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Effective July 15, 2004 Certain NAFTA Preference Rules of Origin Modifications Take Effect for Goods from Mexico

On January 17, 2003, President Bush issued Proclamation 7641 in order to modify the North American Free Trade Agreement (NAFTA) preference rules of origin for seven products, including certain alcoholic beverages, pearl jewelry, headphones, photocopier parts and accessories, etc.

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The modifications made by Proclamation 7641 were made effective with respect to goods of Canada entered, or withdrawn from warehouse, for consumption on or after January 1, 2003.

However, Proclamation 7641 stated that for goods from Mexico, the modifications would take effect on or after a date to be announced in the Federal Register by the U.S. Trade Representative (USTR).

Proclamation 7641 Changes Effective July 15, 2004 for Mexican Goods

The USTR has issued a notice announcing that the effective date for the modifications for goods of Mexico is July 15, 2004.

Mexico is also implementing these NAFTA preference rules of origin changes with respect to U.S. goods effective July 15, 2004.

(Proclamation 7641, in order to modify the NAFTA preference rules of origin, amended Harmonized Tariff Schedule (HTS) general note 12(t) as follows:

Headphones with microphones

Tariff Classification Rule (TCR) 69 for HTS Chapter 85 was deleted and replaced by a new TCR 69 for HTS 8518.30.

Photocopier parts and accessories

TCRs 24, 24A, and 24B were deleted and replaced by new TCRs 24, 24A, and 24B for HTS 9009.

Pearl jewelry

TCR 2 for HTS Chapter 71 was deleted and a new TCR 2 is added for HTS 7113-7118.

Alcoholic beverages

TCR 7 for HTS Chapter 22 was deleted and replaced by five new TCRs (TCRs 7-11) for HTS headings 2203-2209.

Chassis fitted with engines

TCRs 14 and 15 for HTS Chapter 87 were deleted and replaced by new TCRs 14 and 15 for HTS 8706.

Petroleum/topped crude

A new chapter rule was added for HTS heading 2710.

TCR 4 for HTS Chapter 27 was deleted and replaced by two new TCRs (4 and 4A) for HTS 2710-2715.

Esters of glycerol

TCRs 8-10 for HTS Chapter 29 were deleted and replaced by a new TCR 8 for HTS 2905.11-2905.49.)

Supplement 1 to the 2004 HTS does not yet reflect the fact that these modifications are now applicable to goods of Mexico as it still contains a note stating that these modifications apply only to goods of Canada that are entered, or withdrawn from warehouse, for consumption on or after January 1, 2003.

USTR contact - Kent Shigetomi (202) 395-3412

USTR notice (FR Pub 07/15/04) available at

http://a257.g.akamaitech.net/7/257/2422/06jun20041800/edocket.access.gpo.gov/2004/pdf/04-16021.pdf.

Presidential Proclamation 7641 (FR Pub 01/23/03) available at

http://a257.g.akamaitech.net/7/257/2422/24jan20030800/edocket.access.gpo.gov/2003/pdf/03-1658.pdf.