materials, see IntrocUctory Note 6 .
.(2 ) See Introductory Note 7 for the treabient of textile trimmings and accessories.
 ---pagebreak---                                                                       - .50 -
       H. S.                                                                                      Working or processing
      Heading                       Description of prottict                             carried out on non- originating materials
        No .                                                                                 that confers originating status
        (0                                    (2 )                                                          (5)
6 5.07           Otlier made up articles , including dress patterns           Manufacture in which the value of any (materials used doce
                                                                              not exceed 40 % of tie ex-works price of tie product ( 1 )
63.08            Set3 consisting of wuven fabric and yarn, whether not        Each item in tie set must satisfy tie rule which would
                 with accessories , for making up into rugs , tapestries ,    apply to it if it were not included in the set . However ,
                 embroidered table cloths or serviettes or similar textile    non-originating articles may be incorporated provided
                 articles , put up in packings for retail sale                their total value does not exceed 15 Sí of the ex-works
                                                                              price of the set
64.01 to         footwear                                                     Manufacture from materials of any heading except for
64.06                                                                         assemblies of uppers affixed to inner soles or to ΟΜ«Γ
                                                                              sole components of heading No . 64.06
66.03            felt hats and other felt headgear , made frcm the hat        Manufacture from yarn or textile fibres (2 )
                 bodies , hoods or plateaux of heading No . 65.01 , whether
                 or not lined or trimmed
65.06            Hats and other headgear , knitted or crocheted , or made up Manufacture from yarn or textile fibres ( 2 )
                 from lace , felt or other textile fabric , in the piece
                 ( but not in strips), whether or not lined or trimmed;
                 hair-nets of any material , whether or not lined or
                 trimmed
66.01            Umbrellas and sun umbrellas ( including walking-stick        Manufacture in which the value of all the materials used
                 umbrellas , garden umbrellas and similar umbrellas)          does not exceed rju % uf the ex-wutka price of the product
ex 68.05         Articles of slate or of agglomerated slate                   Manufacture from worked slate
ex 68.12         Articles of asbestos or of mixtures with a basis of          Manufacture from fabricated asbestos fibres or fiom
                 asbestos or with a basis of asbestos and (magnesium           mixtures with a basis of asbestos or with a basis of
                 carbonate                                                     asbestos and magnesium carbonate
 ( 1 ) lor filter masks , manufacture from undr&fi polyester staple fibres is permitted ,     this sued al provi-iun r-‘tni ! X|.p¡ /
        until 51 March 1988 .
 ( 2 ) See Introdictory Note 7 fur the treatment nf textile triinminin and accessories .
 ---pagebreak---                                                                           ч -
      H. S.                                                                                       Working or processing
     Heading                       Description of product                              carried out on non- originating materials
        No .                                                                                 that confers originating status
        0)                                    (2 )                                                         (5 )
  ex 6Θ .      Articles of mica ; including agglonerated or reconstituted Manufacture fron worked mica ( including agglonerated or
               naca on a support of paper , paperboard or other materials reconstituted naca)
  70.06        Glass of heading No . 70.05 , 70.04 or 70.09 , bent , edge-    Manufacture from materials of heading No . 70.01
               worked , engraved , drilled , enanelled or otherwise worked ,
               but not franed or fitted with other materials
  70.07        Safety glass , consisting of toughened ( tempered) or          Manufacture from materials of heading No . 70.01
               laiiinated glass
  70.08        Multiple-walled insulating units of glass                      Manufacture from materials of heading No . 70.01
  70.09        Glass mirrors , whether or nor franed , including rear view Manufacture fror» materiata of heading No . 7U.01
               mirrors
  70.10        Carboys , bottles , flasks , jars , pots , phials , ampoules   Manufacture in which all the materials used are classified
               and other containers , of glass , of a kind used for the       in a heading other than that of the product
               conveyance or packing of goods ; preserving jars of glass ;     OR
               stoppers , lids and other closures , of glass                  Cutting of glassware, provided the value of the uncut
                                                                              glassware does not exceed 90 % of the ex-works prut: of
                                                                              the product
  70.15        Glassware of a kind used ( or table, kitchen , toilet ,        Manufacture in which all the materials used are classified
               office , indoor decoration or similar purposes ( other than in a heading other than that of the product
               that of heading No . 70 . 1 0 or 70.18 )                        OR
                                                                              Cutting of glassware, provided the value of the uncut
                                                                              glassware does not exceed 90 % of the ex-works price of
                                                                              the product
                                                                               OR
                                                                              Hand-decoration ( with the exception of silk screen
                                                                              printing) of hand-blon glassware, provided the value of
                                                                              the hand-blown glassware does not exceed 90 % of the
                                                                              ex-works price of the prodict
  ex 70.19     Articles ( other than yam ) of glass fibres                    Manufacture from :
                                                                              - uncoloured slivers , rovings , yam or chopped strands , or
                                                                              - glass wool
  ex 71.02 ,   Worked precious nr ncni-piooious stono:; ( nntural ,           Manufacture fron unwarked precious nr seni-precious stones
  ex 71.0' and synthetic* or mx-rutrrlpri )
. ex 71.04
 ---pagebreak---                                                                           .
      H. 5 .                                                                                      Working or processing
     Heading                        Oeocri[*tion of proitict                           carried out on nmr-oriyinut ing materials
       No .                                                                                  that confers originating status
        (D                                     (2 )                                                        O)
 71.06 , 71.08 Precious metals :
  aid 71.10
               - unwrought                                                  Manufacture from materials not classified in headinq
                                                                            No . 71.06 , 71.08 or 71.10
                                                                             OR
                                                                            Electrolytic, t hernial or chemical separation of precious
                                                                            netals of heading No . 71.06 , 71.08 or 71.10
                                                                             OR
                                                                            Alloying of precious netals of heading No . 71.06 , 71.08 or
                                                                            71.10 with each other or with base metals
               - semi-manufactured or in powder form ( All)                 Manufacture from urwrought precious netals
  ex 71.07 ,   Metals clad witn precious metals , semi-manufactured         Manufacture from metals clad with precious netals ,
  ex 71.09 and                                                              mwr ought
  ex 71.11
  71.16        Articles of natural or cultured pearls , precious or         Manufacture in which the value of all the materials used
               semi-precious stones ( natural , synthetic or                does not exceed 90 % of the ex-works price of the product
               reconstructed)
  71.17        Imitation jewellery                                          Manufacture in which all the materials used are classified
                                                                            in a heading other than that of the product
                                                                             OR
                                                                            Manufacture Γrom base netal parts , not plated or covered
                                                                            with precious netals , provided tie value of all the
                                                                            naterials used does not exceed 90 % of the ex-works price
                                                                            of the product
  72.07        Semi- fini si ted products of iron or non-alloy steel        Manufacture from materials of healings Nos . 72.01 , 72.02 ,
                                                                            72.0.1 , 72 . 04 or 72.09
  72.08 to     Klat-rolled products , bars and rods , angles , shapes and   Manufacture from ingots or other primary foms of heading
  72.16        sections of iron or non-alloy steel                          No . 72.06
  72.17        Wire of iron or non-alloy steel                              Manufacture from seni- finished materials of heading
                                                                            No . 72.07
  ex 72.18 ,   Senii-finisited products , flat rolled products , bars and   Manufacture from inqots or other primary foms of heading
  72.19 to     rods , angles shapes and     - etions of stainless steel     No . 72.18
. 72.22
 ---pagebreak---                                                                        - 55 _
      H. S.                                                                                        Working or processing
    Heading                         Description of product                              carried out on rioo-origi notino materiais
       No .                                                                                  that confers originating status ..
