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Title: North American Free Trade Agreement, 1992 Oct. 7 Tariff Phasing Descriptions Author: Canada Language: English As this book started as an ASCII text book there are no pictures available. *** Start of this LibraryBlog Digital Book "North American Free Trade Agreement, 1992 Oct. 7 Tariff Phasing Descriptions" *** ANNEX I 1. The Schedule of a Party sets out the reservations taken by that Party, pursuant to Articles 1108(1) and 1206(2), with respect to existing, non-conforming measures that derogate from an obligation relating to: (a) national treatment, pursuant to Article 1102 (Investment) or 1202 (Services); (b) most-favored-nation treatment, pursuant to Article 1103 (Investment) or 1203 (Services); (c) local presence, pursuant to Article 1205 (Services); (d) performance requirements, pursuant to Article 1106 (Investment); or (e) nationality requirements for senior management or members of boards of directors, pursuant to Article 1107 (Investment). 2. Each reservation sets out the following elements (ftnt 1): (a) SECTOR refers to the general sector in which the reservation is taken; (b) SUB-SECTOR refers to the specific sector in which the reservation is taken; (c) INDUSTRY CLASSIFICATION refers to the activity, where applicable, covered by the reservation according to domestic industry classification codes; (d) TYPE OF RESERVATION specifies the obligation referred to in paragraph 1 for which a reservation is taken; (e) LEVEL OF GOVERNMENT indicates the level of government maintaining the measure for which the Party is taking the reservation; (f) LEGAL CITATION identifies the specific existing measures, where applicable, for which the reservation is taken; (ftnt 2) (g) DESCRIPTION describes the non-conforming aspects of the existing measures for which the reservation is taken and, where applicable, commitments for liberalization upon entry into force of this Agreement; and (h) DURATION sets out the period for which the reservation is taken and the phase-in of commitments for liberalization. 3. In the interpretation of a reservation, all elements of the reservation should be considered. Where the DURATION does not provide for liberalization, the LEGAL CITATION shall govern to the extent of any inconsistency with any other element. Where the DURATION provides for liberalization upon or after entry into force of this Agreement, the DURATION shall govern to the extent of any inconsistency with any other element. 4. Where a Party maintains a measure that requires that a service provider be a citizen, permanent resident or resident of its territory as a condition to the provision of a service in its territory, a reservation for Articles 1202, 1203 or 1205 taken with respect to that measure shall operate as a reservation for Articles 1102 or 1103 with respect to the effect of that measure on the ability of the service provider to establish an investment. 5. For purposes of this Annex: CMAP means Clasificaci¢n Mexicana de Actividades y Productos; concession means an authorization provided by the State to a person to exploit a natural resource or provide a service, for which Mexican nationals and Mexican enterprises are granted priority over foreigners; CPC means Central Product Classification numbers as set out in Statistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991; foreigners' exclusion clause means the express provision in an enterprise's by-laws, stating that the enterprise shall not allow foreigners, directly or indirectly, to become partners or shareholders of the enterprise; international cargo means goods that have an origin or destination outside the territory of a Party; Mexican enterprise means an enterprise constituted under the laws of Mexico; Mexican national means a national of Mexico, as defined by the Constitution of Mexico; person of a Party means a national or an enterprise of a Party; and SIC means: (a) with respect to Canada, Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980; and (b) with respect to the United States, Standard Industrial Classification (SIC) numbers as set out in the United States Office of Management and Budget, Standard Industrial Classification Manual, 1987. FOOTNOTE 1: The reservations are current as of September 5, 1992. The three delegations understand that where a Party adopts liberalizing measures prior to the date of entry into force of this Agreement, such measures will be considered to be existing measures. FOOTNOTE 2: The three delegations are considering the need for inclusion of language to the effect that measures set out in the LEGAL CITATION shall be deemed to include existing administrative decisions, interpretations and practices pursuant to the measure cited. ANNEX I Schedule of the United States SECTOR: Energy SUB-SECTOR: Atomic Energy INDUSTRY CLASSIFICATION: Not Applicable TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Atomic Energy Act of 1954, 42 U.S.C. 2133-2134 DESCRIPTION: Investment A license is required for any person in the United States to transfer, manufacture, produce, use or import any facilities that produce or use nuclear materials. Such license may not be issued to any entity known or believed to be owned, controlled or dominated by an alien, a foreign corporation or a foreign government (42 U.S.C. 2133, 2134). The issuance of a license is also prohibited for utilization or production facilities for such uses as medical therapy or research and development activities to any corporation or other entity owned, controlled or dominated by one of the foreign persons described above (42 U.S.C. 2134(d)). DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Business Services SUB-SECTOR: Export Intermediaries INDUSTRY CLASSIFICATION: 7389 Business Services, Not Elsewhere Classified TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Export Trading Company Act of 1982, Public Law 97-290, 96 Stat. 1233, 15 U.S.C. 4011-4021 15 C.F.R. Part 325 DESCRIPTION: Cross-Border Services Title III of the Export Trading Company Act of 1982 authorizes the Secretary of Commerce to issue "certificates of review" with respect to export conduct. The Act calls for the issuance of a certificate of review if the Secretary determines, and the Attorney General concurs, that the export conduct specified in an application will not have the anticompetitive effects proscribed by the Act. A certificate of review limits the liability under federal and state antitrust laws in engaging in the export conduct certified. Only a "person" as defined by the Act can apply for a certificate of review. The term "person" means "an individual who is a resident of the United States; a partnership that is created under and exists pursuant to the laws of any State or of the United States; a State or local government entity; a corporation, whether organized as a profit or nonprofit corporation, that is created under and exists pursuant to the laws of any State or of the United States; or any association or combination, by contract or other arrangement, between such persons." A foreign national or enterprise can receive the protection provided by a certificate of review by becoming a "member" of a qualified applicant. The regulations define "member" to mean "an entity (U.S. or foreign) which is seeking protection under the certificate with the applicant. A member may be a partner in a partnership or a joint venture; a shareholder of a corporation; or a participant in an association, cooperative, or other form of profit or nonprofit organization or relationship, by contract or other arrangement." DURATION:Indeterminate ============================================================================= ANNEX I Schedule of United States SECTOR:Business Services SUB-SECTOR:Export Intermediaries INDUSTRY CLASSIFICATION:7389 Business Services, Not Elsewhere Classified TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Export Administration Act of 1979, Pub. L. 96-72, as amended Export Administration Regulations, 15 C.F.R. parts 768 through 799 DESCRIPTION: Cross-Border Services With some limited exceptions, the export from the United States of all commodities, and all "technical data", requires either a general license or a validated license or other authorization granted by the Office of Export Licensing, United States Department of Commerce. A general license requires no application or documentation and is generally available for use by all persons. An application for a validated license may be made only by a person subject to the jurisdiction of the United States who is in fact the exporter, or by his duly authorized agent. An application may be made on behalf of a person not subject to the jurisdiction of the United States by an authorized agent in the United States, who then becomes the applicant. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of United States SECTOR: Communications SUB-SECTOR: Telecommunications (Enhanced or Value-Added Services) INDUSTRY CLASSIFICATION: CPC 752323 Value-Added Network Services CPC 752329 Other Message Services TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: F.C.C. Decision, International Communications Policies Governing Designation of Recognized Private Operating Agencies, 104 F.C.C. 2d 208, n. 123, n. 126 (1986) 47 C.F.R. 64.702 (1991) (Definition of enhanced or value- added services) DESCRIPTION: Investment If a U.S.-based foreign-owned enhanced service provider obtains voluntary Recognized Private Operating Agency certification from the U.S. Department of State for purposes of negotiating operating agreements with governments other than the U.S. Government, it must submit copies of all operating agreements granted to it by foreign governments and any refusal of a foreign government to grant it an operating agreement. For purposes of this rule, a service provider is generally considered "foreign owned" if 20 percent or more of its stock is owned by persons that are not U.S. citizens. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Manufacturing SUB-SECTOR: Agricultural Chemicals INDUSTRY CLASSIFICATION: SIC 2879 Pesticides and Agricultural Chemicals, not Elsewhere Classified TYPE OF RESERVATION: National Treatment (Article 1102) LEGAL CITATION: Federal Insecticide, Fungicide, and Rodenticide Act, as amended, 7 U.S.C. 136 et seq. DESCRIPTION:Investment 7 U.S.C. 135h(g) prevents the Administrator of the Environmental Protection Agency from knowingly disclosing information submitted by an applicant or registrant under the Act (without consent) to any person engaged in the production, sale or distribution of pesticides in countries other than the United States or to any person who intends to deliver such data to such foreign or multinational business or entity. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Mining and Materials SUB-SECTOR: Minerals Mining INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Mineral Lands Leasing Act of 1920; 30 U.S.C. Chapter 3; 10 U.S.C. 7435 DESCRIPTION: Investment 1. Under the Mineral Lands Leasing Act of 1920, aliens and corporations with foreign stockholders may not acquire rights-of-way for oil or gas pipelines, or pipelines carrying products refined from them, across on- shore federal lands, or acquire leases or interests in certain minerals, such as coal or oil. However, non-U.S. citizens may own a 100 percent interest in a domestic corporation that acquires a right-of-way for oil or gas pipelines across on-shore federal lands or lease to develop mineral resources on on-shore federal lands unless the foreign investor's home country denies similar or like privileges for the mineral or access in question to U.S. citizens or corporations, as compared with the privileges it accords to its own (30 U.S.C. 181, 183(a)). 2. Nationalization is not considered to be denial of similar or like privileges. 3. See also 10 U.S.C. 7435, which restricts foreign citizens, or corporations controlled by them, from obtaining access to leases on Naval Petroleum Reserves, should the laws, customs or regulations of their country deny the privilege of leasing public lands to citizens or corporations of the United States. DURATION: Indeterminate. ============================================================================= ANNEX I Schedule of United States SECTOR: Professional Services SUB-SECTOR: Patent Attorneys and Patent Agents and other Practice before the Patent and Trademark Office INDUSTRY CLASSIFICATION: [to be provided] TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 35 USC Chapter 3 (Practice Before Patent and Trademark Office) 37 C.F.R. Part 10 (Representation of Others Before the U.S. Patent and Trademark Office) DESCRIPTION: Cross-Border Services As a condition to be registered to practice for others before the U.S. Patent and Trademark Office (USPTO): (a) a patent attorney must be a U.S. citizen or an alien lawfully residing in the United States (37 C.F.R. 10.6(a)); (b) a patent agent must be a U.S. citizen, an alien lawfully residing in the United States, or a non-resident who is registered to practice in a country that permits patent agents registered to practice before the USPTO to practice in that country (37 C.F.R. 10.6(c)); and (c) a practitioner in trademark and non-patent cases must be an attorney licensed in the United States, a "grandfathered" agent, an attorney licensed to practice in another country that accords equivalent treatment to attorneys licensed in the United States, or an agent registered to practice in such a country (37 C.F.R. 10.14(a)-(c)). DURATION: Citizenship and permanent residency requirements subject to removal within two years after entry into force of this Agreement in accordance with Article 1210(3). ============================================================================= ANNEX I Schedule of the United States SECTOR: Public Administration SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEGAL CITATION: 22 U.S.C. 2194(a), 2194(b) and 2198(c) LEVEL OF GOVERNMENT: Federal DESCRIPTION: Investment The Overseas Private Investment Corporation (OPIC) insurance and loan guarantees under 22 U.S.C. 2194(a), 2194(b) and 2198(c) are not available to certain aliens, foreign enterprises, or foreign controlled domestic enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: SIC 3721 Aircraft Repair and Rebuilding on a Factory Basis SIC 4581 Aircraft Repair (Except on a Factory Basis) TYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 49 U.S.C. App. 1354, 1421-1430 14 C.F.R. Parts 43 and 145 Agreement Concerning Airworthiness Certification, Exchange of Letters between U.S. and Canada dated August 31, 1984, Treaties and International Agreement Service 11023 DESCRIPTION: Cross-Border For major aircraft repair, overhaul or maintenance activities, during which an aircraft is withdrawn from service, U.S. measures require that, in order to perform work on U.S.-registered aircraft, foreign air repair stations must be certified by the Federal Aviation Administration with continuing oversight provided by the Federal Aviation Administration. Pursuant to a bilateral airworthiness agreement dated August 31, 1984, as amended, between the United States and Canada, the United States recognizes the certifications and oversight provided by Canada for all repair stations and individuals performing the work located in Canada. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: 4512 Air Transportation Scheduled 4522 Air Transportation Non-scheduled 4513 Air Courier Services TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Federal Aviation Act of 1958, as amended; 14 C.F.R. For purposes of this entry, the Description governs. DESCRIPTION: Investment Whether an entity is a U.S. citizen determines the type of commercial air services company that it can own or control. Under the Federal Aviation Act of 1958 (49 U.S.C. App. Ch. 20), "citizens" include (1) individuals who are citizens; (2) a partnership in which each member is a citizen of the U.S.; or (3) a U.S. corporation of which the president and at least two-thirds of the board of directors and other managing officers are U.S. citizens, and at least seventy-five percent of the voting interest in the corporation is owned or controlled by U.S. citizens. 49 U.S.C. App. 1301(16). In addition, this statutory requirement has historically been interpreted by the Department of Transportation (and the Civil Aeronautics Board before it) to require that an air carrier in fact be under the actual control of U.S. citizens. The Department of Transportation makes this determination on a case-by-case basis. Nevertheless, the Department has provided guidance as to some lines of demarcation. For example, total foreign equity investment of up to 49 percent (with a maximum of 25 percent being voting stock), taken alone, is not construed as indicative of foreign control. (See Department of Transportation Order 91-1-41, January 23, 1991.) Only air carriers that are U.S. citizens are permitted to operate domestic air services or operate international air services as a "U.S." carrier; non-U.S. citizens may own and control foreign air carriers that operate between the U.S. and foreign points. See Sections 401, 402, 417(b)(7) and 1108 of the Federal Aviation Act. The different rights of each type of air carrier are usually spelled out in the applicable aviation bilateral agreement. Certain distinctions based on citizenship also exist with regard to other types of air services providers, such as air freight forwarders (14 C.F.R. 297), charter operators (14 C.F.R. 380), and intermodal operators (14 C.F.R. 222). Air freight forwarders may be "U.S. citizens" (defined as indicated above) which use the services of (inter alia) direct air carriers (with a Department of Transportation certificate, regulation, order or permit) to transport property. 14 C.F.R. Part 296. They may also be "foreign air freight forwarders", which similarly use direct air carriers to transport property. 14 C.F.R. Part 296. There is no "U.S. citizenship" requirement for "foreign air freight forwarders." 14 C.F.R. 297.3(d). Foreign air freight forwarders may obtain the same operating exemptions available to U.S. citizens. They must, however, apply for registration with the Department of Transportation. Their application can be rejected "for reasons relating to the failure of effective reciprocity, or if the Department finds that it is in the public interest to do so." 14 C.F.R. 297.22. Charter operators may be "public charter operators", which inter alia must be "U.S. citizens" (defined as indicated above) or "foreign charter operators," for which there is not a citizenship requirement. 14 C.F.R. 380.2. Unlike domestic charter operators, "foreign charter operators" wishing to operate charters which originate in the U.S. must register with the Department of Transportation. 14 C.F.R. 380.61. The Department of Transportation may reject a registration application "for reasons relating to the failure of effective reciprocity or if the Department finds it would be in the public interest to do so." 14 C.F.R. 380.64. A direct foreign air carrier may engage in the surface transport of property (which it has carried by air) in a zone extending 35 miles from the boundary of the airport or city it is authorized to serve. There is no such geographic limitation on a direct U.S. air carrier, or on a U.S. or foreign indirect air carrier. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: SIC 0721 Crop Planting, Cultivating, and Protecting (limited to aerial dusting and spraying, dusting crops, with or without fertilizing, spraying crops, with or without fertilizing) SIC 4522 Air Transportation, services, sightseeing airplane services) SIC 7319 Advertising, Not Elsewhere Classified (limited to aerial advertising, sky writing) SIC 7335 Commercial Photography (limited to aerial photographic service, except mapmaking) SIC 7389 Business Services, Not Elsewhere Classified (limited to mapmaking, including aerial, pipeline and powerline inspection services, firefighting service, other than forestry or public) SIC 7997 Membership Sports & Recreation Clubs (limited to aviation clubs, membership) SIC 8299 Schools & Education Services, Not Elsewhere Classified (limited to flying instruction) SIC 8713 Surveying Services (limited to aerial surveying) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Federal Aviation Act of 1958, as amended; 49 U.S.C. App. 1508(b); 14 C.F.R. 375. For purposes of this entry, paragraph 3 of the Description governs. DESCRIPTION: Cross-Border Services 1. Authorization from the Department of Transportation is required for the provision of specialty air services in the territory of the United States. A person of Canada or Mexico that provides aerial construction, heli-logging, aerial sightseeing, flight training, aerial inspection and surveillance and aerial spraying services may not be authorized to provide such services if there is inadequate reciprocity on the part of the country of the applicant, or if approval would otherwise not be in the public interest. 2. A person of Mexico or Canada may be authorized to provide, subject to compliance by that person with U.S. safety regulations, aerial mapping, aerial surveying, aerial photography, forest fire management, fire fighting, aerial advertising, glider towing and parachute jumping. Investment 3. Specialty air enterprises are required to comply with the same requirements as those set out in the exception for air transportation carriers described in the investment exception for air transportation. DURATION:Cross-Border Paragraph 2 of the Description governs on entry into force. A person of Canada or Mexico may obtain, subject to compliance with U.S. safety requirements, authorization to provide the following specialty air services in the territory of the United States: (a) two years after entry into force of the Agreement, aerial construction and heli-logging; (b) three years after entry into force of the Agreement, aerial sightseeing, flight training and aerial inspection and surveillance services; and (c) six years after entry into force of the Agreement, aerial spraying services. Investment: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: Transportation SUB-SECTOR: Land Transportation INDUSTRY CLASSIFICATION: SIC 4213 Trucking, Except Local SIC 4215 Courier Services, Except by Air SIC 4131 Intercity and Rural Bus Transportation SIC 4142 Bus Charter Service, Except Local SIC 4151 School Buses (limited to interstate transportation not related to school activity) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Bus Regulatory Reform Act of 1982, as amended, section 6, 49 U.S.C. 10922(l) (1) and (2) 49 U.S.C. 10530 (3) 49 U.S.C. 10329, 10330 and 11705 and 49 C.F.R. 1044 19 U.S.C. 1202 Memorandum of Understanding Between the United States of America and the United Mexican States on Facilitation of Charter/Tour Bus Service, December 3, 1990. DESCRIPTION: Cross-Border Services Operating authority from the Interstate Commerce Commission (ICC) is required to provide interstate or cross border bus or truck services in the territory of the United States. A moratorium has been imposed on new grants of operating authority for persons of Mexico, except for provision of cross-border charter or tour bus services. Under the moratorium, persons of Mexico without operating authority may operate only within ICC Border Commercial Zones, for which ICC operating authority is not required. Persons of Mexico providing truck services (including for hire, private, and exempt services) without operating authority are required to obtain a certificate of registration from the ICC to enter the United States and operate in the ICC Border Commercial Zones. Persons of Mexico providing bus service are not required to obtain an ICC certificate of registration to provide such service within the ICC Border Commercial Zones. A person providing bus or truck service between points in the United States is required to use United States-registered and either U.S.- built or duty-paid equipment. Investment The moratorium has the effect of being an investment restriction because enterprises of the United States providing bus or truck services that are owned or controlled by persons of Mexico may not obtain ICC operating authority. DURATION: On entry into force of this Agreement, the Description shall govern. Cross-Border Services A person of Mexico will be permitted to obtain operating authority to provide: (a) three years after signature of this Agreement, cross-border truck services to or from border states (California, Arizona, New Mexico, and Texas), and such persons will be permitted to enter and depart the territory of United States through different ports of entry; (b) three years after entry into force of this Agreement, cross-border scheduled bus services; and (c) six years after entry into force of this Agreement, cross-border truck services. Investment A person of Mexico will be permitted to establish an enterprise in the United States to provide: (a) three years after signature of this Agreement, truck services for the distribution of international cargo between points in the United States; and (b) seven years after entry into force of this Agreement, bus services between points in the United States. Indeterminate: The moratorium will remain in place on grants of authority for the provision of truck services by persons of Mexico between points in the United States for the transportation of goods other than international cargo. ============================================================================= ANNEX I Schedule of United States SECTOR: Transportation Services SUB-SECTOR: Customs Brokers INDUSTRY CLASSIFICATION: SIC 4731 Arrangement of Transportation of Freight and Cargo TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 19 U.S.C. 1641(b) DESCRIPTION: Cross-Border Services and Investment Only U.S. citizens may obtain a customs broker's license, which is required to conduct customs business on behalf of another person. A corporation, association, or partnership established under the laws of any state may receive a customs broker's license if at least one officer of the corporation or association, or one member of the partnership, holds a valid customs broker's license. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: All SUB-SECTOR: TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEGAL CITATION: Securities Act of 1933, Rules 251 and 405, 17 C.F.R. 240.251 and 240.405 Securities Exchange Act of 1934, Section 12(b)(2), 15 U.S.C. 1(b)(2) and the Rules thereunder. DESCRIPTION: Investment Foreign issuers, except for certain Canadian issuers, may not use the small business forms under the Securities Act of 1933 to register securities. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of the United States SECTOR: SUBSECTOR: INDUSTRY CLASSIFICATION: SIC 4952 Sewerage System TYPE OF RESERVATION: Performance Requirements (Article 1106) LEGAL CITATION: Clean Water Act, 33 U.S.C. 1251 et seq. DESCRIPTION: Investment The Clean Water Act authorizes grants for the construction of treatment plants for municipal sewage or industrial waste. Grant recipients may be privately-owned enterprises. The Act provides that grants shall be made for treatment works only if such articles, materials, and supplies as have been manufactured, mined or produced in the United States will be used in the treatment works. The Administrator of the Environmental Protection Agency has authority not to apply this provision, e.g., if the cost of the articles in question is unreasonable. 33 U.S.C. 1295. DURATION: Indeterminate ANNEX I Schedule of Canada SECTOR: Agriculture SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Farm Credit Act, R.S.C. 1985, c. F-2 as amended by R.S.C. 1985, c. 1 (4th Supp.); S.C. 1991, c. 5, 53 Farm Credit Regulations, C.R.C. 1978, c. 644 as amended by SOR/81-560; SOR/82-495; SOR/83-198 DESCRIPTION: Investment Loans by the Farm Credit Corporation may be made only to: (a) individuals who are Canadian citizens or permanent residents; (b) farming corporations controlled by Canadian citizens or permanent residents; or (c) cooperative farm associations, all of whose members are Canadian citizens or permanent residents. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) Performance Requirements (Article 1106) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Investment Canada Act, R.S.C. 1985, c. 28, as amended by S.C.1988, c. 65 Investment Canada Regulations, SOR/85-611, as amended by SOR/189-69 An Act to Amend the Investment Canada Act, (Bill C-89, introduced in Parliament on 18 June 1992) DESCRIPTION: Investment 1. Under the Investment Canada Act, the following acquisitions of Canadian businesses by "non-Canadians" are subject to review by Investment Canada: (1) all direct acquisitions of Canadian businesses with assets of $5 million or more; (2) all indirect acquisitions of Canadian businesses with assets of $50 million or more; and (3) indirect acquisitions of Canadian businesses with assets between $5 million and $50 million which represent more than 50 percent of the value, calculated in the prescribed manner, of the assets of all the entities the control of which is being acquired, directly or indirectly, in the transaction in question. 2. "Canadian business", "Canadian" and "non-Canadian" are defined in the Investment Canada Act. A "non- Canadian" is an individual, government or agency thereof or an entity which is not "Canadian". 3. In addition, specific acquisitions or new businesses in designated types of business activities related to Canada's cultural heritage or national identity, which are normally notifiable, may be reviewed if the Governor in Council authorizes a review in the public interest. 4. Investments subject to review under the Investment Canada Act are not to be implemented unless the Minister responsible for the Investment Canada Act advises the applicant that the investment is likely to be of net benefit to Canada. Such a determination is made in accordance with six factors described in the Act. 5. These factors are summarized as follows: (a) the effect of the investment on the level and nature of economic activity in Canada, including the effect on employment, on the utilization of parts, components and services produced in Canada, and on exports from Canada; (b) the degree and significance of participation by Canadians in the investment; (c) the effect of the investment on productivity, industrial efficiency, technological development and product innovation in Canada; (d) the effect of the investment on competition within any industry or industries in Canada; (e) the compatibility of the investment with national industrial, economic and cultural policies, taking into consideration industrial, economic and cultural policy objectives enunciated by the government or legislature of any province likely to be significantly affected by the investment; and (f) the contribution of the investment to Canada's ability to compete in world markets. 6. In making a net benefit determination, the Minister, through Investment Canada, may review plans under which the applicant demonstrates the net benefit to Canada of the proposed acquisition. An applicant may also submit undertakings to the Minister in connection with any proposed acquisition which is the subject of review. In the event of noncompliance with an undertaking by an applicant, the Minister may seek a court order directing compliance or any other remedy authorized under the Act. 7. The establishment or acquisition of Canadian businesses by non- Canadians, other than those described above, are to be notified to the agency administering the Act, Investment Canada. 8. Review of "acquisition of control", as defined in the Investment Canada Act, of a Canadian business by an American or Mexican will take place if the value of the gross assets of the Canadian business is not less than the applicable thresholds, effective on the date of entry into force of this Agreement and adjusted on each anniversary thereof. The calculation of the applicable review threshold is set out in the Duration section below. 9. The review threshold applicable to American and Mexican investors is higher than those set out above. However, this higher review threshold does not apply in the following sectors: uranium production and ownership of uranium producing properties; oil and gas; financial services; transportation services and cultural businesses. 10. Indirect "acquisitions of control", as defined in the Investment Canada Act, of Canadian businesses by "American" and "Mexican" investors are not reviewable. Notwithstanding the definition of "investor of a Party" in Chapter Eleven, only investors who are nationals, or entities controlled by nationals, (as defined in the Investment Canada Act) of the United States or Mexico, may benefit from the higher review threshold. 11. Notwithstanding Article 1106(1), Canada reserves the right to impose requirements, or enforce any commitment or undertaking, in connection with the establishment, acquisition, expansion, conduct or operation of an investment of an investor of another Party for the transfer of technology, production process or other proprietary knowledge to a national or enterprise, affiliated to the transferor, in Canada, in connection with the review of an acquisition of an investment pursuant to the Investment Canada Act. 12. Except for requirements, commitments or undertakings related to technology transfer as set out above, Article 1106(1) shall apply to requirements, commitments or undertakings imposed or enforced under the Investment Canada Act. However, Article 1106(1) shall not be construed to apply to any requirement, commitment or undertaking imposed or enforced in connection with a review under the Investment Canada Act, to locate production, carry out research and development, employ or train workers, or to construct or expand particular facilities, in Canada. DURATION: Paragraphs 10, 11 and 12 of the Description setting out Canada's reservations and commitments with respect to Articles 1102, 1106(1), and 1138 shall govern. For American and Mexican investors, the applicable threshold for the review of a direct acquisition of control of a Canadian business shall be: (a) for the twelve month period commencing on the date of entry into force of this Agreement, such monetary amount as determined in accordance with Annex 1607.3 of the Canada-United State Free Trade Agreement; (b) commencing on the first anniversary of the date of entry into force of this Agreement, the monetary amount for the preceding year multiplied by an annual adjustment representing the increase in nominal Gross Domestic Product, as set out below. The calculation of the annual adjustment shall be determined in January of each year after 1994 using the most recently available data as published by Statistics Canada and using the following formula: Ann ual Adjustment = Current nominal GDP at market prices --------------------------------- ----------------------Previous year nominal GDP at market prices "Current nominal GDP at market prices" means the arithmetic mean of the nominal Gross Domestic Product at market prices for the most recent four consecutive quarters (seasonally adjusted at annual rates). "Previous year nominal GDP at market prices" means the arithmetic mean of the nominal Gross Domestic Product at market prices for the four consecutive quarters (seasonally adjusted at annual rates) for the comparable period in the year preceding the year used in calculating the "current nominal GDP at market prices". The amounts determined in this manner shall be rounded to the nearest million dollars. ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal Provincial LEGAL CITATION: DESCRIPTION: Investment When selling or disposing of its equity interests in, or the assets of, an existing state enterprise or an existing governmental entity, Canada and each province reserve the right to prohibit or impose limitations on the ownership of such interests or assets, and on the ability of owners of such interests or assets to control any resulting enterprise, by investors of another Party or non-Party or their investments. In addition, Canada and each province reserve the right to adopt or maintain any measure relating to the nationality of senior management or members of the board of directors. For the purposes of this reservation: (a) any measure maintained, or adopted after the entry into force of this Agreement, prohibiting or imposing limitations on the ownership of equity interests or assets or nationality requirements described in this reservation shall be deemed to be an existing measure; and (b) "state enterprise" means an enterprise owned or controlled through ownership interests by Canada or a province and includes an enterprise established after the date of entry into force of this Agreement solely for the purposes of selling or disposing of equity interests in, or the assets of, an existing state enterprise or governmental entity. DURATION: The Description shall govern on entry into force of this Agreement. Indeterminate. ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Business Corporations Act, R.S.C. 1985, C. I-44, as amended by R.S.C. 1985, c. 27 (2nd Supp.), R.S.C. 1985, c. 1 (4th Supp.); S.C. 1990, c. 17; S.C. 1991, c. 45, 46, 47 Canada Corporations Act, R.S.C. 1970, C. C-32, as amended by R.S.C. 1970, c. C-10 (1st Supp.); S.C. 1970-71-72, c. 43, 63; S.C. 1972, c. 17; S.C. 1974-75-76, c. 33; S.C. 1978-79, c. 11; S.C. 1985, c. 26; S.C. 1986, c. 26, 35 Canada Business Corporations Act Regulations SOR/79-316, as amended by SOR/79-513, SOR/79-728, SOR/80-873, SOR/81-3, SOR/81-189, SOR/81-868, SOR/82-187, SOR/83-511, SOR/83781, SOR/83-817, SOR/85-384, SOR/86-365, SOR/86-366, SOR/86-421, SOR/86-983, SOR/87-248, SOR/87-629, SOR/8863, SOR/88-491, SOR/89-159, SOR/89-323, SOR/90-660, SOR/91-567 DESCRIPTION: Investment The cited laws and regulations permit constraints to be placed on issue, transfer and ownership of shares in federally incorporated business corporations. The object is to permit corporations to meet Canadian ownership requirements, under certain laws as prescribed in the regulations, in sectors where such ownership is required as a condition to operate. In order to maintain certain "Canadian" ownership levels, corporations are permitted to sell shareholders' shares without the consent of those shareholders, and to purchase the corporation's own shares on the open market. "Canadian" is defined in the regulations. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Business Corporations Act, R.S.C. 1985, c. I-44 as amended R.S.C. 1985, c. 27 (2nd Supp.), R.S.C. 1985, c. 1 (4th Supp.); S.C. 1990, c. 17; S.C. 1991, c. 45, 46, 47 Canada Business Corporations Act Regulations, SOR/79-316, as amended SOR/79-513, SOR/79-728, SOR/80-873, SOR/81-3, SOR/81-189, SOR/81-868, SOR/82-187, SOR/83-511, SOR/83-781, SOR/83-817, SOR/85-384, SOR/86-365, SOR/86-366, SOR/86-421, SOR/86-983, SOR/87-248, SOR/87-629, SOR/88-63, SOR/88-491, SOR/89-159, SOR/89-323, SOR/90-660, SOR/91-567 Canada Corporations Act, R.S.C. 1970, c. C-32 Special Acts of Parliament incorporating specific companies DESCRIPTION: Investment The Canada Business Corporations Act requires that a simple majority of members of the board of directors, or of a committee thereof, of a federally-incorporated company must be resident Canadians. For the purposes of the Act the term "resident Canadian" is defined as an individual who is a Canadian citizen ordinarily resident in Canada, a citizen who is a member of a class as set out in the regulations, or a permanent resident as defined in the Immigration Act except a person who has been ordinarily resident in Canada for more than one year after he became eligible to apply for Canadian citizenship. In the case of a holding corporation, not more than 1/3 of the directors need be resident Canadians if the earnings in Canada of the holding corporation and its subsidiaries are less than 5% of the gross earnings of the holding corporation and its subsidiaries. Under the Canada Corporations Act, a simple majority of the elected directors of a Special Act corporation must be residents of Canada and citizens of a Commonwealth country. This requirement applies to every joint stock company incorporated subsequent to 22 June 1869 by any Special Act of Parliament and any subsequent amendments to such Acts. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Citizenship Act, R.S.C. 1985, c. C-29 as amended by R.S.C. 1985 c. 28 (1st Supp.); c. 30 (3rd Supp.); c. 44 (3rd Supp.); c. 28 (4th Supp.) Foreign Ownership of Land Regulations, SOR/79-416; SOR/79-514; SOR/80-156; SOR/82-544 DESCRIPTION: Investment Under the Citizenship Act, a province is authorized to prohibit or restrict acquisitions of real property located in that province by non-Canadians. The Foreign Ownership of Land Regulations are made pursuant to the Citizenship Act and the Alberta Agricultural and Recreational Land Ownership Act. In Alberta, an ineligible person or foreign owned or controlled corporation may only hold an interest in controlled land consisting of not more than 2 parcels containing, in the aggregate, not more than 20 acres. An "ineligible person" is (1) an individual who is not a Canadian citizen or permanent resident; (2) a foreign government or agency thereof; or (3) a corporation incorporated elsewhere than in Canada. "Controlled land" means land in Alberta but does not include (1) land other than land owned by the Crown; (2) land within a city, town, new town, village, or summer village and (3) mines or minerals. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Air Canada Public Participation Act, R.S.C. 1985, c. 35 (4th Supp.) Canada Development Corporation Reorganization Act, S.C. 1985, c. 49 Petro-Canada Public Participation Act, S.C. 1991, c. 10 Canadian Arsenals Limited Divestiture Authorization Act, S.C. 1986, c. 20 Cooperative Energy Act, S.C. 1980-81-82-83, c. 108 Eldorado Nuclear Limited Reorganization and Divestiture Act, S.C. 1988, c. 41 Nordion and Theratronics Divestiture Authorization Act, S.C. 1990, c. 4 DESCRIPTION: Investment Non-residents may not own more than a specified percentage of the voting shares of the corporation to which each Act applies. For each company the restrictions are as follows: Air Canada: 25% Canada Development Corporation: 25% Petro-Canada Inc: 25% Canadian Arsenals Limited: 25% Eldorado Nuclear Limited: ownership not restricted but voting rights restricted to 25% of votes cast at meetings Nordion Limited: 25% Theratronics Limited: 49% Cooperative Energy Corporation: 49% Non-resident is defined in the cited laws to generally mean: (a) an individual, other than a Canadian citizen, who is not ordinarily resident in Canada; (b) a corporation incorporated, formed or otherwise organized outside Canada; (c) the government of a foreign state or any political subdivision thereof, or a person empowered to perform a function or duty on behalf of such a government; (d) a corporation that is controlled directly or indirectly by non-residents as defined in any of paragraphs (a) to (c); (e) a trust (i) established by a non-resident as defined in any of paragraphs (b) to (d), other than a trust for the administration of a pension fund for the benefit of individuals a majority of whom are residents, or (ii) in which non-residents as defined in any of paragraphs (a) to (d) have more than fifty per cent of the beneficial interest; or (f) a corporation that is controlled directly or indirectly by a trust described in paragraph (e). DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: All Sectors SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Export and Import Permits Act, R.S.C., 1985, c. E-19 DESCRIPTION: Cross-Border Services Only natural persons ordinarily resident in Canada, enterprises having their head office in Canada or branch offices in Canada of a foreign enterprise may apply for and be issued import or export permits or a transit authorization certificate for goods and related services subject to controls pursuant to regulations of the Export and Import Permits Act. