Vol. 136, No. 15 — July 17, 2002

Registration
SOR/2002-252 11 April, 2002

CUSTOMS TARIFF

Regulations Amending the CIFTA Rules of Origin Regulations

P.C. 2002-1173 11 April, 2002

Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, pursuant to paragraph 16(2)(a) of the Customs Tariff (see footnote a) , hereby makes the annexed Regulations Amending the CIFTA Rules of Origin Regulations.

REGULATIONS AMENDING THE CIFTA RULES OF ORIGIN REGULATIONS

AMENDMENTS

1. (1) Paragraphs (f) to (i) of the definition "minor processing" in section 1 of the CIFTA Rules of Origin Regulations (see footnote 1)  are replaced by the following:

(f) packaging or repackaging of the good for retail sale or relabelling of the good in one or more official languages of a party to the Agreement; or
(g) repairs or alterations, washing, laundering or sterilizing. (traitement mineur)

(2) Section 1 of the Regulations is amended by adding the following in alphabetical order:

"alteration" means a modification, other than a repair, that does not include an operation or process that either destroys the essential characteristics of a good or creates a new or commercially different good. (modification)

"repair" means the adjustment of a machine, instrument, electrical device or other article, including replacing or refitting parts to restore the article to its original operating condition. (réparation)

2. Paragraph 4(2)(b) of the Regulations is replaced by the following:

(b) if not included under paragraph (a), shall include freight, insurance, packing and all other costs incurred in transporting the material to the point of importation.

3. (1) The portion of paragraph 7(b) of the Regulations before subparagraph (i) is replaced by the following:

(b) the good is shipped through a country other than the United States or a CIFTA country and

(2) Section 7 of the Regulations is amended by striking out the word "or" at the end of paragraph (a), and by adding the following after paragraph (b):

(c) except for a good listed in any of Chapters 50 through 63 of the List of Tariff Provisions, the good is shipped through the United States and

(i) the good does not undergo further production in the territory of the United States, other than minor processing, or
(ii) any processing that occurs in the territory of the United States with respect to that good does not increase the transaction value of the good by greater than 10%; or

(d) the good is a good that is listed in any of Chapters 50 through 63 of the List of Tariff Provisions and that is shipped through the United States and

(i) the good does not undergo further production or any other operation in the territory of the United States, while in transit, other than unloading, splitting up of loads, reloading or any other operation necessary to preserve it in good condition or to ship it to a CIFTA country, and
(ii) the good remains under customs control in the United States while in transit to a CIFTA country.

4. The Regulations are amended by adding the following after section 7:

7.1 For the purpose of section 7, "territory", with respect to the United States, has the same meaning as in subsection 2(1) of the NAFTA Rules of Origin Regulations.

COMING INTO FORCE

5. These Regulations come into force on the day on which they are registered.

N.B. The Regulatory Impact Analysis Statement for these Regulations appears following SOR/2002-250, Regulations Amending the Regulations Defining Certain Expressions for the Purposes of the Customs Tariff.

Footnote a 

S.C. 1997, c. 36

Footnote 1 

SOR/97-63

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