        (1 )                                 (2 )                                                           (0
72.2 *          Wire of stainless steel                                       Manufacture from semi-fini st «d materials of leading
                                                                              No . 72.18
ex 72 . 24      Semi-finished prodjct s , flet rolled products , hars and     Manufacture from ingots or other primary forms of heading
72.21» to       rods , in irregularly wound coils , of older alloy steel      No . 72.24
72.27
72.28           Other bars and rotte of oilier alloy steel; angles , shapes Manufacture fra» ingots or other primary forms of heading
                and sections , of other alloy steel; hollow drill bars and No . 72.06, 72.18 or 72.24
                rods , of alloy or nan-alloy steel
72 . 29         Wire of otlier alloy steel                                    Manufacture from semi-finished materials of heading
                                                                              No . 72.24
ex 7 *. 01      Sheet piling                                                  Manufacture from materials of heading No . 72.06
7.5.02          Railway or tramway track construction material of iron or Manufacture from materials of heading No . 72.06
                steel , the following: rails , check-rails and rack rails ,
                switch blades , crossing frogs , point rods and other
                crossing pieces , sleepers ( cross-ties) , fishplates ,
                chairs , chair wedges , sole plates (base plates), rail
                clips , bedplates , ties and other materials specialised
                for jointing or fixing rails
7.5.04 , 7.5.05 lubes , pipes and hollow profiles , of iron ( other than      Manufacture from materials of headinqs Nos . 72.06 , 72.07,
and 7.5.06      cast iron) or steel                                           72.18 or 72.24
7.5.08          Structures ( excluding pre- fabricated buildings of heading Manufacture in which all the materials used are classified
                No. 94.06) and parts of structures ( for example, bridges     in a heading other than that of tire product .   However ,
                and bridge-sections , lock-gates, towers , lattice masts ,    welded angles , shapes and sections of headinq No . 75.01
                roofs, roofing frame-works , doors and windows and their      may not be used
                frames and thresholds for doors , shutters , halnstrades ,
                pillars and columns), of iron, or steel; plates , roete ,
                angles, shapes sections , tubes and the like , prepared for
                use in structures , of iron or steel
ex 75.15        Skid-chains                                                   Manufacture in which the value of all tie materials of
                                                                              heading No . 7.5.15 used doe3 not exceed 50 % of the
                                                                              ex-works price of the· product
 ---pagebreak---     H. S.                                                                                   Working or processing
   Heading                     Description of product                             carried out on non-originating materials
     No .                                                                              that confers originating status
     0)                                  (2 )                                                         (.0
ex 7JS.22  Radiators for central heating , not electrically heated     Manufacture in which the value of all the materials of
                                                                       heading No . 71.22 used does not exceed 5 5 of the ex-works
                                                                       price of the product
ex Chap 74 Copper and articles thereof except for (leadings            Manufacture in which :
           Nos. 74.01 to 74.03 ; the rule for heading No . ex 74.01 is - all the materials used are classified in a headinq other
           set out be lew                                                 than that of the product , and
                                                                       - the value of all the materials used docs not exceed 30 %
                                                                          of the ex-works price of the pratict
ex 74.0 ï  Copper alloys , unwrouqht                                   Manufacture f rum refined coj /per , unur ought , or waste and
                                                                       scrap
ex Chap 73 Nickel and articles thcrcuf , except for headings           Manufacture in which :
           Nos . 73.01 to 73.01 ; Ite rule for (leading No . 73.02 is  - all ttie materials used are classified in a headinq other
           set out below                                                  than that of the prodjrt , and
                                                                       - the value of all the materials used does not exceed 30 %
                                                                          of the ex-works price of the product
ex Chap 76 Aliminielli and articles Hereof except for headings         Manufacture in . which :
           Nos. 76.01 and 76.02 ; the rule for heading No . ex 76.01   - all the materials used are classified in a headinq other
           is set out below                                                than that of the product , and
                                                                       - t(>e value of all the materials used does not exceed 30 %
                                                                          of the ex-works price of the product
ex 76.01   - Aluminum alloys                                           Manufacture from aluminium , not alloyed , or waste and
                                                                        scrap
           - 'super pure' aluminium ( ISO No . Al 99.99 )               Manufacture from aluminum , not alloyed ( ISO No . Al 99.8 )
ex Chap 78 Lead and articles thereof except for headings Nos . 78.01    Manufacture in which :
           and 78.02 ; the rule for heading No . 78.01 is set out       - all the materials used are classified in a heading other
           below                                                           than that of the product , and
                                                                       - the value of all the materials used does not exceed 30 %
                                                                           of the ex-works price of the product
 ---pagebreak---                                                                 - 55 -
    H. S.                                                                                  Working or processing
   Heading                    Description of product                             carried out on non-originating materials
      No .                                                                            that confers originating status
      (1 )                              (2 )                                                        O)
78.01      Unwrought lead :
           - refined lead                                              Manufacture from 'hul linn' or 'work' lend
           - other                                                     Manufacture in which all the materials used arc classified
                                                                       in a heading other than that of the product . However ,
                                                                       waste and scrap of heading No . 78.02 nay not be used
ex Chap 79 Zinc and articles of zinc , except for headings MDS . 79.01 Manufacture in which :
           and 79.02 ; the rule for heading No . 79.01 is set out      - all the materials used are classified in a heading other
           below                                                         than that of the product , and
                                                                       - the value of all the materials used does not exceed 50 %
                                                                         of the ex-works price of the product
79.01      Unwrought zinc                                              Manufacture in which all tlie materials used are classified
                                                                       in a heading other than that of the product . However ,
                                                                       waste or scrap of heading No 79.02 may not be used
ex Chap 80 lin and articles thereof except for headings Nos . 80.01 ,  Manufacture in which :
           80.02 and 80.07 ; the rule for heading No . 80.01 is set    - all the materials used are classified in a heading other
           out below                                                     than that of the product , and
                                                                       - the value of all the materials used does not exceed 50 %
                                                                         of the ex-works price of the product
80.01      Unwrought tin                                               Manufacture in which all the materials used are classified
                                                                       in a heading other than that of the product . However,
                                                                       waste or scrap of heading No 80.02 may not be used
ex Chap 81 Other base metals , wrought ; articles thereof              Manufacture in which :
                                                                       - all the materials used are classified in a heading other
                                                                         than that of the product , and
                                                                       - tlie value of all the niaterials used does not exceed 50 %
                                                                         of the ex-works price of the prortjet
82.06      lools of two or more of the headings Nos . 82.02 to 82.05 , Manufacture in which all tlie materials used are classified
           put up in sets for retail sale                              in a heading other than headings Nos. 82.02 to 82.05 .
                                                                       However, tools of headings Nos. 82.02 to 82.05 may be
                                                                       incorporated into the set provided their value does not
                                                                       exceed 15 % of the ex-works price of the set
 ---pagebreak---                                                                     56 -
    H. S.                                                                                     Working or processing
   Heading                     Description of product                               carried out on non-originating materials
     No .                                                                                that confers originating status
      (1 )                                 (2 )                                                         (5)
82.07      Interchangeable tools for hand tools , whether or not         Manufacture in which :
           power-operated , or for machine-tools ( for example, for      - all the materials used are classified in a heading otter
           pressing , stamping , punching , tapping , threading ,           than that of the product , and
           drilling , boring , broaching , milling , turning or screw    - the value of all the materials used does not exceed 40 %
           driving), including dies for drawing or extruding netal ,        of the ex-works price of the product
           aid rock drilling or earth boring tools
82.08      Knives and cutting blades , for machines or for mechanical Manufacture in which :
            appliances                                                   - all ttie materials used are classified in a heading otter
                                                                             than that of the product , and
                                                                         - ttie value of all the materials used does not exceed 40 %
                                                                            of tie ex-works price of the product
ex 82.11   Knives with cutting blades , serrated or not ( including      Manufacture in which all the materials used are classified
           pruning knives ), other than knives of heading No . 82.00     in o heading other than that of the product . However ,
                                                                         knife blades and handles of base netal may be used
82.14      Other articles of cutlery ( for example, hair clippers ,      Manufacture in which all the materials used are classified
           butchers' or kitchen cleavers , choppers and mincing          in a heading other than that of ttie product .   However ,
            knives , paperknives ) ; nianicure or pedicure sets and      handles of base netal may be used
            instruiente ( including nail files )
82.15      Spoons , forks , ladles , skimners , cake-servers ,           Manufacture In which all the materials used are classified
            fish-knives , butter-knives , sugar tongs and similar         in a heading other than that of tl to product . Huwever ,
            kitchen or tableware                                          handles of base metal may be used
ex 8 5.06   Statuettes and ornaments , of base metal                     Manufacture in which all the materials used are classified
                                                                          in a heading other than that of the product . However, the
                                                                          other materials of heading No . 8 5.06 may be used provided
                                                                          their value does not exceed 50 % of the ex-works price of
                                                                          the procbct
 ---pagebreak---  HS heading                                                                Working or processing of non-originating materials
      No .               Description of product                              that confers the status of originating products
      (0                            (2 )                                        (5)                0 R                 (4 )
ex Chap 84    Nuclear reactors ( 1 ), boilers , machinery    Manufacture :                           Manufacture in which the value of
              and mechanical appliances ; parts thereof;     - in which the value of all the         all the materials used does not
              except for those falling under the               materials used does not exceed        exceed 30 SS of the ex-works price of
              following headings or parts of headings          40 SS of the ex-works price of the    the product
              for which the rules are set out below :          product , and
                                                             - where, within the above limit , the
              84.02 , 84.05 , ex 84.04 , 84.06 to 84.09 ,      materials classified in the same
              84.11 , 84.12 , ex 84.15 , e x 84.14 , 84.19 ,   heading as the product are only
              84.18, ex 84.19, 84.20,84.2.5 , 89.29 to         used up to a value of 9 % of the
              84.50, ex 84.51 , 84.59 , 84.41 , 84.44 to       ex-works price of the product
              84.47 , ex 84.48 , 84.92 , 84.96 to 84.66 ,
              84.69 to 84.72 , 84.80 , 84.82 , 84.84 and
              84.89
84.02         Steam or other vapour generating boilers       Manufacture :                           Manufacture in which the value of
              ( other than central heating hot water         - in which the value of all the         all the materials used does not
              boilers capable also of producing low            materials used does nut exceed        exceed 29 Sí of the ex-works price of
              pressure steam); super heated water              4L) SS of the ex-works price of the   the product
              boilers                                          product , and
                                                             - where , within the above limit , the
                                                               materials classified in the sane
                                                               heading as the product are only .
                                                               used up to a value of 9 % of the
                                                               ex-works price of the product
84.05 and     Central heatinq boilers , other than these     Maryfsature in which any materials      Manufacture in which the value of
ex 84.04      of heading No . 84.02 , and auxiliary plant    used are classified in a headinq        all the materials used docs not
              for central heating boilers                    other thaï heading No . 84.01 or        exceed 40 SS of the ex-works price of
                                                             84.04. Ho/ever , materials which are the product
                                                             classified in headings No . 84.05 or
                                                             84.04 may be used provided that
                                                             their value, taken together, doc3
                                                             not exceed 9 SS of the ex-works price
                                                             of the product
( 1 ) for nuclear fuel elements of heading No . 84.01 , the rule in columns ( 5 ) and (4 ) do not apply until 5 1 December 1988.