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Automotive SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: LEVEL OF GOVERNMENT: Performance Requirements (Article 1106) Federal LEGAL CITATION: Canada-United-States Free Trade Agreement Implementation Act DESCRIPTION: Investment Article 1106(3) shall not apply to the granting of waivers of customs duties conditioned, explicitly or implicitly, upon the fulfillment of performance requirements by those manufacturers of automotive goods: (a) set out in Part One of Annex 1002.1 of the Canada - United- States Free Trade Agreement, in accordance with the headnote to that Part; and (b) for the applicable periods specified in Article 1002(2) and (3) of the Canada - United-States Free Trade Agreement to those manufacturers of automotive goods set out in Parts Two and Three, respectively, of Annex 1002.1 of that Agreement. DURATION: (a) Indeterminate (b) For Part Two, until January 1, 1998; and for Part Three, until January 1, 1996 or such earlier date specified in existing agreements between Canada and the recipient of the waiver. ============================================================================= ANNEX I Schedule of Canada SECTOR: Business Service Industries SUB-SECTOR: Customs Brokerages and Brokers INDUSTRY CLASSIFICATION: SIC 7794 Customs Brokerages and Brokers TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Customs Act, R.S.C., 1985, c. 41 (2nd Supp.) Customs Brokers Licensing Regulations, SOR/86-1067 DESCRIPTION: Cross-Border Services and Investment 1. To be a licensed customs broker in Canada, an individual must be a Canadian citizen or permanent resident. 2. To be a licensed customs brokerage in Canada: (a) a corporation must be incorporated in Canada with a majority of its directors being Canadian citizens or permanent residents; and (b) a partnership must be composed of persons who are Canadian citizens or permanent residents, or corporations incorporated in Canada with a majority of their directors being Canadian citizens or permanent residents. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Business Service Industries SUB-SECTOR: Duty Free Shops INDUSTRY CLASSIFICATION: SIC 6599 Other Retail Stores, Not Elsewhere Classified TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Customs Act, R.S.C., 1986, c.1 (2nd Supp.) Duty Free Shop Regulations, SOR/86-1072, as amended DESCRIPTION: Cross-Border Services and Investment 1. To be a licensed duty free shop operator at a land border crossing in Canada, an individual must: (a) be a Canadian citizen or permanent resident; (b) be of good character; (c) be principally resident in Canada; and (d) have resided in Canada for at least 183 days of the year preceding the year of application for the licence. 2. To be a licensed duty free shop operator at a border crossing in Canada, a corporation must: (a) be incorporated in Canada; and (b) have all of its shares beneficially owned by Canadian citizens or permanent residents who meet the requirements of paragraph 1. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Business Service Industries SUB-SECTOR: Examination Services relating to the Export and Import of Cultural Property INDUSTRY CLASSIFICATION: SIC 990 Other Services TYPE OF RESERVATION: Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Cultural Property Export and Import Act, R.S.C. 1985, c. C-51 DESCRIPTION: Cross-Border Services For purposes of the Cultural Property Export and Import Act an "expert examiner" of cultural property must be either a natural person who ordinarily resides in Canada or a corporation that has its head office in Canada or maintains one or more establishments in Canada to which employees employed in connection with the business of the corporation ordinarily report for work. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Business Service Industries SUB-SECTOR: Patent Agents and Agencies INDUSTRY CLASSIFICATION: SIC 7499 Other Financial Intermediaries, Not Elsewhere Classified (Limited to Holders of Intellectual Property Rights) TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Patent Act, R.S.C., 1985, c. P-4 Patent Rules, CRC, Vol. XIII, c. 1250, p.10053 Patent Cooperation Treaty Regulations, SOR/89-453 DESCRIPTION: Cross-Border Services 1. To be able to represent persons in the presentation and prosecution of applications for patents or in other business before the Patent Office, a patent agent must be a resident of Canada and registered by the Patent Office. 2. To prosecute an application for a patent in Canada a registered patent agent who is not a resident of Canada must appoint a registered patent agent who is a resident of Canada as an associate to prosecute the application. 3. Any firm may be added to the patent register provided that it has at least one member who is also on the register. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Business Service Industries SUB-SECTOR: Trade-Mark Agents INDUSTRY CLASSIFICATION: SIC 7499 Other Financial Intermediaries, Not Elsewhere Classified (Limited to Holders of intellectual Property Rights) TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Trade-Marks Act, R.S.C., 1985, c. T-13 Trade-Marks Regulations, CRC, Vol. XVIII, c. 1559, p. 13803, as amended DESCRIPTION: Cross-Border Services 1. To be able to represent persons in the presentation and prosecution of applications for trade-marks or in other business before the Trade-Mark Office, a trade-mark agent must be a resident of Canada and registered by the Trade-Mark Office. 2. To prosecute an application for a trade-mark in Canada, a registered trade-mark agent who is not resident in Canada must appoint a registered trade-mark agent who is resident in Canada as an associate to prosecute the application. 3. Trade-mark agents who reside, and are registered (in good standing), in a Commonwealth country or the United States may be added to the register of trade-mark agents. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Energy SUB-SECTOR: Oil and Gas INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Petroleum Resources Act, R.S.C. 1985, c. 36 (2nd Supp.) as amended by R.S.C. 1985, c. 21 (4th Supp.), S.C. 1990, c. 8, 41., S.C. 1991, c. 10 (partly in force), 24 (not in force), 46 (not in force) Territorial Lands Act, R.S.C. 1985, c.T-7 as amended by R.S.C. 1985, c. 7 (3rd Supp.)(partly in force); S.C. 1991, c. 2, 24 (not in force), 50 (not in force) Public Lands Grants Act, R.S.C. 1985, c. P-30 as amended R.S.C. 1985, c. 13 (1st Supp.); S.C. 1991, c. 24 (not in force). Act repealed S.C. 1991, c. 50 (repealing legislation not in force) Canada-Newfoundland Atlantic Accord Implementation Act, S.C. 1987, c. 3 as amended by S.C. 1988, c. 28, S.C. 1990, c. 41; S.C. 1991, c. 46 (not in force), 49, 50 (not in force) Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, S.C. 1988, c. 28 as amended by S.C. 1990, c. 28, 41; S.C. 1991, c. 46 (not in force), 49, 50 (not in force) Canada Oil and Gas Land Regulations, C.R.C. c. 1518 as amended SOR/80-590; SOR/82-663; SOR/89-144 DESCRIPTION: Investment Canadian legislation contains certain qualifications for holders of oil and gas production licenses for discoveries made after March 5, 1982. These qualifications ensure that holders of such licenses, or shares therein, are Canadian citizens ordinarily resident in Canada, permanent residents or corporations incorporated in Canada. Notwithstanding qualification to hold a production license, no production license shall be issued for discoveries made after March 5, 1982 unless the Minister of Energy, Mines and Resources is satisfied that the Canadian ownership rate of the interest-owner in relation to the production license on the date of issuance would not be less than 50%. "Interest-owner" is defined in the Canada Petroleum Resources Act to mean "an interest holder who holds the interest or a group of interest holders who hold all the shares of the interest". With respect to production licenses for discoveries made prior to March 5, 1982, the Canadian ownership requirements are as set out in the Canada Oil and Gas Land Regulations. These qualifications and Canadian ownership requirements are in respect of production licenses issued on "frontier lands" and the "offshore areas" (areas not under provincial jurisdiction) as defined in the legislation. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Energy SUB-SECTOR: Uranium INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Investment Canada Act, R.S.C. 1985, c. 28, as amended by S.C.1988, c.65 Investment Canada Regulations, SOR/85- 611 as amended by SOR/189-69 An Act to Amend the Investment Canada Act, (Bill C-89, introduced in Parliament on 18 June 1992) Policy on Non-resident Ownership in the Uranium Mining Sector, 1987 DESCRIPTION: Investment Non-resident ownership of a uranium mining property is limited to 49% at the stage of first production. Exceptions to this limit may be permitted if it can be established that the property is in fact Canadian-controlled as defined in the Investment Canada Act. Exemptions from the policy are allowed, subject to Cabinet approval, only in cases where Canadian participants in the ownership of the property cannot be found. Investments in properties by "non-Canadians", as defined in the Investment Canada Act, prior to December 23, 1987, beyond the permitted ownership level, are allowed to remain in place; however no increase in non-Canadian ownership is permitted. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Fisheries SUB-SECTOR: Fish Harvesting and Processing INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Coastal Fisheries Protection Act, R.S.C. 1985, c. C-33 as amended by R.S.C. 1985, c. 31 (1st Supp.); R.S.C. 1985, c. 39 (2nd Supp.); S.C. 1990, c. 44 Fisheries Act, R.S.C. 1985, c. F-14 as amended by R.S.C. 1985, c. 31 (1st Supp.); R.S.C. 1985, c. 35 (1st Supp.); R.S.C. 1985, c. 40 (4th Supp.); S.C. 1990, c. 16; S.C. 1990, c. 17 Policy on Foreign Investment in the Canadian Fisheries Sector, 1985 Commercial Fisheries Licensing Policy Coastal Fisheries Protection Regulations, C.R.C., 1978, c. 413 DESCRIPTION: Investment Under the Coastal Fisheries Protection Act, "foreign" fishing vessels are prohibited from entering Canada's 200 mile fishing zone except under authority of a license or under treaty. "Foreign" vessels are those which are not "Canadian" as defined in the Coastal Fisheries Protection Act. Under the Fisheries Act, The Minister of Fisheries and Oceans has a discretionary authority with respect to the issuance of licenses. Fish processing companies which have a foreign ownership level of more than 49% are prohibited from holding Canadian commercial fishing licenses. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Fisheries SUB-SECTOR: Fishing-Related Services INDUSTRY CLASSIFICATION: SIC 032 Services Incidental to Fishing TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Coastal Fisheries Protection Act, R.S.C., 1985, c. C-33 DESCRIPTION: Cross-Border Services Under the Coastal Fisheries Protection Act, the Department of Fisheries and Oceans is responsible for controlling the activities of foreign fishing vessels in Canada's Exclusive Fisheries Zone (EFZ), including access to Canadian ports (port privileges). In general, the Department grants such port privileges, including the purchase of fuel and supplies, ship repair, crew exchanges and transshipment of fish catches, only to fishing vessels from countries with which it has favorable fishery relations, based primarily on adherence by the foreign country to Canadian and international conservation practices and policies. Exceptions to this general rule are allowed in cases of emergency ("force majeure") and where the specific provisions of bilateral fisheries treaties apply. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Government Finance SUB-SECTOR: Securities INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: National Treatment (Article 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Financial Administrative Act, R.S.C., 1985, Chap. F-11 and annual Orders-in- Council DESCRIPTION: Investment Canada Savings Bonds are issued annually pursuant to the Financial Administration Act. Terms and conditions are set by Orders-in- Council. Sale of Canada Savings Bonds is restricted to individuals who are Canadian nationals. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: National Treatment (Article 1102) Most Favored Nation Treatment (Article 1103) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: National Transportation Act, 1987, R.S.C. 1985, c. 28 (3rd Supp.), as amended by R.S.C. 1985, c. 29 (3rd Supp.); R.S.C. 1985 c. 19 (4th Supp.); R.S.C. 1985, c. 32 (4th Supp.) Aeronautics Act, R.S.C. 1985, c. A-2 as amended by R.S.C.1985, c. 33 (1st Supp.); R.S.C. 1985, c. 28 (3rd Supp.) Air Regulations, C.R.C. 1978, c. 2 Aircraft Marking and Registration Regulations, SOR/90-591, as amended by SOR/91-504 DESCRIPTION: Investment The following "commercial air services" are reserved to Canadian air carriers or operators: domestic air transportation services (cabotage); international scheduled air transportation services reserved by bilateral agreements to Canadian airlines; and international non-scheduled air transportation services between Canada and a country other than a foreign air carrier's state of registry ("fifth freedom charters"). For specialty air services, see Schedule of Canada, Annex I, p.I-C-42 and Schedule of Canada, Annex II, p.II-C-9. Only qualified persons may provide commercial air services reserved to Canadian air carriers or operators. Non-Canadian investment in voting stock of enterprises providing commercial air services that are reserved to Canadian air carriers or operators is limited to 25% or to a lesser percentage where control in fact of the enterprise is otherwise considered not to be held by Canadians. Non-Canadians are not permitted, through voting interests or other forms of investment, to control Canadian air carriers or operators. Aircraft other than state aircraft may only be registered in Canada by qualified persons. Aircraft not registered in Canada are limited by regulation concerning the period during which they may be operated in Canada by Canadians. A qualified person is a Canadian citizen or permanent resident, or a corporation incorporated by or under the laws of Canada or a province and of which: (a) not less than 75 % of the voting interest is in fact owned and controlled by Canadian citizens or permanent residents or by a corporation meeting the requirements on Canadian ownership and control; (b) not less than 2/3 of its directors are Canadian citizens or permanent residents; (c) the executive head is a Canadian citizen or permanent resident; and (d) the principal place of business is in Canada. A corporation incorporated by or under the laws of Canada or a province but that does not meet the Canadian ownership and control requirements may only register a private aircraft when the corporation is the sole owner and subject to other limitations and requirements of the Air Regulations. The Air Regulations also have the effect of limiting "non-Canadian" corporations operating foreign registered private aircraft within Canada to the carriage of their own employees. A "non-Canadian" corporation is a corporation which does not meet the Canadian ownership and control requirements. All commercial air services operating in Canada require a Canadian operating certificate to ensure their safety and security. An operating certificate authorizing the provision of commercial air services reserved to Canadian operators or air carriers is only issued to qualified persons. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: SIC 4513 Non-Scheduled Air Transport, Specialty Industry TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Aeronautics Act, R.S.C., 1985, c. A-2, section 4.2 Air Regulations, C.R.C., Vol. I, c. 2, sections 700 and 702 Air Regulations Series 2, No. 2 (Aircraft Marking and Registration Regulations), SOR/90-591, section 19 DESCRIPTION: Cross-Border Services and Investment 1. A person requires a Canadian operating certificate issued by the Department of Transport to provide specialty air services in the territory of Canada. The Department of Transport will issue an operating certificate to a person applying for authority to provide such services, subject to compliance by such person with Canadian safety requirements. 2. Such operating certificate for the provision of aerial construction, heli-logging, aerial inspection, aerial surveillance, flight training, aerial sightseeing, and aerial spraying services is not issued to a person that is not "Canadian" as defined in the applicable regulations (a Canadian national or a corporation incorporated and having its principal place of business in Canada, its chief executive officer and not fewer than 2/3 of its directors as Canadian nationals, and not less than 75% of its voting interest owned and controlled by persons otherwise meeting these requirements). 3. A person of Mexico or of the United States may obtain an operating certificate, subject to compliance by such person with Canadian safety requirements, for the provision of aerial mapping, aerial surveying, aerial photography, forest fire management, fire-fighting, aerial advertising, glider towing and parachute jumping services. DURATION: Cross-Border Services Paragraph 3 of the Description shall govern upon entry into force of this Agreement. A person of Mexico or of the United States will be permitted to obtain an operating certificate, subject to compliance with Canadian safety requirements, for the provision of the following specialty air services: (a) two years after the entry into force of this Agreement, aerial construction and heli-logging services; (b) three years after the entry into force of this Agreement, aerial inspection, aerial surveillance, flight training, and aerial sightseeing services; and (c) six years after the entry into force of this Agreement, aerial spraying services. ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: SIC 4523 Aircraft Servicing Industry SIC 3211 Aircraft and Aircraft Parts Industry TYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203) Local Presence (1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Aeronautics Act, R.S.C., 1985, c. A-2, section 4.9 Air Regulations, Series 2, No.11 [ ] Airworthiness Manual, chapters 573 and 575 [ ] Agreement Concerning Airworthiness Certification, Exchange of Letters between Canada and the United States, dated August 31, 1984, CTS______. DESCRIPTION: Cross-Border Services Aircraft repair, overhaul and maintenance activities which are required to maintain the airworthiness of Canadian-registered aircraft must be performed by Canadian-certified persons. Such certifications are not provided for enterprises located outside Canada, except sub- organizations of approved maintenance organizations that are themselves located in Canada. Pursuant to an airworthiness agreement between Canada and the United States, Canada recognizes the certifications and oversight provided by the United States for all repair, maintenance and overhaul activities performed by U.S.- certified persons, including the individual performing the work, located in the United States. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Land Transportation INDUSTRY CLASSIFICATION: SIC 456 Truck Transport Industries SIC 4572 Interurban and Rural Transit Systems Industry SIC 4573 School Bus Operations Industry SIC 4574 Charter and Sightseeing Bus Services Industry TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEGAL CITATION: Motor Vehicle Transport Act, 1987, R.S.C., 1985, c. 29, (3rd Supp.), Parts I and II National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.), Part IV Customs Tariff, R.S.C., 1985, c. 41 (3rd Supp.), subsection 19(1) DESCRIPTION: Cross-Border Services Only persons of Canada, using Canadian-built or duty-paid trucks or buses, may provide truck or bus services between points in the territory of Canada. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4553 Marine Salvage Industry SIC 4559 Other Service Industries Incidental to Water Transport TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Shipping Act, R.S.C., 1985, c. S-9, sections 6 and 7 DESCRIPTION: Cross-Border Services and Investment To register a ship in Canada for the purpose of providing international maritime transportation services, the owner of the ship must be: (a) a Canadian citizen or a citizen of a Commonwealth country, or (b) a corporation incorporated under the laws of, and having its principal place of business in, Canada or a Commonwealth country. For domestic maritime transportation services (cabotage), see Schedule of Canada, Annex II, p.II-C-10. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water Transport TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Shipping Act, R.S.C., 1985, c. S-9, Part II DESCRIPTION: Cross-Border Services Masters, mates, and engineers are required to be certified by the Department of Transport as ship's officers while engaged on a Canadian- registered vessel. Only Canadian nationals may be certified as ship's officers. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4554 Piloting Service, Water Transport Industry TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Pilotage Act, R.S.C., 1985, c. P-14 General Pilotage Regulations, C.R.C., Vol. XIII c. 1263 Atlantic Pilotage Authority Regulations, C.R.C. Vol. XIII, c. 1264 Laurentian Pilotage Authority Regulations, C.R.C., Vol. XIII, c. 1268 Great Lakes Pilotage Regulations, C.R.C., Vol. XIII, c. 1266 Pacific Pilotage Regulations, C.R.C., Vol. XIII, c. 1270 DESCRIPTION: Cross-Border Services A licence issued by the Department of Transport is required to provide pilotage services in Canada. Only Canadian citizens or permanent residents may obtain such licence. A permanent resident of Canada who has been issued a pilot's licence must become a Canadian citizen within five years of receipt of such licence in order to retain it. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 454 Water Transport Industry TYPE OF RESERVATION: Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Shipping Conference Exemption Act, 1987, R.S.C., 1985, c.17 (3rd Supp.), section 18 DESCRIPTION: Cross-Border Services Members of a shipping conference shall maintain jointly an office or agency in the region of Canada where they operate. A shipping conference is an association of ocean carriers that has the purpose or effect of regulating rates and conditions for the transportation by such carriers of goods by water. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry TYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Coasting Trade Act, S.C., 1992, c. 31, subsection 3(5) DESCRIPTION: Cross-Border Services The prohibitions under the Coasting Trade Act set out in Schedule of Canada, Annex II, p. II-C-10 do not apply to any vessel that is owned by the U.S. Government when used solely for the purpose of transporting goods owned by the U.S. Government from the territory of Canada to supply Distant Early Warning sites. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Energy SUB-SECTOR: Oil and Gas INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Oil and Gas Operations Act (in force as of September 1, 1992) Hibernia Development Project Act DESCRIPTION: 1. The terms and conditions of government assistance for the Hibernia project require that certain goods and services be sourced in Newfoundland and in Canada and that the project operator undertakes, on a "best efforts" basis, to achieve specific Canadian and Newfoundland content levels. 2. In addition, Canada reserves the right to impose any requirement or enforce any commitment or undertaking for the transfer of technology, a production process or other proprietary knowledge to a national or enterprise in Canada, in connection with the Hibernia project. DURATION: For purposes of this entry, paragraph 2 of the Description shall govern with respect to Canada's reservation to the obligations of Article 1106(1) (f). Indeterminate ============================================================================= ANNEX I Schedule of Canada SECTOR: Energy SUB-SECTOR: Oil and Gas INDUSTRY CLASSIFICATION: [To be provided] TYPE OF RESERVATION: Performance Requirements (Article 1106) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Oil and Gas Operation Act, (in force as of September 1, 1992) Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, S.C. 1988, c.28 Canada-Newfoundland Atlantic Accord, S.C. 1987, c.3 Yukon Oil and Gas Accord (under negotiation) Northwest Territories Oil and Gas Accord (under negotiation) DESCRIPTION: 1. Under the Canada Oil and Gas Operations Act, the Minister of Energy, Mines and Resources requires the applicant to submit a "benefits plan". Approval of the benefits plan is required to receive authorization to proceed with any oil and gas development project. 2. A "benefits plan" means a plan for the employment of Canadians and for providing Canadian manufacturers, consultants, contractors and service companies with a full and fair opportunity to participate on a competitive basis in the supply of goods and services used in any proposed work or activity referred to in the benefits plan. The Act permits the Minister to impose an additional requirement on the applicant, as part of the benefits plan, to ensure that disadvantaged individuals or groups have access to training and employment opportunities or can participate in the supply of goods and services used in any proposed work referred to in the benefits plan. Similar provisions will be included in the Yukon and Northwest Territories Accords. 3. The Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act and the Canada- Newfoundland Atlantic Accord Implementation Act have the same requirement for a "benefits plan" but also require that the "benefits plan" ensure that: (a) before carrying out any work or activity in the offshore area the corporation or other body submitting the plan shall establish in the Province an office where appropriate levels of decision-making are to take place; (b) expenditures shall be made for research and development to be carried out in the Province, and for education and training to be provided in the Province; and (c) first consideration shall be given to goods produced or services provided from within the Province, where those goods or services are competitive in terms of fair market price, quality and delivery. 4. The Boards administering the benefits plan under these Acts may also require that the plan include provisions to ensure that disadvantaged individuals or groups or corporations owned or cooperatives operated by them participate in the supply of goods and services used in any proposed work or activity referred in the benefits plan. 5. In addition, Canada reserves the right to impose any requirement or enforce any commitment or undertaking for the transfer of technology, a production process or other proprietary knowledge to a national or enterprise in Canada, in connection with the approval of development projects under the Acts cited above. DURATION: For purposes of this entry, paragraph 5 of the Description shall govern with respect to Canada's reservation to the obligations of Article 1106(1) (f). For purposes of this entry, the Yukon Oil and Gas Accord and the Northwest Territories Oil and Gas Accord shall be deemed to be existing measures, upon completion of their negotiation. Indeterminate ANNEX I Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution). T¡tulo I Cap¡tulo I. Ley de Nacionalidad y Naturalizaci¢n (Nationality and Naturalization Law). Cap¡tulo VI (Disposiciones generales) Ley Org nica de la Fracci¢n I del Art¡culo 27 de la Constituci¢n (Organic Law of the First Section of Article 27 of the United Mexican States Political Constitution). Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Cap¡tulos I y IV (Objeto y Fideicomisos en frontera y litorales) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). T¡tulo III Cap¡tulo I y T¡tulo III Cap¡tulo III. (Inversi¢n extranjera mediante fideicomisos) DESCRIPTION: Investment Foreigners and foreign enterprises, as defined in the Constituci¢n Pol¡tica de los Estados Unidos Mexicanos; and Mexican enterprises without a foreigners' exclusion clause may not acquire "direct dominion" (dominio directo) over land and water in a 100 kilometers strip along the country's borders or in a 50 kilometers strip inland from its coasts (the Restricted Zone). Nevertheless, foreigners, foreign enterprises and Mexican enterprises may acquire "Certificados de Participaci¢n Ordinaria" (CPO's). Such CPO's grant to the beneficiaries the right to use and enjoy the real estate and to receive the profits that it may obtain from the profitable use of the property. The CPO's are issued by a Mexican credit institution that has been granted authorization to acquire through trust the title to real estate intended for industrial and tourist activities in the Restricted Zone for a period not to exceed 30 years. The trust is renewable if: (a) The beneficiaries of the trust which is to be extinguished or terminated will be beneficiaries of the new trust; (b) the new trust is to be executed under the same terms and conditions as the trust which is to be extinguished or terminated, in respect of the purposes of the trust, the use of real estate and its characteristics; (c) the respective permits are requested within a period of 360 to 181 days prior to the trust be extinguished or terminated; and (d) the provisions of the Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera and its regulations are observed. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1102) LEGAL CITATION: Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). DESCRIPTION: Investment The Comisi¢n Nacional de Inversiones Extranjeras in order to evaluate the applications submitted to its consideration (acquisitions or establishment of investments in restricted activities as set out in this Schedule), shall take into account the following criteria: (a) Its effects on employment and training; (b) Its technological contribution; (c) In general its contribution to increase the Mexican industrial production and competitiveness. The Comisi¢n Nacional de Inversiones Extranjeras may impose performance requirements which are not prohibited by Article 1106 of the Investment Chapter. DURATION: Description shall govern upon entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). DESCRIPTION: Investment Mexico will review the acquisition, whether directly or indirectly, of more than 49% of the ownership interest of a Mexican enterprise in an unrestricted sector, that is owned or controlled by Mexican nationals, directly or indirectly, by an investor of another Party if the value of the gross assets of the Mexican enterprise is not less than the applicable thresholds, effective on the date of entry into force of this Agreement and adjusted on each anniversary thereof. The calculation of the applicable review thresholds is set out in the following section below. DURATION: Description shall govern upon entry into force of this Agreement. The basis for calculating the threshold will be: (a) USD 25 million, for the three year period commencing on the date of entry into force of this Agreement; (b) USD 50 million, for the three year period commencing on the fourth year after the date of entry into force of this Agreement; (c) USD 75 million, for the three year period commencing on the seventh year after the entry into force of this Agreement; (d) USD 150 million, for the tenth year after entry into force of this Agreement. Beginning with the Agreement's second year these thresholds shall be adjusted for cumulative inflation based on the US GDP price deflator from the date of entry into force of this Agreement. Beginning with year eleven after entry into force of this Agreement, the threshold will be adjusted for growth in nominal Mexican GDP--but in no case will the threshold to be applied exceed that of Canada. ============================================================================= ANNEX I Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution). Ley General de Sociedades Cooperativas (General Law of Cooperative Companies). T¡tulo I Cap¡tulo I y T¡tulo II Cap¡tulo II DESCRIPTION: Investment No more than 10 percent of the persons participating in a Mexican Cooperative Production enterprise may be foreigners. Foreigners cannot engage in general administrative functions. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal para el Fomento de la Microindustria (Law to Promote the Microindustry). DESCRIPTION: Investment Only Mexican nationals and Mexican enterprises with foreigners' exclusion clause may qualify as microindustry enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Agriculture, Livestock, Forestry, and Lumber Activities SUB-SECTOR: Agriculture, Livestock or Forestry INDUSTRY CLASSIFICATION: CMAP 1111 Agriculture CMAP 1112 Livestock CMAP 120011 Forestry CMAP 120012 Exploitation of Forest Nurseries CMAP 120030 Collection of Forest Products CMAP 120040 Falling Trees TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution). Ley Agraria (Agrarian Law). T¡tulo VI, DESCRIPTION: Investment All enterprises constituted in Mexico which own land for agriculture, livestock or forestry purposes, must issue a special type of shares ("T" shares) which represent the value of the aforementioned land at the time of its acquisition. Investors of another Party and their investments may own up to 49 percent of such "T" shares. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Broadcasting and Multipoint Distribution Systems, (MDS), and Cable Television) INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Production and Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Repetition of Television Programming (Limited to Production, Transmission and Repetition of Television Programs, MDS, Direct Broadcasting Systems, and High Definition Television and Cable Television) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Radio y Televisi¢n (Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tulo III (Programaci¢n) Reglamento de la Ley Federal de Radio y Televisi¢n y de la Ley de la Industria Cinematogr fica relativo al contenido de las transmisiones de Radio y Televisi¢n (Regulations of the Radio and Television Federal Law and Motion Picture Industry Law relating to Radio o Television Content), T¡tulo III (Programaci¢n) Reglamento del Servicio de Televisi¢n por Cable, (Cable Television Regulations) Cap¡tulo VI (Programaci¢n) DESCRIPTION: Cross-Border Services For the protection of copyrights a holder of a concession for a commercial broadcast station or for a cable television system in Mexico is required to obtain an authorization from the Secretar¡a de Gobernaci¢n to import in any form radio or television programming for broadcast or cable distribution of such programming within Mexico. The authorization will be granted if the request includes documentation showing that the foreign government, sponsoring international organization, or the private entrepreneur or organizer has granted the license ("derechos") to retransmit or distribute by cable such program. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Cable Television) INDUSTRY CLASSIFICATION: CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to cable television) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos(United Mexican States Political Constitution), Article 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro I Cap¡tulo III (Concesiones, Permisos y Contratos) Ley Federal de Radio y Televisi¢n (Radio and Television Federal Law), T¡tulo III, (Concesiones, Permisos e Instalaciones) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento del Servicio de Televisi¢n por Cable (Cable Television Regulations), Cap¡tulo II (Concesiones) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services 1. A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to construct and operate, or to operate, cable television systems. Such concession is granted only to Mexican nationals or Mexican enterprises. Investment: 2. Investors of another Party and their investments may own, directly or indirectly, up to 49 percent of an enterprise established or to be established in Mexico which owns or operates a cable television systems or provides cable television services. DURATION: Cross-Border Services Indeterminate. Investment Paragraph 2 of the description shall govern upon entry into force of this Agreement; subject to discussion by the Parties five years after the entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services INDUSTRY CLASSIFICATION: CMAP 941103 Private Exhibition of Films (cinema) TYPE OF RESERVATION: National Treatment (Article 1202) Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de la Industria Cinematogr fica (Motion Picture Industry Law) Reglamento de la Ley de la Industria Cinematogr fica (Regulations of the Motion Picture Industry) DESCRIPTION: Cross-Border Services and Investment On an annual basis, 30 percent of the screen time of every theater may be reserved for films produced, either within or outside Mexico, by Mexican enterprises. DURATION: The description shall govern upon entry into force of this Agreement. Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Broadcasting, Multipoint Distribution Systems (MDS), and Cable Television) INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Production and Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to Production, Transmission and Retransmission of Television Programs, MDS, Direct Broadcasting Systems, High-Definition Television and Cable Television) TYPE OF RESERVATION: National Treatment (Article 1202) Performance Requirement (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tulo III (Programaci¢n) Reglamento de la Ley Federal de Radio y Televisi¢n y de la Ley de la Industria Cinematogr fica relativo al contenido de las transmisiones de Radio y Televisi¢n (Regulation of Radio and Television Federal Law and Regulations of the Motion Picture Industry Law relating to Broadcasting Content), T¡tulo III (Programaci¢n) Reglamento del Servicio de Televisi¢n por Cable (Cable Television Regulations), Cap¡tulo VI (Programaci¢n) DESCRIPTION: Cross-Border Services and Investment The use of the Spanish language is required for the broadcast, cable or multipoint-distribution-system distribution of radio or television programming, except when the Secretar¡a de Gobernaci¢n authorizes the use of another language. A majority of personnel involved in the production and performance of a live broadcast programming activity must be Mexican nationals. To perform in Mexico, a radio and television announcer or presentor who is not a Mexican national must obtain an authorization from the Secretar¡a de Gobernaci¢n. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Broadcasting, and Multipoint Distribution Systems and Cable Television) INDUSTRY CLASSIFICATION: CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to Broadcasting, Cable Television and Multipoint Distribution Systems) TYPE OF RESERVATION: National Treatment (Article 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tulo III (Programaci¢n) Reglamento de la Ley Federal de Radio y Televisi¢n y de la Ley de la Industria Cinematogr fica relativo al contenido de las transmisiones de Radio y Televisi¢n (Regulations of the Radio and Television Federal Law and Regulation of the Motion Picture Industry Law relating to Broadcasting Content), T¡tulo III (Programaci¢n) Reglamento del Servicio de Televisi¢n por Cable, (Cable Television Regulations), Cap¡tulo VI (Programaci¢n) DESCRIPTION: Cross-Border Services and Investment The use of the Spanish language or Spanish subtitles is required for advertising broadcast or distributed in Mexico. Advertising included in programs transmitted directly from outside Mexico may not be broadcast in such programs when they are retransmitted or distributed in Mexico DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Telecommunications (Enhanced or Value-Added Services) INDUSTRY CLASSIFICATION: CMAP 720006 Other Telecomunications Services (Limited to Enhanced or Value-Added Services) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Primero, Cap¡tulo III (Concesiones, Permisos y Contratos) Reglamento de Telecomunicaciones (Telecommunications Regulations), Cap¡tulo 4, (Permisos) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-border Services 1. A provider of enhanced or value-added services must obtain a permit issued by the Secretar¡a de Comunicaciones y Transportes. 2. Persons of Canada or the United States may provide all enhanced or value-added services, except videotext or enhanced packet switching services, without the need to establish local presence. 3. Videotext and enhanced packet switching services may not be provided on a cross-border basis. Investment 1. Investors of another Party and their investments may own 100 percent of an enterprise established or to be established in Mexico that provides any telecommunication enhanced or value-added service, other than videotext or enhanced packet switching services. 2. Investors of another Party and their investments may own, directly or indirectly, up to 49 percent of an enterprise established or to be established in Mexico that provides videotext or enhanced packet switching services. DURATION: Cross-border Services Paragraphs 2 and 3 of the description shall govern upon entry into force of this Agreement. Commencing July 1, 1995, a person of Canada or the United States may provide videotext or enhanced packet switching services without the need to establish a local presence in Mexico. Investment Paragraph 1 of the description shall govern upon entry into force of this Agreement. Commencing July 1, 1995, investors of another Party and their investments may own 100 percent of an enterprise established or to be established in Mexico that provides videotext or enhanced packet switching services. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Communications SUB-SECTOR: Transport Telecommunications General Means of Communication INDUSTRY CLASSIFICATION: CMAP 7200 Communications CMAP 7100 Transport CMAP 9411 Radio and Television TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law) Reglamento del Servicio de Televisi¢n por Cable (Cable Television Regulations) Reglamento de Telecomunicaciones (Telecommunications Regulations) DESCRIPTION: Investment Foreign Governments and Foreign state enterprises or their investments may not invest, directly or indirectly, in a Mexican enterprise providing services related to the general means of communication set out herein. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Construction SUB-SECTOR: INDUSTRY CLASSIFICATION: CMAP 501101 Residential or Housing Construction CMAP 501102 Non-residential Construction CMAP 501200 Construction of Urbanization Projects CMAP 501311 Construction of Industrial Plants CMAP 501312 Construction of Electricity Generation Plants CMAP 501321 Construction and Maintenance of Electricity Conduction Lines and Networks CMAP 501411 Mounting or Installing Concrete Structures CMAP 501412 Mounting or Installing Metallic Structures CMAP 501421 Marine and River Works CMAP 501422 Construction of Routes for Land Transportation CMAP 502001 Hydraulic and Sanitation Installations in Buildings CMAP 502002 Electrical Installations in Buildings CMAP 502003 Telecommunications Installations CMAP 502004 Other Special Installations CMAP 503001 Earth Movement CMAP 503002 Cement Works CMAP 503003 Underground Excavations CMAP 503004 Underwater Works CMAP 503005 Installation of Signs and Warnings CMAP 503006 Demolition CMAP 503007 Construction of Water Purification or Treatment Plants CMAP 503009 Drilling Water Wells CMAP 503010 Construction Activities not Elsewhere Classified TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment), Cap¡tulos II y III Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). DESCRIPTION: Investment Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own, directly or indirectly, more than 49 percent of the ownership interests of an enterprise established or to be established in Mexico that carry out construction activities as set out in the classification mentioned above. DURATION: Five years after the entry into force of this Agreement, investors of another Party and their investments may own 100 percent of the ownership interests of such enterprises without Comisi¢n Nacional de Inversiones Extranjeras' prior approval. