Article

EU’s Non-Preferential Rules of Origin: A tool for determining origin of goods and promote fair trade

By Arpit Mehra

The article in this issue of International Trade Amicus discusses elaborately the European Union’s Non-Preferential Rules of Origin, specifically focusing on Rules in the context of their assistance in effective implementation of trade remedial measures imposed by the EU. Deliberating on the legal provisions, including the key components of the Rules, the article highlights an illustration depicting changes made in preferential rules of origin for preventing circumvention of trade remedial measures, and the fact that applying Rules can be a complex exercise for the exporters due to the intricacies of the modern supply chains. According to the author, it is extremely important for the exporters to the EU to maintain strong documentation supporting the integrity of the supply chains. Further, the exporters must educate themselves of the product specific non-preferential rules of origin to stay true to the originating status of a product. This is important for an exporter to prevent any investigations by EU Authorities like the EC or the European Anti-Fraud Office.

Trade News Remedy

• Carbazole Violet Pigment 23 from India - USA initiates Countervailing Duty New Shipper Review
• Ceramic tiles from India - European Union amends Implementing Regulation (EU) 2023/265 imposing anti-dumping duty
• Cut-to-Length Carbon-Quality Steel Plate from India - USA issues affirmative finding of recurrence of material injury in case of revocation of anti-dumping and countervailing duties
• Dispersion Unshifted Single-Mode Optical Fiber from China PR, Indonesia and Korea RP - India imposes definitive anti-dumping duty
• Fine Denier Polyester Staple Fiber (PSF) from India - USA issues notice for five-year review of anti-dumping and countervailing duties
• Finished Carbon Steel Flanges from India - USA issues preliminary finding that countervailable subsidies were received by 2 entities during 1 January 2021 till 31 December 2021
• Fishing net from China PR and Malaysia - India continues anti-dumping duty after review
• Lined Paper School Supplies from India - USA continues anti-dumping and countervailing duties orders after affirmative finding of recurrence of material injury in case of revocation of duties
• Mattresses from India - USA initiates less than fair value investigation
• Polyethylene Terephthalate Film, Sheet, and Strip from India - USA issues notice for five-year review in case of anti-dumping and countervailing duties, and issues preliminary determination that countervailable subsidies were provided during 1 January 2021 till 31 December 2021
• Stainless Steel Bar from India - USA initiates five-year review of anti-dumping duty
• Toughened glass for home appliances from China PR - Indian DGTR recommends imposition of definitive anti-dumping duty

WTO NEWS

• Chinese additional duties on certain US products violate WTO provisions
• Indonesia challenges EU’s countervailing duties on biodiesel imports from Indonesia

India Customs & Trade Policy Update

• Laptops, tablets, all-in-one personal computers, and ultra small form factor computers and servers - Import clearances to require licence for restricted imports from 1 November 2023
• Rice, parboiled - Export duty @ 20% imposed till 15 October 2023
• Rice - Export policy of non-basmati white rice clarified
• Onions - Export duty @ 40% imposed

Ratio decidendi

• Anti-dumping duty - Non-application of Section 15 of Customs Act on imports made prior to 19 August 2009 - SC decision in Sneh Enterprise case applicable - CESTAT Chennai
• Silicon wafer / blue wafer is not a ‘solar cell’ for imposition of safeguard duty - CESTAT Chennai
• Snow goggles are not classifiable as sunglasses - No confiscation for classifying goods under a Heading different from what opined by Department - CESTAT New Delhi
• Lawn mower is classifiable under Heading 8433 and not under Heading 8467 - CESTAT Chennai