 ---pagebreak---                                                                   - 58 -
 HS heading                                                            Working or processing of non-originating materials
    No .               Description of product                            that confers the status of originating products
    (1 )                          (2 )                                      (3)                0 R                 (4 )
84.06       Steam turbines and other vapour turbines     Manufacture in which the value of
                                                         all the materials used does not
                                                         exceed 40 % of the ex-works price of
                                                         the product
84.07       Spark-ignition reciprocating or rotary       Manufacture in which the value of
            internal combustion piston engines           all the materials used does not
                                                         exceed 40 % of the ex-works price of
                                                         the product
84.08       Coopression-ignition internal combustion     Manufacture in which the value of
            piston engines (diesel or senii-diesel       all the materials used does not
            engines)                                     exceed 40 % of the ex-works price of
                                                         the product
84.09       Parts suitable for used solely or            Manufacture in which the value of
            principally with the engines of heading      all the materials used does not
            No . 84.07 or 84.08                          exceed 40 % of the ex-works price of
                                                         the product
84.11       Turbo- jets , turbo-propellers and other gas Manufacture :                           Manufacture in which the value of
            turbines                                     - in whicJi the value of all the         all the materials used does not
                                                            materials used does not exceed       exceed 26 % of the ex-works price of
                                                            40 % of the ex-works price of the     the product
                                                            product , and
                                                         - where, within the above limit , the
                                                            materials classified in the sane
                                                            heading as the product are only
                                                            used up to a value of 5 % of the
                                                            ex-works price of the product
84.12       Other engines and moturs                     Manufacture in which the value of
                                                          all the materials used does not
                                                         exceed 40 % of the ex-works price of
                                                          the product
ex 84.1.1   Rotary positive displacement punps           Manufacture :                            Manufacture in which the value of
                                                         - in which the value of all the          all the materials used does not
                                                            materials used does not exceed        exceed 26 % of the ex-worPs price of
                                                            40 % of the ex-works price of the     the product
                                                            product , and
                                                         - where, within the above limit , the
                                                            netcrialo classified in the sane
                                                            heading as the product are only
                                                            used up to a value of 6 % of tlie
                                                            ex-works price of the prodjct
 ---pagebreak---                                                                 - .59 -
 HS heading                                                          Working or processing of non-originating materials
    No .               Description of product                           that confers the status of originating products
    (1 )                         (2 )                                      (3 )               0 R                 (4 )
ex 84.14    Industrial fans , blowers and the like     Manufacture :                            Manufacture in which the value of
                                                       - in which the value of all the          all the materials used does not
                                                         materials used does not exceed         exceed 29 % of the ex-works price of
                                                         40 % of the ex-works price of the      the product
                                                         product , and
                                                       - where , within the above limit , the
                                                         materials classified in the same
                                                         heading as the product are only
                                                         used up to a value of 9 5 of the
                                                         ex-works price of the product
84.19       Air conditioning machines , comprising a   Manufacture in which the value of
            motor-driven fan and elenents for changing all tie materials used does not
            the temperature and hunidity , including   exceed 40 % of the ex-works price of
            those machines in which the heredity       the product
            cannot be seperately regulated
C4.18       Refrigerators , freezers and other         Manufacture :                            Manufacture in which the value of
            refrigerating or freezing eguipment ,      - in which the value of all the          all the materials used does not
            electric or other , heat puips other than    materials used does not exceed         exceed 29 % of the ex-works price of
            air conditioning machines of heading         40 % of the ex-works price of the      the product
            No . 84.19                                   product , and
                                                       - where, within the above limit , the
                                                         materials classified in the sane
                                                         heading a3 the product are only
                                                         used up to a value of 9 % of the
                                                         ex-works price of the product , and
                                                       - where the value of the non-
                                                         originating materials used does
                                                          not exceed the value of the
                                                         originating materials used
ex 84,19    Machines for the wood , paper pulp and     Manufacture :                            Manufacture in which the value of
            paper board industries                     - in which the value of all the           all the materials used does not
                                                          materials used does not exceed         exceed 50 % of the ex-works price of
                                                         40 % of the ex-works price of tie       the procUct
                                                          proitict , and
                                                       - where, within the above limit , the
                                                         materials classified in the sane
                                                         heading as the product are only
                                                          used up to a value of 29 % of the
                                                         ex-works price of the product
 ---pagebreak---                                                                  - 40 -
 HS heading                                                            Working or processing of non-originating materials
    No .               Description of product                            that confers the status of originatirig prodjets
    0)                            (2 )                                      ( 5)               OR                  (4 )
84.20       Calendering or other rolling machines ,     Manufacture :                            Manufacture in which the value of
            other than for metals or glass , and        - in which the value of all the          all tlie materials used does not
            cylinders therefor                            materials used does not exceed         exceed 50 % of the ex-works price of
                                                          40 % of the ex-works price of the      the product
                                                          prodict , and
                                                        - where, within the above limit , the
                                                          materials classified in the same
                                                          heading as the prodict are only
                                                          used up to a value of 25 % of the
                                                          ex-works price of the product
84.25       Weighing machinery ( excluding balances of  Manufacture :                            Manufacture in which the value of
            a sensitivity of 5 eg or better),           - in which the value of all the          all the materials used does not
            including weight operated counting or         materials used does not exceed         exceed 25 % of the ex-works price of
            checking machines ; weighing machine          40 % of the ex-works price of the      the prodict
            weights of all kinds                          product , and
                                                        - where, within the above limit , the
                                                          materials classified in the sane
                                                          heading as the prodict are only
                                                          used up to a value of 5 % of the
                                                          ex-works price of the prodict
84.25 to    Lifting , handling , loading or unloading   Manufacture :                            Manufacture in which the value of
84.28       machinery                                   - in which the value of all the          all tlie materials used does not
                                                          materials used docs not exceed         exceed 50 % of the ex-works price of
                                                          40 % of the ex-works price of the       the prodict
                                                          product , and
                                                        - where, within the above limit , the
                                                          materials classified in heading
                                                          No . 84 . 51 does not exceed 5 % of
                                                           the ex-works price of the prodict
84.29       Self-propelled bulldozers , angledozers ,
            graders , levellers , scrapers , mechanical
            shovels , excavators , shovel loaders ,
            tanping machines and road rollers :
            - road rollers                              Manufacture in which the value of
                                                         all the materials used does not
                                                        exceed 40 % of the ex-works price of
                                                        the product
                                Cont 'd                                   Cont 'd                                Cont 'd
 ---pagebreak---                                                                     - 41 -
 HS heading                                                              Working or processing of non-originating materials
      No .             Description of prodict                              that confers the status of originating products
      (1 )                       (2 )                                         ( 1)               OR                  (4 )
84.29       - other                                        Manufacture :                           Manufacture in which tlie value of
(Cont'd)                                                   - in which the value of all the         all the materials used does not
                                                             materials used does not exceed        exced 10 % of the ex-works price of
                                                             40 % of the ex-works price of the     the product
                                                             product , and
                                                           - where , within the above limit , the
                                                             value of the materials classified
                                                             in heading No . 84 . 11 does not
                                                             exceed 5 5 of the ex-works price
                                                             of the product
84 . 10     Other moving , grading , levelling ,           Manufacture :                           Manufacture in which the value of
            scraping , excavating , tanping , conpacting , - in which the value of all tlie        all the materials used does not
            extracting or boring machinery , for earth ,     materials used does not exceed        exceed 10 % of the ex-works price of
            minerals or ores ; pile-drivers and              40 % of the ex-works price of tlie    the product
            pile-extractors ; snow-ploughs and               product , and
            snow-blowers                                   - where, within tlie above limit , the
                                                             value of the materials classified
                                                             in heading No . 84 . 11 does not
                                                             exceeJ 9 % of the ex-works price
                                                             of the product
ex 84 . 11  Parts for road rollers                         Manufacture in which the value of
                                                           all the materials used does not
                                                           exceed 40 S of the ex-works price of
                                                           the product
84 . 39     Machinery for making pulp of fibrous           Manufacture :                           Manufacture in which the value of
            cellulosic material or for making or           - in which the value of all the          all the materials used does not
            finishing paper or paperboard                    materials used does not exceed        exceed 10 % of the ex-works price of
                                                             40 % of the ex-works price of tlie     the product
                                                             product , and
                                                           - where, within the above limit , the
                                                             materials classified in the sane
                                                             heading as the product are only
                                                             used up to a value of 29 % of the
                                                             ex-works price of the product
 ---pagebreak---                                                                  - 42 -
 HS heading                                                           Working or processing of non-originating materials
    No .              Description of predict                            that confers the status of originating products
    0)                             (2 )                                    (1)                OR                 (4 )
84.41       Other machinery for making up paper pulp ,  Manufacture :                           Manufacture in which the value of
            paper or p^>erboard , including cutting     - in which the value of all the         all the materials used does not
            machines of all kinds                          materials used does not exceed       exceed 50 % of the ex-works price of
                                                           40 % of the ex-works price of the    the product
                                                           product , and
                                                        - where, within the above limit , the
                                                           materials classified in the same
                                                           heading as the product are only
                                                           used up to a value of 25 % of the
                                                           ex-works price of the product
84.44 to    Machines of these headings for use in the   Manufacture in which the value of
84.47       textile industry                            all the materials used does not
                                                        exceed 40 % of the ex-works price of
                                                        the product
ex 84.48    Auxiliary machinery for use with machines   Manufacture in which the value of
            for headings Nos . 84.44 and 84.45          all the materials used does not
                                                        exceed 40 % of the ex-works price of