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Construction SUB-SECTOR: Not applicable INDUSTRY CLASSIFICATION: CMAP 503008 Exploration and drilling works and services done by specialized contractors excluding the case when these same works and services are done by personnel of PEMEX in the activities classified under industrial classification 220000. TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), T¡tulo I Cap¡tulo I. Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo del Petr¢leo (Regulatory Law of Article 27 of the United Mexican States Political Constitution in matters related with Petroleum) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Cap¡tulo I Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Investment Risk-sharing services contracts are prohibited. Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party and their investments to own, directly or indirectly, more than 49 percent of the ownership interests of an enterprise established or to be established in Mexico involved in "non-risk sharing" service contracts for the drilling of petroleum and gas wells. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Educational Services SUB-SECTOR: Private Schools INDUSTRY CLASSIFICATION: CMAP 921101 Preschool Private Educational Services CMAP 921102 Primary School Private Educational Services CMAP 921103 Secondary School Private Educational Services CMAP 921104 Middle High School Private Educational Services CMAP 921105 Higher Private Educational Services CMAP 921106 Private Educational Services that Combine Preschool, Primary, Secondary, Middle High and Higher Instruction TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) Ley Para la Coordinaci¢n de la Educaci¢n Superior (Law for the Coordination of the Higher Education), Cap¡tulo II Ley Federal de Educaci¢n (Education Law), Cap¡tulo III DESCRIPTION: Investment Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own, directly or indirectly, more than 49 percent of the ownership interests of an enterprise established or to be established in Mexico that operates educational services as set out in the classification mentioned above. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Energy SUB-SECTOR: Commercialization of Petroleum Products INDUSTRY CLASSIFICATION: CMAP 623050 Retail Sales of Gas of liquified petroleum gas (LPG), including the installation of fixed deposits when the facilities are built by the same establishment. TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo del Petr¢leo (Regulatory Law of Article 27 of the United Mexican States Political Constitution related to Oil). Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Cap¡tulo I Reglamento de la Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo de Petr¢leo (Reglamentation of the Regulatory Law of Article 27 of the United Mexican States Political Constitution related to Oil) Reglamento de la Distribuci¢n de Gas.(Regulations of the Distribution of LPG). Cap¡tulos I y II (Autorizaciones y permisos) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). DESCRIPTION: Investment Only Mexican nationals and Mexican enterprises with foreigners' exclusion clause may engage in the distribution of liquified Petroleum gas. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Energy SUB-SECTOR: Commercialization of Petroleum Products INDUSTRY CLASSIFICATION: CMAP 6260000 Retail Outlets of Gasoline and Diesel. Includes Lubricants, Oils and Additives for Resale in these Retail Outlets. TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo del Petr¢leo (Regulatory Law of Article 27 of the United Mexican States Political Constitution related to Oil) Reglamento de la Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo del Petr¢leo (Reglamentation of the Regulatory Law of Article 27 of the United Mexican States Political Constitution related to Oil). DESCRIPTION: Only Mexican nationals and Mexican enterprises with foreigners' exclusion clause may acquire, establish and operate retail outlets engaged in the resale of gasoline, diesel, lubricants, oils and additives. DURATION: The description shall govern upon entry into force of this Agreement ============================================================================= ANNEX I Schedule of Mexico SECTOR: Fishing SUBÄSECTOR: Fishing INDUSTRY CLASSIFICATION: CMAP 130011 Fishing on the High Seas CMAP 130012 Coastal Fishing CMAP 130013 Fresh Water Fishing CMAP 130014 Fishing in the Economic Exclusive Zone TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Pesca (Fishing Law) Cap¡tulo I. Ley de Navegaci¢n y Comercio Mar¡timo (Navigation and Maritime Commerce Law), Libro II T¡tulo Unico Cap¡tulo V Ley Federal del Mar (Federal Sea Law) Ley Federal de Aguas (Federal Law of Water) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). DESCRIPTION: Investment With respect to enterprises established or to be established in Mexico performing coastal fishing, fresh water fishing and fishing in the exclusive economic zone, investors of another Party and their investments may own, directly or indirectly, up to 49 percent of the ownership interest of such enterprises. With respect to enterprises established or to be established in Mexico performing fishing on the high seas, prior approval of the Comision Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own, directly or indirectly, more than 49 percent of the ownership interests of enterprises established or to be established in Mexico performing fishing on the high seas. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacturing and Assembly of Goods SUB-SECTOR: Auto Parts Industry INDUSTRY CLASSIFICATION: CMAP 383103 Manufacturing of Parts and Accessories for Electrical Automotive Systems CMAP 384121 Manufacture and Assembly of Car and Truck Bodies and Tows CMAP 384122 Manufacture of Car and Trucks Motors and Their Parts CMAP 384123 Manufacture of Car and Truck Transmission System Parts CMAP 384124 Manufacture of Car and Truck Suspension System Parts CMAP 384125 Manufacture of Car and Truck Brake System Parts and Accessories CMAP 384126 Manufacture of Other Car and Truck Parts and Accessories TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Annex 300-A (Trade and Investment in the Automotive Industry Sector) of this Agreement. Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment). Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). Decreto para el fomento y modernizaci¢n de la Industria Automotriz (Decree for the Development and Modernization of the Automotive Industry) ("Auto Decree"). Decreto que Determina Reglas para la Aplicaci¢n del Decreto para el Fomento y Modernizaci¢n de la Industria Automotriz (Resolution that Establishes Rules for the Implementation of the Auto Decree) ("Auto Decree Implementing Regulations"). DESCRIPTION: Investors of another Party and their investments may own, directly or indirectly, up to 49 percent of the ownwership interests of an enterprise established or to be established in Mexico and engaged in the auto parts industry. Investors of another Party and their investments that qualify as "national suppliers" may own 100% of an enterprise established or to be established in Mexico engaged in the manufactured of specified auto parts. To qualify as "national supplier", the enterprise must: (a) obtain a national value added calculated as set out in the "Auto Decree Implementing Regulations" of at least 20%; and (b) not be controlled or related, directly or indirectly, to a manufacturer of motor vehicles. DURATION: Annex 300-A (Trade and Investment in the Automotive Sectors) of Chapter Three (National Treatment and Market Access) shall govern. Commencing on the sixth year after the entry into force of this Agreement, investors of another Party and their investments may own 100 percent of the ownership interests of an enterprise established or to be established in Mexico engaged in auto parts industry. (See also page I-M-39 of this Schedule - performance requirements) ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacture of Goods SUB-SECTOR: Automotive Industry INDUSTRY CLASSIFICATION: CMAP 383103 Manufacturing of Parts and Accessories for Electrical Automotive Systems CMAP 3841 Automotive Industry. CMAP 384121 Manufacture and Assembly of Car and Truck Bodies and Tows CMAP 384122 Manufacture of Car and Trucks Motors and Their Parts CMAP 384123 Manufacture of Car and Truck Transmission System Parts CMAP 384124 Manufacture of Car and Truck Suspension System Parts CMAP 384125 Manufacture of Car and Truck Brake System Parts and Accessories CMAP 384126 Manufacture of Other Car and Truck Parts and Accessories TYPE OF RESERVATION: Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Annex 300-A (Trade and Investment in the Automotive Sector) of Chapter Three (Market Access) of this Agreement Decreto para el fomento y modernizaci¢n de la Industria Automotriz (Decree for the Development and Modernization of the Automotive Industry) ("Auto Decree") Decreto que Determina Reglas para la Aplicaci¢n del Decreto para el Fomento y Modernizaci¢n de la Industria Automotriz (Resolution that Establishes Rules for the Implementation of the Auto Decree) ("Auto Decree Implementing Regulations") DESCRIPTION: Investment Annex 300-A (Trade and Investment in the Automotive Sector) of Chapter Three (Market Access) shall govern. A summary of performance requirements in the automotive industry follows: (a) National value added shall constitute at least 20% of the total value of sales of an enterprise of the autoparts industry or of a "National Supplier". In calculating the national value added, custom duties shall be included in the value of imports. (b) A manufacturer of motor vehicles must attain specified levels of national value added from suppliers of Mexican parts (enterprises of the autoparts industry and national suppliers) and must comply with specified trade balance requirements in order to receive permits for the importation of new motor vehicles. (c) Manufacturers of autotransportation vehicles may only import the types of autotransportation vehicles it produces in Mexico and in a quantity not exceed 50% of the number of such vehicles it produces in Mexico in a year. DURATION: Annex 300-A (Trade and Investment in the Automotive Sector) of Chapter Three (Market Access) shall govern upon entry into force of this Agreement Commencing on the sixth year after entry into force of this Agreement Mexico will eliminate restrictions on the number of an autotransportation vehicles that a manufacture autotransportation vehicles may import. Commencing on the eleventh year after the entry into force of this Agreement, Mexico will eliminate all performance requirements in the Auto Decree and the "Auto Decree Implementing Regulations". ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacture of Goods SUB-SECTOR: Maquiladora Industry INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Aduanera (Customs Law) Decreto para el Fomento y Operaci¢n de la Industria Maquiladora de Exportaci¢n (Decree for the Promotion and Operation of Maquiladora Industry for Export) DESCRIPTION: Investment Persons authorized by the Secretar¡a de Comercio y Fomento Industrial to operate under the "Maquiladora Decree" may not sell to the domestic market more than 50% of the total value of its exports. DURATION: Domestic market may not exceed: (a) during the first year of entry into force of this Agreement, 55% of the total value of its exports; (b) during the second year after the date of entry into force of this Agreement, 60% of the total value of its exports; (c) during the third year after the date of entry into force of this Agreement, 65% of the total value of its exports; (d) during the fourth year after the date of entry into force of this Agreement, 70% of the total value of its exports; (e) during the fifth year after the date of entry into force of this Agreement, 75% of the total value of its exports; (f) during the sixth year after the date of entry into force of this Agreement, 80% of the total value of its exports; (g) during the seventh year after the date of entry into force of this Agreement, 85% of the total value of its exports; (h) from the eighth year after the date of entry into force of this Agreement and thereafter, persons may not be subject to this requirement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacture of Goods SUB-SECTOR: Not applicable INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Reglamentaria del Art¡culo 131 de la Constituci¢n Pol¡tica de los Estados Unidos Mexicanos en Materia de Comercio Exterior (Mexican Foreign Trade Act) Decreto para el Fomento y Operaci¢n de las Empresas Altamente Exportadoras" (Decree for the Promotion and Operation of High-Export Firms) DESCRIPTION: Investment 1. "Direct exporters" authorized by the Secretar¡a de Comercio y Fomento Industrial to operate under the "ALTEX Decree" must export at least 40% of their total sales or $2,000,000. U.S. dollars. 2. "Indirect exporters" authorized by the Secretar¡a de Comercio y Fomento Industrial to operate under the "ALTEX Decree" must export at least 50% of their total sales. DURATION: Seven years after the entry into force of this Agreement, direct and indirect exporters will not be subject to the above mencioned percentage. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacture of Goods SUB-SECTOR: Not applicable INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Performance Requirements (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Reglamentaria del Art¡culo 131 de la Constituci¢n Pol¡tica de los Estados Unidos Mexicanos en Materia de Comercio Exterior (Mexican Foreign Trade Act). Ley Aduanera (Customs Law). Programa de Importaci¢n Temporal para Producir Art¡culos de Exportaci¢n (Temporal Import Program to Produce Export Goods). DESCRIPTION: Investment Persons authorized by Secretar¡a de Comercio y Fomento Industrial to operate under the "PITEX Decree" are required to: (a) export at least 30% of their total production for the temporary entry of machinery, equipment, instruments, molds and durable tools used in the manufacturing process; equipment used to handle materials directly related to exported such goods; and research, industrial security, quality control, communication, training personnel, computer and environmental devices, equipment and accessories or others related with the process of the goods exported. (b) export at least 10% of their total production or $500,000 U.S.dollars for the temporary import of raw materials, parts and components totally used as inputs on the export merchandise, packages, bottles, containers and trailer's containers which are fully used to contain export merchandise; fuel, lubricants, auxiliary materials, reparation of tools and equipment consumed in the export process. DURATION: As from the eighth year after the date of entry into force of this Agreement such persons will not be subject to the above mentioned percentages. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Manufacturing Industry SUB-SECTOR: Artificial explosives, fireworks, firearms and cartridges INDUSTRY CLASSIFICATION: CMAP 352236 Manufacturing of Artificial Explosives and Fireworks CMAP 382208 Manufacturing of Firearms and Cartridges TYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Armas de Fuego y Explosivos (Federal Law of Firearms and Explosives) T¡tulo III Cap¡tulo I Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley Federal de Armas de Fuego y Explosivos (Regulations of the Federal Law of Firearms and Explosives) Cap¡tulo IV Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Investment Investors of another Party and their investments may own, directly or indirectly, up to 49 percent of the ownership interest of an enterprise established or to be established in Mexico that manufacture artificial explosives and fireworks, and ammunition as set out in the classification mentioned above. Foreigners cannot appoint directors nor become members of the board of directors of such enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Mining SUB-SECTOR: Extraction and Exploitation of Minerals INDUSTRY CLASSIFICATION: CMAP 210000 Exploitation of Mineral Carbon CMAP 231000 Extraction of Minerals Containing Iron CMAP 232001 Extraction of Minerals Containing Gold, Silver and Other Precious Minerals and Metals CMAP 232002 Extraction of Mercury and Antimony CMAP 232003 Extraction of Industrial Minerals Containing Lead and Zinc CMAP 232004 Extraction of Minerals Containing Copper CMAP 232006 Extraction of Other Metallic Minerals Not Containing Iron CMAP 291001 Extraction of Sand and Gravel CMAP 291002 Extraction of Marble and other Gravels for construction CMAP 291003 Exploitation of Feldspar CMAP 291004 Extraction of Kaolin, Clay and Refractory Minerals CMAP 291005 Extraction of Limestones CMAP 291006 Exploitation of Gypsum CMAP 292001 Extraction of Barium Oxide CMAP 292002 Extraction of Phosphoric Rock CMAP 292003 Extraction of Fluorite CMAP 292004 Extraction of Sulphur CMAP 292005 Extraction of Other Minerals in Order to Obtain Chemicals CMAP 292006 Extraction of Salt CMAP 292007 Extraction of Graphite CMAP 292008 Extraction of other Non Metallic Minerals TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Minera (Mining Law) Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley Minera (Mining Law Regulations) Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Investment Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own, directly or indirectly, more than 49 percent of the ownership interests of an enterprise established or to be established in Mexico engaged in the extraction or exploitation of all kind of minerals. DURATION: The description shall govern upon the entry into force of this Agreement. Commencing on the sixth year after the entry into force of this Agreement investors of another Party and their investments may own 100 percent of ownership interests of an enterprise established or to be established in Mexico engaged in such activities. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Printing, Editing and Associated Industries SUB-SECTOR: Newspaper Publishing INDUSTRY CLASSIFICATION: CMAP 342001 Newspaper Publishing TYPE OF RESERVATION: National Treatment (Article 1102) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Investment Investors of another Party and their investments may own 100 percent of an enterprise established or to be established in Mexico engaged in the simultaneous printing and distribution in Mexico of a daily newspaper that is published outside of Mexico. Investors of another Party and their investments may own, directly or indirectly, up to 49 percent of an enterprise established or to be established in Mexico engaged in the publication of daily newspapers written primarily for a Mexican audience and distributed in Mexico. For purposes of this reservation, daily newspapers are those published at least five days a week. DURATION: The description shall govern upon entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Other Services Provider by natural persons SUB-SECTOR: Medical Doctors INDUSTRY CLASSIFICATION: CMAP 9231 Private Medical, Odontological and Veterinary Services (limited to medical and odontological services) TYPE OF RESERVATION: National Treatment (Article 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal del Trabajo (Federal Labor Law) DESCRIPTION: Cross-Border Services Only Mexican nationals licensed as doctors in Mexico may provide medical in-house services in Mexican enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provider by natural persons SUB-SECTOR: Specialized Personnel INDUSTRY CLASSIFICATION: CMAP 951012 Custom Brokers and Representation Agency Services (limited to shippers' export declarations) TYPE OF RESERVATION: National Treatment (Article 1202) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Aduanera, (Customs Law) Cap¡tulo Unico, T¡tulo Noveno DESCRIPTION: Cross-Border Services A shipper's export declaration must be processed by a Mexican national licensed as a customs broker (agente aduanal) or by the representative (apoderado aduanal) employed by the exporter and authorized by the Secretar¡a de Hacienda y Crdito P£blico for this purpose. DURATION: Indeterminate; subject to discussion by the Parties five years after the entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Other Services Provider by natural persons SUB-SECTOR: Professional Services INDUSTRY CLASSIFICATION: CMAP 9510 Professional, Technical and Specialized Services (limited to Professional Services) TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejercicio de las profesiones en el Distrito Federal y sus regulaciones (Regulatory Law of Article 5 of the United Mexican States Political Constitution in relation to Professional Services and its regulations) Cap¡tulo III, Secci¢n Tercera, Cap¡tulos IV y V Equivalent State Laws Ley General de Poblaci¢n (General Population Law) Cap¡tulo III DESCRIPTION: Cross-Border Services Only Mexican nationals may be licensed at the federal level, in the Distrito Federal, and in the States of Baja California Sur, Colima, Chihuahua, Durango, Jalisco, Estado de Mxico, Morelos, Nayarit, Nuevo Le¢n, Puebla, Quertaro, Sonora, Tabasco and Veracruz in professions that require a "cdula professional". Only a permanent resident (inmigrado or inmigrante) in Mexico may be granted a waiver of the citizenship requirement by the Supreme Court to be licensed as a professional at the federal level. DURATION: Citizenship and permanent residency requirements are subject to removal within two years after the entry into force of this Agreement in accordance with Article 1210(3). Upon removal of these requirements, a foreign professional will be required to have non-immigrant visitor status and an address in Mexico. With respect to legal services see Mexico's Schedule in Annex II, p. M- 10. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by natural persons SUB-SECTOR: Professional Services INDUSTRY CLASSIFICATION: CMAP 951002 Legal Services and Foreign Legal Consultants TYPE OF RESERVATION: National Treatment (Article 1102 and 1202) Most-Favored-Nation Treatment (Articles 1103 and 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejercicio de las profesiones en el Distrito Federal (Regulatory Law of Article 5' of the United Mexican States Political Constitution in relation to Professional Services), Cap¡tulo I, Cap¡tulo III, Secci¢n Tercera Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross Border Services and Investment Except as provided for in this reservation, only lawyers licensed in Mexico may have an ownership interest in a law firm established in Mexico. Lawyers licensed in a Canadian province that allows partnerships between lawyers licensed in that province and lawyers licensed in Mexico, will be permitted to form partnerships with lawyers licensed in Mexico. The number of lawyers licensed in Canada serving as partners, and their ownership interest in the partnership, shall not exceed the number of lawyers licensed in Mexico serving as partners, and their ownership interest in the partnership. A lawyer licensed in Canada shall not be allowed to practice or advise on Mexican law. A law firm established in Mexico resulting from the partnership of lawyers licensed in Canada and lawyers licensed in Mexico may hire lawyers licensed in Mexico as employees. Lawyers licensed in Canada will be subject to the regime for foreign legal consultants established in page M-2 of Schedule VI. DURATION: The description shall govern upon entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by natural persons SUB-SECTOR: Professional Services INDUSTRY CLASSIFICATION: CMAP 951003 Accounting and Auditing Services (limited to accounting services) TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: C¢digo Fiscal de la Federaci¢n, (Federal Tax Code), T¡tulo Tercero, Cap¡tulo Unico Reglamento del C¢digo Fiscal de la Federaci¢n, (Regulations of the Federal Tax Code) Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services Only Mexican nationals who are licensed as accountants in Mexico are authorized to perform audits for tax purposes on behalf of the following: (a) state enterprises, (b) enterprises that are authorized to receive tax-deductible donations, (c) enterprises with income, capital stock, number of employees, and operations above levels specified annually by the Secretar¡a de Hacienda y Crdito P£blico, or (d) enterprises undergoing a merger or divestiture. DURATION: Citizenship and permanent residency requirements are subject to removal within two years after the entry into force of this Agreement in accordance with Article 1210(3). Upon removal of these requirements, a foreign professional will be required to have non-immigrant visitor status and an address in Mexico. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by natural persons SUB-SECTOR: Specialized Services INDUSTRY CLASSIFICATION: CMAP 951001 Notary Public (limited to Corredores P£blicos) TYPE OF RESERVATION: National Treatment (Articles 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: C¢digo de Comercio (Commerce Code), Libro Primero, T¡tulo Tercero Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services 1. Only a Mexican by birth may be licensed to be a commercial notary public. 2. A commercial notary public may not have any business affiliations with any person to provide commercial notary public services. DURATION: 1. Citizenship and permanent residency requirements are subject to removal within two years after the entry into force of this Agreement in accordance with Article 1210(3). Upon removal of these requirements, a foreign professional will be required to have non-immigrant visitor status and an address in Mexico. 2. Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by Natural Persons SUB-SECTOR: Specialized Services INDUSTRY CLASSIFICATION: CMAP 951001 Notary Public TYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Ley del Notariado del Distrito Federal (Notary Law of the Federal District, and its equivalents at state laws) Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services and Investment Only Mexicans by birth may be licensed to be notaries public. A notary public may not have any business affiliations with any person to provide notary public services. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by Natural Persons SUB-SECTOR: Specialized Services INDUSTRY CLASSIFICATION: CMAP 923121 Private Veterinary Services to Cattle TYPE OF RESERVATION: National Treatment (Article 1202) LEVEL OF GOVERNMENT: Federal, State and Local LEGAL CITATION: Reglamento de Control de Productos Qu¡mico-Farmacuticos, Biol¢gicos, Alimenticios, Equipos y Servicios para Animales, (Chemical Products Control Regulations) Cap¡tulos IV y V DESCRIPTION: Cross-Border Services Veterinarians responsible for enterprises managing chemical, pharmaceutical and biological goods for application to animals must be Mexican nationals. A Mexican national who is a licensed professional must be responsible for the laboratories of such enterprises. DURATION: Citizenship and permanent residency requirements are subject to removal within two years after the entry into force of this Agreement in accordance with Article 1210(3). Upon removal of these requirements, a foreign professional will be required to have non-immigrant visitor status and an address in Mexico. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Retail Commerce SUB-SECTOR: Sales of Non-Food Products in Specialized Establishment INDUSTRY CLASSIFICATION: CMAP 623087 Sales of Firearms, Cartridges and Ammunition CMAP 612024 Wholesale Commerce, not elsewhere Classified (limited to a firearms, cartridges and ammunition) TYPE OF RESERVATION: National Treatment (Article 1102) Senior Managment (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Armas de Fuego y Explosivos (Federal Law of Firearms and Explosives), T¡tulo Tercero, Cap¡tulo I Reglamento de la Ley de Armas de Fuego y Explosivos (Regulation of the Federal Law of Firearms and Explosives), Cap¡tulo IV Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Investment Investors of another Party and their investments may own, directly and indirectly, up to 49 percent of the ownership interest of an enterprise established or to be established in Mexico that sells firearms, cartridges and ammunition as set out in the classification mentioned above Foreigners cannot appoint or elect members to be directors nor become members of the board of directors of such enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Religious Services SUB-SECTOR: Not applicable INDUSTRY CLASSIFICATION: CMAP 929001 Religious Services TYPE OF RESERVATION: Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Asociaciones Religiosas y Culto Privado (Religious Associations Law). T¡tulo II, Cap¡tulo II DESCRIPTION: Investment The representatives of the religious associations in Mexico must be Mexican nationals. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Services to Agriculture and Cattle SUB-SECTOR: Services to Agriculture INDUSTRY CLASSIFICATION: CMAP 971010 Agriculture Services Supply TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, (United Mexican States Political Constitution) Article 32 Reglamento de la Ley de Sanidad Fitopecuaria (Regulation of the Phitosanitary Law), Cap¡tulo VII DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Agricultura y Recursos Hidr ulicos is required to spray pesticides. Only Mexican nationals or Mexican enterprises may obtain such concession. DURATION: The requirement of a concession will be replaced with a permit requirement, and the citizenship requirement will be eliminated, in accordance with the schedule of liberalization for specialty air services. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Air Transportation INDUSTRY CLASSIFICATION: CMAP 713001 Transportation Services on Mexican-Registered Aircraft CMAP 713002 Air Taxi Transportation Services TYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera(Law to Promote Mexican Investment and to Regulate Foreign Investment), Cap¡tulo I Reglamento de la Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera(Regulation of the Law to Promote Mexican Investment and to Regulate Foreign Investment) Ley de V¡as Generales de Comunicaci¢n(General Means of Communications Law), Libro Cuarto, Cap¡tulo I-XII DESCRIPTION: Investment Investors of another Party and their investments may own directly or indirectly, up to 25 percent of the voting interest in an enterprise established or to be established in Mexico that provides commercial air services. The chairman and at least two-thirds of the board of directors and two-thirds of managing officers of such enterprises must be Mexican nationals. DURATION: Description shall govern upon entry into force of this Agreement. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Air Transportation INDUSTRY CLASSIFICATION: CMAP 973303 Specialty Air Services TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Cuarto, Cap¡tulo XII DESCRIPTION: Cross-Border Services 1. A permit issued by the Secretar¡a de Comunicaciones y Transportes (SCT) is required to provide all specialty air services in the territory of Mexico. 2. Such permit may be issued to a person of Canada and the United States to provide services related to flight training, forest fire-management, fire-fighting, glider towing, and parachute jumping in Mexico, subject to compliance with national safety rules. 3. Such permit may not be issued to a person of Canada or the United States to provide: aerial advertising, aerial sightseeing services, aerial construction, heli-logging, inspection (surveillance), mapping, photography, surveying and aerial spraying services. Investment Investors of another Party and their investments may own, directly or indirectly, up to 25 percent of the voting interest in an enterprise established or to be established in Mexico that provides specialty air services. The chairman and at least two-thirds of the board of directors and two-thirds of managing officers of such enterprises must be Mexican nationals. DURATION: Cross-Border Services Paragraphs 2 and 3 of the description shall govern upon entry into force of this Agreement. A person of Canada or the United States will be issued a permit by SCT to provide, subject to compliance with safety requirements, the following specialty air services: (a) three years after entry into force of the Agreement, aerial advertising, aerial sightseeing services, aerial construction and heli-logging. (b) six years after entry into force of this Agreement, inspection (surveillance), mapping, photography, surveying and aerial spraying services. Investment Description shall govern upon entry into force of this Agreement ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Air Transportation INDUSTRY CLASSIFICATION: CMAP 384205 Aircraft Building, Assembly and Repair (limited to aircraft repair) TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), Art¡culo 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Cuarto, Cap¡tulo XV Reglamento de Talleres Aeron uticos (Aeronautical Workshops Regulation) Article 8 DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to establish and operate an aircraft repair facility. Only Mexican nationals and Mexican enterprises may obtain such concession. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Air Transportation INDUSTRY CLASSIFICATION: CMAP 973301 Air Navigation Services CMAP 973302 Airport and Heliport Administration Services TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), Art¡culo 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Primero, Cap¡tulo II y II, Libro Cuarto, Cap¡tulo IX Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera(Law to Promote Mexican Investment and to Regulate Foreign Investment) Libro Primero, Cap¡tulo II y III, Libro Cuarto, Cap¡tulo IX Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera(Regulation of the Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to construct and operate, or operate, airports and heliports and to provide air navigation services. Only Mexican nationals and Mexican enterprises may obtain such concession. Investment Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own, directly or indirectly, more than 49 percent of the ownership interest of an enterprise established or to be established in Mexico engaged in the following activities: (a) construction and operation of airports or heliports; (b) operation of airports or heliports; or (c) provision of air navigation services. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 973101 Bus and Truck Station Administration and Ancillary Services (main bus and truck terminals and bus and truck stations) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Primero, Cap¡tulo II y III, Libro Segundo, T¡tulo Segundo, Cap¡tulos I y II, T¡tulo Tercero, Cap¡tulo Unico Reglamento para el Aprovechamiento del Derecho de V¡a de las Carreteras Federales y Zonas Aleda¤as (Regulations for the Use of the Right of Way of Federal Roads and their Adjacent Areas), Cap¡tulos II y IV Reglamento del Autotransporte Federal de Pasajeros, (Regulations of the Federal Transport of Passengers), and 34 Cap¡tulo IV DESCRIPTION: Cross-Border Services A permit issued by the Secretar¡a de Comunicaciones y Transportes is required to establish or operate a bus or truck station or terminal. Only Mexican nationals and Mexican enterprises with a foreigners' exclusion clause may obtain such permit. Investment Foreign investment is not permitted in an enterprise established or to be established in Mexico engaged in the establishment or operation of bus or truck station or terminals as described in the industry classification mentioned above. DURATION: Cross-Border Services Description shall govern upon entry into force of this Agreement. Three years after signature of this Agreement, such permit may be obtained by Mexican nationals and Mexican enterprises. Investment With respect to enterprises established or to be established in Mexico providing such service investors of another Party and their investment may own: (a) three years after the signature of this Agreement, up to 49 percent of ownership interest of the enterprise; (b) seven years after the entry into force of this Agreement, up to 51 percent of the ownership interest of the enterprise; and (c) ten years after the entry into force of this Agreement, up to 100 percent of the enterprise. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 973102 Road and Bridge Administration Services and Ancillary Services TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), Art¡culo 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Primero, Cap¡tulos I, II y III, Libro Segundo, T¡tulo Segundo, Cap¡tulo II, T¡tulo Tercero, Cap¡tulo Unico DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to provide road and bridge administration services and ancillary services. Only Mexican nationals and Mexican enterprises may obtain such concession. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 711312 Urban and Suburban Passenger Transportation Service by Bus CMAP 711315 Collective Automobile Transportation Service CMAP 711316 Established Route Automobile Transportation Service CMAP 711317 Automobile Transportation Service from a Specific Station CMAP 711318 School and Tourist Transportation Service (limited to school transportation service) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote General Investment and to Regulate Foreign Investment) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulation of the Law to Promote General Investment and to Regulate Foreign Investment) Reglamento para el Autotransporte Federal de Pasajeros (Regulations of the Federal Transport of Passengers) State laws [to be provided] DESCRIPTION: Cross-Border Services and Investment Only Mexican nationals and Mexican enterprises with a foreigners' exclusion clause may provide local bus services, school bus services and taxi and other collective transportation services. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to tourist transportation services). TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: State LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), Art¡culo 32 State laws and its regulations equivalent to Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) [to be provided] Libro Primero, T¡tulo Segundo, Cap¡tulo II, Libro Primero, Cap¡tulo III DESCRIPTION: Cross-Border Services In each state, a concession is required to provide intrastate bus and truck services on roads under the jurisdiction of such state. Such concession is provided on the basis of economic needs tests. Preferences in the granting of such concessions by states is accorded to natural persons born in such states and enterprises constitued by persons born in such states, including the states of Michoac n, San Luis Potos¡, Tamaulipas, Tlaxcala and Zacatecas. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to tourist transportation services) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), and its regulations [to be provided] Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera, (Law to Promote General Investment and to Regulate Foreign Investment) Memorandum de Entendimiento entre los Estados Unidos Mexicanos y los Estados Unidos de Norteamrica para la promoci¢n de Servicios de Transporte Tur¡stico de Ruta Fija, (Memorandum of Understanding Between the United States of America and the United Mexican States on Facilitation of Charter/Tour Bus Service) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera, (Regulation of the Law to Promote General Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services A permit issued by the Secretar¡a de Comunicaciones y Transportes is required to provide bus or truck services for the transportation of goods or passengers to or from the territory of Mexico. Only Mexican nationals and Mexican enterprises with a foreigners' exclusion clause may provide such services, except that a person of Canada or the United States may be granted permanent operating authority to provide international charter or tour bus services into the territory of Mexico. Only Mexican nationals, and Mexican enterprises with a foreigners' exclusion clause, using Mexican registered equipment and drivers who are Mexican nationals, may provide bus and truck services for the transportation of goods and passangers between two points in the territory of Mexico. Investment Foreign investment is not permitted in an enterprise established or to be established in Mexico engaged in bus or truck transportation services as described in the industry classification mentioned above. DURATION: Cross-Border Services Description shall govern upon entry into force of this Agreement. A person of Canada or of the United States will be permitted to provide: (a) three years after signature of this Agreement, cross-border truck services to or from the territory of border states (Baja California, Sonora, Chihuahua, Coahuila, Tamaulipas and Nuevo Le¢n), and such person will be permitted to enter and depart Mexico through different ports of entry in such states; (b) three years after signature of this Agreement, only Mexican nationals and Mexican enterprises, using Mexican-registered equipment and drivers who are Mexican nationals, may provide bus and truck services for the transportation of goods and passengers between two points in the territory of Mexico. (c) three years after entry into force of this Agreement, cross-border scheduled bus services to or from the territory of Mexico; and (d) six years after entry into force of this Agreement, cross-border truck services to or from the territory of Mexico. Investment With respect to enterprises established or to be established in Mexico providing such services, investors of another Party may own: (a) three years after signature of this Agreement, up to 49 percent of ownership of an enterprise providing bus services, tourist transportation services and truck services for the transportation of international cargo, between points in the territory of Mexico; (b) seven years after entry into force of this Agreement, up to 51 percent of the ownership interest of an enterprise providing bus services, tourist transportation services or truck services for the transportation of international cargo, between points in the territory of Mexico; and (c) ten years after entry into force of this Agreement, up to 100 percent ownership interest of an enterprise providing bus services, tourist services and truck services for the transportation of international cargo, between points in the territory of Mexico. Foreign ownership in enterprises providing truck services for the carriage of domestic cargo will not be permitted. Indeterminate. ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUB-SECTOR: Land Transportation and Water Transportation INDUSTRY CLASSIFICATION: CMAP 501421 Marine and River Works CMAP 501422 Construction of Roads for Land Transportation TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, (Political Constitution of the United Mexican States) Art¡culo 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communications Law) Libro Primero, Cap¡tulos I, Libro Segundo, Cap¡tulo I DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to construct and operate, or operate, marine and river works and roads for land transportation. Such concession may be granted only to Mexican nationals and Mexican enterprises. