Document ID: chunk:federal_register_of_legislation:F2019C00057:schedule:2:p1
Version: federal_register_of_legislation:F2019C00057
Segment Type: schedule
Provision Reference: sch 2 (pt 1/3)
Character Range: 2608–5550

Schedule 2—Indicative list of textile finishing processes
Endnotes
Endnote 1—About the endnotes
Endnote 2—Abbreviation key
Endnote 3—Legislation history
Endnote 4—Amendment history

Part 1—Introductory

1.1  Name of Regulations
  These Regulations are the Customs (ASEAN–Australia–New Zealand Rules of Origin) Regulations 2009.

1.3  Authority
  These Regulations are made under the Customs Act 1901.

1.4  Definitions
  In these Regulations:
Act means the Customs Act 1901.
Agreement has the meaning given by section 153ZKB of the Act.
Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 means the Agreement of that name set out in Annex 1A of the Marrakesh Agreement Establishing the World Trade Organization, done at Marrakesh on 15 April 1994.
Note: The Marrakesh Agreement Establishing the World Trade Organization is in Australian Treaty Series 1995 No. 8 ([1995] ATS 8) and could in 2018 be viewed in the Australian Treaties Library on the AustLII website (http://www.austlii.edu.au).
non‑originating materials has the meaning given by section 153ZKB of the Act.
originating materials has the meaning given by section 153ZKB of the Act.
Party has the meaning given by section 153ZKB of the Act.
produce has the meaning given by section 153ZKB of the Act.

Part 2—Tariff change requirement

2.1  Change in tariff classification requirement for non‑originating materials
  For the purposes of subsection 153ZKE(3) of the Act, a non‑originating material used in the production of goods that does not satisfy a particular change in tariff classification is taken to satisfy the change in tariff classification if:
 (a) it was produced entirely in a Party from other non‑originating materials; and
 (b) each of those other non‑originating materials satisfies the change in tariff classification, including by one or more applications of this regulation.

Part 3—Regional value content requirement

3.1  Direct method
 (1) For the purposes of subsection 153ZKE(6) of the Act, the regional value content of goods under the direct method is worked out using the formula:
where:
AANZFTA material cost means the value, worked out under Part 4, of the originating materials used in the production of the goods.
customs value means the customs value of the goods worked out under Division 2 of Part VIII of the Act.
labour cost includes wages, remuneration and other employee benefits.
other costs means the costs incurred in placing the goods in the ship or other means of transport for export including, but not limited to, domestic transport costs, storage and warehousing, port handling, brokerage fees and service charges.
overhead cost means the total overhead expense.
profit has the same meaning as it has in Article 5 of Chapter 3 of the Agreement.
 (2) Regional value content must be expressed as a percentage.

3.2  Indirect/build‑down method
 (1) For the purposes of subsection 153ZKE(6)