                                                         the product
84.52       Sewing machines , other than book sewing
            machines of heading No . 84.40 ; furniture,
            bases and covers specially designed for
            sewing machines ; saving machine needles :
            - sewing machines ( lock stitch only ) with Manufacture :
              heads of a vreight not exceeding 16 kg    - in which the value of all the
              without motor or 17 kg with motor            materials used does not exceed
                                                           40 % of the ex-V.orks price of the
                                                           proiijct ,
                                                        - where the value of the non¬
                                                           originating materials used in
                                                           assembling the head ( without
                                                           motor ) does not exceed the value
                                                           of the originating materials used ,
                                                           and
                                                        - the thread tension , crochet and
                                                           ¿igzag mechanism used are already
                                                           originating
                               ( 'oui '(I                                Cont 'd                               Cont 'd
 ---pagebreak---                                                                    - 4 i -
 HS heading                                                             Working or processing of non-oriqinating materials
    No .               Description of product                              that confers the status of originating prodjcts
    (D                           (2 )                                         (0                 OR                 (4 )
84.52       - other                                       Manufacture in which the value of
( Cont'd)                                                 all the materials used does not
                                                          exceed 40 % of the ex-works price of
                                                          trie product
84.56 to    Machine-tools and machines and their parts    Manufacture in which the value of
84.66       and accessories of headings Nos . 84.56 to    all the materials used does not
            84.66                                         exceed 40 % of the ex-works price of
                                                          the product
84.69 to    Office machines ( for exanple , typewriters , Manufacture in which the value of
84.72       calculating mactiines , automatic data        all the materials used does not
            processing machines , duplicating machines ,  exceed 40 % of the ex-works price of
            stapling machines )                           the product
84.80       Moulding boxes for metal foundry ; mould      Manufacture in which the value of
            bases ; moulding patterns ; noulds for netal  all trie materials used does not
            ( other than ingot moulds ), netal carbides , exceed 50 % of the ex-works price of
            glass , mineral materials , ribber or         the product
            plastics
84.82       Ball or roller bearings                       Manufacture :                            Manufacture in which the value of
                                                          - in which the value of all the          all the materials used does not
                                                             materials used does not exceed        exceed 25 % of the ex-works price of
                                                             40 % of the ex-works price of the the product
                                                             product , and
                                                          - where , within the above limit , the
                                                             materials classified in the sanie
                                                             heading as the product are only
                                                             used up to a value of 5 % of the
                                                             ex-works price of the product
84.84       Gaskets and similar joints of netal           Manufacture in which the value of
            sheeting conbined with other material or      all tlie materials used does not
            of two or more layers of netal ; sets or      exceed 40 % of the ex-works price of
            assortments of gaskets and similar joints ,   the predict
            dissimilar in conposition , put up in
            pouches , envelopes or similar packings
 ---pagebreak---  HS heading                                                              Working or processing of non-oriuinat ing materials
    No .               Description of prorLict                            that confers the status of originating products
    (D                             (2 )                                       (-5 )              0R                  (4 )
84.85       Machinery parts , not containing electrical    Manufacture in which the value of
            connectors , insulators , coils , contacts or  all the materials used does not
            other electrical features , not specified      exceed 40 % of the ex-works price of
            or included elsewhere in this Chapter          the product
ex Chap 85  Electrical machinery and eguipment and         Manufacture :                           Manufacture in which the value of
            parts thereof; sound recorders and             - in which the value of all the         all the materials used does not
            reproducers , television image and souid         materials used does not exceed        exceed '0 Sí of the ex-works price of
            recorders and reproducers and parts and          40 % of the ex-works price of tie     the procUct
            accessories of such articles ; except for        prodjct , and
            those falling under the following headings     - where , within the above limit , the
            or parts of headings for which the rules         materials classified in the sane
            are set out below :                              heading as the products are only
                                                             used up to a value of 5 Sí of the
            85.01 , 85.02 , ex 85.18 , 85.19 to 85.29 ,      ex-works price of the product
            85.15 to 85 . 17 , ex 85.41 , 85.42 , 85.44 to
            85.48
85.01       Electric motors and generators ( excluding     Manufacture :                           Manufacture in which the value of
            generating sets)                               - in which the value of all the         all the materials used does not
                                                             materials used does not exceed        exceed '0 % of the ex-works price of
                                                             40 Sí of the ex-works price of the    the prcxtict
                                                             product , and
                                                           - where, within the above limit , the
                                                             materials classified in heading
                                                             No . 85.01 are only used up to a
                                                             value of 5 ï of the ex-works price
                                                             of the product
85.02       Electric generating sets and rotary            Manufacture :                           Manufacture in which the value of
            converters                                     - in which the value of all the          all the materials used does not
                                                             materials used does not exceed        exceed '0 Sí of the ex-works price of
                                                             40 Sí of the ex-works price of the     the product
                                                             product , and
                                                           - where, within the above limit , the
                                                             materials classified in headings
                                                             No . 85.01 or 85.0' , taken
                                                              together, are only used up to a
                                                              value of 5 % of the ex-works price
                                                             of the prodjct
 ---pagebreak---  HS heading                                                              Working or processing of non-originatinq materials
      No .             Description of proclict                            that confers the status of originating procUcts
      (1 )                        (2 )                                        (1)                OR                   (4 )
ex θ'). 18  Microphones and stands therefore ;             Manufacture :                           Manufacture in which :
            loudspeakers , whether or not mounted in       - in which the value of all the         - the value of all the materials
            their enclosures ; audio-frequency electric      materials used does not exceed           used does not exceed 25 % of the
            atiplifiers ; electric sound amplifier sets      40 % of the ex-works price of the        ex-works price of the product , and
                                                             product ,                             - tlie value of any transistors of
                                                           - where the value of ttie non¬             heading No . 85.41 used does not
                                                             originating materials used does          exceed ^ % of the ex-works price
                                                             not exceed the value of the              of the product
                                                             originating materials used , and
                                                           - the value of all the transistors
                                                             of heading No . 85.41 used does not
                                                             exceed 5 % of the ex-works price
                                                             of the product
85 . 19      turntables ( record-decks ), record-players ,
            cassette-players and other sound
            reprodicing apparatus , not incorporating a
             sound recording device :
            - electric granophones                         Manufacture :                           Manufacture in which the value of
                                                           - in which the value of all the          all the materials used does not
                                                             materials used does not exceed        exceed 25 % of the ex-works price of
                                                             40 % of the ex-works price of the      the product
                                                             product ,
                                                           - where the value of all the non-
                                                             originating materials used does
                                                             not exceed the value of the
                                                             originating materials used , and
                                                           - the value of all tlie transistors
                                                              of heading No . 85.41 used does not
                                                              exceed 1 % of the ex-works price
                                                              of the product
            - other                                        Manufacture :                            Manufacture in which the value of
                                                           - in which the value of all the          all the materials used does not
                                                              materials used does not exceed        exceed 10 % of the ex-works price of
                                                              40 % of the ex-works price of the     the product
                                                              product ,
                                                           - where the value of all the non-
                                                              originating materials used does
                                                              not exceed the value of the
                                                              originating materials used , and
                                                           - ttio valuó of all tho translators
                                                              of heading No . 85.41 used does not
                                                              exceed ' ï of the ex-wjrks price
                                                              of the procUct
 ---pagebreak---                                                               - 46 -
 HS heading                                                        Working or processing of ncn-originating materials
    No .               Description of product                        that confers the status of originating products
    0)                            (2 )                                  (.*)               OR                   (4 )
85.20       Magnetic tepe recorders and other sound  Manufacture :                           Manufacture in which the value of
            recording apparatus , whether or not     - in which the value of all the         all the mat erial s used does not
            incorporating a sound reproducing device    materials used does not exceed       exceed *0 % of the ex-works price of
                                                        40 % of the ex-works price of the    the product
                                                        protluct ,
                                                     - where tie value of all tie non-
                                                        originating materials used does
                                                        not exceed the value of the of the
                                                        originating materials used , and
                                                     - the value of all tie transistors
                                                        of heading No . 85,41 used does not
                                                        exceed * % of the ex-works price
                                                        of the product
85.21       Video recording or reproducing apparatus Manufacture :                           Manufacture in which the value of
                                                     - in which tie value of all the          all tlie materials used does not
                                                        materials used does not exceed       exceed *0 % of the ex-works price of
                                                        40 % of the ex-works price of the     the product
                                                        product ,
                                                     - where the value of all the non-
                                                        originating materials used does
                                                        not exceed the value of the
                                                        originating materials used , and
                                                     - the value of all the transistors
                                                        of heading No . 85.41 used does not
                                                        exceed * % of the ex-works price
                                                        of the product
85.22       Parts and accessories of apparatus of    Manufacture in which the value of
             headings Nos . 85.19 to 85.21            all the materials used does not
                                                      exceed 40 % of the ex-works price of
                                                      the product
85.2 *      Prepared unrecorded media for sound       Manufacture in which the value of
             recording or similar recording of other  all the materials used does not
             phenomena , other than products of       exceed 40 %of the ex-works price of
            Chapter *7                                the product
 ---pagebreak---  HS heading                                                          Working or processing of non-originating materials
    No .               Description of product                          that confers the status of originating products
    0)   .                       (2 )                                      (3 )               OR                  (4 )
88.24       Records , tapes and other recorded nedia
            for sound or other similarly recorded
            phenomena, including matrices and masters
            for the production of records , but
            excluding products of Chapter 37 :
            - matrices and masters for the production   Manufacture in which the value of
              of records                                all tiie materials used does not
                                                        exceed 40 % of the ex-works price of
                                                        the procUct
            - other                                     Manufacture :                           Manufacture in which tlie value of
                                                        - in which the value of all the         all the materials used does not
                                                          materials used does not exceed        exceed 30 % of the ex-works price of