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Non-energy pipelines INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Articles 8, 12 and 5 Ley Federal de Aguas(Waters Federal Law) DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to construct and operate, or operate, pipelines carrying non-energy goods, excluding basic petrochemicals. Only Mexican nationals and Mexican enterprises may obtain such concession. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Freight and Passenger Water Transportation INDUSTRY CLASSIFICATION: CMAP 712011 International Maritime Transportation Services CMAP 712012 Cabotage Maritime Services CMAP 712013 International and Cabotage Towing Services CMAP 712021 River and Lake Transportation Services CMAP 712022 Internal Port Water Transportation Services TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Cap¡tulo III, Libro Tercero Ley para el Desarrollo de la Marina Mercante (Law for the Development of the Merchant Navy), Cap¡tulos I y III Ley de Navegaci¢n y Comercio Mar¡timos (Navigation and Maritime Navigation Law) Libro Segundo, T¡tulo Unico, Cap¡tulos I y IIILey Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) DESCRIPTION: Cross-Border Services and Investment Maritime cabotage services, including off-shore maritime services, are reserved to Mexican-flagged vessels. A waiver may be granted by the Secretar¡a de Comunicaciones y Transportes when Mexican-flagged vessels are not able to provide such services.Only Mexican flagged vessels may transport cargo owned by the Federal Government. Foreign-flagged vessels may provide international maritime services in Mexico on the basis of reciprocity with the relevant country. Only Mexican-flagged towing vessels may provide towing services from Mexican ports to foreign ports. When such towing vessels are not able to provide such services, the Secretar¡a de Comunicaciones y Transporte may provide a permit to foreign-flagged towing vessels.Only a Mexican national or a Mexican enterprise with a foreigners' exclusion clause may own vessels registered and flagged as Mexican. All members of the board of directors and managers of such enterprise must be Mexican nationals. Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments, to own, directly or indirectly, more the 49 percent of the ownership interest of an enterprise established or to be established in Mexico operating foreign-flagged vessels providing international maritime transport services. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUB-SECTOR: Specialized Personnel INDUSTRY CLASSIFICATION: CMAP 951012 Customs Brokers (Agentes Aduanales) TYPE OF RESERVATION: National Treatment (Article 1102) LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution) Ley Aduanera (Customs Law) DESCRIPTION: Investment Only Mexican nationals by birth may serve as customs brokers. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Water Transportation INDUSTRY CLASSIFICATION: CMAP 1300 Fishing TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation (Article 1203) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican Stated Political Constitution), Art¡culo 32 Ley de Pesca (Fishing Law), Cap¡tulos I y II Ley de Navegaci¢n y Comercio Mar¡timo (Navigation and Maritime Commerce Law) Libro Segundo, T¡tulo Unico, Cap¡tulo I DESCRIPTION: Cross-Border Services A concession granted, or permit issued, by the Secretar¡a de Pesca is required to engage in fishing activities in Mexican jurisdictional waters. Only Mexican nationals and Mexican enterprises, using Mexican-flagged vessels, may obtain such concession or permit. Permits may exceptionally be issued to persons operating vessels flagged in a foreign country that provides equivalent treatment to Mexican-flagged vessels to engage in fishing activities in the Exclusive Economic Zone (EEZ). Only Mexican nationals and Mexican enterprises may obtain authorization from the Secretar¡a de Pesca for deep sea fishing on Mexican-flagged vessels, fixed rigging installation, recollection from the natural milieu of larvae, post-larvae, eggs, seeds or alevines, for research or acuaculture purposes, introduction of live species into Mexican jurisdictional waters, and for educational fishing in accordance with the programmes of the fishing educational institutions. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Water Transportation INDUSTRY CLASSIFICATION: CMAP 384201 Shipbuilding and Ship Repairs TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) Performance Requirement (Article 1106) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican Stated Political Constitution), Art¡culo 32 Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Cap¡tulo XV, Libro Tercero Ley Para el Desarrollo de la Marina Mercante (Law for the Development of the Merchant Navy), Cap¡tulo IV DESCRIPTION: Cross-Border Services and Investment A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to establish and operate a shipyard. Only Mexican nationals and Mexican enterprises may obtain such concession. For the owner of a Mexican-flagged vessel to be eligible for government cargo preferences, subsidies and tax benefits granted under the Ley para el Desarrollo de la Marina Mercante, such person must carry out repair and maintenance operations in shipyards and repair facilities in Mexico. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Water Transportation INDUSTRY CLASSIFICATION: CMAP 973203 Maritime and Inland (Lake and Rivers) Ports Administration TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Navegaci¢n y Comercio Mar¡timo (Navigation and Maritime Commerce Law), Libro Segundo, Cap¡tulo II Secciones A y B, T¡tulo Unico Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Cap¡tulo XI DESCRIPTION: Cross-Border Services All port workers must be Mexican nationals. DURATION: Indeterminate ============================================================================= ANNEX I Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Water Transportation INDUSTRY CLASSIFICATION: CMAP 973201 Loading and Unloading Services Related to Water Transportation (includes operation and maintenance of docks; Loading and unloading of vessels at shore-side; marine cargo handling; operation and maintenance of piers; ship and boat cleaning; stevedoring; transfer of cargo between ships and trucks, trains, pipelines and wharfs; waterfront terminal operations) TYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution), Art¡culo 32 Ley de Navegaci¢n y Comercio Mar¡timo (Navigation and Maritime Commerce Law), Libro Primero, T¡tulo Unico, Cap¡tulo I, Libro Segundo, T¡tulo Segundo Ley Org nica de la Administraci¢n P£blica Federal (Federal Public Administration Law) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Libro Tercero, Cap¡tulo II Reglamento del Servicio de Maniobras en las Zonas Federales de Puertos, Articles 1, 2, 13 and 14 (Operation Services in the Federal Port Zones Regulation), Libro Primero, T¡tulo Unico, Cap¡tulo I, Libro Segundo, T¡tulo Unico, Cap¡tulo II, Secci¢n A y Libro Cuarto, T¡tulo Unico Reglamento para el Uso y Aprovechamiento del Mar Territorial, V¡as Navegables, Playas, Zona Federal Mar¡timo Terrestre y Terrenos Ganados al Mar, (Regulation for the Use of the Territorial Sea, Navigable Ways, Beaches, Maritime and Terrestrial Federal Zones) DESCRIPTION: Cross-Border Services A concession granted by the Secretar¡a de Comunicaciones y Transportes is required to construct and operate, or operate, maritime and inland port terminals, including dock, cranes and related facilities. Only Mexican nationals and Mexican enterprises may obtain such concession. A permit issued by the Secretar¡a de Comunicaciones y Transportes is required to provide stevedoring and warehousing services. Only Mexican nationals and Mexican enterprises may obtain such permit. Investment Prior approval of the Comisi¢n Nacional de Inversiones Extranjeras is required for investors of another Party or their investments to own directly or indirectly, more than 49 percent of the ownership interest of an enterprise established or to be established in Mexico providing to third persons the following services: operation and maintenance of docks; loading and unloading of vessels at shore-side; marine cargo handling; operation and maintenance of piers; ship and boat cleaning; stevedoring; transfer of cargo between ships and trucks, trains, pipelines and wharves; and waterfront terminal operations. DURATION: Cross-Border Services Indeterminate Investment Description shall govern upon entry into force of this Agreement. ANNEX II 1. The Schedule of a Party sets out the reservations taken by that Party, pursuant to Articles 1108(4) and 1206(4), with respect to specific sectors, sub-sectors or activities for which it may maintain existing, non-conforming measures or adopt new or more restrictive measures. Such measures may derogate from an obligation relating to: (a) national treatment, pursuant to Article 1102 (Investment) or 1202 (Services); (b) most-favored-nation treatment, pursuant to Article 1103 (Investment) or 1203 (Services); (c) local presence, pursuant to Article 1205 (Services); (d) performance requirements, pursuant to Article 1106 (Investment); or (e) nationality requirements for senior management or members of boards of directors, pursuant to Article 1107 (Investment). 2. Each reservation sets out the following elements: (a) SECTOR refers to the general sector in which the reservation is taken; (b) SUB-SECTOR refers to the specific sector in which the reservation is taken; (c) INDUSTRY CLASSIFICATION refers to the activity, where appropriate, covered by the reservation according to domestic industry classification codes; (d) TYPE OF RESERVATION specifies the obligation referred to in paragraph 1 for which a reservation is taken; (e) DESCRIPTION describes the scope of the sector, sub-sector or activities covered by the reservation; and (f) LEGAL CITATION OF EXISTING MEASURES identifies existing measures that apply to the sector, sub-sector or activities covered by the reservation. 3. In the interpretation of a reservation, all elements of the reservation should be considered. In the event of any inconsistency between DESCRIPTION and any other element of the reservation, the DESCRIPTION shall govern to the extent of the inconsistency. 4. For purposes of this Annex: CMAP means Clasificaci¢n Mexicana de Actividades y Productos; CPC means Central Product Classification numbers as set out in Statistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991; Mexican enterprise means an enterprise constituted under the laws of Mexico; Mexican national means a national of Mexico, as defined by the Constitution of Mexico; person of a Party means a national or an enterprise of a Party; and SIC means: (a) with respect to Canada, Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980; and (b) with respect to the United States, Standard Industrial Classification (SIC) numbers as set out in the United States Office of Management and Budget, Standard Industrial Classification Manual, 1987. ANNEX II Schedule of United States SECTOR: Communication SUB-SECTOR: Cable Television INDUSTRY CLASSIFICATION: SIC 4841 Cable and Other Pay Television Services TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) DESCRIPTION:Investment Subject to Article 2106, the United States reserves the right to adopt or maintain any measure that accords equivalent treatment to persons of any country that limits ownership by persons of the United States in an enterprise engaged in the operation of a cable television system in that country. LEGAL CITATION OF EXISTING MEASURES: None ============================================================================= ANNEX II Schedule of United States SECTOR: Communications SUB-SECTOR: Telecommunications Transport Networks and Services and Radio Communications INDUSTRY CLASSIFICATION: CPC 752 Telecommunications Services (Not Including CPC 752323 Value-Added Network Services or CPC 752329 Other Message Services) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment The United States reserves the right to adopt or maintain any measure relating to investment in, or the provision of, telecommunications transport networks and telecommunications transport services or to radio communications. These measures apply to such matters as market entry, spectrum assignment, tariffs, intercarrier agreements, terms and conditions of service, and interconnection between networks and services. Telecommunications transport services typically involve the real- time transmission of customer-supplied information between two or more points without end-to-end change in the form or content of the customer's information, whether or not such services are offered to the public generally. These services include voice and data services provided by any electromagnetic means. Radio communications include all communications by radio, including broadcasting. This reservation does not apply to measures relating to enhanced or value-added services. LEGAL CITATION OF EXISTING MEASURES: Communications Act of 1934, as amended, 47 U.S.C. 151 et seq., see particularly 310(a), (b) (1988) (radio licenses for common carrier, aeronautical en route, aeronautical en route, aeronautical fixed, and broadcasting services), and any Federal Communications Commission rules or policies adopted pursuant to Title 47 of the United States Code, including F.C.C. Decision, International Competitive Carrier, 102 F.C.C. 2d 812 (1985) An Act relating to the Landing and Operation of Submarine Cables in the United States, as amended, 47 U.S.C. 34-9 (1988), see particularly 35 (Submarine Cable Landing Act) (undersea cables) Communications Satellite Act of 1962, as amended, 47 U.S.C. 701-57 (1988) Telegraph Act, as amended, 47 U.S.C. 17 (1988) (telegraph cables serving Alaska) Children's Television Act of 1990, 47 U.S.C. 303a (1990) Television Program Improvement Act of 1990, 47 U.S.C. 303c (1990) ============================================================================= ANNEX II Schedule of United States SECTOR: Social Services SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment The United States reserves the right to adopt or maintain any measure with respect to the provision of public law enforcement and correctional services, and the following services to the extent they are social services established or maintained for a public purpose: income security or insurance, social security or insurance, social welfare, public education, public training, health, and child care. LEGAL CITATION OF EXISTING MEASURES: ============================================================================= ANNEX II Schedule of the United States SECTOR: Minority Affairs SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment The United States reserves the right to adopt or maintain any measure according rights or preferences to socially or economically disadvantaged minorities, including corporations organized under the laws of the State of Alaska in accordance with the Alaska Native Claims Settlement Act (43 U.S.C. 1601 et seq.) ============================================================================= ANNEX II Schedule of United States SECTOR: Professional Services SUB-SECTOR: Attorneys INDUSTRY CLASSIFICATION: SIC 8111 Legal Services TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Subject to page VI-U-3, the United States reserves the right to adopt or maintain any measure relating to the provision of legal services, including foreign legal consultancy services, by persons of Mexico. LEGAL CITATION OF EXISTING MEASURES: None ============================================================================= ANNEX II Schedule of the United States SECTOR: Publishing SUB-SECTOR: Newspaper Publishing INDUSTRY CLASSIFICATION: SIC 2711 Newspapers: Publishing, or Publishing and Printing TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) DESCRIPTION: Investment Subject to Article 2106, the United States reserves the right to adopt or maintain any measure that accords equivalent treatment to persons of any country that limits ownership by persons of the United States in an enterprise engaged in the publication of daily newspapers primarily written for audiences and distributed in that country. For purposes of this reservation, daily newspapers are newspapers published at least five days each week. LEGAL CITATION OF EXISTING MEASURES: None ============================================================================= ANNEX II Schedule of the United States SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4412 Deep Sea Foreign Transportation of Freight (limited to promotional programs) SIC 4424 Deep Sea Domestic Transportation of Freight (includes coastwise transportation of freight, deep sea domestic freight transportation, intercoastal transportation of freight, water transportation of freight to noncontiguous territories) SIC 4432 Freight Transportation on the Great Lakes and St. Lawrence Seaway SIC 4449 Water Transportation of Freight, Not Elsewhere Classified (includes canal barge operations, canal freight transportation, intracoastal freight transportation, lake freight transportation except on the Great Lakes, log rafting and towing, river freight transportation except on the St. Lawrence Seaway, transportation of freight on bays and sounds of the oceans) SIC 4481 Deep Sea Transportation of Passengers, Except by Ferry (limited to promotional programs) SIC 4482 Ferries SIC 4489 Water Transportation of Passengers, Not Elsewhere Classified (includes airboats, swamp buggy rides, excursion boat operations, passenger water transportation on rivers and canals, sightseeing boats, water taxis) SIC 4492 Towing and Tugboat Services SIC 4499 Water Transportation Services, Not Elsewhere Classified (limited to cargo salvaging, chartering of commercial boats, lighterage, bunkering, marine salvage, pilotage, steamship leasing, cable laying) SIC 4491 - Marine Cargo Handling (limited to crew activities aboard vessels transporting supplies and cargo within U.S. territorial waters and longshore work performed by crew affected by reciprocity restrictions) SIC 1629 Heavy Construction, Not Elsewhere Classified (limited to marine dredging) SIC 091 Commercial Fishing (limited to fishing vessels and fishing operations within the Exclusive Economic Zone) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment The United States reserves the right to adopt or maintain any measure relating to the provision of maritime transportation services and the operation of U.S.-flagged vessels, including the following: (a) requirements for investment in, ownership and control of, and operation of vessels and other marine structures, including drill rigs, in maritime cabotage services, including maritime cabotage services performed in the domestic offshore trades, the coastwise trades, U.S. territorial waters, waters above the continental shelf, and in the inland waterways; (b) requirements for investment in, ownership and control of, and operation of U.S.-flagged vessels in foreign trades; (c) requirements for investment in, ownership and control of, and operation of vessels engaging in fishing and related activities in U.S. territorial waters and the Exclusive Economic Zone (EEZ); (d) requirements related to documenting a vessel under the U.S. flag; (e) promotional programs, including tax benefits, available for shipowners, operators and vessels meeting certain requirements; (f) certification, licensing and citizenship requirements for crew members on U.S.-flagged vessels; (g) manning requirements of U.S.-flagged vessels; (h) all matters falling under the jurisdiction of the Federal Maritime Commission; (i) negotiation and implementation of bilateral and other international maritime agreements and understandings; (j) limitations on longshore work performed by crew members; (k) tonnage duties and light money assessments for entering U.S. waters; and (l) certification, licensing, and citizenship requirements for pilots performing pilotage services in U.S. territorial waters. The following activities are not included in this reservation: (a) vessel construction and repair; and (b) landside aspects of port activities including operation and maintenance of docks, loading and unloading of vessels directly to or from land, marine cargo handling, operation and maintenance of piers, ship cleaning, stevedoring, transfer of cargo between a ship and trucks, trains, pipelines and wharves, waterfront terminal operations, boat cleaning, canal operation, dismantling of ships, operation of marine railways for drydocking, marine surveyors, except cargo, marine wrecking of ships for scrap and ship classification societies. LEGAL CITATION OF EXISTING MEASURES: Merchant Marine Act of 1920, 27, 46 App. U.S.C. 883 et seq. (Jones Act, including Bowaters Corporations, 46 App. U.S.C. 883-1); Jones Act Waiver Statute, Act of December 27, 1950, 46 U.S.C. App., note preceding Sec. 1; Shipping Act of 1916, 9, 46 U.S.C. App. 808; Shipping Act of 1916, 2, 46 U.S.C. App. 802; Merchant Marine Act of 1936, 905(c), 46 U.S.C. App. 1244; Merchant Ship Sales Act of 1946, 50 U.S.C. App. 1738; 46 U.S.C. App. 292; 46 U.S.C. 12101 et seq. and 31301 et seq.; 46 U.S.C. App. 316 and 8904; Passenger Vessel Act, 46 U.S.C. 289; Merchant Marine Act of 1936, Title VI, 46 U.S.C. App. 1171, et seq. (includes Capital Construction Fund -- 46 App. U.S.C. 1177, 26 U.S.C. 7518) and the Merchant Marine Act of 1936, Title V, 46 U.S.C. App. 1151, et seq. (includes Capital Reserves Fund, 46 App. U.S.C. 1161 and trade in of obsolete vessels, 46 App. U.S.C. 1160(1) and for National Defense Reserve Fleet, 46 App. 1160(i)); 46 U.S.C. 31328(2); Merchant Marine Act of 1936, Title XI, 46 U.S.C. App. 1271, et seq. (includes Marine Hull Insurance Requirements -- 46 App. U.S.C. 1273(b) and 46 U.S.C. Part 249); Tonnage Duties, 46 App. U.S.C. 121; Merchant Marine Act of 1936, 901(a) and (b), 46 App. U.S.C. 1241(b); Public Resolution 17, 46 App. U.S.C. 1241-1; and the Cargo Preference Act of 1904, 10 U.S.C. 2631; Environmental laws: CERCLA (superfund) 42 U.S.C. 9601 et seq.; and Oil Pollution Act of 1990, 33 U.S.C. 2701; Clean Water Act, 33 U.S.C. 1251 et seq.; 46 U.S.C. 3301 et seq.; 46 U.S.C. 3701, et seq.; Controlled Carrier Act, Shipping Act of 1984, 9, 46 App U.S.C. 1708; Merchant Marine Act of 1920, 19 as amended, 46 App. U.S.C. 876; Shipping Act of 1984, 13(b)(5); 46 App. U.S.C. 1712 (b)(5); and the Foreign Shipping Practices Act of 1988; Omnibus Trade and Competitiveness Act of 1988, Title X, 46 App. U.S.C. 1710a; Immigration Act of 1990, 203, 8 U.S.C. 1288, restrictions on stevedoring by crews of foreign vessels; 46 U.S.C. 8103; Nicholson Act, 46 U.S.C. App. 251; Commercial Fishing Industry Vessel Anti-Reflagging Act of 1987, 46 U.S.C. 2101 and 46 U.S.C. 12108; 43 U.S.C. 1841; 22 U.S.C. 1980; Intercoastal Shipping Act, 46 App. U.S.C. 843; 46 U.S.C. 9302, 46 U.S.C. 8502; Agreement Governing the Operation of Pilotage on the Great Lakes, Exchange of Notes at Ottawa, August 23, 1978, and March 29, 1979, Treaties and International Agreements Service 9445; 46 U.S.C. 12107(b); and Magnuson Fisheries Conservation and Management Act, 16 U.S.C. 1801, et seq. ANNEX II Schedule of Canada SECTOR: Aboriginal Affairs SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION:Investment and Cross-Border Services Canada reserves the right to adopt or maintain any measure denying investors of another Party and their investments, or service providers of another Party, any rights or preferences provided to aboriginal peoples. LEGAL CITATION OF EXISTING MEASURES: [Constitution Act, 1982 and any relevant legislation or policy] ============================================================================= ANNEX II Schedule of Canada SECTOR: Social Services SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Investment and Cross-Border Services Canada reserves the right to adopt or maintain any measure with respect to the provision of public law enforcement and correctional services, and the following services to the extent that they are social services established or maintained for a public purpose: income security or insurance, social security or insurance, social welfare, public education, public training, health, and child care. LEGAL CITATION OF EXISTING MEASURES: ============================================================================= ANNEX II Schedule of Canada SECTOR: Communications SUB-SECTOR: Telecommunications Transport Networks and Services, Radiocommunications and Submarine Cables INDUSTRY CLASSIFICATION: CPC 752 Telecommunications Services TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107) DESCRIPTION: Investment Canada reserves the right to adopt or maintain any measure relating to investment in telecommunications transport networks and telecommunications transport services, radiocommunications and submarine cables, including ownership restrictions and measures concerning corporate officers and directors and place of incorporation. This reservation does not apply to providers of Value-Added Networks (CPC 752323) and Other Message Services (CPC 752329) whose underlying telecommunications transmission facilities are leased from providers of public telecommunications transport networks. LEGAL CITATION OF EXISTING MEASURES: Bell Canada Act, S.C. 1987, c.19 British Columbia Telephone Company Special Act, S.C. 1916, c.66 Teleglobe Canada Reorganization and Divestiture Act, R.S.C. 1985, c.T-4 Telesat Canada Act, R.S.C. 1985, c.T-6 Radiocommunication Act, R.S.C. 1985, c.R-2; as amended by S.C.1989 c.1, c.17 Telegraphs Act R.S.C. 1985, c.T-5 Telecommunications Policy Framework, 1987 Telecommunications Act (Bill C-62) ============================================================================= ANNEX II Schedule of Canada SECTOR: Communications SUB-SECTOR: Telecommunications Transport Networks and Services, Radiocommunications and Submarine Cables INDUSTRY CLASSIFICATION: CPC 752 Telecommunication Services (not including CPC 752323 value-Added Network Service or CPC 752329 Other Message Services) TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services Canada reserves the right to adopt or maintain any measure relating to radio-communications, submarine cables, and the provision of telecommunications transport networks and telecommunications transport services. These measures apply to such matters as market entry, spectrum assignment, tariffs, intercarrier agreements, terms and conditions of service, interconnection between networks and services, and routing requirements that impede the provision of telecommunications transport networks and telecommunications transport services, radio communication and submarine cables, on a cross-border basis. Telecommunications transport services typically involve the real-time transmission of customer-supplied information between two or more points without any end-to-end change in the form or content of the customer's information, whether or not such services are offered to the public generally. These services include voice and data services by wire, radiocommunication or any other electromagnetic means of transmission. This reservation does not apply to measures relating to the cross-border provision of enhanced or value-added services. LEGAL CITATION OF EXISTING MEASURES: Bell Canada Act, S.C. 1987, c. 19 British Columbia Telephone Company Special Act, S.C. 1916, c.66 Railway Act, R.S.C. 1985, c.R-3 Radiocommunication Act, R.S.C. 1985, c.R-2; as amended by S.C. 1989, c.1, c.17 Telegraphs Act, R.S.C. 1985, c.T-5 Telecommunications Policy Framework, 1987 Telecommunications Act (Bill C-62) CRTC Decisions, including (85-19), (90-3), (91-10), (91-21), (92-11), (92-12) ============================================================================= Annex II Schedule of Canada SECTOR: Government Finance SUB-SECTOR: Securities INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102) DESCRIPTION: Investment Canada reserves the right to adopt or maintain any measure relating to the acquisition or sale or other disposition of bonds, treasury bills, or other kinds of debt securities issued by the Government of Canada, a province or local government by nationals of another Party. LEGAL CITATION OF EXISTING MEASURES: Financial Administrative Act, R.S.C., 1985, Chap. F-11 ============================================================================ ANNEX II Schedule of Canada SECTOR: minority Affairs SUB-SECTOR: INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Canada reserves the right to adopt or maintain any measure according rights or preferences to socially or economically disadvantaged minorities. LEGAL CITATION OF EXISTING MEASURES: None ============================================================================= ANNEX II Schedule of Canada SECTOR: Transportation SUB-SECTOR: Air Transportation INDUSTRY CLASSIFICATION: SIC 4513 Non-Scheduled Air Transport, Specialty Industry TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107) DESCRIPTION: Investment Canada reserves the right to adopt or maintain any measure that restricts the acquisition or establishment of an investment in Canada for the provision of specialty air services to a Canadian national or a corporation incorporated and having its principal place of business in Canada, its chief executive officer and not fewer than 2/3 of its directors as Canadian nationals, and not less than 75% of its voting interest owned and controlled by persons otherwise meeting these requirements. LEGAL CITATION OF EXISTING MEASURES: Aeronautics Act, R.S.C., 1985, c. A-2 Air Regulations, C.R.C., Vol.I, c.2 Air Regulations Series 2, No.2 (Aircraft Marking and Registration Regulations), SOR/90-591 ============================================================================= ANNEX II Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4552 Harbour and Port Operation Industries SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water Transport TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Canada reserves the right to adopt or maintain any measure relating to the investment in or provision of maritime cabotage services, including: (a) the transportation of goods or passengers by vessel between points in the territory of Canada and the Exclusive Economic Zone; (b) with respect to waters above the continental shelf, the transportation of goods in relation to the exploration, exploitation, or transportation of the mineral or non-living natural resources of the continental shelf; and (c) the engaging by vessel in any maritime activity of a commercial nature in the territory of Canada and the Exclusive Economic Zone and, with respect to waters above the continental shelf, in such other maritime activities of a commercial nature in relation to the exploration, exploitation or transportation of mineral or non- living natural resources of the continental shelf. This reservation relates to, among other things, local presence requirements for service providers entitled to participate in these activities, the criteria for the issuance of a temporary cabotage license to foreign vessels, and limits on the number of cabotage licenses issued to foreign vessels. LEGAL CITATION OF EXISTING MEASURES: Coasting Trade Act, S.C., 1992, c. 31 Canada Shipping Act, R.S.C., 1985, c. S-9 Customs Act, R.S.C., 1985, c.1 (2nd Supp.) Customs and Excise Offshore Application Act, R.S.C., 1985, c. C-53 ============================================================================= ANNEX II Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Marine Transport Industries SIC 4551 Marine Cargo Handling Industry SIC 4552 Harbour and Port OperationIndustry SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water Transport TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Canada reserves the right to adopt or maintain any measure denying service providers or investors of the United States, or their investments, the benefits accorded service providers or investors of Mexico or any other country, or their investments, in sectors equivalent to those subject to the maritime services reservation inscribed in page II-U-8. LEGAL CITATION OF EXISTING MEASURES: None ============================================================================= ANNEX II Schedule of Canada SECTOR: Transportation SUB-SECTOR: Water Transportation INDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Marine Transport Industries SIC 4551 Marine Cargo Handling Industry SIC 4552 Harbour and Port Operation Industry SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water Transport TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services Canada reserves the right to adopt or maintain any measure relating to the implemention of agreements, arrangements and other formal or informal undertakings with other countries with respect to maritime activities in waters of mutual interest in such areas as pollution control (including double hull requirements for oil tankers), safe navigation, barge inspection standards, water quality, pilotage, salvage, drug abuse control, and maritime communications. LEGAL CITATION OF EXISTING MEASURES: United States Wreckers Act, R.S.C. 1985, c. U-3 Various Agreements and Arrangements, including: (a) Memorandum or Arrangement on Great Lakes Pilotage; (b) Canada-United-States Joint Marine Pollution Circumpolar Agreement; (c) Agreement with the United States on Loran "C" Service on the East and West Coasts; and (d) Denmark - Canada Joint Marine Pollution Circumpolar Agreement. ANNEX II Schedule of Mexico SECTOR: All sectors SUB-SECTOR: All sub-sectors INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) DESCRIPTION: Cross-Border Services and Investment Mexico reserves the right to adopt or maintain any measure restricting the ownership of bonds, treasury bills or any other kind of debt or security issued by the federal, state or local governments except with respect to ownership by financial institutions of another Party, as such term is defined in Chapter Fourteen (Financial Services). LEGAL CITATION OF EXISTING MEASURES: ============================================================================= ANNEX II Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Broadcasting and Multipoint Distribution Systems (MDS)) INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Repetition of Television Programming (Limited to Transmission and Repetition of Television Programs, MDS, and High-Definition Television) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1106) DESCRIPTION: Cross-Border Services and Investment Mexico reserves the right to adopt or maintain any measure relating to investment in or provision of broadcasting, multipoint distribution systems, uninterrupted music and high-definition television services. LEGAL CITATION OF EXISTING MEASURES: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Ley Federal de Radio y Televisi¢n (Radio and Television Federal Law) Ley Para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) ============================================================================= ANNEX II Schedule of Mexico SECTOR: Communications SUB-SECTOR: Telecommunications INDUSTRY CLASSIFICATION: CMAP 720006 Other Telecommunications Services (Limited to Aeronautical Mobile and Fixed Services) TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services and Investment Mexico reserves the right to adopt or maintain any measure relating to investment in or provision of air traffic control, aeronautical meteorology, aeronautical telecommunications, flight control and other telecommunication services relating to air navigation services. LEGAL CITATION OF EXISTING MEASURES: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Decree creating the entity "Servicios a la navegaci¢n en el espacio areo mexicano" (SENEAM) (Air Services in the Mexican Air Space), 3 de octubre de 1978 Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Law to Promote Mexican Investment and to Regulate Foreign Investment) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) ============================================================================= ANNEX II Schedule of Mexico SECTOR: Communications SUB-SECTOR: Telecommunications Transport Networks INDUSTRY CLASSIFICATION: CMAP 720003 Telephone Services CMAP 720004 Telephone Booth Services CMAP 720006 Other Telecommunications Services (Not Including Enhanced or Value-Added Services) CMAP 502003 Telecommunications installations TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services and Investment Mexico reserves the right to adopt or maintain any measure relating to investment in, or provision of, telecommunications transport networks and telecommunication transport services. Telecommunications transport networks include the facilities to provide telecommunications transport services such as local basic telephone services, long-distance telephone services (national and international), rural telephone services, cellular telephone services, telephone booth services, satellite services, trunking, paging, mobile telephony, maritime telecommunication services, air telephone, telex, and data transmission services. Telecommunications transport services typically involve the real-time transmission of customer-supplied information between two or more points without any end-to-end change in the form or content of the customer's information, whether or not such services are offered to the public generally. LEGAL CITATION OF EXISTING MEASURES: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution) Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Reglamento de Telecomunicaciones (Telecommunications Regulations) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment) ============================================================================= ANNEX II Schedule of Mexico SECTOR: Communications and Transportation SUB-SECTOR: Postal Services, Telecommunications, Railroads INDUSTRY CLASSIFICATION: CMAP 720001 Postal Services CMAP 720005 Telegraphic Services, Radiotelegraphic Services, Wireless Telegraphy CMAP 720006 Other Telecommunications services (limited to satellite communications) CMAP 711101 Railway Transportation Service (limited to operation, administration and control of traffic within the Mexican railway system, supervision and management of railway rights-of-way, construction, operation, and maintenance of basic railway infrastructure) TYPE OF RESERVATION: National Treatment (Article 1202) Most-favored-Nation Treatment (Article 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services Mexico reserves the right to adopt or mantain any measure related to the provision of the following services: postal services (operation, administration and organization of first class mail), telegraph, radiotelegraphy, satellite communications (establishment, ownership and operation of satellite systems, and establishment, ownership and operation of earth stations with international links), and railroads (operation, administration and control of traffic within the Mexican railway system, supervision and management of railway rights-of-way, construction, operation, and maintenance of basic railway infrastructure). LEGAL CITATION OF EXISTING MEASURES: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, (United Mexican States Political Constitution) Article 28 Ley de V¡as Generales de Comunicaci¢n (General Means of Communications Law and its regulations) Ley Org nica de Ferrocarriles Nacionales de Mxico (Mexican National Railroad Law) Ley del Servicio Postal Mexicano (Mexican Postal Services Law and its regulations) ============================================================================= ANNEX II Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Other Services Provided by Natural Persons SUB-SECTOR: Professional Services INDUSTRY CLASSIFICATION: CMAP 951002 Legal Services/Foreign Legal Consultants TYPE OF RESERVATION: National Treament (Article 1102, 1202) Most-Favored-Nation Treatment (Article 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Subject to page VI-M-2, Mexico reserves the right to adopt or maintain any measure relating to the provision of legal services and foreign legal consultancy services by person of the United States. LEGAL CITATION OF EXISTING MEASURES: Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejercicio de las profesiones en el Distrito Federal (Regulatory Law of Article 5' of the United Mexican States Political Constitution in relation to Professional Services) Reglamento de la Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera (Regulations of the Law to Promote Mexican Investment and to Regulate Foreign Investment). ============================================================================= ANNEX II Schedule of Mexico SECTOR: Social Services SUB-SECTOR: Not applicable INDUSTRY CLASSIFICATION: TYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107) DESCRIPTION: Cross-Border Services and Investment Mexico reserves the right to adopt or maintain any measure with respect to the provision of public law enforcement and correctional services, and the following services to the extent they are social services established or maintained for a public purpose: income security or insurance, social security or insurance, social welfare, public education, public training, health, and child care. LEGAL CITATION OF EXISTING MEASURES: ============================================================================= ANNEX II Schedule of Mexico SECTOR: Transportation SUB-SECTOR: Specialized Personnel INDUSTRY CLASSIFICATION: Ship Captains (Capitanes) Aircraft Pilots (Pilotos) Ship Masters (Patrones) Ship Machinists (Maquinistas) Ship Mechanics (Mec nicos) Airport Administrators (Comandantes de Aer¢dromos) Harbor Masters (Capitanes de Puerto) Harbor Pilots (Pilotos de Puerto) Customs Brokers (Agentes Aduanales) Crew on Mexican flagged vessels and aircraft (Personal que tripule cualquier embarcaci¢n o aeronave con bandera o insignia mercante mexicana) TYPE OF RESERVATION: National Treament (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205) DESCRIPTION: Cross-Border Services Only Mexicans by birth may serve as captains, pilots, ship masters, machinists, mechanics and crew members manning vessels or aircraft under the Mexican flag; as harbor pilots, harbor masters and airport administrators; and as customs brokers. LEGAL CITATION OF EXISTING MEASURES: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, (Political Constitution of United Mexican States) ANNEX III Schedule of Mexico I. The Mexican State reserves the right to perform exclusively, and to refuse to permit the establishment of investments in, the following activities: 1. Petroleum, other Hydrocarbons and Basic Petrochemicals (a) Description of activities (i) exploration and exploitation of crude oil and natural gas; refining or processing of crude oil and natural gas; and production of artificial gas, basic petrochemicals and their feedstocks and pipelines; and, (ii) foreign trade; transportation, storage and distribution up to and including first hand sales of the following goods: crude oil; natural and artificial gas; goods obtained from the refining or processing of crude oil and natural gas; and basic petrochemicals. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25, 27 and 28 (United Mexican States Political Constitution, Articles 25, 27 and 28). Ley Reglamentaria del Art¡culo 27 Constitucional en el Ramo del Petr¢leo y sus reglamentos (Regulatory Law of Article 27 of the United Mexican States Constitution related to Oil, and its regulations). Ley Org nica de Petr¢leos Mexicanos y Organismos Subsidiarios (Statutory Law of Petr¢leos Mexicanos and its Subsidiaries). ============================================================================= ANNEX III Schedule of Mexico 2. Electricity (a) Description of activities: the supply of electricity as a public service in Mexico, including, except as provided in Annex 602.3 of the Energy Chapter, the generation, transmission, transformation, distribution and sale of electricity. