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Asean Trade In Goods Agreement

Currently, the ASEAN Merchandise Trade Agreement (ATIGA) – ASEAN`s main agreement on reducing regional tariffs – contains a number of criteria used to determine the country of origin of a commodity, as well as guidelines for determining whether certain products receive preferential tariff treatment. The de minimis principle allows products that do not have original products and are unable to meet their relevant changes to tariff classification requirements to receive preferential tariff treatment under specific conditions. Some products may be considered to originate from ATIGA if: (ii) when all the aforementioned non-native materials used in the manufacture of the products have undergone a change in the four-digit tariff classification (HS head) – see the introduction for more information. The ATIGA guidelines use the Harmonized System (SH) of the Tariff Classification as a means of clarifying product differences and setting standards that certain products must meet. According to the shS system, products are subdivided into: with the introduction of the AEC and the increasing harmonisation of regional standards, the importance of regional supply chains cannot be greatly appreciated. Ongoing progress towards regional integration is expected to continue, further reduce trade barriers and reduce the impact of compliance on businesses across the region. While ASEAN`s outlook is optimistic, success will ultimately depend on the ability of market participants to understand and seize the opportunities offered by agreements such as the ASEAN trade agreement. Dezan Shira Associates employs qualified professionals with long experience in entering the market and starting businesses and is uniquely positioned to help companies maximize their business and grow throughout the region. Unless a product is on ATIGA`s list of 2000 products with specific requirements, exporters and producers have the opportunity to apply either the regional value test or the modification of the tariff classification test: the vast majority of trade agreements include rules of origin designed to prevent third parties from facing the sacrifices these parties to the agreements have made.