                                                          40 % of the ex-works price of tiie    theproduct
                                                          product , and
                                                        - where , within the above limit , Hie
                                                          materials classified in heading
                                                          No . 88.23 are only used up to a
                                                                                                         •
                                                          value of 8     of the ex-works price
                                                          of the product
88.28       Iransmission apparatus for radiotelephony , Manufacture :                           Manufacture :
            radiotelegraphy , radiobroadcasting or      - in which the value of all the         - in which the value of all the
            television , whether or not incorporating     materials used does not exceed          materials used does not exceed
            reception apparatus or sound recording or     40 5 of the ex-works price of tiie      28 S of the ex-works price of tiie
            reproducing apparatus ; television cameras    product ,                               product , and
                                                        - where the value of all the non-       - tiie value of all the transistors
                                                          originating materials used does         of heading No . 88.41 used doe3 not
                                                          not exceed the value of the             exceed 3 % of the ex-works price
                                                          originating materials used , and        of tie product
                                                        - the value of all tiie transistors
                                                          of heading No . 88.41 used does not
                                                          exceed 3 % of the ex-works price
                                                          of the product
 ---pagebreak---                                                                - 48 -
 HS heading                                                        Working or processing of non-originating materials
      No .             Description of product                         that confers the status of originating products
      0)                         Ú)                                      ( i)               OR                  (Δ )
ØS . 26     Radar apparatus , radio navigational aid  Manufacture :                           Manufacture :
            apparatus and radio remote control        - in which the value of all the         - in which the value of all tie
            apparatus                                   materials used does not exceed          materials used does not exceed
                                                        40 % of the ex-works price of the       25 % of the ex-works price of the
                                                        prodict ,                               product , and
                                                      - where the value of all the non-       - in which the value of all tie
                                                        originating materials used does         transistors of heading No . 85.41
                                                        not exceed the value of the             used does not exceed ! % of the
                                                        originating materials used , and        ex-works price of the product
                                                      - the value of all the transistors
                                                        of heading No . 85.41 used does not
                                                        exceed ^ % of the ex-works price
                                                        of the product
85.27       Reception apparatus for radio-telephony , Manufacture :                           Manufacture :
            radio-telegraphy or radio-broadcasting ,  - in which the value of all the         - in which the value of all the
            whether or not canbined , in the same       materials used does not exceed          materials used does not exceed
            housing , with sound recording or           40 % of the ex-works price of the        25 % of the ex-works price of tie
            reprocticing apparatus or a clock           product ,                                product , and
                                                      - where the value of all the non-       - in which the value of all the
                                                         originating materials used does         transistors of heading No . 85.41
                                                         not exceed the value of the             used does not exceed 5 % of the
                                                         originating materials used , and        ex-works price of the product
                                                      - the value of all the transistors
                                                         of heading No . 85.41 used does not
                                                         exceed lo of tie ex-works price
                                                         of the product
 ---pagebreak---                                                                  - 49 -
 HS heading                                                           Working or processing of non-originating materials
    No .               Description of product                           that confers the status of originating products
    (1 )                          (2 )                                     (0                 OR                  (4 )
85.28       television receivers ( including video
            monitors and video projectors ) , whether or
            not contained , in the same housing , with
            radio-broadcast receivers or sound or
            video recording or reproducing apparatus :
            - video recording or reproducing apparatus Manufacture :                            Manufacture in which the value of
              incorporating a video tuner                - in which the value of all the        all the materials used does not
                                                           materials used does not exceed       exceed 10 % of the ex-works price of
                                                           40 % of the ex-works price of ttie   tl « product
                                                           product ,
                                                         - where the value of all the non¬
                                                           originating materials used does
                                                           not exceed the value of the
                                                           originating materials used , and
                                                         - the value of all the transistors
                                                           of heading No . 85.41 used does not
                                                           exceed i % of the ex-works price
                                                           of the product
            - other                                      Manufacture :                          Manufacture :
                                                         - in which the value of all the        - in which the value of all the
                                                           materials used does not exceed          materials used does not exceed
                                                           40 % of the ex-works price of the       25 % of the ex-works price of the
                                                           product ,                               product , and
                                                         - where the value of all the non-      - in which the value of all the
                                                           originating materials used does         transistors of heading No . 85.41
                                                           not exceed the value of the             used does not exceed ! S of tie
                                                           originating materials used, and         ex-works price of the product
                                                         - the value of all the transistors
                                                           of heading No . 85.41 used does not
                                                           exceed ' ï of the ex-works price
                                                           of the product
 ---pagebreak---                                                                    - 50 -
 HS heading                                                              Working or processing of non-originatinq materials
     No .              Description of product                              that confers the status of originating products
      (1 )                        (2 )                                         (3 )              0 R                  (4 )
85.29       Parts suitable for use solely or               Manufacture :                           Manufacture :
            principally with the apparatus of headings - in which the value of all the             - in which the value of all the
            Nos . 85.25 to 85.28                             materials used does not exceed            materials used does not exceed
                                                             40 % of the ex-works price of the         25 % of the ex-works price of the
                                                             product ,                                 product , and
                                                           - where the value of all the non¬       - in which the value of all the
                                                             originating materials used does           transistors of heading No . 85.41
                                                             not exceed the value of the               ueed does not exceed 3 % of the
                                                             originating materials used , and          ex-works price of the prodjet
                                                           - the value of all the transistors
                                                             of heading No . 85.41 used does not
                                                             exceed 3 % of the ex-works price
                                                             of the product
85 . 35 and Electrical apparatus for switching or          Manufacture :                           Manufacture in which the value of
85.36       protecting electrical circuits , or for        - in which the value of all the          all the materials used does not
            making connections to or in electrical           materials used does not exceed         exceed 30 % of the ex-works price of
            circuits                                         40 % of tlie ex-works price of the     ttie product
                                                             product , and
                                                           - where, within the above limit , the
                                                             materials classified in heading
                                                             No . 85 . 38 are only used up to a
                                                              value of 5 % of the ex-works price
                                                             of the product
85 . 37     Boards , panels ( including nmerical           Manufacture :                            Manufacture in which the value of
            control panels ), coresoles , desks , cabinets - in which the value of all the          all the materials used does not
            and other bases , equipped with two or more      materials used does not exceed         exceed 30 % of the ex-works price of
            apparatus of heading No . 85.35 or 85.36 ,       40 % of the ex-work3 price of the      the product
             for electric control or the distribution        prodict , and
            of electricity , including those               - where, within the above limit , the
            incorporating instruiente or apparatus of        materials classified in heading
            Chapter 90 , other than switching apparatus      No . 85 . 38 are only used up to a
            of heading No . 85.17                             value of 5 % of the ex-works price
                                                              of the product
ex 85.41    Diodes , transistors and similar semi¬          Manufacture :                           Manufacture in which the value of
            conductor devices , except wafers not yet      - in which the value of all the          all the materials used does not
            cut into cliips                                  materials used does not exceed         exceed 25 % of the ex-works price of
                                                             40 % of the ex-works price of the     hhe product
                                                             product , and
                                                           - where , within the above limit , the
                                                              unterteile classified In the orno
                                                             heading as the products are only
                                                             used up to a value of 5 % of the
                                                             ex-works price of the proctict
 ---pagebreak---  HS heading                                                            Working or processing of non-originating materials
    No .                 Description of prøljct                         that confers ttie status οΓ originating products
    0)                             (?)                                      (5)                OR                  (4 )
85.42       Electronic integrated circuits and           Manufacture :                           Manufacture in which the value of
            mi croassemblies                             - in which the value of any             all ttie materials used does not
                                                           materials used does not exceed        exceed 25 % of the ex-works price of
                                                           40 % of the ex-works price of the     the product
                                                           product , and
                                                         - wtiere, within the above limit , the
                                                           materials classified under heading
                                                           No . 85.41 or 85.42 , taken
                                                           together, are only used up to a
                                                           value of 5 % of the ex-works price
                                                           of the prcxtict
85.44       Insulated ( including enanelled or           Manufacture in which the value of
            anodised) wire , cable ( including co-axial  all the materials used does not
            cable ) and other insulated electric         exceed 40 % of the ex-works price of
            conductors , whether or not fitted with      the product
            connectors ; optical fibre cables , made up
            of individually sheathed fibres , whether
            or not assembled with electric conductors
            or fitted with connectors
85.45       Carbon electrodes , carbon brushes , lamp    Manufacture in which the value of
            carbons , battery carbons and other          all the materials used does not
            articles of graphite or other carbon, with exceed 40 % of the ex-works price of
            or without nietal , of a kind used for       the product
            electrical purposes
85.46       Electrical insulators of any material        Manufacture in which the value of
                                                         all the materials used does not
                                                         exceed 40 % of tire ex-works price of
                                                         the product
85.47       Insulating fittings for electrical           Manufacture in which the value of
            mac* lines , appliances or equipment , being all the materials used does not
             fittings wholly of insulating material      exceed 40 % of the ex-works price of
            apart from any minor conponents of nietal    the product
             ( for example, threaded sockets )
            incorporated during moulding solely for
            purposes of assembly other than insulators
            of heading No . 85.46 ; electrical conduit
            tilling and joints therefor , of base netal
            lined with insulating material
 ---pagebreak---  HS heading                                                            Working or processing of non-originating materials
      No .              Description of product                            that confers the status of originating products
      (D                          (2 )                                       O)                 OR                  (4 )
85.48       Electrical parts of machinery or              Manufacture in which the value of
            apparatus , not specified or included         all the niaterials used does not
            elsewhere in this Chapter                     exceed 40 % of the ex-works price of
                                                          the product
06 . 01 to  Railway or traiiway locomotives ,             Manufacture in which tlio value of
06.07       rolling-stock and parts thereof               all the materials used does not
                                                          exceed 40 Sí of the ex-works price of
                                                          the prortjct