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Articles 25 and 28). Ley del Servicio P£blico de Energ¡a Elctrica y su reglamento (Public Service of Electric Energy Law, and its Regulations) 3. Nuclear Power and Treatment of Radioactive Minerals (a) Description of activities: the generation of nuclear energy; the exploration, exploitation and processing of radioactive minerals; the nuclear fuel cycle; the use and reprocessing of nuclear fuels and the regulation of their applications for other purposes; the transportation and storage of nuclear wastes; and the production of heavy water. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25, 27 and 28 (United Mexican Constitution, Article 25, 27 and 28). Ley Reglamentaria del Art¡culo 27 Constitucional en Materia de Energ¡a Nuclear (Regulatory Law of the Aticle 27 of the United Mexican Constitution related to Atomic Energy). ============================================================================= ANNEX III Schedule of Mexico 4. Satellite Communications (a) Description of activities: the establishment, operation and ownership of satellite systems and earth stations with international links. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States, Articles 25 and 26). Ley de V¡as Generales de Comunicaci¢n y sus reglamentos (General Means of Communication Law) 5. Telegraph Services Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States, Articles 25 and 28) Ley de V¡as Generales de Comunicaci¢n y sus reglamentos (General Means Communication Law) 6. Radiotelegraph Services Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Article 25 and 28) Ley de V¡as Generales de Comunicaci¢n y sus reglamentos (Genral Means of Communication Law). ============================================================================= ANNEX III Schedule of Mexico 7. Postal Services (a) Description of activities: operation, administration and organization of first class mail. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Articles 25 and 28). Ley del Servicio Postal Mexicano (Mexican Postal Service Law) 8. Railroads (a) Description of activities: the operation, administration and control of traffic within the Mexican railway system; supervision and management of railway right-of-way; operation, construction and maintenance of basic railway infrastructure. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Articles 25 y 28). Ley Org nica de Ferrocarriles Nacionales de Mxico (Statutory Law of Mexican Railroads). 9. Issuance of Bills (currency) and Minting of Coinage Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Articles 25 and 28). ============================================================================= ANNEX III Schedule of Mexico Ley Org nica del Banco de Mxico (Statutory Law of Banco de Mxico). Ley Org nica de la Casa de Moneda de Mxico (Statutory Law of the Mexican Coining Agency). 10. Control, Inspection and Surveillance of Maritime and Inland (Lake and River) Ports Legal citation: Ley de Navegaci¢n y Comercio Mar¡timo (Commercial and Navigation Law), Articles 43 and 47. Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Article 272. 11. Control, Inspection and Surveillance of Airports and Heliports Legal citation: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication) Article 327. The legal citations are provided only for transparency purposes. II. Deregulation of Activities Reserved to the State 1. The activities set out in Section I are reserved to the Mexican State, and private equity investment is prohibited under Mexican Law. Where Mexico allows private investment to participate in such activities through service contracts, concessions, lending arrangements or any other type of contractual arrangement, such participation shall not be construed to affect the State's reservation of those activities. 2. If Mexican laws or regulations are amended to allow private equity investment in an activity set out in Section I, Mexico may impose restrictions on foreign investment ============================================================================= ANNEX III Schedule of Mexico participation notwithstanding Article 1102 and describe them in Annex I. Mexico may also impose derogations from 1102 on foreign equity investment participation when selling an asset or ownership interest in an enterprise in activities set out in Section I and describe them in Annex I. III. Activities Formerly Reserved to the Mexican State Where an activity was reserved to the Mexican State on January 1, 1992 and is not reserved to the Mexican State upon entry into force of this Agreement, Mexico may restrict the initial sale of a state-owned asset or an ownership interest in a state enterprise that performs that activity to enterprises with majority ownership by Mexican nationals, as defined by the Mexican Constitution. For a period not to exceed three years from the initial sale, Mexico may restrict the transfer of such asset or ownership interest to other enterprises with majority ownership by Mexican nationals, as defined by the Mexican Constitution. Upon expiration of the three year period , the obligations of national treatment set out in Article 1102 (National Treatment) shall apply. This provision is subject to Article 1108 (Reservations and exceptions). ANNEX IV The Schedule of a Party sets out the reservations taken by that Party pursuant to Article 1108(7) with respect to Article 1103 (Most-Favored-Nation Treatment). Each reservation sets out the sector, subsector or activities to which it applies. ANNEX IV Schedule of the United States The United States takes an exception to Article 1103 for all international agreements (bilateral and multilateral) in force or signed prior to the date of entry into force of this Agreement. As for international agreements other than those in force or signed prior to the date of entry into force of this Agreement, the United States takes an exception to Article 1103 for those agreements involving: 1. Aviation; 2. Fisheries; 3. Maritime matters, including salvage; or 4. Telecommunications. With respect to state measures not yet described in Annex I, pursuant to paragraph 2 of Article 1108, the United States takes an exception to Article 1103 for international agreements signed within two years of the entry into force of this Agreement. For greater certainty, the Parties note that Article 1103 does not apply to any current or future foreign aid programs to promote economic development, such as those governed by the Energy Economic Cooperation Program with Central America and the Caribbean (Pacto de San Jos) and the OECD Agreement on Export Credits. ANNEX IV Schedule of Canada Canada takes an exception to Article 1103 for all international agreements (bilateral and multilateral) in force or signed prior to the date of entry into force of this Agreement. As for international agreements other than those in force or signed prior to the date of entry into force of this Agreement, Canada takes an exception to Article 1103 for those agreements involving: 1. Aviation; 2. Fisheries; 3. Maritime matters, including salvage; or 4. Telecommunications. With respect to provincial measures not yet described in Annex I, pursuant to paragraph 2 of Article 1108, Canada takes an exception for international agreements signed within two years of the entry into force of this Agreement. For greater certainty, the Parties note that Article 1103 does not apply to any current or future foreign aid programs to promote economic development, such as those governed by the Energy Economic Cooperation Program with Central America and the Caribbean (Pacto de San Jos) and the OECD Agreement on Export Credits. ANNEX IV Schedule of Mexico Mexico takes an exception to Article 1103 for all international agreements (bilateral and multilateral) in force or signed prior to the date of entry into force of this Agreement. As for international agreements other than those in force or signed prior to the date of entry into force of this Agreement, Mexico takes an exception to Article 1103 for those agreements involving: 1. Aviation; 2. Fisheries; 3. Maritime matters, including salvage; or 4. Telecommunications. With respect to state measures not yet described in Annex I, pursusant to paragraph 2 of Article 1108, Mexico takes an exception to Article 1103 for international agreements signed within two years of the entry into force of this Agreement. For greater certainty, the Parties note that Article 1103 does not apply to any current or future foreign aid programs to promote economic development, such as those governed by the Energy Economic Cooperation Program with Central America and the Caribbean (Pacto de San Jos) and the OECD Agreement on Export Credits. ANNEX V Schedule of United States SECTOR: Communications SUB-SECTOR: Telecommunications (Radio Communications) INDUSTRY CLASSIFICATION: CPC 752 Telecommunications Services LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Communications Act of 1934, as amended, Sections 1, 2, 4, and Title III, 47 U.S.C. 151 et. seq. (1988) DESCRIPTION: The Communications Act of 1934 (the Act) requires anyone wishing to engage in communications by radio within the United States and between the United States and points outside the United States to obtain a license from the Federal Communications Commission (FCC) for the use, but not the ownership, of all channels of radio communications; and no such license shall be construed to create any right beyond the terms, conditions and periods of the license. The Act requires the FCC, in granting radio station licenses, to determine if such a license would serve the public interest, convenience and necessity and empowers the FCC to impose conditions pursuant to this determination. The Act also empowers the FCC to deny applications for radio licenses where it is unable to find that such grant would serve the public interest, convenience and necessity. ============================================================================= ANNEX V Schedule of United States SECTOR: Communications SUB-SECTOR: Cable Television Services INDUSTRY CLASSIFICATION: CPC 753 Radio and Television Cable Services LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Communications Act of 1934, as amended, 47 U.S.C. 151 et. seq. (1988) Federal Communications Commission Rules, Sections 76.501, 74.931(e)(5), 63.54, and 21.912 47 C.F.R. 76.501, 74.931(e)(5), 63.54, and 21.912 DESCRIPTION: A cable television system is not allowed to carry any television broadcast signal if the cable system owns, operates, controls or has an interest in a television broadcast station whose Grade B contour overlaps the service area of such cable system. (76.501(a)) A cable television system may directly or indirectly own, operate, control, or have an interest in a national television network (such as ABC, CBS, or NBC) only if such system does not pass more than (i) 10 percent of homes passed on a nationwide basis when aggregated with all other cable systems in which the network holds such a cognizable interest, and (ii) 50 percent of homes passed within any one ADI (Arbitron Area of Dominant Influence), except that a cable television system facing a competing system will not be counted toward this 50 percent limit. (76.501(b)) A cable television company may not lease excess transmission time or capacity from a licensee of an Instructional Television Fixed Service (ITFS) station (television services intended for use in educational institutions) if the ITFS station is located within 20 miles of that cable television company's franchise area. (74.931(e)(5)) A telephone common carrier may not engage in the provision (e.g., ownership, control, or production) of video programming to the viewing public in its telephone service area, but may distribute such programming on a common carrier basis and may only have up to a five percent non- controlling financial interest in video programmers. (63.54(a)) A telephone common carrier may not provide channels of communications or pole line conduit space, or other rental arrangements to any entity which is directly or indirectly owned, operated or controlled by, or under common control with, such telephone common carrier, where such facilities or arrangements are to be used for, or in connection with, the provision of video programming to the viewing public in the telephone service area of the telephone common carrier. (63.54(b)) In cable television franchise areas served by a single cable operator, that operator may not be authorized to use frequencies assigned to the Multichannel Multipoint Distribution Service (MMDS) (the 2150-2165 Mhz and 2596-2644 Mhz bands), if a portion of an MMDS station's protected service area lies within that cable television operator's franchise area. (21.912) ============================================================================= ANNEX V Schedule of the United States SECTOR: Energy SUB-SECTOR: Natural Gas Transportation INDUSTRY CLASSIFICATION: SIC 4922 Natural Gas Transmission SIC 4923 Natural Gas Transmission and Distribution SIC 4924 Natural Gas Distribution LEGAL CITATION: 15 U.S.C. section 717(f) 18 C.F.R. part 157 DESCRIPTION: Section 7(c) of the Natural Gas Act of 1938, as amended, requires a natural gas company, or a person which will be a natural gas company upon completion of proposed construction or extension of transportation facilities, to obtain a certificate of public convenience and necessity to construct, extend, acquire, or operate such facilities. In addition, a certificate is required to transport or sell for resale natural gas in interstate commerce. The Act requires the FERC to hold hearings on applications for permanent certificates and to give interested persons notice of such hearings and notices of applications are published in the Federal Register. The FERC does not require a certificate of pubic convenience and necessity for certain replacement construction, maintenance, emergency facilities, auxiliary installations, and certain types of taps. Natural gas services for drilling oil wells, or for testing or purging new natural gas pipeline facilities are exempt from the certificate requirement. Certain "emergency" sales, transportation, or exchanges are exempt from the certificate requirement. When a certificate is required, the FERC may grant a temporary certificate for sale or transportation in emergency circumstances, pending the determination on a permanent certificate. ============================================================================= ANNEX V Schedule of the United States SECTOR: Postal Services SUB-SECTOR: Postal Services INDUSTRY CLASSIFICATION: SIC 4311 United States Postal Service LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 39 U.S.C. 401 et seq. 18 U.S.C. 1693 39 C.F.R. Parts 310 and 320 DESCRIPTION: The United States Postal Service is generally authorized to "receive, transmit, and deliver throughout the United States, its territories and possessions ... written and printed matter, parcels and like materials." The Postal Service also has the exclusive authority to "provide and sell postage stamps." A carrier other than the U.S. Postal Service may carry letters if, among other things, each letter is enclosed in an envelope, proper postage has been paid in stamps, the stamp is canceled by the sender, and the carrier endorses the envelope. The postal regulations define "letters" to exclude telegrams, books and magazines, and other materials. The regulations also permit letters to be carried accompanying cargo, by the sender, by others without compensation, and by special messengers. The Postal Service has suspended its regulations with respect to private "express mail" services. ============================================================================= ANNEX V Schedule of United States SECTOR: Recreation SUB-SECTOR: National Parks Concessions INDUSTRY CLASSIFICATION: SIC 7999 Amusement and Recreation Services, Not Elsewhere Classified LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 16 U.S.C. 20 and 20a DESCRIPTION: A concession is required to operate hotels, restaurants, gift shops, snack bars, equipment rentals, horseback riding services, guide services, fishing guides, mountain climbing, bus transportation, and other services facilities in U.S. national parks. The National Park Service regulates all aspects of these services, including building specifications, rates for the services, and hours of operation. The National Park Service awards concessions only where they are determined to be "necessary and appropriate." In developing its plans for the operation of a national park, the Park Service determines what operations, including concessions, are "necessary and appropriate." As a result of this determination, the Park Service may determine that a given concession is not needed. ANNEX V Schedule of Canada SECTOR: Communication Industries SUB-SECTOR: Postal Services INDUSTRY CLASSIFICATION: SIC 4841 Postal Service Industry LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Canada Post Corporation Act, R.S.C., c. C-10 Letter Definition Regulations, SOR/83-481 DESCRIPTION: Canada Post Corporation has the exclusive privilege to collect, transmit and deliver "letters", as defined in the Letter Definition Regulations, addressed in the territory of Canada, and its assent is required in order for other persons to sell stamps. ============================================================================= ANNEX V Schedule of Canada SECTOR: Communications SUB-SECTOR: Radiocommunications INDUSTRY CLASSIFICATION: CPC 752 Telecommunication LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Radiocommunication Act, R.S.C. 1985, c.R-2; as amended by S.C 1989 c.1, c.17, ss. 5, 6 DESCRIPTION: A person desiring to operate a private radio transmission system must obtain a licence from the Department of Communications. The issuance of such licence is subject to spectrum availability and policies regarding its use. In general, priority is given to the use of spectrum for the purpose of developing non-private networks. ============================================================================= ANNEX V Schedule of Canada SECTOR: Energy SUB-SECTOR: Electricity Transmission INDUSTRY CLASSIFICATION: [To be provided] LEVEL OF GOVERNMENT: Federal LEGAL CITATION: National Energy Board Act, R.S.C., 1985, c. N-6 DESCRIPTION: Under Part III of the Act, construction and operation of international electricity transmission lines may require approval by the National Energy Board. ============================================================================= ANNEX V Schedule of Canada SECTOR: Energy SUB-SECTOR: Oil and Gas Transportation INDUSTRY CLASSIFICATION: [To be provided] LEVEL OF GOVERNMENT: Federal LEGAL CITATION: National Energy Board Act R.S.C., 1985 c. N-6 DESCRIPTION: The approval of the National Energy Board (NEB) is required for the construction and operation of all interprovincial or international pipelines for the transmission of oil or gas. A public hearing must be held and a certificate of public convenience and necessity issued where the pipeline in question is longer than 40 kilometers. Pipelines shorter than 40 kilometers may be authorized by an order without a public hearing. All modifications to and extension of pipelines must be approved by the Board. Part IV of the Act requires that all tolls for the transmission of oil and gas on NEB-regulated pipelines and all tariff matters shall be filed with or approved by the NEB. A public hearing may be held in considering toll and tariff matters. ============================================================================= ANNEX V Schedule of Canada SECTOR: Food, Beverages and Drug Industries, Retail SUB-SECTOR: Liquor, Wine and Beer Stores INDUSTRY CLASSIFICATION: 6021 Liquor Stores 6022 Wine Stores 6023 Beer Stores LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Importation of Intoxicating Liquors Act, R.S.C., 1985, c. I-3 DESCRIPTION: The Importation of Intoxicating Liquors Act gives each provincial government an import monopoly on any intoxicating liquors entering its territory. ============================================================================= ANNEX V Schedule of Canada SECTOR: Transportation SUB-SECTOR: Land Transportation INDUSTRY CLASSIFICATION: SIC 457 Public Passenger Transit Systems LEVEL OF GOVERNMENT: Federal (administration delegated to provinces) LEGAL CITATION: National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.) DESCRIPTION: Provincial transport boards have been delegated the authority to permit persons to provide extra-provincial (inter-provincial and cross-border) bus services in their respective provinces on the same basis as local bus services. All provinces, except New Brunswick, Prince Edward Island and Yukon, permit the provision of local and extra-provincial bus services on the basis of a public convenience and necessity test. ANNEX V Schedule of Mexico SECTOR: Communications SUB-SECTOR: Telecommunications INDUSTRY CLASSIFICATION: CMAP 720006 Other Telecommunications Services (Limited to Private Networks) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law), Libro Primero, Cap¡tulo III (Concesiones, Permisos y Contratos) Reglamento de Telecomunicaciones (Telecommunications Regulations), Cap¡tulo 2 Cap¡tulo 4 (Permisos) DESCRIPTION: Cross-Border Services Resale of circuit capacity of a private network may not exceed 30 percent of such capacity. ============================================================================= ANNEX V Schedule of Mexico SECTOR: Private Educational Services SUB-SECTOR: INDUSTRY CLASSIFICATION: CMAP 921101 Preschool Private Educational Services CMAP 921102 Primary School Private Educational Services CMAP 921103 Secondary School Private Educational Services CMAP 921104 Middle High (Preparatory) School Private Educational Services CMAP 921105 Higher Private Educational Services CMAP 921106 Private Educational Services that Combine Preschool, Primary, Secondary, Middle High and Higher School Instruction LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution)T¡tulo Primero, Cap¡tulo I Ley Federal de Educaci¢n (Federal Education Law) Cap¡tulos I, II, III y IV Ley para la Coordinaci¢n de la Educaci¢n Superior (Higher Education Coordination Law) Cap¡tulos I y II Ley Reglamentaria del Art¡culo 5 Constitucional relativo al ejercicio de las profesiones en el Distrito Federal, (Regulatory Law of Article 5 of the United Mexican States Political Constitution in relation to Professional Services) Article 1, related articles and its Regulation Art. 12, Cap¡tulos I y III, Secciones I y III Reglamento de la Ley Reglamentaria del Art¡culo 5 Constitucional relativo al ejercicio de las profesiones en el Distrito Federal, (Regulation of the Regulatory Law of Article 5 of the United Mexican States Political Constitution in relation to Professional Services) Cap¡tulo V DESCRIPTION: Cross-Border Services and Investment For the provision of primary, secondary, normal and workers or peasants educational services, prior and express authorization granted by the Secretar¡a de Educaci¢n P£blica or corresponding state authorities is required. Such authorization is granted on a case-by-case basis in accordance with public convenience and necessity. ============================================================================= ANNEX V Schedule of Mexico SECTOR: Transportation SUBÄSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 973103 Vehicle Parking services) Services (Parking and garage CMAP 973104 Weight Scale Services for Transportation. CMAP 973105 Towing Services for Vehicles. CMAP 973106 Other Services Related to Land Transportation not mentioned in sections 9731, 7112 and 7113 of the CMAP LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) State laws [to be provided] DESCRIPTION: A permit issued by the Secretar¡a de Comunicaciones y Transportes is required to provide services related to land transportation. In some states such permits are granted on a basis of the public convenience and necessity. Annex VI Schedule of United States SECTOR: Communications SUB-SECTOR: Broadcasting INDUSTRY CLASSIFICATION: CPC 7524 Program Transmission Services LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Communications Act of 1934, as amended, Sections 309, 325, 47 U.S.C. 309, 325 (1988) DESCRIPTION: The United States will ensure that in considering applications for a grant of authority to transmit programming to foreign stations for retransmission into the United States under Section 325 of the Communications Act of 1934 (the Act), the Federal Communications Commission (FCC) will not consider the nationality of the affected stations for the purpose of favoring a U.S. station that is competing with a Mexican station for affiliation with a U.S. programmer. Rather the FCC will apply the criteria for the grant of such permit in the same manner as would be applied to a domestic broadcast station application under Section 309 of the Act. In addition, the term of the Section 325 permit shall be extended from one year to five years in all situations where it can be assured that the retransmitting station is and will be in full compliance with applicable treaties. In assessing the public interest, convenience, and necessity required by the Act for the grant of authorization under Section 325, the primary criterion will be avoiding the creation or maintenance of electrical interference to U.S. broadcast stations that violates applicable treaty provisions. In evaluating this and any other criteria permitted under Section 309, the U.S. will ensure that the Section 325 process shall not be conducted in a manner that would constitute an unnecessary restriction on trade. ============================================================================= ANNEX VI Schedule of the United States SECTOR: Professional Services SUB-SECTOR: Attorneys INDUSTRY CLASSIFICATION: SIC 8111 Legal Services LEVEL OF GOVERNMENT: State LEGAL CITATION: [to be provided] DESCRIPTION: Lawyers authorized to practice in Mexico or Canada and law firms headquartered in Mexico or Canada will be permitted to provide foreign legal consultancy services, and to establish for that purpose, in Alaska, California, Connecticut, District of Columbia, Florida, Georgia, Illinois, Michigan, New Jersey, New York, Ohio, Oregon, Texas, and Washington, or in any other state that so permits by the date of entry into force of this agreement. ANNEX VI Schedule of Canada SECTOR: Professional Services SUB-SECTOR: Lawyers INDUSTRY CLASSIFICATION: SIC [To be provided] LEVEL OF GOVERNMENT: Provincial LEGAL CITATION: [To be provided] DESCRIPTION: Lawyers authorized to practise in Mexico or the United States and law firms headquartered in Mexico or the United States will be permitted to provide foreign legal consultancy services and to establish for that purpose, in British Columbia, Ontario, and Saskatchewan, and in any other province that so permits by the date of entry into force of this Agreement. ANNEX VI Schedule of Mexico SECTOR: Communications SUB-SECTOR: Entertainment Services (Cinema) INDUSTRY CLASSIFICATION: CMAP 941102 Private Services of Distribution and Films Rental LEGAL CITATION: Ley de la Industria Cinematogr fica (Motion Picture Industry Law) Reglamento de la Ley de la Industria Cinematogr fica. (Regulations of the Motion Picture Industry Law) DESCRIPTION: Cross-Border Services A distributor of films produced outside of Mexico is required to provide to the Cineteca Nacional no more than one copy of two film titles of each five film titles imported by such distributor into Mexico. ============================================================================= ANNEX VI Schedule of Mexico SECTOR: Professional, Technical and Specialized Services and Services Provided by Natural Persons SUB-SECTOR: Professional Services INDUSTRY CLASSIFICATION: CMAP 951002 Legal Services and Foreign Legal Consultants LEVEL OF GOVERNMENT: Federal and State LEGAL CITATION: [to be provided] DESCRIPTION: 1. Mexico will ensure that: (a) a lawyer authorized to practice in a province of Canada or a state of the United States of America who seeks to practice as a foreign legal consultant in Mexico shall be granted a license to do so if lawyers licensed in Mexico are accorded equivalent treatment in such province or state; and (b) a law firm headquartered in a province of Canada or a state of the United States of America that seeks to establish in Mexico to provide legal services through licensed foreign legal consultants shall be authorized to do so if law firms headquartered in Mexico are accorded equivalent treatment in such province or state. 2. Mexico will, pursuant to paragraph 1(a), deny benefits to foreign lawyers employed by or associated with foreign legal consultancy firms established in Mexico, pursuant to paragraph 1(b), if such lawyers are not authorized to practice in a province of Canada or a state of the United States of America that authorizes lawyers licensed in Mexico to practice as foreign legal consultants in its territory. 3. Subject to paragraphs 1 and 2, Mexico will adopt rules and procedures regarding the practice of foreign legal consultants in Mexico, including matters related to association and hiring of lawyers licensed in Mexico. ============================================================================= ANNEX VI Schedule of Mexico SECTOR: Transportation SUBSECTOR: Land Transportation INDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to Tourist Transportation Services) LEGAL CITATION: Federal regulations will be established in relation to leasing and rental operations. DESCRIPTION: An enterprise authorized in Mexico to provide bus or truck transportation services may use equipment of its own, leased vehicles with option to purchase (financial leasing), leased vehicles (operational leasing), or short-term rental vehicles. ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1409 (Staffing) MEASURE: U.S. citizenship requirements for chief executive officers of national banks not affiliated or owned by foreign banks LEVEL OF GOVERNMENT: Federal LEGAL CITATION: The National Bank Act, 12 U.S.C. 72. DESCRIPTION: All directors of a national bank must be citizens of the United States. Because it is also required that chief executive officers of all national banks be directors, a chief executive officer of a national bank must be a citizen of the United States. An exception from these requirements exists for national banks affiliated or owned by foreign banks. Such banks are only required to have citizens constitute a simple majority of the directors and need not employ citizens as chief executive officers. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1409 (Staffing) MEASURE: Residency requirements on boards of directors of national banks LEVEL OF GOVERNMENT: Federal LEGAL CITATION: The National Bank Act, 12 U.S.C. 72. DESCRIPTION: Two-thirds of the directors of a national bank must have (i) resided for one year prior to their election, and (ii) continue to reside, in the state in which the bank is located or within 100 miles of the national bank. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Limitations on acquisition of interests in banks on an interstate basis LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Bank Holding Company Act of 1956, as amended, 12 U.S.C. 1842(d); International Banking Act of 1978, as amended, 12 U.S.C. 3103(a)(5). DESCRIPTION: Federal authorities may not approve the establishment of, or acquisition of an interest in, a bank subsidiary within a state ("the host state") by a foreign bank that has a full-service branch or bank subsidiary in the United States, unless the measures of the host state expressly permit the transaction. Thus, foreign banks may not acquire interests in banks in some states on the same basis as domestic bank holding companies from the foreign bank's home state. For purposes of determining national treatment under paragraph 6(b) of Article 1407, foreign banks are located in their "home state," as that term is used in the International Banking Act of 1978. The following types of measures, inter alia, fall into this category: (a) Foreign banks are expressly excluded from the authority to own banks in certain regional holding company laws. (b) Foreign banks are implicitly excluded through a definition of eligible owner in certain state laws that requires a majority of the parent bank's deposits to be in the United States, in a particular region of the United States, or in a particular state. (c) Foreign banks that do not already own a banking subsidiary in the United States are interpreted as not qualifying as an eligible "bank holding company" entitled to own a bank. DURATION:Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Limitations on ownership of corporations organized under section 25A of the Federal Reserve Act ("Edge corporations") LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Federal Reserve Act, 12 U.S.C. 619. DESCRIPTION: Edge corporations (specialized international banking companies chartered under Federal law) may be owned by domestically-owned banks and bank holding companies, and by domestic non-bank companies willing to restrict their business activities to those closely related to banking. Foreign ownership of Edge corporations is limited to foreign banks and U.S. subsidiaries of foreign banks. Other foreign persons may neither directly nor indirectly own Edge corporations. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Exemption from limitations for federal- and state-owned companies that own banks LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Bank Holding Company Act of 1956, as amended, 12 U.S.C. 1841(b) DESCRIPTION: The Bank Holding Company Act does not apply to companies that are majority-owned by the Federal and state governments, whereas companies owned by foreign governments are not excepted. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Limitations on the ability of foreign banks to accept certain types of deposits through any form other than an insured banking subsidiary LEVEL OF GOVERNMENT: Federal LEGAL CITATION: International Banking Act of 1978, 12 U.S.C. 3104 (as amended by The Federal Deposit Insurance Corporation Improvement Act of 1991, Pub.L. 102-242, Title II, 214(a)). DESCRIPTION: After December 19, 1991, in order to accept or maintain deposit accounts having balances of less than $100,000, a foreign bank must establish an insured banking subsidiary. As a result, foreign bank branches are prohibited from taking insured deposits unless engaged in that activity on December 19, 1991. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Limitations on membership in the Federal Reserve System LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Federal Reserve Act, 12 U.S.C. 321, 221, 302; International Banking Act of 1978, 12 U.S.C. 3106(d). DESCRIPTION: Foreign banks with branches and agencies in the United States may not be members of the Federal Reserve System, and may thus not vote for directors of a Federal Reserve Bank. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking and Securities TYPE OF RESERVATION: Articles 1407 and 1408 (National Treatment, Most-Favored-Nation Treatment) MEASURE: Limitation on designation of foreign firms as primary dealers in U.S. government securities LEVEL OF GOVERNMENT: Federal LEGAL CITATION: The Primary Dealers Act of 1988, 22 U.S.C. 5341-5342. DESCRIPTION: The Primary Dealers Act of 1988 prohibits a foreign firm to be designated as a primary dealer in U.S. government debt obligations unless the home country of the foreign firm accords to U.S. firms the same competitive opportunities as are accorded to domestic firms in the underwriting and distribution of government debt instruments in the firm's home country. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking and Securities TYPE OF RESERVATION: Articles 1407, 1408 and 1409 (National Treatment, MFN Treatment, Staffing) MEASURE: Eligibility of foreign trust indentures LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Trust Indenture Act of 1939, 15 U.S.C. 77jjj(a)(1) and rules thereunder. DESCRIPTION: Under the Trust Indenture Act of 1939, foreign firms located outside the United States may be prohibited from acting as sole trustees under an indenture for debt securities sold in the United States if U.S. institutional trustees cannot act as sole trustee for securities sold in the foreign country. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking and Securities TYPE OF RESERVATION: Article 1409 (MFN Treatment) MEASURE: Special reserve bank account LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Rule 15c3-3 of the Securities Exchange Act of 1934, 17 C.F.R. 240.15c3-3. DESCRIPTION: Broker-dealers that maintain their principal place of business in Canada may maintain their reserve requirement at a Canadian bank subject to supervision by an authority of Canada; however, other foreign broker-dealers not in the U.S. or Canada must maintain reserves in the U.S. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Commodity Futures and Options TYPE OF RESERVATION: Articles 1405 and 1406 (Cross-Border Trade, New Financial Services) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Commodity Exchange Act, 7 U.S.C. 2. DESCRIPTION: Federal law prohibits the offer or sale of futures contracts on onions, options contracts on onions and options on futures contracts on onions in the United States and services related thereto. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Insurance TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: LEVEL OF GOVERNMENT: Federal LEGAL CITATION: 31 U.S.C. 9304 DESCRIPTION: Branches of foreign insurance companies are not permitted to provide surety bonds for U.S. Government contracts. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking and Securities TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Differential treatment of foreign and domestic banks under the federal securities laws LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Investment Advisors Act of 1940, 15 U.S.C. 80b-2 and 80b-3 and the rules thereunder. DESCRIPTION: Foreign banks may be required to register as investment advisers under the Investment Advisors Act of 1940 to engage in securities advisory services in the United States, while domestic banks are exempt from registration. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Securities TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Application of the disclosure provisions of the federal securities laws to the U.S. government, government-owned enterprises, and state and local governments. LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Securities Exchange Act of 1934, 15 U.S.C. 78c(a)(12)(A)(i), 78c(a)(12)(A)(ii) and the rules thereunder; Securities Act of 1933, 15 U.S.C. 77c(a)(2) and the rules thereunder. DESCRIPTION: U.S. federal, state and local government securities are exempt from the registration and disclosure provisions of the federal securities laws. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Securities TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Application of the federal securities laws to the U.S. government, government owned enterprises, and state and local governments LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Investment Company Act of 1940, 15 U.S.C. 80a-2(b), and the rules thereunder; Investment Advisers Act of 1940, 15 U.S.C. 80-2(b), and the rules thereunder. DESCRIPTION: The Investment Company Act of 1940 and the Investment Advisers Act of 1940 do not apply to investment companies and investment advisers, respectively, that are owned by the federal, state and local governments, whereas investment companies and investment advisers owned by foreign governments are not excepted. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: Banking and Securities TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: Application of the federal securities laws to the U.S. government, government-owned enterprises, and state and local governments. LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Securities Exchange Act of 1934, 15 U.S.C. 78c(a)(43)(A), 78c(a)(44)(A) and 78c(d) the rules thereunder. DESCRIPTION: No provision of the Exchange Act applies to the U.S. government. Thus, U.S.-owned exchanges, clearing agencies, brokers, dealers, and banks are not regulated under the Exchange Act. In addition, U.S. government enterprises are exempt from government securities broker and dealer registration and regulation. State and local government officials are also exempted from the registration as brokers, dealers, and municipal securities dealers. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States SECTOR: Financial Services SUB-SECTOR: TYPE OF RESERVATION: Article 1407 (National Treatment) MEASURE: LEVEL OF GOVERNMENT: Federal LEGAL CITATION: DESCRIPTION: Foreign government owned firms are not entitled to extend credit backed by the guarantees of the Commodity Credit Corporation. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of the United States The United States shall set out any existing non-conforming measures maintained by California, Florida, Illinois, New York, Ohio, and Texas by the date of entry into force of this Agreement. Existing non-conforming state measures of all other states shall be set out by January 1, 1995. ============================================================================= ANNEX VII PART B Schedule of the United States The United States reserves the right to derogate from Articles 1405(1) and 1408 for the securities sector with respect to Canada. With respect to these Articles, the United States may adopt or maintain measures affecting cross-border trade in securities services that are more restrictive than measures existing on the date of entry into force of this Agreement. ============================================================================= ANNEX VII PART C Schedule of the United States The United States commits to permit an eligible grupo financiero that, in formation of the grupo in Mexico before the entry into force of this Agreement, lawfully acquires an eligible Mexican bank and a Mexican securities firm which owns or controls a securities company in the United States, to continue to engage through that U.S. securities company in the activities in which that securities company was engaged on the date of acquisition by the grupo for a time period of five years from the date of such acquisition. The U.S. securities firm: (i) shall not be permitted to expand through acquisition in the United States during such period; and (ii) shall be subject to measures consistent with national treatment that restrict transactions between the firms and their affiliates. For purposes of this paragraph: an "eligible grupo financiero" is a Mexican financial group that has not previously benefitted from this commitment; and an "eligible Mexican bank" means any Mexican instituci¢n de crdito that owned or controlled a subsidiary bank, or operated a branch or agency, in the United States on January 1, 1992. ============================================================================= ANNEX VII PART D Schedule of the United States For the purposes of Article 1413(2), the United States designates the Department of the Treasury as its governmental agency responsible for banking and other financial services, and the United States Department of Commerce for insurance services. ANNEX VII PART A Schedule of Canada SECTOR: Financial Services SUB-SECTOR: Insurance TYPE OF RESERVATION: Article 1404 (Cross-Border Trade) MEASURE: Limitation on purchase of reinsurance from non-resident reinsurers LEVEL OF GOVERNMENT: Federal LEGAL CITATION: The Insurance Companies Act; S.C. 1991, c.47; Reinsurance (Canadian Companies) Regulations; SOR/92-298; Reinsurance (Foreign Companies) Regulations; SOR/92-596. DESCRIPTION: The purchase of reinsurance services by a Canadian insurer, other than a life insurer or a reinsurer, from a non- resident reinsurer is limited to no more than 25 percent of the risks undertaken by the insurer purchasing the reinsurance. