Friday, January 29, 2010

TRG Trade Spotlight l January l NAFTA Do Your Goods Qualify?

NAFTA – Do my goods qualify and how do I claim a refund?North American Free Trade Agreement (NAFTA) established a free-trade zone in North America, taking effect in 1994 by Canada, Mexico, and the United States. NAFTA eliminates tariffs on the majority of goods produced by these participating nations. It is an investment to the movement of goods and services among the three countries. Merely purchasing a product in a NAFTA country does NOT automatically make it NAFTA-eligible. Here are a few general “rules of thumb” for determining if you should claim NAFTA or not to receive a refund.not claim NAFTA if… You do not know the background of the product. Such as: who produced it, where it was grown or was taken from the ground, where the components or ingredients were manufactured or grown. The good was produced overseas and simply passed through North America. Your good qualified for NAFTA but was sent overseas temporarily and left Customs control or something was done to the product other than unloading, reloading or preservation. These are general rules; if you are unsure of your NAFTA eligibility, ask!NAFTA CertificatesIn order to present a claim for reimbursement on goods within the scope of NAFTA, the importer must submit a NAFTA Certificate of Origin. CBP’s website states, “The Certificate of Origin must be completed by the exporter. A producer or manufacturer may also complete a certificate of origin in a NAFTA territory to be used as a basis for an Exporter’s Certificate of Origin. To make a claim for NAFTA preference, the importer must possess a certificate of origin at the time the claim is made.” If the NAFTA Certificate of Origin is not ready at time of export, you have one year from the date of importation to claim a refund.For Further Information visit this trilateral web site (Canada/Mexico/U.S.): www.customs.gov/nafta/nafta_new.htm

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