86.08       Railway or tramway track fixtures and         Manufacture :                           Manufacture in which the value of
             fittings ; nechanical ( including            - in which the value of all the         all tl * materials used does not
            electromechanical) signalling , safety or        materials used does not exceed       exceed 10 % of the ex-works price of
            traffic control equipment for railways ,         40 % of the ex-works price of trie    tre product
            tramways , roads , inland waterways , parking    product , and
            facilities , port installations or            - where, within the above limit , the
            airfields ; parts of the foregoing               niaterials classified in the sane
                                                             heading as the product are only
                                                             used up to a value of 5 % of the
                                                             ex-works price of the product
86.09       Containers ( including containers for the     Manufacture in which the value of
            transport of fluids ) specially designed       all the niaterials used does not
            and equipped for carriage by one or nore       exceed 40 % of the ex-works price of
            modes of transport                             the product
ex Chap 87  Vehicles other than railway or tramway         Manufacture in which the value of
            rolling-stock and parts and accessories        all the materials used does not
            thereof; except for those falling under        exceed 40 % of the ex-works price of
            the following headings or parts of             the product
            headings for which the rules are set out
            below :
            87.09 to 87.11 , ex 87.12 , 87.15 and 87.16
 ---pagebreak---                                                                  - 5! -
 H5 heading                                                          Working or processing of non-originating materials
    No .               Description of product                           that confers the status of originating products
    0)                            (2 )                                     (0                 OR                  (4 )
87.09       Works trucks , self-propelled , not fitted Manufacture :                            Manufacture in which the value of
            with lifting or handling equipment , of the - in which the value of all the         all the materials used does not
            type used in factories , warehouses , dock    materials used does not exceed        exceed 10 S of the ex-works price of
            areas or airports for short distance          40 % of the ex-works price of the the product
            transport of goods ; tractors of the type     product , and
            used on railway station platforms ; parts   - where the materials classified
            of the foregoing vehicles                     under the sane heading as the
                                                          product are only used up to a
                                                          value of 9 % of the ex-works price
                                                          of the product
87.10       I anks and other armoured fighting          Manufacture :                           Manufacture in which the value of
            vehicles , motorised whether or not fitted  - in which the value of all the         all the materials used Ones not
            with weapons , and parts of such vellidos     materials used docs not exceed        exceed 10 S of the ex-works price of
                                                          40 3; of the ex-works price of the    the product
                                                          product , and
                                                        - where, within the above limit , the
                                                          materials classified in the sane
                                                          headinq as the predict are only
                                                          used up to a value of 9 % of the
                                                          ex-works price of tlie product
87.11       Motorcycles ( including mopeds ) and cycles
            fitted with an auxiliary motor, with or
            without side-cars ; side-cars :
            - with reciprocating internal conibustion
               piston engine of a cylinder capacity:
               - not exceeding 50cc                     Manufacture :                           Manufacture in which the value of
                                                        - in which the value of all the         all the materials used does not
                                                          materials used does not exceed        exceed 20 Sí of the ex-works price of
                                                          40 % of Jhe ex-works price of the     the product
                                                          product , and
                                                        - where the value of all the non-
                                                          originating materials used does
                                                          not exceed the value of the
                                                          originating materials used
                                Cont'd                                   Cont'd                                 Cont 'd
                                                                                                                Cont'd
 ---pagebreak---  HS heading                                                      Working or processing of non-originating materials
    No .               Description of product                       that confers the status of originating products
     0)                          (2 )                                  (0                  OR                   (a )
87.11         - exceeding 50cc                     Manufacture :                            Manufacture in which the value of
( Cont'd)                                          - in which the value of all the          all the materials used does not
                                                      materials used does not exceed        exceed 25 Sí of the ex-works price of
                                                      40 % of the ex-work3 price of the      the procUct
                                                      prodbet , and
                                                   - where the value of all the non-
                                                      originating materials used does
                                                      not exceed the value of the
                                                      originating niaterials used
            - other                                Manufacture :                             Manufacture in which the value of
                                                   - in which the value of all the           all the niaterials used does not
                                                      materials used does not exceed         exceed 30 % of the ex-works price of
                                                      40 % of the ex-works price of the      the procUct
                                                      product , and
                                                   - where the value of all the non-
                                                      oriqinating materials used docs
                                                      not exceed the value of the
                                                      originating materials used
ex 87.12    Bicycles witlwut ball bearings         Manufacture from materials not            Manufacture in which the value of
                                                   classified in heading No . 87.14           all the materiais used does not
                                                                                             exceed 10 % of the ex-works price of
                                                                                              the product
87.15       Baby carriages and parts thereof       Manufacture :                             Manufacture in which the value of
                                                   - in which the value of all the            all the materials used does not
                                                      materials used dons not exceed          exceed HJ % of ttie ex-works price of
                                                      40 % of the ex-works price of the       the nrnrtjct
                                                      product , and
                                                    - wlicre , within the above limit , the
                                                      materials classified in the eaiie
                                                      heading as the product are only
                                                      used up to a value of 5 % of the
                                                      ex-works price of the product
87.16       trailers and sena- trai lers ; other    Manufacture :                             Manufacture in which the value of
            vehicles , not mechanically propelled; - in which the value of all the            all the materials used does not
            parts thereof                             niaterials used does not exceed         exceed 30 % of the ex-works price of
                                                      40 % of the ex-works price of the       the procUct
                                                      product , and
                                                   - where, within the above limit , the
                                                      materials classified in the sate
                                                      heading as the product are only
                                                      used up to a value of 5 Sí of the
                                                      ex-works price of the product
 ---pagebreak---  HS heading                                                          Working or processing of non-originating materials
      No .            Description of product                           that confers the status of originating products
      (1 )                       (2 )                                     ( 1)               OR                  (4 )
88.01 and   Balloons and dirigibles ; aircraft ;        Manufacture in which all the           Manufacture in which the value of
88.02       spacecraft and spacecraft launch vehicles   materials used are classified in a     all the materials used does not
                                                        heading other than that of the         exceed 40 % of the ex-works price of
                                                        product                                the procUct
88.0.1      Parts of goods of heading No . 88.01 or     Manufacture in which the value of      Manufacture in which the value of
            88 . a¿                                     all the materials of heading           all the materials used does not
                                                        No . 88.01 used does not exceed 9 %    exceed 40 % of the ex-works price of
                                                        of the ex-works price of the product   the product
88 . m      Parachutes ( including dirigible
            paradiutes ) and rotochutes ; parts thereof
            and accessories thereto :
            - rotochutes                                Manufacture from materials of any      Manufacture in which the value of
                                                        heading indicting other materials of all the materials used does not
                                                        heading No . 88.04                     exceed 40 % of the ex-works price of
                                                                                               the procUct
            - other                                     Manufacture in which the value of      Manufacture in which the value of
                                                        all the materials of heading            all the materials used does not
                                                        No . 88.04 used does not exceed 3 %    exceed 40 % of tlie ex-works price of
                                                        of the ex-works price of the product    the procUct
88 . OS     Aircraft launching gear , deck-arrestor or  Manufacture in which the value of      Manufacture in which the value of.
            similar gear , ground flying trainers ,     all tie materials of heading            all the materials used does not
            parts of the foregoing articles             No . 88.03 used does not exceed 5 %    exceed 10 % of the ex-works price of
                                                        of the ex-works price of the product    the product
Chap 89     Snips , boats and floating structures       Manufacture in which all the           Manufacture in which the value of
                                                        materials used are classified in a      all the materials used does not
                                                        heading other than that of the          exceed 40 % of the ex-works price of
                                                        procUct . However, nulls of heading     theprocUct
                                                        No . 89.06 nay not be used
 ---pagebreak---                                                                    - 56 -
 HS heading                                                             Working or processing of non-originating materials
    No .                Description of product                            that confers the status of originating pruviicts
    0)                             (2 )                                      ( 1)               OR                 (4 )
ex Chap 90  Optical , photographic , cinematngraphic ,    Manufacture :                           Manufacture in which the value of
            measuring , checking , precision, medical or - in which tt>e value of all the         all the materials used does not
            surgical instruiients and apparatus ; parts      materials used does not exceed       exceed V0 % of the ex-works price of
            and accessories thereof ; except for those       40 % of the ex-works price of the the product
            falling under the following headings or          product , and
            parts of headings for which the rules are - where, within the above limit , the
            set out below :                                  materials classified in the same
                                                             heading as the product are only
            90.01 , 90.02 , 90.04 , ex 90.05 , ex 90.06 ,    used up to a value of 5 % of the
            90.07 , 90.11 , ex 90.14 , 90.15 to 90.20 and    ex-works price of the product
            90.24 to 90. VI
90.01       Optical fibres and optical fibre bundles ;    Manufacture in which the value of
            optical fibre cables other than those of      all the materials used does not
            heading No . 85.44 ; sheets and plates of     exceed 40 % of the ex-works price of
            polarising material; lenses ( including       the product
            contact lenses ); prisms , mirrors and other
            optical elements , of any material ,
            irmounted , other than such elements of
            glass not optically worked
90.02       Lenses , prisms , mirrors and other optical   Manufacture in which the value of
            elenients , of any material , mounted, being  all the materials used does not
            parts of or fittings for instruments or       exceed 40 % of the ex-works price of
            apparatus , other than such elements of       the product
            glass not optically worked
90.04       Spectacles , goggles and the like ,           Manufacture in which the value of
            corrective, protective or other               all the materials used does not
                                                          exceed 40 " of tlie ex-works price of
                                                          ttie product
 ---pagebreak---                                                                       - 57 -
   HS heading                                                              Working or processing of non-originating materials
      No .                 Description of product                            that confers the status of originating products
      0)                             (2 )                                       (.5 )              0 R                (4 )
  ex 90.05      Binoculars , monoculars , other optical      Manufacture :                           Manufacture in which the value of
                telescopes , and mountings therefor , except - in which the value of all the         all the materials used does not
                for astronomical refracting telescopes and     materials used does not exceed        exceed 50 % of the ex-works price of
                nountincp therefor                             40 % of the ex-works price of tlie    the prod ict
                                                               product ,
                                                             - where, within trie above limit , the
                                                               materials classified in the same
                                                               heading as the predict are only
                                                               used up to a value of 5 ~ of the
                                                               ex-works price of the product , and
                                                             - where the value of all tlæ non-
                                                               originating materials used does
                                                               not exceed tiæ value of the
                                                               originating materials used ,