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Canada Canada shall set out any existing non-conforming measure maintained at the provincial level by the date of entry into force of this Agreement. ============================================================================= ANNEX VII PART B Schedule of Canada Canada reserves the right to derogate from Article 1405(1) for the securities sector. With respect to this Article, Canada reserves the right to adopt and maintain new measures affecting cross-border trade in securities services that are more restrictive than such measures existing on the entry into force of this Agreement. ============================================================================= ANNEX VII PART C Schedule of Canada For the purposes of restrictions that limit foreign ownership of Canadian-controlled financial institutions and for the purposes of limitations on total domestic assets of foreign bank subsidiaries in Canada, Canada commits to give to Mexico the same treatment that Canada gives under the Bank Act, the Insurance Companies Act (Canada), the Trust and Loan Companies Act (Canada), and the Investment Companies Act, to United States residents and to institutions controlled by United States residents. Canada commits to exempt foreign bank subsidiaries in Canada controlled by Mexican residents from the requirement to obtain approval of the Minister of Finance prior to opening branches within Canada in the same manner as it exempts foreign bank subsidiaries in Canada controlled by United States residents. ============================================================================= ANNEX VII PART D Schedule of Canada For the purposes of Article 1413(2), Canada designates the Department of Finance of Canada as its governmental agency responsible for financial services. ============================================================================= ANNEX VII PART E Schedule of Canada For the purposes of restrictions that limit foreign ownership of Canadian-controlled financial institutions and for the purposes of restrictions on total domestic assets of foreign bank subsidiaries in Canada, an enterprise of another Party, to be considered an enterprise of such other Party must meet the terms and conditions of being controlled by one or more residents of the other Party. For these purposes: (a) an enterprise controlled by one or more residents of another Party means controlled, directly or indirectly by such residents; (b) an enterprise that is a body corporate is controlled by one or more persons if (i) securities of the enterprise to which are attached more than fifty percent of the votes that may be cast to elect directors of the enterprise are beneficially owned by the person or persons and the votes attached to those shares are sufficient, if exercised, to elect a majority of the directors of the enterprise, and (ii) the person or persons has or have, directly or indirectly, control in fact of the enterprise, (c) an enterprise that is an unincorporated entity is controlled by one or more persons if (i) more than fifty percent of ownership interests, however designated, into which the enterprise is divided is beneficially owned by the person or persons and the person or persons are able to direct the business and affairs of the enterprise, and (ii) the person or persons has or have, directly or indirectly, control in fact of the enterprise, (d) a limited partnership is controlled by the general partner; (e) ordinarily resident in a country generally means sojourning in that country for a period of, or periods the aggregate of which is, 183 days or more during the relevant year; and (f) a person ordinarily resident in another Party means; (i) in the case of an enterprise, an enterprise legally constituted or organized under the laws of that Party and controlled, directly or indirectly, by one or more individuals of that Party described in clause (ii), and (ii) in the case of an individual, an individual who is ordinarily resident in the territory of that Party. ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Holding Companies INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley para Regular las Agrupaciones Financieras (Law Regulating Financial Groups), Art. 18 DESCRIPTION: Aggregate foreign investments in financial holding companies are limited to 30% of common stock capital (capital ordinario). These limits do not apply to financial holding companies established pursuant to Parts B and C of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Commercial Banks (Instituciones de Crdito) INDUSTRY CLASSIFICATION: 811030 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Instituciones de Crdito (Law of the Credit Institutions), Arts. 11 y 15 DESCRIPTION: Aggregate foreign investments in commercial banks are limited to 30% of common stock capital (capital ordinario). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Securities Firms (Casas de Bolsa) INDUSTRY CLASSIFICATION: 812001 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitations on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-II DESCRIPTION: Aggregate foreign investments in securities firms are limited to 30% of capital (capital social) and individual foreign investments are limited to 10% of capital, while individual investments by Mexicans may, with approval from the Ministry of Finance and Public Credit, rise to 15% of capital. These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Securities Specialists (Especialistas Burs tiles) INDUSTRY CLASSIFICATION: 812001 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitations on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-II DESCRIPTION: Aggregate foreign investments in securities specialists are limited to 30% of capital (capital social) and individual foreign investments are limited to 10% of capital, while individual investments by Mexicans may, with approval from the Ministry of Finance and Public Credit, rise to 15% of capital. These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: General Deposit Warehouses (Almacenes Generales de Dep¢sito) INDUSTRY CLASSIFICATION: 811042 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign participation must be less than 50% of paid-in capital (capital pagado). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Leasing Companies (Arrendadoras Financieras) INDUSTRY CLASSIFICATION: 811043 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign participation must be less than 50% of paid-in capital (capital pagado). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Factoring Companies (Empresas de Factoraje Financiero) INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign participation must be less than 50% of paid-in capital (capital pagado). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Credit Unions (Uniones de Crdito) INDUSTRY CLASSIFICATION: 811041 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign capital investment in these entities is prohibited. This limitation does not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Foreign Exchange Firms (Casas de Cambio) INDUSTRY CLASSIFICATION: 811044 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 82-III DESCRIPTION: Foreign investors may not participate in the capital of these entities. This limitation does not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Agents (Comisionistas Financieros) INDUSTRY CLASSIFICATION: 811045 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Instituciones de Crdito (Law of Credit Institutions), Art. 92 Reglas de SHCP (Regulations of the Ministry of Finance and Public Credit) DESCRIPTION: Foreign investors may not participate in the capital of these entities. This limitation does not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Bonding Companies (Instituciones de Fianzas) INDUSTRY CLASSIFICATION: 813001 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Instituciones de Fianzas (Federal Law of Bonding Companies), Art. 15-XIII DESCRIPTION: Foreign participation must be less than 50% of paid-in capital (capital pagado). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Insurance Companies (Instituciones de Seguros) INDUSTRY CLASSIFICATION: 813002 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Aggregate limits on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Instituciones y Sociedades Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 29-I DESCRIPTION: Foreign participation must be less than 50% of paid-in capital (capital pagado). These limits do not apply to Foreign Financial Affiliates established pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Holding Companies INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Limitation on foreign ownership MEASURE: Articles 1404, 1407 (Establishment, National Treatment) LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley para Regular las Agrupaciones Financieras (Law Regulating Financial Groups), Art. 18 DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a financial holding company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Commercial Banks (Instituciones de Crdito) INDUSTRY CLASSIFICATION: 811030 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Instituciones de Crdito (Law of Credit Institutions), Art. 15 DESCRIPTION: Foreign entities that exercise governmental functions may not invest, directly or indirectly, in a commercial bank. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Securities Firms (Casas de Bolsa) INDUSTRY CLASSIFICATION: 812001 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-II-b DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a securities firm. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Securities Specialists (Especialistas Burs tiles) INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-II DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a securities specialist. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: General Deposit Warehouses (Almacenes Generales de Dep¢sito) INDUSTRY CLASSIFICATION: 811042 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a general deposit warehouse. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Leasing Companies (Arrendadoras Financieras) INDUSTRY CLASSIFICATION: 811043 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a financial leasing company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Financial Factoring Companies (Empresas de Factoraje Financiero) INDUSTRY CLASSIFICATION: Not applicable TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1 DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a financial factoring company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Savings and Loan Companies (Sociedades de Ahorro y Prstamo) INDUSTRY CLASSIFICATION: 811046 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Crdito (General Law of Auxiliary Credit Organizations and Activities), Art. 38-G DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a savings and loan company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Managing Companies of Investment Companies (Sociedades Operadoras de Sociedades de Inversi¢n) INDUSTRY CLASSIFICATION: 812003 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Sociedades de Inversi¢n (Law of Investment Companies), Art. 29-VI DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in an operator of an investment company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Investment Companies (Sociedades de Inversi¢n) INDUSTRY CLASSIFICATION: 812002 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley de Sociedades de Inversi¢n (Law of Investment Companies), Art. 9-III DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in an investment company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Bonding Companies (Instituciones de Fianzas) INDUSTRY CLASSIFICATION: 813001 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Federal de Instituciones de Fianzas (Federal Law of Bonding Companies), Art. 15 bis-IV-a DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in a bonding company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Insurance Companies (Instituciones de Seguros) INDUSTRY CLASSIFICATION: 813002 TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment) MEASURE: Limitation on foreign ownership LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Instituciones y Sociedades de Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 29-I DESCRIPTION: Foreign governments and foreign state enterprises or their investments may not invest, directly or indirectly, in an insurance company. DURATION: Indeterminate ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Insurance INDUSTRY CLASSIFICATION: 813002 TYPE OF RESERVATION: Article 1405 (Cross-Border Trade) MEASURE: Restrictions on cross-border insurance LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley General de Instituciones y Sociedades Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 3§ DESCRIPTION: Mexico reserves its existing prohibitions and restrictions on cross-border trade in insurance services, which do not now include restrictions on the right of individuals to purchase, by physical mobility, life and health insurance. Mexico is not reserving its present restrictions with respect to the ability of residents of Mexico to purchase from non-resident insurance companies of another Party, the following types of insurance: (a) tourist insurance (including travel accident and motor vehicle insurance for non- resident tourists, but not insurance of risks of liability to third parties) for individuals, purchased without solicitation via physical mobility of such individuals; (b) cargo insurance to and from each Party purchased without solicitation for goods in international transit from point of origin to final destination and for the vehicle during the period of its use in transportation of such goods, provided such vehicle is licensed and registered outside Mexico (including vehicles in maritime shipping, commercial aviation, space launching and freight (including satellites)); and (c) intermediary services incidental to (a) and (b) without solicitation. DURATION: For greater clarity, this reservation does not apply to reinsurance. ============================================================================= ANNEX VII PART A Schedule of Mexico SECTOR: Financial Services SUB-SECTOR: Banking INDUSTRY CLASSIFICATION: 811021 811030 TYPE OF RESERVATION: Articles 1404, 1405, 1407 (Establishment, Cross-Border Trade, National Treatment) MEASURE: Activities reserved for development banks LEVEL OF GOVERNMENT: Federal LEGAL CITATION: Ley Org nica de Nacional Financiera (Organic Law of Nacional Financiera), Art. 7; Ley Org nica del Banco Nacional del Ejrcito, la Fuerza Area y la Armada (Organic Law of the National Bank of the Army, Air Force and Navy) DESCRIPTION: The following activities are reserved solely to Mexican development banks: (1) acting as custodians of securities and cash funds deposited by or in the administrative or judiciary authorities, and acting as custodian of goods that have been confiscated according to Mexican measures; (2) managing the savings funds, retirement plans and any other funds or property of the personnel of the Secretar¡a de la Defensa Nacional, Secretar¡a de Marina and the Mexican armed forces, and performing other financial activities pertaining to the financial resources of such personnel. DURATION: Indeterminate ANNEX VII ============================================================================= PART B Schedule of Mexico TRANSITIONAL EXCEPTIONS Reservations to Articles 1404 and 1407 1. The provisions of paragraphs 2 through 10 of this Part B of the Schedule of Mexico shall apply during the Transition Period, except as otherwise specifically provided in paragraphs 9 and 10 of this Part B. 2. For the types of financial institutions listed in the chart in this paragraph 2, the maximum capital to be authorized for a Foreign Financial Affiliate, measured as a percentage of the aggregate capital of all financial institutions of the same type in Mexico, shall not exceed the percentage set forth in the chart in this paragraph 2: Type of Financial Institution Maximum Individual Capital to be Authorized (Percentage of the Aggregate Capital of all Institutions of the same type) Commercial Banks 1.5% Securities Firms 4.0% Insurance Companies Casualty 1.5% Life and Health 1.5% In the case of an acquisition by a financial service provider of another Party of a financial institution established in Mexico, the sum of the authorized capital of the acquired institution and the authorized capital of any Foreign Financial Affiliate already controlled by the acquiror may not, at the time of acquisition or at any time thereafter during the Transition Period, exceed the applicable limit set forth in the chart in this paragraph 2. This paragraph 2 will not apply to new or existing Mexican insurance companies invested in by insurance providers of another Party (or their affiliates) pursuant to paragraph 7 of this Part 3 or paragraph 4 of Part C of the Schedule of Mexico. 3. For purposes of the proper administration of the capital limits in the Schedule of Mexico, the following provisions shall apply: i. Each Foreign Financial Affiliate shall have a paid-in capital not less than that authorized by Mexico at the time of approval of its establishment. The authorized capital shall be determined by Mexico. After the time of establishment, Mexico may permit authorized capital to exceed paid-in capital. Authorized capital shall not be reduced by any measure of Mexico (other than prudential measures) below paid-in capital. The maximum size of the operations of each Foreign Financial Affiliate shall be determined, on a national treatment basis, as a function of the lesser of its capital or its authorized capital. ii. Mexico reserves the right to impose limitations on transfers of assets or liabilities by Foreign Financial Affiliates that have the effect of evading the capital limits set forth in the Schedule of Mexico. This subparagraph does not apply to bona fide transfers of funds to make overnight deposits or bona fide transfers of banking liabilities. 4. A Foreign Financial Affiliate shall not issue subordinated debentures, except to its parent outside of Mexico. 5. The aggregate of the authorized capital of all Foreign Financial Affiliates of the same type, measured as a percentage of the aggregate capital of all financial institutions of such type in Mexico, shall not exceed the percentage set forth in the chart in this paragraph 5 for that type of institution, except for the case of insurance which is addressed in paragraph 6 of this Part B. Beginning one year after the entry into force of the Agreement, these initial limits shall increase annually in equal increments so as to reach the final limits specified in the chart in this paragraph 5 at the beginning of the last year of the Transition Period. Type of Financial Institution Percentage of Total Capital Initial Final Limit Limit Commercial banks 8% 15% Securities firms 10% 20% Factoring companies 10% 20% Leasing companies 10% 20% Any capital in existence as of the date of signature of this Agreement of a foreign bank branch established in Mexico prior to such date shall be excluded from each of the aggregate capital limits referred to in the Schedule of Mexico. 6. In the case of insurance, the aggregate of the authorized capital of all Foreign Insurance Affiliates, measured as a percentage of the aggregate capital of all insurance companies in Mexico, shall not exceed the percentage set forth in the chart in this paragraph 6 for the respective one-year periods beginning on each of the following dates: Date Percentage of Total Capital January 1, 1994 6% January 1, 1995 8% January 1, 1996 9% January 1, 1997 10% January 1, 1998 11% January 1, 1999 12% If the entry into force of the Agreement occurs on a date prior to January 1, 1994, that date shall become the initial date for purposes of this chart, and each succeeding anniversary of the entry into force of the Agreement shall become the next succeeding date in this chart, with the percentages listed in this chart applying to each of the respective periods as so adjusted. If the entry into force of the Agreement occurs on a date after January 1, 1994, the dates and corresponding limits in this chart shall nonetheless not be changed. The individual and aggregate capital limits described in paragraphs 2 and 6 of this Part B shall be measured separately (through separate accounting) for life and non-life insurance operations; but both types of insurance operations may be conducted either by a single or separate Foreign Financial Affiliates. 7. Insurance providers of another Party may elect an alternative procedure for entering Mexico through phasing-in an equity interest in a new or existing Mexican insurance company, and thereby exempt such Mexican company from the capital limits of paragraphs 2 and 6 of this Part B. In order to qualify, the percentage of the Mexican insurance company's voting common stock that is owned by Mexican persons must not be less than the levels set forth in the chart in this paragraph 7 for the respective one-year periods beginning on each of the following dates: Date Mexican Interest January 1, 1994 70% January 1, 1995 65% January 1, 1996 60% January 1, 1997 55% January 1, 1998 49% January 1, 1999 25% If the entry into force of the Agreement occurs on a date prior to January 1, 1994, that date shall become the initial date for purposes of this chart, and each succeeding anniversary of the entry into force of the Agreement shall become the next succeeding date in this chart, with the percentages listed in this chart applying to each of the respective periods as so adjusted. If the entry into force of the Agreement occurs on a date after January 1, 1994, the dates and corresponding limits in this chart shall nonetheless not be changed. On and after January 1, 2000 (or, if the entry into force of the Agreement occurs on a date prior to January 1, 1994, on and after the sixth anniversary of such date), the percentage requirement of Mexican ownership set forth in this paragraph 7 shall no longer apply. This paragraph 7 is further modified by paragraph 4 of Part C of the Schedule of Mexico to the extent set forth therein. 8. The aggregate assets of Foreign Financial Affiliates that are limited scope financial institutions within the meaning of paragraph 2 of Part C of the Schedule of Mexico shall not exceed 3% of the sum of (1) the aggregate assets of all commercial banks in Mexico plus (2) the aggregate assets of all types of limited scope financial institutions in Mexico. Lending by affiliates of automobile manufacturing companies with respect to their vehicles shall not be subject to or taken into account in determining compliance with this 3% limit. 9. The capital limits in paragraphs 2, 5, 6 and 8 of this Part B shall be removed at the end of the Transition Period. If the sum of the authorized capital of Foreign Financial Affiliates, measured as a percentage of the aggregate capital of all financial institutions of such type in Mexico, reaches the percentage set forth in the chart in this paragraph 9 for such type of institutions, then Mexico shall have the right, once during the four years following the end of the Transition Period, to freeze such aggregate capital percentage at its then-existing level: Commercial banks 25% Securities firms 30% If applied, such a restriction will have a duration not to exceed a period of 3 years. 10. No additional license to establish a Foreign Financial Affiliate shall be granted during the Transition Period (and, in the case of paragraph 9 of this Part B, during the additional periods described in that paragraph) if after such issuance the sum of the authorized capital of all Foreign Financial Affiliates of the same type would exceed the applicable percentage limit for that type of institution in paragraph 5, 6, 8 or 9 of this Part B. OTHER EXCEPTIONS 11. The provisions of the following paragraphs 12 through 15 of this Part B shall apply immediately upon the entry into force of the Agreement and at all times thereafter, except as otherwise specifically provided in such paragraphs. Any amendment or modification to a measure adopted or maintained pursuant to paragraphs 12 through 15 of this Part B shall not decrease the conformity of the measure, as it existed immediately before such amendment or modification, with Articles 1404 to 1409 of the Agreement. Reservation to Article 1407 12. Mexico may require that a Foreign Financial Affiliate (other than a Foreign Insurance Affiliate) be wholly-owned by a financial service provider of another Party (except for directors' nominal qualifying shares). Mexico may also restrict any Foreign Financial Affiliate from establishing agencies, branches, or other direct or indirect subsidiaries in the territory of any other country. Reservations to Articles 1404 and 1407 13. Following the Transition Period, acquisition of a commercial bank established in Mexico, or of the assets or liabilities thereof, by a financial service provider of another Party will only be authorized by Mexico, subject to reasonable prudential considerations on a case by case basis, if the sum of the authorized capital of the acquired commercial bank and the authorized capital of any commercial bank in Mexico already controlled by the acquiror would not exceed 4% of the aggregate capital of all commercial banks in Mexico. 14. Mexico may adopt measures that (i) limit eligibility to establish a Foreign Financial Affiliate in Mexico to a financial service provider of another Party that is, directly or through any of its affiliates, engaged in the same general type of financial services in the territory of the other Party; and (ii) limit such provider (together with its affiliates) to no more than one institution of the same type in Mexico. In determining what types of operations a financial service provider of another Party is engaged in for purposes of the preceding sentence, all types of insurance shall be considered to be only one type of financial service; but both life and non-life insurance operations may be conducted either by a single or separate Foreign Financial Affiliates. Reservation to Articles 1404, 1405 and 1407 15. The existing activities and operations of Mexican governmental insurance programs conducted by Aseguradora Mexicana, S.A. or Aseguradora Hidalgo, S.A. (including insurance for government employees, agencies, instrumentalities and public entities) are excluded from Articles 1404, 1405 and 1407 for so long as such firm is controlled by the government of Mexico and for a commercially reasonable time after such governmental control ceases. Reservation to Article 1405 16. In order not to impair the conduct of Mexico's monetary and exchange rate policies, non-resident financial service providers of another Party shall not be permitted to provide financial services into the territory of Mexico or to residents of Mexico, and residents of Mexico may not purchase financial services from non-resident financial service providers of another Party, if such transactions are denominated in Mexican pesos. Reservation to Articles 1404-1409 17. The benefits of this Agreement shall not be extended to a foreign bank branch existing in Mexico on the date of entry into force of this Agreement. The existing legal regime will continue to apply to such a branch for so long as it operates in that form. Such a branch shall be permitted to convert to a subsidiary pursuant to the terms of this Schedule, and upon conversion shall be covered by this Agreement. The existing capital of such branch on the date of signature of this Agreement shall not be counted against such Foreign Commercial Bank Affiliate's individual capital limit, or the aggregate capital limits for commercial banks in the event of conversion. Definitions For purposes of Part B of Mexico's schedule: capital means the following, as defined in Mexican measures, applied on a national treatment basis: Type of Financial Institution Concept of "Capital" commercial banks capital neto securities firms capital global insurance companies casualty requerimiento bruto de solvencia (allocation to casualty insurance) life and health requerimiento bruto de solvencia (allocation to life and health insurance) factoring companies capital contable leasing companies capital contable Foreign Commercial Bank Affiliate means a Foreign Financial Affiliate that is a commercial bank; Foreign Financial Affiliate means a financial institution established in Mexico and owned and controlled by a financial service provider of another Party; Foreign Insurance Affiliate means a Foreign Financial Affiliate that is an insurance company; and Transition Period means the period beginning with the entry into force of the Agreement and ending on the earlier of i) January 1, 2000, or ii) six years from the entry into force of the Agreement. ============================================================================= ANNEX VII PART C Schedule of Mexico SPECIFIC COMMITMENTS 1. Mexico shall retain discretion to approve, on a case-by-case basis, any affiliation of a commercial bank or securities firm with a commercial or industrial corporation that has a commercial presence in Mexico, if Mexico determines that such affiliation is harmless and, in the case of banking, either (a) not substantial, or (b) the financial-related activities of the commercial or industrial commercial corporation are at least 90 percent of its annual income worldwide, and the non-financial activities of such commercial or industrial corporation are of a type that Mexico determines to be acceptable. Affiliation with a non-resident commercial or industrial corporation that has no commercial presence in Mexico will not be a reason for denial of an application to establish or acquire a commercial bank or securities firm in Mexico. 2. Non-bank financial service providers of another Party shall be permitted to establish one or more limited scope financial institutions in Mexico to provide separately consumer lending, commercial lending, mortgage lending or credit card services on terms no less favorable than those applied to like domestic firms under Mexican measures. Mexico may permit lending services closely related to the principal authorized business of a limited scope financial institution to be carried out by that institution. Such firms shall be provided the opportunity to raise funds in the securities market for business operations subject to normal terms and conditions. Mexico may restrict such limited scope financial institutions from taking deposits. 3. Within two years of the entry into force of the Agreement, Mexico shall conduct a study of the desirability and, if desirable, the possible methods of establishing limited scope securities firms which would have more limited powers than current securities firms. Such limited scope securities firms would be subject to differing capital requirements, depending on the type and extent of business conducted, that would permit lower minimum capital requirements than those currently applicable to Mexican securities firms. The basis of the study would be prudential considerations and opportunities for investment in the securities sector. As part of the second annual meeting of the Committee required under Article 1414, Mexico shall report to the other Parties on the outcome of the study, including any plans for the establishment of new categories of securities firms. 4. Notwithstanding Part B (paragraph 7) of the Schedule of Mexico, an insurance provider of another Party, together with its affiliates, that as of July 1, 1992 collectively have an active investment or ownership interest that has been specifically approved by the Mexico of 10% or more in a Mexican insurance company may: (1) exercise any contract right or option in existence as of July 1, 1992 with respect to ownership interests in such Mexican insurance company; and (2) effective the earlier of January 1, 1996 or two years following the date of entry into force of the Agreement, acquire a controlling interest of up to 100% in such Mexican insurance company. Before the effective date described in clause (2) of the preceding sentence, an insurance provider of another Party (together with its affiliates) described in that sentence may exercise any existing contract right or option described in clause (1) of that sentence, and choose to maintain its existing interest or expand its interest in such Mexican insurance company to the extent consistent with Part B (paragraph 7) of the Schedule of Mexico. Mexico shall maintain discretion to permit acceleration of the schedule for equity participation in a Mexican insurance company by an insurance provider of another Party described in the first sentence of this paragraph. 5. A bank or securities provider of another Party that is authorized to and establishes or acquires a commercial bank or securities firm, respectively, in Mexico may also establish a financial holding company in Mexico, and thereby establish or acquire other types of financial institutions in Mexico, under the terms of Mexican measures. 6. Mexico shall administer its licensing and approval procedures during the Transition Period (as defined in Part B of the Schedule of Mexico) in a manner that does not deny the benefits of the liberalization of existing measures described in the Schedule of Mexico to enterprises of another Party ultimately controlled by nationals of that Party. ============================================================================= ANNEX VII PART D Schedule of Mexico The agency of the government of Mexico responsible for financial services is the Secretar¡a de Hacienda y Crdito P£blico. Annex 0 SECTION III Animal or Vegetable Fats and Oils and Their Cleavage Products; Prepared Edible Fats; Animal or Vegetable Waxes (Ch. 15) Chapter 15 Animal or Vegetable Fats and Oils and Their Cleavage Products; Prepared Edible Fats; Animal or Vegetable Waxes 15.01-15.18 A change to headings 15.01 through 15.18 from any other chapter. 1519.11-1519.13 A change to subheadings 1519.11 through 1519.13 from any other heading, except from heading 15.20. 1519.19 A change to subheading 1519.19 from any other subheading. 1519.20 A change to subheading 1519.20 from any other heading, except from heading 15.20. 1520.10 A change to subheading 1520.10 from any other heading, except from heading 15.19. 1520.90 A change to subheading 1520.90 from any other subheading. 15.21-15.22 A change to headings 15.21 through 15.22 from any other chapter. Annex 00 SECTION IX Wood and Articles of Wood; Wood Charcoal; Cork and Articles of Cork; Manufactures of Straw, of Esparto or of Other Plaiting Materials; Basketware and Wickerwork (Ch. 44-46) Chapter 44 Wood and Articles of Wood; Wood Charcoal 44.01-44.21 A change to headings 44.01 through 44.21 from any other heading, including another heading within that group. Chapter 45 Cork and Articles of Cork 45.01-45.02 A change to headings 45.01 through 45.02 from any other chapter. 45.03-45.04 A change to headings 45.03 through 45.04 from any other heading outside that group. Chapter 46 Manufactures of Straw, of Esparto or of Other Plaiting Materials; Basketware and Wickerwork 46.01 A change to heading 46.01 from any other chapter. 46.02 A change to heading 46.02 from any other heading. Annex 00 SECTION V Mineral Products (Ch. 25-27) Chapter 25 Salt; Sulphur; Earths and Stone; Plastering Materials, Lime and Cement 25.01-25.30 A change to headings 25.01 through 25.30 from any other chapter. Chapter 26 Ores, Slag and Ash 26.01-26.21 A change to headings 26.01 through 26.21 from any other chapter. Chapter 27 Mineral Fuels, Mineral Oils and Products of Their Distillation; Bituminous Substances; Mineral Waxes 27.01-27.03 A change to headings 27.01 through 27.03 from any other chapter. 27.04 A change to heading 27.04 from any other heading. 27.05-27.09 A change to headings 27.05 through 27.09 from any other chapter. 27.10-27.15 A change to headings 27.10 through 27.15 from any other heading outside that group. 27.16 A change to heading 27.16 from any other heading. Annex 00 SECTION VI Products of the Chemical or Allied Industries (Ch. 28-38) Chapter 28 Inorganic Chemicals; Organic or Inorganic Compounds of Precious Metals, of Rare- Earth Metals, of Radioactive Elements or of Isotopes 28.01-28.24 A change to subheadings 2801.10 through 2824.90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2801.10 through 2824.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2825.10-2825.60 A change to subheadings 2825.10 through 2825.60 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2825.10 through 2825.60 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2825.70 A change to subheading 2825.70 from any other subheading, except from subheading 2613.10. 2825.80-2825.90 A change to subheadings 2825.80 through 2825.90 from any chapter, except from Chapters 28 through 38; or A change to subheadings 2825.80 through 2825.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content must be not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 28.26-28.29 A change to subheadings 2826.11 through 2829.90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2826.11 through 2829.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2830.10-2830.30 A change to subheadings 2830.10 through 2830.30 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2830.10 through 2830.30 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2830.90 A change to subheading 2830.90 from any other subheading, except from subheading 2613.90. 28.31-28.40 A change to subheadings 2831.10 through 2840.30 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2831.10 through 2840.30 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2841.10-2841.60 A change to subheadings 2841.10 through 2841.60 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2841.10 through 2841.60 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2841.70 A change to subheading 2841.70 from any other subheading, except from subheading 2613.10. 2841.80-2841.90 A change to subheadings 2841.80 through 2841.90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2841.80 through 2841.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 28.42-28.51 A change to subheadings 2842.10 through 2851.00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2842.10 through 2851.00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 29 Organic Chemicals 29.01-29.42 A change to subheadings 2901.10 through 2942.00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2901.10 through 2942.00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 30 Pharmaceutical Products 30.01 A change to subheadings 3001.10 through 3001.90 from any other heading; or A change to subheadings 3001.10 through 3001.90 from any other subheading within heading 30.01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30.02 A change to subheadings 3002.10 through 3002.90 from any other heading; or A change to subheadings 3002.10 through 3002.90 from any other subheading within heading 30.02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30.03 A change to subheadings 3003.10 through 3003.90 from any other heading; or A change to subheadings 3003.10 through 3003.90 from any other subheading within heading 30.03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30.04 A change to subheadings 3004.10 through 3004.90 from any other heading, except from heading 30.03; or A change to subheadings 3004.10 through 3004.90 from any other subheading within heading 30.04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30.05 A change to subheadings 3005.10 through 3005.90 from any other heading; or A change to subheadings 3005.10 through 3005.90 from any other subheading within heading 30.05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30.06 A change to subheadings 3006.10 through 3006.60 from any other heading; or A change to subheadings 3006.10 through 3006.60 from any other subheading within heading 30.06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 31 Fertilisers 31.01-31.05 A change to subheadings 3101.00 through 3105.90 from any other chapter; or A change to subheadings 3101.00 through 3105.90 from any other subheading within Chapter 31, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 32 Tanning or Dyeing Extracts; Tannins and Their Derivatives; Dyes, Pigments and Other Colouring Matter; Paints and Varnishes; Putty and Other Mastics; Inks 32.01-32.03 A change to subheadings 3201.10 through 3203.00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3201.10 through 3203.00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204.11-3204.16 A change to subheadings 3204.11 through 3204.16 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3204.11 through 3204.16 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204.17 For any colour, as defined under the Colour Index, identified in the List of Colours below, a change to subheading 3204.17 from any other subheading. List of Colours pigment yellow: 1, 3, 16, 55, 61, 62, 65, 73, 74, 75, 81, 97, 120, 151, 152, 154, 156, and 175 pigment orange: 4, 5, 13, 34, 36, 60, and 62 pigment red: 2, 3, 5, 12, 13, 14, 17, 18, 19, 22, 23, 24, 31, 32, 48, 49, 52, 53, 57, 63, 112, 119, 133, 146, 170, 171, 175, 176, 183, 185, 187, 188, 208, and 210; or For any colour, as defined under the Colour Index, not identified in the List of Colours above: 1) a change to subheading 3204.17 from any other subheading, except from Chapter 29; or 2) a change to subheading 3204.17 from any other subheading within Chapter 29, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204.19-3204.90 A change to subheadings 3204.19 through 3204.90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3204.19 through 3204.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 32.05 A change to heading 32.05 from any other heading. 32.06-32.07 A change to subheadings 3206.10 through 3207.40 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3206.10 through 3207.40 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 32.08-32.10 A change to headings 32.08 through 32.10 from any other heading outside that group. 32.11-32.12 A change to headings 32.11 through 32.12 from any other heading outside that group. 32.13-32.15 A change to headings 32.13 through 32.15 from any other heading outside that group, except from headings 32.08 through 32.10. Chapter 33 Essential Oils and Resinoids; Perfumery, Cosmetics or Toilet Preparations 33.01 A change to subheadings 3301.11 through 3301.90 from any other chapter; or A change to subheadings 3301.11 through 3301.90 from any other subheading within Chapter 33, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 33.02 A change to heading 33.02 from any other heading, except from headings 22.07 through 22.08. 33.03 A change to heading 33.03 from any other chapter; or A change to heading 33.03 from any other heading within Chapter 33, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 33.04-33.07 A change to subheadings 3304.10 through 3307.90 from any other heading outside that group; or A change to subheadings 3304.10 through 3307.90 from any other subheading within that group, whether or not there is also a change from any other heading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 34 Soap, Organic Surface-active Agents, Washing Preparations, Lubricating Preparations, Artificial Waxes, Prepared Waxes, Polishing or Scouring Preparations, Candles and Similar Articles, Modelling Pastes, "Dental Waxes" and Dental Preparations with a Basis of Plaster 34.01 A change to subheadings 3401.11 through 3401.20 from any other heading; or A change to subheadings 3401.11 through 3401.20 from any other subheading within heading 34.01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 3402.11-3402.19 A change to subheadings 3402.11 through 3402.19 from any other heading; or A change to subheadings 3402.11 through 3402.19 from any other subheading within heading 34.02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 3402.20-3402.90 A change to subheadings 3402.20 through 3402.90 from any other subheading outside that group; or A change to subheadings 3402.20 through 3402.90 from any other subheading within that group, whether or not there is also a change from any other subheading outside that group, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34.03 A change to subheadings 3403.11 through 3403.99 from any other heading; or A change to subheadings 3403.11 through 3403.99 from any other subheading within heading 34.03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34.04 A change to subheadings 3404.10 through 3404.90 from any other heading; or A change to subheadings 3404.10 through 3404.90 from any other subheading within heading 34.04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34.05 A change to subheadings 3405.10 through 3405.90 from any other heading; or A change to subheadings 3405.10 through 3405.90 from any other subheading within heading 34.05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34.06-34.07 A change to headings 34.06 through 34.07 from any other heading, including another heading within that group. Chapter 35 Albuminoidal Substances; Modified Starches; Glues; Enzymes 35.01 A change to subheadings 3501.10 through 3501.90 from any other heading; or A change to subheadings 3501.10 through 3501.90 from any other subheading within heading 35.01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35.02 A change to subheadings 3502.10 through 3502.90 from any other heading; or A change to subheadings 3502.10 through 3502.90 from any other subheading within heading 35.02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35.03-35.04 A change to headings 35.03 through 35.04 from any other heading, including another heading within that group. 