Determination of origin rules clarify origin criteria and material classification under a preferential trade agreement.

The rules establish how goods qualify as originating by defining key terms and valuation methods. CIF and FOB values are to be determined under the customs valuation agreement, the Harmonised System is used for classification, and identical goods are defined by physical characteristics and quality. Materials are classified as originating or non-originating, while a specified list of indirect materials (fuel, tools, parts, lubricants, testing equipment, catalysts, etc.) are excluded from physical incorporation but may be treated as part of production. These definitions govern the application and administration of origin determinations by the customs authority.

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