  ex 90.06      Photographic ( other than cinematographic)   Manufacture :                           Manufacture in which the value of
                cameras ; photographic flashlight apparatus  - in which tlæ value of aall the        all the materiale used does not
                and flashbulbs other than electrically         materials used does not exceed        exceed 50 % of tlæ ex-works price of
                ignited flashbulbs                             40 % of the ex-works price of the     the product
                                                               product ,
                                                             - where, within the above limit , the
                                                               materials classified in the sane
                                                               heading as tlæ product are only
                                                               used up to a value of 5 % of the
                                                               ex-works price of tlæ prociict , and
                                                             - where the value of all the non-
                                                               originating materials used does
                                                               not exceed the value of the
                                                               originating materials used
  90.07         Cinematographic cameras and projectors ,     Manufacture :                           Manufacture in which the value of
                whether or not incorporating sound           - in which the value of all the         all the materials used does not
                recording or reproducing apparatus             materials used does not exceed        exceed 50 % of the ex-works price of
                                                               40 % of the ex-works price of the     the product
                                                               prorUct ,
                                                             - where , within the above lindt , the
                                                               neterials classified in the sane
                                                               heading as the product are only
                                                               used up to a value of 5 % of the
                                                               ex-works price of the product , and
                                                             - where the value of all the non-
                                                               originating materials used does
                                                               not exceed the value of the
•             ·
                                                               originating neterials used                                                 •
 ---pagebreak---                                                                     - 58 -
 HS heading                                                              Working or processing of non-originating materials
    No .                Description of product                             that confers the status of originating products
    (D                             12 )                                       ( 5)               OR                 (4 )
90.11       Compound optical microscopes , including       Manufacture :                           Manufacture in which the value of
            those for photomicrography , cinemaphoto-      - in which the value of all the         all the materials used does not
            graphy or microprojection                         materials used does not exceed       exceed 30 % of the ex-works price of
                                                              40 % of the ex-works price of the    the product
                                                              prodict ,
                                                           - where, within the above limit , the
                                                              materials classified in the same
                                                              heading as the product are only
                                                              used up to a value of 5 % of the
                                                              ex-works price of the product , and
                                                           - where the value of all the non-
                                                              originating materials used does
                                                              not exceed the value of the
                                                              originating materials used
ex 90.14    Other navigational instruments and             Manufacture in which the value of
             appliances                                     all ttie materials used does not
                                                           exceed 40 Sí of ttie ex-mrks price of
                                                            the product
90.15       Surveying ( including photogrannetrical        Manufacture in which the value of
            surveying) , hydrographic , oceanographic ,     all the materials used does not
            hydrological , meteorological or               exceed 40 % of the ex-works price of
            geophysical instruments and appliances ,        the product
            excluding conpasses ; rangefinders
90.16       Balances of a sensitivity of 5 eg or           Manufacture in which the value of
            better , with or without weights                all the materials used does not
                                                            exceed 40 % of ttie ex-works price of
                                                            the product
90.17       Drawing , marking-out or mathenatical          Manufacture in which the value of
            calculating instruments ( for example,          all the materials used does not
            drafting machines , pantographs ,               exceed 40 % of the ex-works price of
             protractors , drawing sets , slide rules ,     the product
            disc calculators ); instruments for
            treasuring length , for use in ttie hand ( for
             example , treasuring rods and tapes ,
            micrometers , callipers , not specified or
             included elsewhere in this Chapter
 ---pagebreak---                                                                   - 59 -
 HS heading                                                            Working or processing of non-originating materials
    No .               Description of product                            that confers the status of originating products
    (1 )                          (2 )                                      (1 )                0 R                 (4 )
90.18       Instruiients and appliances used in
            dedicai , surgical , dental or veterinary
            sciences , including scintigraphic
            apparatus , other elect ro-nedical apparatus
            and sight-testing instrunents :
            - dentists' chairs incorporating dental      Manufacture from materials of any        Manufacture in which the value of
              appliances or dentists' spittoons          heading , including other materials      all the materials used does not
                                                         of heading No . 90.18                    exceed 40 % of the ex-works price of
                                                                                                  the product
            - other                                      Manufacture ;                            Manufacture in which the value of
                                                         - in which the value of all the          all the materials used does not
                                                           materials used does not exceed         exceed 25 % of the ex-works price of
                                                           40 % of the ex-works price of the      the product
                                                           proctict , and
                                                         - where, within the above limit , the
                                                           materials classified in the same
                                                           heading as the product are only
                                                           used up to a value of 5 Sí of the
                                                           ex-works price of the product
90.19       Mechano-tlierapy appliances ; massage        Manufacture :                            Manufacture in which the value of
            apparatus ; psycliological aptitude-testinq - in which the value of all the           all the materials used does riot
            apparatus ; ozone therapy , oxygen therapy ,   materials used dees not exceed         exceed 25 % of tlx; ex-works price of
            aerosol therapy , artificial respiration or    40 Sí of tiie ex-works price of tiie   the product
            other therapeutic respiration apparatus        product , and
                                                         - where , within the above limit , the
                                                           materials classified in the se"n
                                                           hcadinq as the product are only
                                                           used up to a value of 5 % of tlie
                                                           ex-works price of the product
90.20       Other breathing appliances and gas masks ,   Manufacture :                            Manufacture in which tiie value of
            excluding protective masks having neither    - in which the value of all the          all ttie materials used dues not
            mechanical parts nor replaceable filters       materials used does not exceed         exceed 25 % of tiie ex-works price of
                                                           40 % of tiie ex-works price of the     the product
                                                           product , and
                                                         - where, within the above limit , tie
                                                           materials classified in the same
                                                           lieadinq as the product are only
                                                           used up to a value of 5 % of the
                                                           ex-works price of the product
 ---pagebreak---                                                                  - 60 -
 HS heading                                                           Working or processing of non-originating materials
    No .                Description of prodUct                          that confers the status of originating products
    (1 )                           (2 )                                    0)                 0 R
90.24       Machines and appliances for testing the      Manufacture in which the value of
            hardness , strength, conpressibility ,       all the materials used does not
            elasticity or other mechanical properties    exceed 40 % of the ex-works price of
            of materials ( for example , netals , wood , the prodjct
            textiles , paper , plastics )
90.25       Hydrometers and similar floating             Manufacture in which the value of
            instrunents , thermometers , pyrometers ,    all the materials used does not
            barometers , hygrometers and psychrometers , exceed 40 % of the ex-works price of
            recording or not , and any combination of    the protliet
            these instrunents
90.26       Instruients and apparatus for measuring or Manufacture in which the value of
            checking the flow , level , pressure or      all the materials used does not
            other varables of liquids or gases ( for     exceed 40 % of the ex-works price of
            exanple , flow neters , level gauges ,       the product
            manometers , heat neters ), excluding
            instruments and apparatus of heading
            No . 90.14 , 90.15 , 90.28 or 90.32
90.27       Instruments and apparatus for physical or    Manufacture in which the value of
            chemical analysis ( for example ,            all the materials used does not
            polarimeters , refractoneters ,              exceed 40 % of the ex-works price of
            spectromoters , qas or smoke analysis        the product
            apparatus ); instruments and apparatus for
            measuring or checking viscosity , porosity ,
            expansion, surface tension or the like ;
            instruients and apparatus for measuring o
            checking quantities of heat , sound or
            light ( including exposure meters );
            microtomes
90.28       Gas , liquid or electricity supply or
            production neters , including calibrating
            meters therefor :
            - parts and accessories                      Manufacture in which the value of
                                                         all the materials used does not
                                                         exceed 40 ro of the ex-works price of
                                                         the prodjct
                                 Cent ' d                                Cont 'd                               fonl'd
 ---pagebreak---                                                                 - 61 -
 HS heading                                                           Working or processing of non-originating materials
      No .              Description of product                          that confers the status of originating products
       (1 )                       (2 )                                     ( ')               OR                 (4 )
90.28       - other                                     Manufacture :                           Manufacture in which the value of
(Cont'd)                                                - in which the value of all the         all the materials used does not
                                                          materials used does not exceed        exceed 30 % of the ex-works price of
                                                          40 % of the ex-works price of the     the prodLict
                                                          prodjet , and
                                                        - where the value of all the non-
                                                          originating materials used does
                                                          not exceed the value of the
                                                          originating materials used
90.29       Revolution counters , production counters , Manufacture in which the value of
            taximeters , mileometers , pedoneters and   all the materials used does not
            the like ; speed indicators and             exceed 40 % of the ex-works price of
            tachometers , other than those of headings  the product
            Nos . 90.14 or 90.15 ; stroboscopes
90.50       Oscilloscopes , spectrum analysers and      Manufacture in which the value of
            other instruiente and apparatus for         all the materials used does not
            measuring or checking electrical            exceed 40 % of the ex-works price of
            quantities , excluding nieters of heading   the product
            No . 90.28 ; instruments and apparatus for
            neasurinq or detecting alpha , beta, gamma,
            X-ray , cosmic or other ionising radiations
90 . 51     Measuring or checkinq instruiente ,         Manufacture in which tie value of
            appliances and machines , not specified or  all the materials used does not
            included elsewhere in this Chapter , and    exceed 40 % of the ex-works price of
            parts thereof ; profile projectors          the product
90. 52      Automatic regulating or controlling         Manufacture in which the value of
            instruments and apparatus                   all the materials used does not
                                                        exceed 40 % of the ex-works price of
                                                        the product
90 . 5.5    Parts and accessories ( not specified or    Manufacture in which the value of
            included elsewhere in this Chapter ) for    all the materials used does not
            machines , appliances , instruments or      exceed 40 % of the ex-works price of
            apparatus of Chapter 90                     the product
 ---pagebreak---                                                                  - 62 -
 HS heading                                                           Working or processing of nun-original inq materials
    No .               Description of predict                           that confers ttie status of originating products
    0)                           (2 )                                      ( 1)                OR                  (6 )
ex Chap 91  Clocks and watdres and parts thereof ;       Manufacture in which tie value of
            except for those fallino under the           all tie materials used does nnt
            following headings or parts of headings      exceed 40 % of tlie ex-works price of
            for which the rules are set out below :      the product
            91.09 , 91.09 to 91.12 and 91 . H
91.09       Other clocks                                 Manufacture :                           Manufacture in whicti the value of
                                                         - in which the value of all the         all the materials used does not
                                                           materials used doe3 not exceed        exceed 10 % of the ex-works price of
                                                           40 % of ttie ex-works price of the    tlæ prodjct
                                                           prodjct , and
                                                         - where the value of all the non-
                                                           oriqinatinq materials used does