35.05 A change to subheadings 3505.10 through 3505.20 from any other heading; or A change to subheadings 3505.10 through 3505.20 from any other subheading within heading 35.05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35.06 A change to subheadings 3506.10 through 3506.99 from any other heading; or A change to subheadings 3506.10 through 3506.99 from any other subheading within heading 35.06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35.07 A change to subheadings 3507.10 through 3507.90 from any other heading; or A change to subheadings 3507.10 through 3507.90 from any other subheading within heading 35.07, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 36 Explosives; Pyrotechnic Products; Matches; Pyrophoric Alloys; Certain Combustible Preparations 36.01-36.03 A change to headings 36.01 through 36.03 from any other heading, including another heading within that group. 36.04 A change to subheadings 3604.10 through 3604.90 from any other heading; or A change to subheadings 3604.10 through 3604.90 from any other subheading within heading 36.04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 36.05 A change to heading 36.05 from any other heading. 36.06 A change to subheadings 3606.10 through 3606.90 from any other heading; or A change to subheadings 3606.10 through 3606.90 from any other subheading within heading 36.06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 37 Photographic or Cinematographic Goods 37.01-37.03 A change to headings 37.01 through 37.03 from any other chapter. 37.04 A change to heading 37.04 from any other heading. 37.05-37.06 A change to headings 37.05 through 37.06 from any other heading outside that group. 37.07 A change to subheadings 3707.10 through 3707.90 from any other chapter; or A change to subheadings 3707.10 through 3707.90 from any other subheading within Chapter 37, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 38 Miscellaneous Chemical Products 38.01-38.07 A change to subheadings 3801.10 through 3807.00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3801.10 through 3807.00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 38.08 Note: A material, imported into the territory of a Party for use in the production of a good classified under heading 38.08, shall be treated as a material originating in the territory of a Party if: a) such material is eligible, in the territories of both that Party and the Party to whose territory the good is exported, for duty-free treatment at the rates provided for most-favoured-nations; or b) the good is exported to the territory of the United States of America and such material would, if imported into the territory of the United States of America, be free of duty under a trade agreement that is not subject to a competitive need limitation. A change to heading 38.08 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or 80% where the transaction value method is used and the goods contain more than one active ingredient; or b) 50% where the net cost method is used, or 70% where the net cost method is used and the goods contain more than one active ingredient. 38.09-38.23 A change to subheadings 3809.10 through 3823.90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3809.10 through 3823.90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Annex 00 SECTION VII Plastics and Articles Thereof; Rubber and Articles Thereof (Ch. 39-40) Chapter 39 Plastics and Articles Thereof 39.01-39.20 A change to headings 39.01 through 39.20 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921.11-3921.13 A change to subheadings 3921.11 through 3921.13 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921.14 A change to subheading 3921.14 from any other heading, except from subheading 3920.20 or 3920.71. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921.19 A change to subheading 3921.19 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921.90 A change to subheading 3921.90 from any other heading, except from subheading 3920.20 or 3920.71. In addition, the regional value content percentage must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 39.22 A change to heading 39.22 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3923.10-3923.21 A change to subheadings 3923.10 through 3923.21 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3923.29 A change to subheading 3923.29 from any other heading, except from subheading 3920.20 or 3920.71. In addition, the regional value content percentage must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 3923.30-3923.90 A change to subheadings 3923.30 through 3923.90 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 39.24-39.26 A change to headings 39.24 through 39.26 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 40 Rubber and Articles Thereof 40.01-40.06 A change to headings 40.01 through 40.06 from any other chapter; or A change to headings 40.01 through 40.06 from any other heading within Chapter 40, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is us 40.07-40.08 A change to headings 40.07 through 40.08 from any other heading outside that group. 4009.10-4009.40 A change to subheadings 4009.10 through 4009.40 from any other heading, except from headings 40.10 through 40.17. 4009.50 A change to tubes, pipes or hoses of subheading 4009.50, of a kind used for motor vehicles of heading 87.02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87.03, motor vehicles of subheading 8704.21 or 8704.31 or motorcycles of heading 87.11, from any other heading, except from headings 40.10 through 40.17; or A change to tubes, pipes or hoses of subheading 4009.50, of a kind used for motor vehicles of heading 87.02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87.03, motor vehicles of subheading 8704.21 or 8704.31 or motorcycles of heading 87.11, from subheadings 4009.10 through 4017.00, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction method is used, or b) 50% where the net cost method is used; or A change to tubes, pipes or hoses of subheading 4009.50, other than those of a kind used for motor vehicles of heading 87.02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87.03, motor vehicles of subheading 8704.21 or 8704.31 or motorcycles of heading 87.11 from any other heading, except from headings 40.10 through 40.17 40.10-40.11 A change to headings 40.10 through 40.11 from any other heading, except from headings 40.09 through 40.17. 4012.10 A change to subheading 4012.10 from any other subheading, except from Canadian tariff item 4012.20.20, U.S. tariff item 4012.20.15 or 4012.20.18, Mexican tariff item 4012.20.01. 4012.20-4012.90 A change to subheadings 4012.20 through 4012.90 from any other heading, except from headings 40.09 through 40.17. 40.13-40.15 A change to headings 40.13 through 40.15 from any other heading, except from headings 40.09 through 40.17. 4016.10-4016.92 A change to subheadings 4016.10 through 4016.92 from any other heading, except from headings 40.09 through 40.17. 4016.93 4016.93.10 A change to Canadian tariff item 4016.93.10, U.S. tariff item 4016.93.10, Mexican tariff item 4016.93.04 from any other heading, except from Canadian tariff item 4008.19.10 or 4008.29.10, U.S. tariff item 4008.19.05 or 4008.29.10, Mexican tariff item 4008.19.01 or 4008.29.01. 4016.93 A change to subheading 4016.93 from any other heading, except from headings 40.09 through 40.17. 4016.94-4016.95 A change to subheadings 4016.94 through 4016.95 from any other heading, except from headings 40.09 through 40.17. 4016.99 4016.99.a1 A change to Canadian tariff item 4016.99.a1, U.S. tariff item 4016.99.h1, Mexican tariff item 4016.99.x1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 4016.99 A change to subheading 4016.99 from any other heading, except from headings 40.09 through 40.17. 40.17 A change to heading 40.17 from any other heading, except from headings 40.09 through 40.16. Annex 00 SECTION VIII Raw Hides and Skins, Leather, Furskins and Articles Thereof; Saddlery and Harness; Travel Goods, Handbags, and Similar Containers; Articles of Animal Gut (Other Than Silkworm Gut) (Ch.41-43) Chapter 41 Raw Hides and Skins (Other Than Furskins) and Leather 41.01-41.03 A change to headings 41.01 through 41.03 from any other chapter. 41.04 A change to heading 41.04 from any other heading, except from headings 41.05 through 41.11. 41.05 A change to heading 41.05 from Canadian tariff item 4105.19.10, U.S. tariff item 4105.19.10, Mexican tariff item 4105.19.01, headings 41.01 through 41.03 or any other chapter. 41.06 A change to heading 41.06 from Canadian tariff item 4106.19.10, U.S. tariff item 4106.19.10, Mexican tariff item 4106.19.01, headings 41.01 through 41.03 or any other chapter. 41.07 A change to heading 41.07 from Canadian tariff item 4107.10.10, U.S. tariff item 4107.10.10, Mexican tariff item 4107.10.02, headings 41.01 through 41.03 or any other chapter. 41.08-41.11 A change to headings 41.08 through 41.11 from any other heading, except from headings 41.04 through 41.11. Chapter 42 Articles of Leather; Saddlery and Harness; Travel Goods, Handbags and Similar Containers; Articles of Animal Gut (Other Than Silk-Worm Gut) 42.01 A change to heading 42.01 from any other chapter. 4202.11 A change to subheading 4202.11 from any other chapter. 4202.12 A change to subheading 4202.12 from any other chapter, except from headings 54.07, 54.08 or 55.12 through 55.16. 4202.19-4202.21 A change to subheadings 4202.19 through 4202.21 from any other chapter. 4202.22 A change to subheading 4202.22 from any other chapter, except from headings 54.07, 54.08 or 55.12 through 55.16. 4202.29-4202.31 A change to subheadings 4202.29 through 4202.31 from any other chapter. 4202.32 A change to subheading 4202.32 from any other chapter, except from headings 54.07, 54.08 or 55.12 through 55.16. 4202.39-4202.91 A change to subheadings 4202.39 through 4202.91 from any other chapter. 4202.92 A change to subheading 4202.92 from any other chapter, except from headings 54.07, 54.08 or 55.12 through 55.16. 4202.99 A change to subheading 4202.99 from any other chapter. 42.03-42.06 A change to headings 42.03 through 42.06 from any other chapter. Chapter 43 Furskins and Artificial Fur; Manufactures Thereof 43.01 A change to heading 43.01 from any other chapter. 43.02 A change to heading 43.02 from any other heading. 43.03-43.04 A change to headings 43.03 through 43.04 from any other heading outside that group. Annex 00 SECTION X Pulp of Wood or of other Fibrous Cellulosic Material; Waste and Scrap of Paper or Paperboard; Paper and Paperboard and Articles Thereof (Ch. 47-49) Chapter 47 Pulp of Wood or of Other Fibrous Cellulosic Material; Waste and Scrap of Paper or Paperboard 47.01-47.07 A change to headings 47.01 through 47.07 from any other chapter. Chapter 48 Paper and Paperboard; Articles of Paper Pulp, of Paper or of Paperboard 48.01-48.07 A change to headings 48.01 through 48.07 from any other chapter. 48.08-48.09 A change to headings 48.08 through 48.09 from any other heading outside that group. 48.10-48.13 A change to headings 48.10 through 48.13 from any other chapter. 48.14-48.15 A change to headings 48.14 through 48.15 from any other heading outside that group. 48.16 A change to heading 48.16 from any other heading, except from heading 48.09. 48.17-48.23 A change to headings 48.17 through 48.23 from any other heading outside that group. Chapter 49 Printed Books, Newspapers, Pictures and Other Products of the Printing Industry; Manuscripts, Typescripts and Plans 49.01-49.11 A change to headings 49.01 through 49.11 from any other chapter. Annex 00 SECTION XI Textiles and Textile Articles (Ch. 50-63) Note: For purposes of the textiles provisions, the term "wholly" is interpreted to mean that the product is made entirely or solely of the named material. Chapter 50 Silk 50.01-50.03 A change to headings 50.01 through 50.03 from any other chapter. 50.04-50.06 A change to headings 50.04 through 50.06 from any other heading outside that group. 50.07 A change to heading 50.07 from any other heading. Chapter 51 Wool, Fine or Coarse Animal Hair; Horsehair Yarn and Woven Fabric 51.01-51.05 A change to headings 51.01 through 51.05 from any other chapter. 51.06-51.10 A change to headings 51.06 through 51.10 from any other heading outside that group. 51.11-51.13 A change to headings 51.11 through 51.13 from any other heading outside that group, except from headings 51.06 through 51.10, 52.05 through 52.06, 54.01 through 54.04, or 55.09 through 55.10. Chapter 52 Cotton 52.01-52.07 A change to headings 52.01 through 52.07 from any other chapter, except from headings 54.01 through 54.05 or 55.01 through 55.07. 52.08-52.12 A change to headings 52.08 through 52.12 from any other heading outside that group, except from headings 51.06 through 51.10, 52.05 through 52.06, 54.01 through 54.04, or 55.09 through 55.10. Chapter 53 Other Vegetable Textile Fibres; Paper Yarn and Woven Fabrics of Paper Yarn 53.01-53.05 A change to headings 53.01 through 53.05 from any other chapter. 53.06-53.08 A change to headings 53.06 through 53.08 from any other heading outside that group. 53.09 A change to heading 53.09 from any other heading, except from headings 53.07 through 53.08. 53.10-53.11 A change to headings 53.10 through 53.11 from any other heading outside that group, except from headings 53.07 through 53.08. Chapter 54 Man-Made Filaments 54.01-54.06 A change to headings 54.01 through 54.06 from any other chapter, except from headings 52.01 through 52.03 or 55.01 through 55.07. 54.07 5407.60.10 A change to Canadian tariff item 5407.60.10, U.S. tariff item 5407.60.22, Mexican tariff item 5407.60.02 from any other chapter or from Canadian tariff item 5402.43.10 or 5402.52.10, U.S. tariff item 5402.43.10 or 5402.52.10, Mexican tariff item 5402.43.01 or 5402.52.02, except from headings 51.06 through 51.10, 52.05 through 52.06 or 55.09 through 55.10. 54.07 A change to heading 54.07 from any other chapter, except from headings 51.06 through 51.10, 52.05 through 52.06 or 55.09 through 55.10. 54.08 A change to heading 54.08 from any other chapter, except from headings 51.06 through 51.10, 52.05 through 52.06 or 55.09 through 55.10. Chapter 55 Man-Made Staple Fibres 55.01-55.11 A change to headings 55.01 through 55.11 from any other chapter, except from headings 52.01 through 52.03 or 54.01 through 54.05. 55.12-55.16 A change to headings 55.12 through 55.16 from any other heading outside that group, except from headings 51.06 through 51.10, 52.05 through 52.06, 54.01 through 54.04 or 55.09 through 55.10. Chapter 56 Wadding, Felt and Nonwovens; Special Yarns; Twine; Cordage, Ropes and Cables and Articles Thereof 56.01-56.09 A change to headings 56.01 through 56.09 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, or Chapters 54 through 55. Chapter 57 Carpets and Other Textile Floor Coverings 57.01-57.05 A change to headings 57.01 through 57.05 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.08, 53.11, 55.08 through 55.16, or Chapter 54. Chapter 58 Special Woven Fabrics; Tufted Textile Fabrics; Lace; Tapestries; Trimmings; Embroidery 58.01-58.11 A change to headings 58.01 through 58.11 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, or Chapters 54 through 55. Chapter 59 Impregnated, Coated, Covered or Laminated Textile Fabrics; Textile Articles of a Kind Suitable For Industrial Use 59.01 A change to heading 59.01 from any other chapter, except from headings 51.11 through 51.13, 52.08 through 52.12, 53.10 through 53.11, 54.07 through 54.08, or 55.12 through 55.16. 59.02 A change to heading 59.02 from any other heading, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.06 through 53.11, or Chapters 54 through 55. 59.03-59.08 A change to headings 59.03 through 59.08 from any other chapter, except from headings 51.11 through 51.13, 52.08 through 52.12, 53.10 through 53.11, 54.07 through 54.08, or 55.12 through 55.16. 59.09 A change to heading 59.09 from any other chapter, except from headings 51.11 through 51.13, 52.08 through 52.12, 53.10 through 53.11, 55.12 through 55.16, or Chapter 54. 59.10 A change to heading 59.10 from any other heading, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, or Chapters 54 through 55. 59.11 A change to heading 59.11 from any other chapter, except from headings 51.11 through 51.13, 52.08 through 52.12, 53.10 through 53.11, 54.07 through 54.08, or 55.12 through 55.16. Chapter 60 Knitted or Crocheted Fabrics 60.01-60.02 A change to headings 60.01 through 60.02 from any other chapter, except from headings 51.06 through 51.13, 53.07 through 53.08, 53.10 through 53.11, or Chapters 52, 54 through 55. Chapter 61 Articles of Apparel and Clothing Accessories, Knitted or Crocheted Note 1: A change to any of the following headings or subheadings for visible lining fabrics: 51.11-51.12, 5208.31-5208.59, 5209.31-5209.59, 5210.31-5210.59, 5211.31-5211.59, 5212.13-5212.15, 5212.23-5212.25, 5407.42-5407.44, 5407.52-5407.54, 5407.60, 5407.72-5407.74, 5407.82-5407.84, 5407.92-5407.94, 5408.22-5408.24 (excluding Canadian tariff item 5408.22.10, 5408.23.10 or 5408.24.10, U.S. tariff item 5408.22.h1, 5408.23.h1 or 5408.24.h1, Mexican tariff item 5408.22.x1, 5408.23.x1 or 5408.24.x1), 5408.32-5408.34, 5512.19, 5512.29, 5512.99, 5513.21-5513.49, 5514.21-5515.99, 5516.12-5516.14, 5516.22-5516.24, 5516.32-5516.34, 5516.42-5516.44, 5516.92-5516.94, 6001.10, 6001.92, 6002.43, or 6002.91-6002.93, from any other heading outside that group. Note 2: Apparel products of this Chapter shall be considered to originate in the territory of a Party if they are both cut and sewn or otherwise assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of fabrics of Canadian tariff item 6002.92.a1, U.S. tariff item 6002.92.10, Mexican tariff item 6002.92.01. Note 3: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. If the rule requires that the good must also satisfy the tariff change requirements for visible lining fabrics listed in Note 1, such requirement shall only apply to the visible lining fabric in the main body of the garment, excluding sleeves, which covers the largest surface area, and shall not apply to removable linings. 6101.10-6101.30 A change to subheadings 6101.10 through 6101.30 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6101.90 A change to subheading 6101.90 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6102.10-6102.30 A change to subheadings 6102.10 through 6102.30 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6102.90 A change to subheading 6102.90 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103.11-6103.12 A change to subheadings 6103.11 through 6103.12 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103.19 6103.19.90 A change to Canadian tariff item 6103.19.90, U.S. tariff item 6103.19.40, Mexican tariff item 6103.19.02 or 6103.19.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103.19 A change to subheading 6103.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103.21-6103.29 A change to subheadings 6103.21 through 6103.29 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 61.01 or jackets or blazers described in heading 61.03, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103.31-6103.33 A change to subheadings 6103.31 through 6103.33 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103.39 6103.39.90 A change to Canadian tariff item 6103.39.90, U.S. tariff item 6103.39.20, Mexican tariff item 6103.39.02 or 6103.39.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103.39 A change to subheading 6103.39 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103.41-6103.49 A change to subheadings 6103.41 through 6103.49 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104.11-6104.13 A change to subheadings 6104.11 through 6104.13 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.19 6104.19.90 A change to Canadian tariff item 6104.19.90, U.S. tariff item 6104.19.20, Mexican tariff item 6104.19.02 or 6104.19.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104.19 A change to subheading 6104.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.21-6104.29 A change to subheadings 6104.21 through 6104.29 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 61.02, jackets or blazers described in heading 61.04, or skirts described in heading 61.04, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.31-6104.33 A change to subheadings 6104.31 through 6104.33 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.39 6104.39.90 A change to Canadian tariff item 6104.39.90, U.S. tariff item 6104.39.20, Mexican tariff item 6104.39.02 or 6104.39.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104.39 A change to subheading 6104.39 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.41-6104.49 A change to subheadings 6104.41 through 6104.49 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104.51-6104.53 A change to subheadings 6104.51 through 6104.53 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.59 6104.59.90 A change to Canadian tariff item 6104.59.90, U.S. tariff item 6104.59.20, Mexican tariff item 6104.59.02 or 6104.59.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104.59 A change to subheading 6104.59 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104.61-6104.69 A change to subheadings 6104.61 through 6104.69 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 61.05-61.17 A change to headings 61.05 through 61.17 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. Chapter 62 Articles of Apparel and Clothing Accessories, Not Knitted or Crocheted Note 1: A change to any of the following headings or subheadings for visible lining fabrics: 51.11-51.12, 5208.31-5208.59, 5209.31-5209.59, 5210.31-5210.59, 5211.31-5211.59, 5212.13-5212.15, 5212.23-5212.25, 5407.42-5407.44, 5407.52-5407.54, 5407.60, 5407.72-5407.74, 5407.82-5407.84, 5407.92-5407.94, 5408.22-5408.24 (excluding Canadian tariff item 5408.22.10, 5408.23.10 or 5408.24.10, U.S. tariff item 5408.22.h1, 5408.23.h1 or 5408.24.h1, Mexican tariff item 5408.22.x1, 5408.23.x1 or 5408.24.x1), 5408.32-5408.34, 5512.19, 5512.29, 5512.99, 5513.21-5513.49, 5514.21-5515.99, 5516.12-5516.14, 5516.22-5516.24, 5516.32-5516.34, 5516.42-5516.44, 5516.92-5516.94, 6001.10, 6001.92, 6002.43, or 6002.91-6002.93, from any other heading outside that group. Note 2: Apparel products of this Chapter shall be considered to originate if they are both cut and sewn or otherwise assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of one or more of the following fabrics: (i) Velveteen fabrics of subheading 5801.23, containing 85 per cent or more by weight of cotton; (ii) Corduroy fabrics of subheading 5801.22, containing 85 per cent or more by weight of cotton and containing more than 7.5 wales per centimetre; (iii) Fabrics of subheading 5111.11 or 5111.19, if hand-woven, with a loom width of less than 76 cm, woven in the United Kingdom in accordance with the rules and regulations of the Harris Tweed Association, Ltd., and so certified by the Association; (iv) Fabrics of subheading 5112.30, weighing not more than 340 grams per square metre, containing wool, not less than 20 per cent by weight of fine animal hair and not less than 15 per cent by weight of man-made staple fibres; (v) Batiste fabrics of subheading 5513.11 or 5513.21, of square construction, of single yarns exceeding 76 metric count, containing between 60 and 70 warp ends and filling picks per square centimetre, of a weight not exceeding 110 grams per square metre. Note 3: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. If the rule requires that the good must also satisfy the tariff change requirements for visible lining fabrics listed in Note 1, such requirement shall only apply to the visible lining fabric in the main body of the garment, excluding sleeves, which covers the largest surface area, and shall not apply to removable linings. 6201.11-6201.13 A change to subheadings 6201.11 through 6201.13 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6201.19 A change to subheading 6201.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6201.91-6201.93 A change to subheadings 6201.91 through 6201.93 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6201.99 A change to subheading 6201.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6202.11-6202.13 A change to subheadings 6202.11 through 6202.13 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6202.19 A change to subheading 6202.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6202.91-6202.93 A change to subheadings 6202.91 through 6202.93 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6202.99 A change to subheading 6202.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203.11-6203.12 A change to subheadings 6203.11 through 6203.12 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203.19 6203.19.90 A change to Canadian tariff item 6203.19.90, U.S. tariff item 6203.19.40, Mexican tariff item 6203.19.02 or 6203.19.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203.19 A change to subheading 6203.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203.21-6203.29 A change to subheadings 6203.21 through 6203.29 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 62.01 or jackets or blazers described in heading 62.03, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203.31-6203.33 A change to subheadings 6203.31 through 6203.33 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203.39 6203.39.a1 A change to Canadian tariff item 6203.39.a1, U.S. tariff item 6203.39.40, Mexican tariff item 6203.39.02 or 6203.39.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203.39 A change to subheading 6203.39 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203.41-6203.49 A change to subheadings 6203.41 through 6203.49 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204.11-6204.13 A change to subheadings 6204.11 through 6204.13 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.19 6204.19.a1 A change to Canadian tariff 6204.19.a1, U.S. tariff item 6204.19.30, Mexican tariff item 6204.19.02 or 6204.19.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204.19 A change to subheading 6204.19 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.21-6204.29 A change to subheadings 6204.21 through 6204.29 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 60.01 through 60.02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 62.02, jackets or blazers described in heading 62.04, or skirts described in heading 62.04, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.31-6204.33 A change to subheadings 6204.31 through 6204.33 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.39 6204.39.90 A change to Canadian tariff item 6204.39.90, U.S. tariff item 6204.39.60 or 6204.39.80, Mexican tariff item 6204.39.02 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204.39 A change to subheading 6204.39 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.41-6204.49 A change to subheadings 6204.41 through 6204.49 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204.51-6204.53 A change to subheadings 6204.51 through 6204.53 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.59 6204.59.90 A change to Canadian tariff item 6204.59.90, U.S. tariff item 6204.59.40, Mexican tariff item 6204.59.02 or 6204.59.99 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204.59 A change to subheading 6204.59 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204.61-6204.69 A change to subheadings 6204.61 through 6204.69 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205.10 A change to subheading 6205.10 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205.20-6205.30 Note: Men's or boys' shirts of cotton or man-made fibres shall be considered to originate if they are both cut and assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of one or more of the following fabrics: (i) Fabrics of subheading 5208.21, 5208.22, 5208.29, 5208.31, 5208.32, 5208.39, 5208.41, 5208.42, 5208.49, 5208.51, 5208.52 or 5208.59, of average yarn number exceeding 135 metric; (ii) Fabrics of subheading 5513.11 or 5513.21, not of square construction, containing more than 70 warp ends and filling picks per square centimetre, of average yarn number exceeding 70 metric; (iii) Fabrics of subheading 5210.21 or 5210.31, not of square construction, containing more than 70 warp ends and filling picks per square centimetre, of average yarn number exceeding 70 metric; (iv) Fabrics of subheading 5208.22 or 5208.32, not of square construction, containing more than 75 warp ends and filling picks per square centimetre, of average yarn number exceeding 65 metric; (v) Fabrics of subheading 5407.81, 5407.82 or 5407.83, weighing less than 170 grams per square metre, having a dobby weave created by a dobby attachment; (vi) Fabrics of subheading 5208.42 or 5208.49, not of square construction, containing more than 85 warp ends and filling picks per square centimetre, of average yarn number exceeding 85 metric; (vii) Fabrics of subheading 5208.51, of square construction, containing more than 75 warp ends and filling picks per square centimetre, made with single yarns, of average yarn number 95 or greater metric; (viii) Fabrics of subheading 5208.41, of square construction, with a gingham pattern, containing more than 85 warp ends and filling picks per square centimetre, made with single yarns, of average yarn number 95 or greater metric, and characterized by a check effect produced by the variation in color of the yarns in the warp and filling. A change to subheadings 6205.20 through 6205.30 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205.90 A change to subheading 6205.90 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 62.06-62.11 A change to headings 62.06 through 62.11 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6212.10 A change to subheading 6212.10 from any other chapter; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6212.20-6212.90 A change to subheadings 6212.20 through 6212.90 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 62.13-62.17 A change to headings 62.13 through 62.17 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, 55.08 through 55.16, 58.01 through 58.02, 60.01 through 60.02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. Chapter 63 Other Made Up Textile Articles; Sets; Worn Clothing and Worn Textile Articles; Rags Note 1: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. 63.01-63.02 A change to headings 63.01 through 63.02 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, Chapters 54 through 55, headings 58.01 through 58.02 or 60.01 through 60.02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. 63.03 6303.92.a1 A change to Canadian tariff item 6303.92.a1, U.S. tariff item 6302.92.h1, Mexican tariff item 6302.92.x1 from any other chapter or from Canadian tariff item 5402.43.10 or 5402.52.10, U.S. tariff item 5402.43.10 or 5402.52.10, Mexican tariff item 5402.43.01 or 5402.52.02, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, Chapters 54 through 55, headings 58.01 through 58.02, 60.01 or 60.02; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 63.03 A change to heading 63.03 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, Chapters 54 through 55, headings 58.01 through 58.02 or 60.01 through 60.02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. 63.04-63.10 A change to headings 63.04 through 63.10 from any other chapter, except from headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, Chapters 54 through 55, headings 58.01 through 58.02 or 60.01 through 60.02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. Annex 00 SECTION XII Footwear, Headgear, Umbrellas, Sun Umbrellas, Walking-Sticks, Seat- Sticks, Whips, Riding-Crops and Parts Thereof; Prepared Feathers and Articles Made Therewith; Artificial Flowers; Articles of Human Hair (Ch. 64-67) Chapter 64 Footwear, Gaiters and the Like; Parts of Such Articles 6401.10-6406.10 A change to subheadings 6401.10 through 6406.10 from any other subheading outside that group, provided there is a regional value content of not less than 55% under the net cost method. 6406.20-6406.99 A change to subheadings 6406.20 through 6406.99 from any other chapter. Chapter 65 Headgear and Parts Thereof 65.01-65.02 A change to headings 65.01 through 65.02 from any other chapter. 65.03-65.07 A change to headings 65.03 through 65.07 from any heading outside that group. Chapter 66 Umbrellas, Sun Umbrellas, Walking-Sticks, Seat-Sticks, Whips, Riding-Crops and Parts Thereof 66.01 A change to heading 66.01 from any other heading, except from a combination of both: a) subheading 6603.20; and b) headings 39.20 through 39.21, 50.07, 51.11 through 51.13, 52.08 through 52.12, 53.09 through 53.11, 54.07 through 54.08, 55.12 through 55.16, 56.02 through 56.03, 58.01 through 58.11, 59.01 through 59.11, 60.01 through 60.02. 66.02 A change to heading 66.02 from any other heading. 66.03 A change to heading 66.03 from any other chapter. Chapter 67 Prepared Feathers and Down and Articles Made of Feathers or of Down; Artificial Flowers; Articles of Human Hair 67.01 6701.00.10 A change to Canadian tariff item 6701.00.10, U.S. tariff item 6701.00.10, Mexican tariff item 6701.00.01 or 6701.00.02 from any other tariff item. 67.01 A change to heading 67.01 from any other chapter. 67.02 A change to heading 67.02 from any other heading. 67.03 A change to heading 67.03 from any other chapter. 67.04 A change to heading 67.04 from any other heading. Annex 00 SECTION XIII Articles of Stone, Plaster, Cement, Asbestos, Mica or Similar Materials; Ceramic Products; Glass and Glassware (Ch. 68-70) Chapter 68 Articles of Stone, Plaster, Cement, Asbestos, Mica or Similar Materials 68.01-68.11 A change to headings 68.01 through 68.11 from any other chapter. 6812.10 A change to subheading 6812.10 from any other chapter. 6812.20 A change to subheading 6812.20 from any other subheading. 6812.30-6812.40 A change to subheadings 6812.30 through 6812.40 from any other subheading outside that group. 6812.50 A change to subheading 6812.50 from any other subheading. 6812.60-6812.90 A change to subheadings 6812.60 through 6812.90 from any other subheading outside that group. 68.13 A change to heading 68.13 from any other heading. 68.14-68.15 A change to headings 68.14 through 68.15 from any other chapter. Chapter 69 Ceramic Products 69.01-69.14 A change to headings 69.01 through 69.14 from any other chapter. Chapter 70 Glass and Glassware 70.01-70.02 A change to headings 70.01 through 70.02 from any other chapter. 70.03-70.09 A change to headings 70.03 through 70.09 from any other heading outside that group. 70.10-70.20 A change to headings 70.10 through 70.20 from any other heading, except from headings 70.07 through 70.20. Annex 00 SECTION XIV Natural or Cultured Pearls, Precious or Semiprecious Stones, Precious Metals, Metals Clad with Precious Metal, and Articles Thereof; Imitation Jewellery; Coin (Ch. 71) Chapter 71 Natural or Cultured Pearls, Precious or Semi-Precious Stones, Precious Metals, Metals Clad with Precious Metal, and Articles Thereof; Imitation Jewellery; Coin (Ch. 71) 71.01-71.12 A change to headings 71.01 through 71.12 from any other chapter. 71.13-71.18 Note: Pearls, temporarily or permanently strung but without the addition of clasps or other ornamental features of precious metals or stones, shall be treated as a good of the country in which the pearls were obtained. A change to headings 71.13 through 71.18 from any other heading outside that group. Annex 00 SECTION XIX Arms and Ammunition; Parts and Accessories Thereof (Ch. 93) Chapter 93 Arms and Ammunition; Parts and Accessories Thereof 93.01-93.04 A change to headings 93.01 through 93.04 from any other chapter; or A change to headings 93.01 through 93.04 from heading 93.05, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 93.05 A change to heading 93.05 from any other heading. 93.06-93.07 A change to headings 93.06 through 93.07 from any other chapter. Annex 00 SECTION XV Base Metals and Articles of Base Metal (Ch. 72-83) Chapter 72 Iron and Steel 72.01 A change to heading 72.01 from any other chapter. 7202.11-7202.60 A change to subheadings 7202.11 through 7202.60 from any other chapter. 7202.70 A change to subheading 7202.70 from any other chapter, except from subheading 2613.10. 7202.80-7202.99 A change to subheadings 7202.80 through 7202.99 from any other chapter. 72.03-72.05 A change to headings 72.03 through 72.05 from any other chapter. 72.06-72.07 A change to headings 72.06 through 72.07 from any other heading outside that group. 72.08-72.16 A change to headings 72.08 through 72.16 from any other heading outside that group. 72.17 A change to heading 72.17 from any other heading, except from headings 72.13 through 72.15. 72.18-72.22 A change to headings 72.18 through 72.22 from any other heading outside that group. 72.23 A change to heading 72.23 from any other heading, except from headings 72.21 through 72.22. 72.24-72.28 A change to headings 72.24 through 72.28 from any other heading outside that group. 72.29 A change to heading 72.29 from any other heading, except from headings 72.27 through 72.28. Chapter 73 Articles of Iron or Steel 73.01-73.03 A change to headings 73.01 through 73.03 from any other chapter. 7304.10-7304.39 A change to subheadings 7304.10 through 7304.39 from any other chapter. 7304.41 7304.41.10 A change to Canadian tariff item 7304.41.10, U.S. tariff item 7304.41.10, Mexican tariff item 7304.41.02 or 7304.41.03 from subheading 7304.49 or from any other chapter. 7304.41 A change to subheading 7304.41 from any other chapter. 7304.49-7304.90 A change to subheadings 7304.49 through 7304.90 from any other chapter. 73.05-73.07 A change to headings 73.05 through 73.07 from any other chapter. 73.08 A change to heading 73.08 from any other heading, except for changes resulting from the following processes performed on angles, shapes, or sections of heading 72.16: a) drilling, punching, notching, cutting, cambering, or sweeping, whether performed individually or in combination; b) adding attachments or weldments for composite construction; c) adding attachments for handling purposes; d) adding weldments, connectors or attachments to H-sections or I- sections; provided that the maximum dimension of the weldments, connectors, or attachments is not greater than the dimension between the inner surfaces of the flanges of the H-sections or I-sections e) painting, galvanizing, or otherwise coating; or f) adding a simple base plate without stiffening elements, individually or in combination with drilling, punching, notching, or cutting, to create an article suitable as a column. 73.09-73.11 A change to headings 73.09 through 73.11 from any other heading outside that group. 73.12-73.14 A change to headings 73.12 through 73.14 from any other heading, including another heading within that group. 7315.11-7315.12 A change to subheadings 7315.11 through 7315.12 from any other heading; or A change to subheadings 7315.11 through 7315.12 from subheading 7315.19, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7315.19 A change to subheading 7315.19 from any other heading. 7315.20-7315.89 A change to subheadings 7315.20 through 7315.89 from any other heading; or A change to subheadings 7315.20 through 7315.89 from subheading 7315.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7315.90 A change to subheading 7315.90 from any other heading. 73.16 A change to heading 73.16 from any other heading, except from heading 73.12 or 73.15. 73.17-73.18 A change to headings 73.17 through 73.18 from any other heading outside that group. 73.19-73.20 A change to headings 73.19 through 73.20 from any other heading outside that group. 7321.11 7321.11.19 A change to Canadian tariff item 7321.11.19, U.S. tariff item 7321.11.30, Mexican tariff item 7321.11.02 or 7321.11.03 from any other subheading, except from Canadian tariff item 7321.90.51, 7321.90.52 or 7321.90.53, U.S. tariff item 7321.90.32, 7321.90.34 or U.S. tariff item 7321.90.36, Mexican tariff item 7321.90.05, 7321.90.06 or 7321.90.07. 7321.11 A change to subheading 7321.11 from any other heading; or A change to subheading 7321.11 from subheading 7321.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7321.12-7321.83 A change to subheadings 7321.12 through 7321.83 from any other heading; or A change to subheadings 7321.12 through 7321.83 from subheading 7321.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7321.90 7321.90.51 A change to Canadian tariff item 7321.90.51, U.S. tariff item 7321.90.32, Mexican tariff item 7321.90.05 from any other tariff item. 7321.90.52 A change to Canadian tariff item 7321.90.52, U.S. tariff item 7321.90.34, Mexican tariff item 7321.90.06 from any other tariff item. 7321.90.53 A change to Canadian tariff item 7321.90.53, U.S. tariff item 7321.90.36, Mexican tariff item 7321.90.07 from any other tariff item. 7321.90 A change to subheading 7321.90 from any other heading. 73.22-73.23 A change to headings 73.22 through 73.23 from any other heading outside that group. 7324.10-7324.29 A change to subheadings 7324.10 through 7324.29 from any other heading; or A change to subheadings 7324.10 through 7324.29 from subheading 7324.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7324.90 A change to subheading 7324.90 from any other heading. 73.25-73.26 A change to headings 73.25 through 73.26 from any other heading outside that group. Chapter 74 Copper and Articles Thereof 74.01-74.02 A change to headings 74.01 through 74.02 from any other chapter. 74.03 A change to heading 74.03 from any other chapter; or A change to heading 74.03 from any of Canadian tariff item 7404.00.11, 7404.00.21 or 7404.11.91, U.S. tariff item 7404.00.10, Mexican tariff item 7404.00.01 or 7404.11.02, heading 74.01 or 74.02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 74.04 A change to heading 74.04 from any other chapter. 74.05-74.07 A change to headings 74.05 through 74.07 from any other chapter; or A change to headings 74.05 through 74.07 from any of Canadian tariff item 7404.00.11, 7404.00.21 or 7404.00.91, U.S. tariff item 7404.00.10, Mexican tariff item 7404.00.01 or 7404.00.02, heading 74.01 or 74.02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7408.11 7408.11.11 A change to Canadian tariff item 7408.11.11 or 7408.11.21, U.S. tariff item 7408.11.60, Mexican tariff item 7408.11.01 from any other chapter; or A change to Canadian tariff item 7408.11.11 or 7408.11.21, U.S. tariff item 7408.11.60, Mexican tariff item 7408.11.01 from any of Canadian tariff item 7404.00.11, 7404.00.21 or 7404.00.91, U.S. tariff item 7404.00.10, Mexican tariff item 7404.00.01 or 7404.00.02, or heading 74.01 or 74.02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7408.11 A change to subheading 7408.11 from any other heading, except from heading 74.07. 