                                                           not exceed the value of the
                                                           originating materials used
91.09       Clock movements complete and assembled       Manufacture :                           Manufacture in which the value of
                                                         - in which the value of all the         all the materials used does not
                                                           materials used does not exceed        exceed 10 2» of the ex-works price of
                                                           40 % of the ex-works price of the     the product
                                                           prodjct , and
                                                         - where the value of all the non-
                                                           originating materials used does
                                                           not exceed the value of the
                                                           originating materials used
91.10       Conplete watch or clock movements ,          Manufacture :                           Manufacture in which tlæ value of
            unassembled or partly assembled ( movenent   - in which the value of all the          all the materials used does not
            sets); inconplete watch or clock               materials used does not exceed        exceed 10 % of the ex-works price of
            novenents , assenbled; rouih watet) or clock   40 % of the ex-works price of the      tire prodjct
            movenents                                      prodjct , and
                                                         - where, within the alxjve limit , tlæ
                                                           materials classified in heading
                                                           No . 91.14 are only used up to a
                                                           value of 9 % of the ex-works price
                                                           of the prodjct
 ---pagebreak---  HS heading                                                            Working or processing of non-originating materials
    No .               Description of product                            that confers the status of originating products
     (D                            (2 )                                     0)                 0 R                (4 )
91.11       Watch cases and cases of a similar type      Manufacture :                           Manufacture in which the value of
             for other goods of this Chapter, and parts - in which the value of all the          all the materials used does not
            thereof                                        materials used does not exceed        exceed 30 % of the ex-works price of
                                                           40 % of the ex-works price of the     the product
                                                           product , and
                                                         - where, within the alxave limit , the
                                                           materials classified in the saie
                                                           heading as the product are only
                                                           used up to a value of 9 % of tie
                                                           ex-works price of tie predict
91.12       Clock cases and cases cf a similar typo      Manufalture :                           Manufacture in which Lite value of
             for other goods of this Chapter , and parts - in which the value of all the         all the materials used does not
            thereof                                        materials used does not exceed        exceed 30 % of tie ex-works [¡rice cf
                                                           40 % of the ex-works price of the     the product
                                                           product , and
                                                         - where, within the above limit , the
                                                           materials classified in the sane
                                                           heading as the prcxlict are only
                                                           used up to a value of 5 % of the
                                                           ex-works price of the product
91.13       Watch strrps , watch bands and watch
            bracelets , and parts thereof:
            - of base metal , whether or not plated , or Manufacture in which the value of
               of clad precious metal                    all tiie materials used does not
                                                         exceed 40 % of the ex-works price of
                                                         the product
            - other                                      Manufacture in which the value of
                                                         all the materials used does not
                                                         exceed 50 % of the ex-works price of
                                                         the procUct
Chap 92     ftjsical instruiente ; parts and accessories Manufacture in which tlie value of
            of such articles                             all the materials used does not
                                                         exceed 40 % of the ex-works price of
                                                         the product
 ---pagebreak---                                                                    - 64 -
    H. S.                                                                                     Working or processing
   Heading                      Description of product                              carried out on non-originating materials
     No .                                                                                that confers originating status
      0)                                  (2 )                                                         0)
Chap 9.1     Arne and anuruiitions ; parts and accessories thereof        Manufacture in which the value of all the materials used
                                                                          does not exceed 50 % of the ex-works price of the product
ex 94.01 and Base metal furniture , incorporating unstuffed cotton        Manufacture in which all the materials used are classified
ex 94.0.1    cloth of a weight of 100 g/m^ or less                        in a heading other than that of the product
                                                                            OR
                                                                          Manufacture from cotton cloth already made up in a form
                                                                          ready for use of heading No . 94.01 or 94.01 , provided:
                                                                          - its value does not exceed 25 % of the product , and
                                                                          - all the other materials used are already originating and
                                                                             are classified in a heading other than heading No . 94.01
                                                                             or 94.01
94.05        Lamps and lighting fittings including searchlights and       Manufacture in which the value of all the niaterials used
             spotlights and parts thereof , not elsewhere specified or    does not exceed 50 % of the ex-works price of the product
             included; illuminated signs , illuminated n erne-plates and
             the like , having a permanently fixed light source, and
             parts thereof not elsewhere specified or included
94.06        Prefabricated buildings                                      Manufacture in which the value of all the niaterials used
                                                                          does not exceed 50 % of ttie ex-works price of the prodjct
ex 95.02     Dolls , with electric motors                                 Manufacture in which the electric motor used must be
                                                                          originating and all other niaterials used must be
                                                                          classified in a heading other than that of ttie product
95.01        Other toys ; reduced-size ("scale") models and similar       Manufacture in which :
             recreational models , working or not ; puzzles of all kinds - all the materials of heading No . 85.01 , 85.01 , 85.04 or
                                                                             85.26 used must be originating , and
                                                                           - all other materials used are classified in a heading
                                                                             other than that of the product and that their value does
                                                                             not exceed 50 % of the ex-works price of the product
 ---pagebreak---                                                                     - 69 -
    H. S.                                                                                        Working or processing
   Heading                       Description of product                               carried out on non-originating materials
     No .                                                                                   that confers originating status
      (1 )                                 (2 )                                                           (5)
ex 99.06     Articles and equipment for gymnastics , athletics , other      Manufacture from materials not classified in the same
             sports ( excluding table tennis) or outdoor games not          heading as tlie product . However, roughly shaped blocks
             specified or included elsewhere in this Chapter ; swimming for making golf clubs may be used and the otlier materials
             pools and paddling pools                                       classified in the same heading may also be used providing
                                                                            their value does not exceed 9 % of the ex-vorks price of
                                                                            the product
99.07        fishing rods , fish-hooks and other line fishing tackle ;      Manufacture in which all the materials used are classified
             fish landing nets , butterfly nets and similar nets ; decoy in a heading other than that of the proCUct . However,
              'birds' ( other than those of heading No . 92.08 or 97.09 ) materials classified in the same heading may be used
             and similar huntinq or shooting requisites                     provided their value does notexceed 9 % of the ex-works
                                                                            price of the product
ex 96.01 and Articles of animal , vegetatile or mineral carving             Manufacture from 'worked' carving materials of the same
ex 96.02     naterials                                                      heading
ex 96.0.5    Brooms and brushes ( except for besorg and the like and
             brushes made from marten or squirrel hair), hand-              Manufacture in which the value of all the materials used
             operated mechanical floor sweepers , not motorised , paint     does not exceed 90 % of the ex-vorks price of the product
             pads and rollers , squeegees and mops
96.09        1 ravel sets for personal toilet , sewing or shoe or
             clothes cleaning                                               Each iteti in the set must satisfy the rule, which would
                                                                            apply to it if it were not included in the set . Huwever ,
                                                                            non-originating articles may be incorporated , provided
                                                                            their total value does not exceed 19 S of the ex-vorks
                                                                            price οΓ Lt íe set
96.06        Buttons , press-fasteners , sna;r- fasteners and press-studs , Manufacture in which all the materials used ara classified
             button moulds and other parts of these articles ; button        in a heading otlier than that of tlie product and provided
             blanks                                                          their value rioc3 not exceed 90 % of the ex-works price of
                                                                             the product
 ---pagebreak---                                                                  - 66 -
     H. S.                                                                                   Working or processing
    Heading                    Description of prodjct                             carried out on non-originating materials
      No .                                                                              that confers originating status
       (1 )                              (2 )                                                          (.*)
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 :
            - fountain pens , stylograph pens and other pens with nibs   Manufacture in which all ttie materials used are classified
                                                                         in a heading other than that of the prodjct . However ,
                                                                         nibs or nib points may be used and the other r,iatcrial3
                                                                         classified in the sane heading may also be used provided
                                                                         their value does not exceed 9 % of tt>e ex-works price of
                                                                         the product
            - other                                                      Manufacture in which the value of all the materials of
                                                                         heading No . 96.08 used does not exceed 9 % of the ex-works
                                                                         price of the product
96.12       typewriter or similar ribbons , inked or otherwise           Manufacture in which all the materials used are classified
            prepared for giving impressions , whether or not on spools in a heading other than that of the product and provided
            or in cartridges ; ink-pads , whether or not inked , with or their value does not exceed 90 % of the ex-works price of
            without boxes                                                the product
96 . M      Cigarette lighters and other lighters , whether or not
            nechanical or electrical , and parts thereof other than
            flints and wicks :
            - lighters with piezo igniter                                Manufacture in which the value of all the materials of
                                                                         heading No . 96.1 1 used does not exceed 90 % of the
                                                                         ex-works price of the product
            - other                                                      Manufacture in which the value of all the materials of
                                                                         heading No . 96.1 9 used does not exceed 9 S of the ex-works
                                                                         price of the prodjct
ex 96.14    Smoking pipes or pipe bowls                                  Manufacture from roughly shaped blocks
 ---pagebreak---                                                                               AÎÎNEX IV
                             HEADINGS AND CHAFrERS OF THOSE FINISHED PRODUCTS
                            TO WHICH THE PERCENTAGE RULE IN ARTICLE 4 APPLIES
                 Harmonized System                        Percentage                 Percentage
                         heading                          applicable                 applicable
                         number                       from 1 January 1988       from 1 January 1989
74.07                                                         70                         70
7 4.08                                                         70  .                     7 0
76.04                                                         70                         70
7 6.05                                                         7 0                       7 0
Chapter 84     ( with the exception of heading
               No . 84.52 )                                   70                          70
84.52                                                         65                          70
Chapter 85     ( with the exception of
               headings Nos . 85.22 , 85.23 and
               85.24 and heading No . 85.28 )                 70                          70
85.22 , 85.23 and 85.24                                       80                          80
ex 85.28       TV sets ( black and white )                    80                          80
ex 85.28       TV sets ( colour )                             65                          70
ex 85.28       Other                                          70                          70
Chapter 86                                                    70                          70
Chapter 87     ( with the exception of
               headings Nos . 87.10 , 87.13 and
               87 . 15 )                                      70                          70
87.10 , 87 . 13 and 87 . 15                                   80                          80
Chapter 88                                                    80                          80
Chapters 89 and 90                                            70                          70
Chapters 91 and 92                                            80                          80