7408.19-7408.29 A change to subheadings 7408.19 through 7408.29 from any other heading, except from heading 74.07. 74.09 A change to heading 74.09 from any other heading. 74.10 A change to heading 74.10 from any other heading, except from heading 74.09. 74.11 A change to heading 74.11 from any other heading, except from heading 74.09 or Canadian tariff item 7407.10.13, 7407.10.22, 7407.21.13, 7407.21.22, 7407.22.13, 7407.22.22, 7407.29.13, or 7407.29.22, U.S. tariff item 7407.10.20, 7407.21.20, 7407.22.20 or 7407.29.20, Mexican tariff item 7407.10.02, 7407.21.02, 7407.22.02 or 7407.29.02. 74.12 A change to heading 74.12 from any other heading, except from heading 74.11. 74.13 A change to heading 74.13 from any other heading, except from headings 74.07 through 74.08; or A change to heading 74.13 from any of headings 74.07 through 74.08, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 74.14-74.18 A change to headings 74.14 through 74.18 from any other heading, including another heading within that group. 7419.10 A change to subheading 7419.10 from any other heading, except from heading 74.07. 7419.91-7419.99 A change to subheadings 7419.91 through 7419.99 from any other heading. Chapter 75 Nickel and Articles Thereof 75.01-75.04 A change to headings 75.01 through 75.04 from any other chapter. 75.05 A change to heading 75.05 from any other heading. 75.06 7506.10.22 A change to Canadian tariff item 7506.10.22, U.S. tariff item 7506.10.50, Mexican tariff item 7506.10.01 from any other tariff item. 7506.20.92 A change to Canadian tariff item 7506.20.92, U.S. tariff item 7506.20.50, Mexican tariff item 7506.20.01 from any other tariff item. 75.06 A change to heading 75.06 from any other heading. 75.07-75.08 A change to headings 75.07 through 75.08 from any other heading outside that group. Chapter 76 Aluminum and Articles Thereof 76.01-76.03 A change to headings 76.01 through 76.03 from any other chapter. 76.04-76.06 A change to headings 76.04 through 76.06 from any other heading outside that group. 76.07 A change to heading 76.07 from any other heading. 76.08-76.09 A change to headings 76.08 through 76.09 from any other heading outside that group. 76.10-76.13 A change to headings 76.10 through 76.13 from any other heading, including another heading within that group. 76.14 A change to heading 76.14 from any other heading, except from headings 76.04 through 76.05. 76.15-76.16 A change to headings 76.15 through 76.16 from any other heading, including another heading within that group. Chapter 78 Lead and Articles Thereof 78.01-78.02 A change to headings 78.01 through 78.02 from any other chapter. 78.03-78.06 A change to headings 78.03 through 78.06 from any other chapter; or A change to headings 78.03 through 78.06 from any other heading within Chapter 78, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 79 Zinc and Articles Thereof 79.01-79.03 A change to headings 79.01 through 79.03 from any other chapter. 79.04-79.07 A change to headings 79.04 through 79.07 from any other chapter; or A change to headings 79.04 through 79.07 from any other heading within Chapter 79, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 80 Tin and Articles Thereof 80.01-80.02 A change to headings 80.01 through 80.02 from any other chapter. 80.03-80.04 A change to headings 80.03 through 80.04 from any other heading outside that group. 80.05-80.07 A change to headings 80.05 through 80.07 from any other heading outside that group. Chapter 81 Other Base Metals; Cermets; Articles Thereof 8101.10-8101.91 A change to subheadings 8101.10 through 8101.91 from any other chapter. 8101.92 A change to subheading 8101.92 from any other subheading. 8101.93 A change to subheading 8101.93 from any other chapter. 8101.99 A change to subheading 8101.99 from any other subheading. 8102.10-8102.91 A change to subheadings 8102.10 through 8102.91 from any other chapter. 8102.92 A change to subheading 8102.92 from any other subheading. 8102.93 A change to subheading 8102.93 from any other subheading, except from Canadian tariff item 8102.92.10, U.S. tariff item 8102.92.10, Mexican tariff item 8102.92.01. 8102.99 A change to subheading 8102.99 from any other subheading. 8103.10 A change to subheading 8103.10 from any other chapter. 8103.90 A change to subheading 8103.90 from any other subheading. 8104.11-8104.30 A change to subheadings 8104.11 through 8104.30 from any other chapter. 8104.90 A change to subheading 8104.90 from any other subheading. 8105.10 A change to subheading 8105.10 from any other chapter. 8105.90 A change to subheading 8105.90 from any other subheading. 81.06 A change to heading 81.06 from any other chapter. 8107.10 A change to subheading 8107.10 from any other chapter. 8107.90 A change to subheading 8107.90 from any other subheading. 8108.10 A change to subheading 8108.10 from any other chapter. 8108.90 A change to subheading 8108.90 from any other subheading. 8109.10 A change to subheading 8109.10 from any other chapter. 8109.90 A change to subheading 8109.90 from any other subheading. 81.10 A change to heading 81.10 from any other chapter. 81.11 8111.00.21 A change to Canadian tariff item 8111.00.21. 8111.00.22, 8111.00.40, U.S. tariff item 8111.00.60, Mexican tariff item 8111.00.01 from any other tariff item. 81.11 A change to heading 81.11 from any other chapter. 81.12-81.13 A change to headings 81.12 through 81.13 from any other chapter. Chapter 82 Tools, Implements, Cutlery, Spoons and Forks, of Base Metal; Parts Thereof of Base Metal 82.01-82.15 A change to headings 82.01 through 82.15 from any other chapter. Chapter 83 Miscellaneous Articles of Base Metal 8301.10-8301.50 A change to subheadings 8301.10 through 8301.50 from any chapter; or A change to subheadings 8301.10 through 8301.50 from subheading 8301.60, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8301.60-8301.70 A change to subheadings 8301.60 through 8301.70 from any other chapter. 83.02-83.04 A change to headings 83.02 through 83.04 from any other chapter. 8305.10-8305.20 A change to subheadings 8305.10 through 8305.20 from any other chapter; or A change to subheadings 8305.10 through 8305.20 from subheading 8305.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8305.90 A change to subheading 8305.90 from any other chapter. 83.06-83.07 A change to headings 83.06 through 83.07 from any other chapter.; or A change to headings 83.06 through 83.07 from within headings 83.06 through 83.07, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% the transaction value method is used, or b) 50% where the net cost method is used. 8308.10-8308.20 A change to subheadings 8308.10 through 8308.20 from any other chapter; or A change to subheadings 8308.10 through 8308.20 from subheading 8308.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8308.90 A change to subheading 8308.90 from any other chapter. 83.09-83.10 A change to headings 83.09 through 83.10 from any other chapter. 8311.10-8311.30 A change to subheadings 8311.10 through 8311.30 from any other chapter; or A change to subheadings 8311.10 through 8311.30 from subheading 8311.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8311.90 A change to subheading 8311.90 from any other chapter. Annex 00 SECTION XVI Machinery and Mechanical Appliances; Electrical Equipment; Parts Thereof; Sound Recorders and Reproducers, Television Image and Sound Recorders and Reproducers, and Parts and Accessories of Such Articles (Ch. 84-85) Note: For purposes of this Section, the term, "printed circuit assembly", means goods consisting of one or more printed circuits of heading 85.34 with one or more active elements assembled thereon, with or without passive elements. For purposes of this Note, "active elements" means diodes, transistors and similar semiconductor devices, whether or not photosensitive, of heading 85.41, and integrated circuits and microassemblies of heading 85.42. Chapter 84 Nuclear Reactors, Boilers, Machinery and Mechanical Appliances; Parts Thereof Note X: Tariff item 8473.30.a3 covers the following parts of printers: (1) Control or command assemblies for printers of subheading 8471.92, incorporating at least two of the following: printed circuit assembly; hard or flexible (floppy) disc drive; keyboard; user interface; (2) Light source assemblies for printers of subheading 8471.92, incorporating at least two of the following: light emitting diode assembly; gas laser; mirror polygon assembly; base casting; (3) Laser imaging assemblies for the printers of subheading 8471.92, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner developing unit; charge/discharge unit; cleaning unit; (4) Image fixing assemblies for the printers of subheading 8471.92, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; (5) Ink jet marking assemblies for the printers of subheading 8471.92, incorporating at least two of the following: thermal print head; ink dispensing unit; nozzle and reservoir unit; ink heater; (6) Maintenance/sealing assemblies for the printers of subheading 8471.92, incorporating at least two of the following: vacuum unit; ink jet covering unit; sealing unit; purging unit; (7) Paper handling assemblies for the printers of subheading 8471.92, incorporating at least two of the following: paper transport belt; roller; print bar; carriage; gripper roller; paper storage unit; exit tray; (8) Thermal transfer imaging assemblies for the printers of subheading 8471.92, incorporating at least two of the following: thermal print head; cleaning unit; supply or take-up roller; (9) Ionographic imaging assemblies for the printers of subheading 8471.92, incorporating at least two of the following: ion generation and emitting unit; air assist unit; printed circuit assembly; charge receptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle and distribution unit; developing unit; charge/discharge unit; cleaning unit; and (10) Combinations of the above specified assemblies. 8401.10-8401.30 A change to subheadings 8401.10 through 8401.30 from any other heading; or A change to subheadings 8401.10 through 8401.30 from subheading 8401.40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8401.40 A change to subheading 8401.40 from any other heading. 8402.11-8402.20 A change to subheadings 8402.11 through 8402.20 from any other heading; or A change to subheadings 8402.11 through 8402.20 from subheading 8402.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8402.90 A change to subheading 8402.90 from any other heading; or A change to subheading 8402.90 from within subheading 8402.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8403.10 A change to subheading 8403.10 from any other heading; or A change to subheading 8403.10 from subheading 8403.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8403.90 A change to subheading 8403.90 from any other heading. 8404.10-8404.20 A change to subheadings 8404.10 through 8404.20 from any other heading; or A change to subheadings 8404.10 through 8404.20 from subheading 8404.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8404.90 A change to subheading 8404.90 from any other heading. 8405.10 A change to subheading 8405.10 from any other heading; or A change to subheadings 8405.10 from subheading 8405.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8405.90 A change to subheading 8405.90 from any other heading. 8406.11-8406.19 A change to subheadings 8406.11 through 8406.19 from any other subheading outside that group, except from Canadian tariff item 8406.90.32 or 8406.90.34, U.S. tariff item 8406.90.20, 8406.90.40, 8406.90.50 or 8406.90.70, Mexican tariff item 8406.90.x1 or 8406.90.x2. 8406.90 8406.90.a1 A change to Canadian tariff item 8406.90.32, U.S. tariff item 8406.90.20, Mexican tariff item 8406.90.x1 from Canadian tariff item 8406.90.31, U.S. tariff item 8406.90.30 or 8406.90.60, Mexican tariff item 8406.90.x3 or any other heading. US8406.90.50 A change to U.S. tariff item 8406.90.50 from Canadian tariff item 8406.90.31, U.S. tariff item 8406.90.30 or 8406.90.60, Mexican tariff item 8406.90.x3 or any other heading. 8406.90.a2 A change to Canadian tariff item 8406.90.34, U.S. tariff item 8406.90.40, Mexican tariff item 8406.90.x2 from any other tariff item. 8406.90.a3 A change to Canadian tariff item 8406.90.31, U.S. tariff item 8406.90.30, Mexican tariff item 8406.90.x3 from any other tariff item. US8406.90.60 A change to U.S. tariff item 8406.90.60 from any other tariff item. US8406.90.70 A change to U.S. tariff item 8406.90.70 from any other tariff item. 8406.90 A change to subheading 8406.90 from any other heading. 84.07-84.08 A change to headings 84.07 through 84.08 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8409.10 A change to subheading 8409.10 from any other heading. 8409.91 A change to subheading 8409.91 from any other heading; or A change to subheading 8409.91 from within subheading 8409.91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8409.99 A change to subheading 8409.99 from any other heading; or A change to subheading 8409.99 from within subheading 8409.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8410.11-8410.13 A change to subheadings 8410.11 through 8410.13 from any other heading; or A change to subheadings 8410.11 through 8410.13 from subheading 8410.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8410.90 A change to subheading 8410.90 from any other heading. 8411.11-8411.82 A change to subheadings 8411.11 through 8411.82 from any other heading; or A change to subheadings 8411.11 through 8411.82 from any of subheadings 8411.91 through 8411.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8411.91-8411.99 A change to subheadings 8411.91 through 8411.99 from any other heading. 8412.10-8412.80 A change to subheadings 8412.10 through 8412.80 from any other heading; or A change to subheadings 8412.10 through 8412.80 from subheading 8412.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8412.90 A change to subheading 8412.90 from any other heading. 8413.11-8413.82 A change to subheadings 8413.11 through 8413.82 from any other heading; or A change to subheadings 8413.11 through 8413.82 from any of subheadings 8413.91 through 8413.92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8413.91 A change to subheading 8413.91 from any other heading. 8413.92 A change to subheading 8413.92 from any other heading; or A change to subheading 8413.92 from within subheading 8409.92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414.10-8414.20 A change to subheadings 8414.10 through 8414.20 from any other heading; or A change to subheadings 8414.10 through 8414.20 from subheading 8414.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414.30 A change to subheading 8414.30 from any other subheading, except from Canadian tariff item 8414.90.21 or 8414.90.51, U.S. tariff item 8414.90.20, Mexican tariff item 8414.90.x1. 8414.40-8414.80 A change to subheadings 8414.40 through 8414.80 from any other heading; or A change to subheadings 8414.40 through 8414.80 from subheading 8414.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414.90 A change to subheading 8414.90 from any other heading; or A change to subheading 8414.90 from within subheading 8414.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8415.10 A change to subheading 8415.10 from any other subheading, except from Canadian tariff item 8415.90.a1, U.S. tariff item 8415.90.h1, Mexican tariff item 8415.90.x1 or from assemblies incorporating at least two of the following: compressor, condenser,evaporator, connecting tubing. 8415.81-8415.83 A change to subheadings 8415.81 through 8415.83 from any other subheading outside that group, except from Canadian tariff item 8415.90.a1, U.S. tariff item 8415.90.h1, Mexican tariff item 8415.90.x1 or from assemblies for goods of subheadings 8415.10 through 8415.83, incorporating at least two of the following: compressor, condenser,evaporator, connecting tubing; or A change to subheadings 8415.81 through 8415.83 from any of Canadian tariff item 8415.90.a1, U.S. tariff item 8415.90.h1, Mexican tariff item 8415.90.x1 or assemblies for goods of subheadings 8415.10 through 8415.83, incorporating at least two of the following: compressor, condenser,evaporator, connecting tubing, whether or not there is also a change from any other subheading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8415.90 8415.90.a1 A change to Canadian tariff item 8415.90.a1, U.S. tariff item 8415.90.h1, Mexican tariff item 8415.90.x1 from any other tariff item. 8415.90 A change to subheading 8415.90 from any other heading. 8416.10-8416.30 A change to subheadings 8416.10 through 8416.30 from any other heading; or A change to subheadings 8416.10 through 8416.30 from subheading 8416.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8416.90 A change to subheading 8416.90 from any other heading. 8417.10-8417.80 A change to subheadings 8417.10 through 8417.80 from any other heading; or A change to subheadings 8417.10 through 8417.80 from subheading 8417.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8417.90 A change to subheading 8417.90 from any other heading. 8418.10-8418.21 A change to subheadings 8418.10 through 8418.21 from any other subheading, except from subheading 8418.91 or Canadian tariff item 8418.99.a1, U.S. tariff item 8418.99.h1, Mexican tariff item 8418.99.x1, or from assemblies incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing. 8418.22 A change to subheading 8418.22 from any other heading; or A change to subheadings 8418.22 from any of subheadings 8418.91 through 8418.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8418.29-8418.40 A change to subheadings 8418.29 through 8418.40 from any other subheading outside that group, except from subheading 8418.91 or Canadian tariff item 8418.99.a1, U.S. tariff item 8418.99.h1, Mexican tariff item 8418.99.x1, or from assemblies incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing. 8418.50-8418.69 A change to subheadings 8418.50 through 8418.69 from any other heading; or A change to subheadings 8418.50 through 8418.69 from any of subheadings 8418.91 through 8418.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8418.91 A change to subheading 8418.91 from any other subheading. 8418.99 8418.99.a1 A change to Canadian tariff item 8418.99.a1, U.S. tariff item 8418.99.h1, Mexican tariff item 8418.99.x1 from any other tariff item. 8418.99 A change to subheading 8418.99 from any other heading. 8419.11-8419.89 A change to subheadings 8419.11 through 8419.89 from any other heading; or A change to subheadings 8419.11 through 8419.89 from subheading 8419.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8419.90 A change to subheading 8419.90 from any other heading; or A change to subheading 8419.90 from within subheading 8419.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8420.10 A change to subheading 8420.10 from any other heading; or A change to subheadings 8420.10 from any of subheadings 8420.91 through 8420.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8420.91-8420.99 A change to subheadings 8420.91 through 8420.99 from any other heading. 8421.11 A change to subheading 8421.11 from any other heading; or A change to subheading 8421.11 from subheading 8421.91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8421.12 A change to subheading 8421.12 from any other subheading, except from Canadian tariff item 8421.91.a1, 8421.91.a2 or 8537,10.a1, U.S. tariff item 8421.91.h1, 8421.91.h2 or 8537.10.h1, Mexican tariff item 8421.91.x1, 8421.91.x2 or 8537.10.x1. 8421.19-8421.39 A change to subheadings 8421.19 through 8421.39 from any other heading; or A change to subheadings 8421.19 through 8421.39 from any of subheadings 8421.91 through 8421.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8421.91 8421.91.a1 A change to Canadian tariff item 8421.91.a1, U.S. tariff item 8421.91.h1, Mexican tariff item 8421.91.x1 from any other tariff item. 8421.91.a2 A change to Canadian tariff item 8421.91.a2, U.S. tariff item 8421.91.h2, Mexican tariff item 8421.91.x2 from any other tariff item. 8421.91 A change to subheading 8421.91 from any other heading. 8421.99 A change to subheading 8421.99 from any other heading; or A change to subheading 8421.99 from within subheading 8421.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8422.11 A change to subheading 8422.11 from any other subheading, except from Canadian tariff item 8422.90.a1, 8422.90.a2 or 8537.10.a1, U.S. tariff item 8422.90.h1, 8422.90.h2 or 8537.10.h1, Mexican tariff item 8422.90.x1. 8422.90.x2 or 8537.10.x1, or from water circulation systems incorporating a pump, whether or not motorized, and auxiliary apparatus for controlling, filtering, or dispersing a spray. 8422.19-8422.40 A change to subheadings 8422.19 through 8422.40 from any other heading; or A change to subheadings 8422.19 through 8422.40 from subheading 8422.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8422.90 8422.90.a1 A change to Canadian tariff item 8422.90.a1, U.S. tariff item 8422.90.h1, Mexican tariff item 8422.90.x1 from any other tariff item. 8422.90.a2 A change to Canadian tariff item 8422.90.a2, U.S. tariff item 8422.90.h2, Mexican tariff item 8422.90.h2 from any other tariff item. 8422.90 A change to subheading 8422.90 from any other heading. 8423.10-8423.89 A change to subheadings 8423.10 through 8423.89 from any other heading; or A change to subheadings 8423.10 through 8423.89 from subheading 8423.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8423.90 A change to subheading 8423.90 from any other heading. 8424.10-8424.89 A change to subheadings 8424.10 through 8424.89 from any other heading; or A change to subheadings 8424.10 through 8424.89 from subheading 8424.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8424.90 A change to subheading 8424.90 from any other heading. 84.25-84.26 A change to headings 84.25 through 84.26 from any other heading, except from heading 84.31; or A change to headings 84.25 through 84.26 from heading 84.31, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427.10 8427.10.a1 A change to Canadian tariff item 8427.10.a1, U.S. tariff item 8427.10.h1, Mexican tariff item 8427.10.x1 from any other heading, except from heading 84.07 or 84.08 or subheading 8431.20 or 8483.40; or A change to Canadian tariff item 8427.10.a1, U.S. tariff item 8427.10.h1, Mexican tariff item 8427.10.x1 from any of headings 84.07 or 84.08 or subheadings 8431.20 or 8483.40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427.10 A change to subheading 8427.10 from any other heading, except from subheading 8431.20; or A change to subheading 8427.10 from subheading 8431.20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427.20 8427.20.a1 A change to Canadian tariff item 8427.20.a1, U.S. tariff item 8427.20.h1, Mexican tariff item 8427.20.x1 from any other heading, except from heading 84.07 or 84.08 or subheading 8431.20 or 8483.40; or A change to Canadian tariff item 8427.20.a1, U.S. tariff item 8427.20.h1, Mexican tariff item 8427.20.x1 from any of headings 84.07 or 84.08 or subheadings 8431.20 or 8483.40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427.20 A change to subheading 8427.20 from any other heading, except from subheading 8431.20; or A change to subheading 8427.20 from subheading 8431.20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427.90 A change to subheading 8427.90 from any other heading, except from subheading 8431.20; or A change to subheading 8427.90 from subheading 8431.20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84.28-84.30 A change to headings 84.28 through 84.30 from any other heading outside that group, except from heading 84.31; or A change to headings 84.28 through 84.30 from heading 84.31, whether or not there is also a change from any other heading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431.10 A change to subheading 8431.10 from any other heading; or A change to subheading 8431.10 from within subheading 8431.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431.20 A change to subheading 8431.20 from any other heading outside that group. 8431.31 A change to subheading 8431.31 from any other heading; or A change to subheading 8431.31 from within subheading 8431.31, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431.39 A change to subheading 8431.39 from any other heading; or A change to subheading 8431.39 from within subheading 8431.39, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431.41-8431.42 A change to subheadings 8431.41 through 8431.42 from any other heading. 8431.43 A change to subheading 8431.43 from any other heading; or A change to subheading 8431.43 from within subheading 8431.43, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431.49 A change to subheading 8431.49 from any other heading; or A change to subheading 8431.49 from within subheading 8431.49, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8432.10-8432.80 A change to subheading 8432.10 through 8432.80 from any other heading; or A change to subheadings 8432.10 through 8432.80 from subheading 8432.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8432.90 A change to subheading 8432.90 from any other heading. 8433.11-8433.60 A change to subheadings 8433.11 through 8433.60 from any other heading; or A change to subheadings 8433.11 through 8433.60 from subheading 8433.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8433.90 A change to subheading 8433.90 from any other heading. 8434.10-8434.20 A change to subheadings 8434.10 through 8434.20 from any other heading; or A change to subheadings 8434.10 through 8434.20 from subheading 8434.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8434.90 A change to subheading 8434.90 from any other heading. 8435.10 A change to subheading 8435.10 from any other heading; or A change to subheading 8435.10 from subheading 8435.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8435.90 A change to subheading 8435.90 from any other heading. 8436.10-8436.80 A change to subheadings 8436.10 through 8436.80 from any other heading; or A change to subheadings 8436.10 through 8436.80 from any of subheadings 8436.91 through 8436.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8436.91-8436.99 A change to subheadings 8436.91 through 8436.99 from any other heading. 8437.10-8437.80 A change to subheadings 8437.10 through 8437.80 from any other heading; or A change to subheadings 8437.10 through 8437.80 from subheading 8437.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8437.90 A change to subheading 8437.90 from any other heading. 8438.10-8438.80 A change to subheadings 8438.10 through 8438.80 from any other heading; or A change to subheadings 8438.10 through 8438.80 from subheading 8438.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8438.90 A change to subheading 8438.90 from any other heading. 8439.10-8439.30 A change to subheadings 8439.10 through 8439.30 from any other heading; or A change to subheadings 8439.10 through 8439.30 from any of subheadings 8439.91 through 8439.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8439.91-8439.99 A change to subheadings 8439.91 through 8439.99 from any other heading. 8440.10 A change to subheading 8440.10 from any other heading; or A change to subheading 8440.10 from subheading 8440.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8440.90 A change to subheading 8440.90 from any other heading. 8441.10-8441.80 A change to subheadings 8441.10 through 8441.80 from any other heading; or A change to subheadings 8441.10 through 8441.80, from subheading 8441.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8441.90 A change to subheading 8441.90 from any other heading; or A change to subheading 8441.90 from within subheading 8441.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8442.10-8442.30 A change to subheadings 8442.10 through 8442.30 from any other heading; or A change to subheadings 8442.10 through 8442.30 from any of subheadings 8442.40 through 8442.50, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8442.40-8442.50 A change to subheadings 8442.40 through 8442.50 from any other heading. 8443.11-8443.50 A change to subheadings 8443.11 through 8443.50 from any other heading; or A change to subheadings 8443.11 through 8443.50 from any of subheadings 8443.60 or 8443.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8443.60 A change to subheading 8443.60 from any other heading; or A change to subheading 8443.60 from subheading 8443.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8443.90 A change to subheading 8443.90 from any other heading. 84.44-84.47 A change to headings 84.44 through 84.47 from any other heading outside that group, except from heading 84.48; or A change to headings 84.44 through 84.47 from heading 84.48, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8448.11-8448.19 A change to subheadings 8448.11 through 8448.19 from any other heading; or A change to subheadings 8448.11 through 8448.19 from any of subheadings 8448.20 through 8448.59, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8448.20-8448.59 A change to subheadings 8448.20 through 8448.59 from any other heading. 84.49 A change to heading 84.49 from any other heading. 8450.11-8450.20 A change to subheadings 8450.11 through 8450.20 from any other subheading outside that group, except from Canadian tariff item 8450.90.a1, 8450.90.a2 or 8537.10.a1, U.S. tariff item 8450.90.h1, 8450.90.h2 or 8537.10.h1, Mexican tariff item 8450.90.x1, 8450.90.x2 or 8537.10.x1, or from washer assemblies incorporating at least two of the following: agitator, motor, transmission, clutch. 8450.90 8450.90.a1 A change to Canadian tariff item 8450.90.a1, U.S. tariff item 8450.90.h1, Mexican tariff item 8450.90.x1 from any other tariff item. 8450.90.a2 A change to Canadian tariff item 8450.90.a2, U.S. tariff item 8450.90.h2, Mexican tariff item 8450.90.x2 from any other tariff item. 8450.90 A change to subheading 8450.90 from any other heading. 8451.10 A change to subheading 8451.10 from any other heading; or A change to subheadings 8451.10 from subheading 8451.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8451.21-8451.29 A change to subheadings 8451.21 through 8451.29 from any other subheading outside that group, except from Canadian tariff item 8451.90.a1 or 8451.90.a2, U.S. tariff item 8451.90.h1 or 8451.90.h2, Mexican tariff item 8451.90.x1 or 8451.90.x2, or subheading 8537.10. 8451.30-8451.80 A change to subheadings 8451.30 through 8451.80 from any other heading; or A change to subheadings 8451.30 through 8451.80 from subheading 8451.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8451.90 8451.90.a1 A change to Canadian tariff item 8451.90.a1, U.S. tariff item 8451.90.h1, Mexican tariff item 8451.90.x1 from any other tariff item. 8451.90.a2 A change to Canadian tariff item 8451.90.a2, U.S. tariff item 8451.90.h2, Mexican tariff item 8451.90.x2 from any other tariff item. 8451.90 A change to subheading 8451.90 from any other heading. 8452.10-8452.30 A change to subheadings 8452.10 through 8452.30 from any other heading; or A change to subheadings 8452.10 through 8452.30 from any of subheadings 8452.40 or 8452.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8452.40-8452.90 A change to subheadings 8452.40 through 8452.90 from any other heading. 8453.10-8453.80 A change to subheadings 8453.10 through 8453.80 from any other heading; or A change to subheadings 8453.10 through 8453.80 from subheading 8453.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8453.90 A change to subheading 8453.90 from any other heading. 8454.10-8454.30 A change to subheadings 8454.10 through 8454.30 from any other heading; or A change to subheadings 8454.10 through 8454.30 from subheading 8454.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8454.90 A change to subheading 8454.90 from any other heading. 8455.10-8455.22 A change to subheadings 8455.10 through 8455.22 from any other subheading outside that group, except from Canadian tariff item 8455.90.a1, U.S. tariff item 8455.90.h1, Mexican tariff item 8455.90.x1. 8455.30 A change to subheading 8455.30 from any other heading; or A change to subheadings 8455.30 from subheading 8455.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8455.90 A change to subheading 8455.90 from any other heading. 8456.10 A change to subheading 8456.10 from any other heading, except from more than one of the following: o Canadian tariff item 8466.93.a1, U.S. tariff 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8537.10, o subheading 9013.20. 8456.20-8456.90 A change to subheadings 8456.20 through 8456.90 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 84.57 A change to heading 84.57 from any other heading, except from heading 84.59 or from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8458.11 A change to subheading 8458.11 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8458.19 A change to subheading 8458.19 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8458.91 A change to subheading 8458.91 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8458.99 A change to subheading 8458.99 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.10 A change to subheading 8459.10 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.21 A change to subheading 8459.21 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10; or A change to subheading 8459.21 from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459.29 A change to subheading 8459.29 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.31 A change to subheading 8459.31 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10; or A change to subheading 8459.31 from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459.39 A change to subheading 8459.39 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.40-8459.51 A change to subheadings 8459.40 through 8459.51 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10; or A change to subheadings 8459.40 through 8459.51 from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459.59 A change to subheading 8459.59 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.61 A change to subheading 8459.61 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10; or A change to subheading 8459.61 from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459.69 A change to subheading 8459.69 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8459.70 8459.70.a1 A change to Canadian tariff item 8459.70.a1, U.S. tariff item 8459.70.h1, Mexican tariff item 8459.70.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10; or A change to Canadian tariff item 8459.70.a1, U.S. tariff item 8459.70.h1, Mexican tariff item 8459.70.x1 from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459.70 A change to subheading 8459.70 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8460.11 A change to subheading 8460.11 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8460.19 A change to subheading 8460.19 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8460.21 A change to subheading 8460.21 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8460.29 A change to subheading 8460.29 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8460.31 A change to subheading 8460.31 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8460.39 A change to subheading 8460.39 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8460.40 8460.40.a1 A change to Canadian tariff item 8460.40.a1, U.S. tariff item 8460.40.h1, Mexican tariff item 8460.40.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8460.40 A change to subheading 8460.40 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8460.90 8460.90.a1 A change to Canadian tariff item 8460.90.a1, U.S. tariff item 8460.90.h1, Mexican tariff item 8460.90.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8460.90 A change to subheading 8460.90 from any other heading, except from Canadian tariff 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1 or subheading 8501.32 or 8501.52. 8461.10 8461.10.a1 A change to Canadian tariff item 8461.10.a1, U.S. tariff item 8461.10.h1, Mexican tariff item 8461.10.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8461.10 A change to subheading 8461.10 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.83.x1. 8461.20 8461.20.a1 A change to Canadian tariff item 8461.20.a1, US. tariff item 8461.20.h1, Mexican tariff item 8461.20.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8461.20 A change to subheading 8461.20 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.83.x1. 8461.30 8461.30.a1 A change to Canadian tariff item 8461.30.a1, U.S. tariff item 8461.30.h1, Mexican tariff item 8461.30.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8461.30 A change to subheading 8461.30 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1. 8461.40 A change to subheading 8461.40 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1. 8461.50 8461.50.a1 A change to Canadian tariff item 8461.50.a1, U.S. tariff item 8461.50.h1, Mexican tariff item 8461.50.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8461.50 A change to subheading 8461.50 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1. 8461.90 8461.90.a1 A change to Canadian tariff item 8461.90.a1, U.S. tariff item 8461.90.h1, Mexican tariff item 8461.90.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8461.90 A change to subheading 8461.90 from any other heading, except from Canadian tariff item 8466.93.a1, U.S. tariff item 8466.93.h1, Mexican tariff item 8466.93.x1. 8462.10 A change to subheading 8462.10 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 8462.21 A change to subheading 8462.21 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8462.29 A change to subheading 8462.29 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 8462.31 A change to subheading 8462.31 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8462.39 A change to subheading 8462.29 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 8462.41 A change to subheading 8462.41 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8462.49 A change to subheading 8462.49 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 8462.91 8462.91.a1 A change to Canadian tariff item 8462.91.a1, U.S. tariff item 8462.91.h1, 8462.91.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8462.91 A change to subheading 8462.91 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 8462.99 8462.99.a1 A change to Canadian tariff item 8462.99.a1, U.S. tariff item 8462.99.h1, Mexican tariff item 8462.99.x1 from any other heading, except from more than one of the following: o subheadings 8413.50 through 8413.60, o Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1, o subheading 8501.32 or 8501.52, o subheading 8537.10. 8462.99 A change to subheading 8462.99 from any other heading, except from Canadian tariff item 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1. 84.63 A change to heading 84.63 from any other heading, except from Canadian tariff 8466.94.a1, U.S. tariff item 8466.94.h1, Mexican tariff item 8466.94.x1 or subheading 8501.32 or 8501.52. 84.64 A change to heading 84.64 from any other heading, except from subheading 8466.91; or A change to heading 84.64 from subheading 8466.91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84.65 A change to heading 84.65 from any other heading, except from subheading 8466.92; or A change to heading 84.65 from subheading 8466.92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84.66 A change to heading 84.66 from any other heading. 8467.11-8467.89 A change to subheadings 8467.11 through 8467.89 from any other heading; or A change to subheadings 8467.11 through 8467.89 from any of subheadings 8467.91, 8467.92 or 8467.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8467.91-8467.99 A change to subheadings 8467.91 through 8467.99 from any other heading. 8468.10-8468.80 A change to subheadings 8468.10 through 8468.80 from any other heading; or A change to subheadings 8468.10 through 8468.80 from subheading 8468.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8468.90 A change to subheading 8468.90 from any other heading. 84.69 8469.10.a1 A change to Canadian tariff item 8469.10.20, U.S.tariff item 8469.10.h1, Mexican tariff item 8469.10.x1 from any other heading, except from heading 84.73; or A change to Canadian tariff item 8469.10.a1, U.S. tariff item 8469.10.h1, Mexican tariff item 8469.10.x1 from heading 84.73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 84.69 A change to headings 84.69 from any other heading, except from heading 84.73; or A change to heading 84.69 from heading 84.73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84.70 A change to headings 84.70 from any other heading, except from heading 84.73; or A change to heading 84.70 from heading 84.73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8471.10 A change to subheading 8471.10 from any other heading, except from heading 84.73; or A change to subheading 8471.10 from heading 84.73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8471.20-8471.91 A change to subheadings 8471.20 through 8471.91 from any other subheading outside that group. 8471.92 8471.92.a1 A change to Canadian tariff item 8471.92.a1, U.S. tariff item 8471.92.h1, Mexican tariff item 8471.92.x1 from any other subheading, except from subheading 8540.30. 8471.92.a2 A change to Canadian tariff item 8471.92.a2, U.S. tariff item 8471.92.h2, Mexican tariff item 8471.92.x2 from any other tariff item, except from Canadian tariff item 8473.30.a3, 8473.30.a1 or 8548.00.a1, U.S. tariff item 8473.30.h3, 8473.30.h1 or 8548.00.h1, Mexican tariff item 8473.30.x3, 8473.30.x1 or 8548.00.x1. 8471.92.a3 A change to Canadian tariff item 8471.92.a3, U.S. tariff item 8471.92.h3, Mexican tariff item 8471.92.x3 from any other tariff item, except from Canadian tariff item 8473.30.a1 or 8548.00.a1, U.S. tariff item 8473.30.h1 or 8548.00.h1, Mexican tariff item 8473.30.x1 or 8548.00.x1. 8471.92.a4 A change to Canadian tariff item 8471.92.a4, U.S. tariff item 8471.92.h4, Mexican tariff item 8471.92.x4 from any other tariff item, except from Canadian tariff item 8473.30.a3, 8473.30.a1 or 8548.00.a1, U.S. tariff item 8473.30.h3, 8473.30.h1 or 8548.00.h1, Mexican tariff item 8473.30.x3, 8473.30.x1 or 8548.00.x1. 8471.92.a5 A change to Canadian tariff item 8471.92.a5, U.S. tariff item 8471.92.h5, Mexican tariff item 8471.92.x5 from any other tariff item, except from Canadian tariff item 8473.30.a3, U.S. tariff item 8473.30.h3, Mexican tariff item 8473.30.x3. 8471.92.a6 A change to Canadian tariff item 8471.92.a6, U.S. tariff item 8471.92.h6, Mexican tariff item 8471.92.x6 from any other tariff item, except from Canadian tariff item 8473.30.a3, U.S. tariff item 8473.30.h3, Mexican tariff item 8473.30.x3. 8471.92.a7 A change to Canadian tariff item 8471.92.a7, U.S. tariff item 8471.92.h7, Mexican tariff item 8471.92.x7 from any other tariff item, except from Canadian tariff item 8473.30.a3, U.S. tariff item 8473.30.h3, Mexican tariff item 8473.30.x3. 8471.92 A change to subheading 8471.92 from any other subheading. 8471.93 A change to subheading 8471.93 from any other subheading. 8471.99 8471.99.a1 A change to Canadian tariff item 8471.99.a1, U.S. tariff item 8471.99.15, Mexican tariff item 8471.99.x1 from any other tariff item. 8471.99.a2 A change to Canadian tariff item 8471.99.a2, U.S. tariff item 8471.99.32 or 8471.99.34, Mexican tariff item 8471.99.x2 from any other tariff item. 8471.99.a3 A change to Canadian tariff item 8471.99.a3, U.S. tariff item 8471.99.60, Mexican tariff item 8471.99.x3 from any other tariff item. 8471.99 A change to any tariff item within subheading 8471.99 from any other tariff item, including another tariff item within that subheading. 84.72 A change to heading 84.72 from any other heading, except from heading 84.73; or A change to heading 84.72 from heading 84.73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473.10 8473.10.a1 A change to Canadian tariff item 8473.10.a1, U.S. tariff item 8473.10.h1, Mexican tariff item 8473.10.x1 from any other heading. 8473.10.a2 A change to Canadian tariff item 8473.10.a2, U.S. tariff item 8473.10.h2, Mexican tariff item 8473.10.x2 from any other heading; or A change to Canadian tariff item 8473.10.a2, U.S. tariff item 8473.10.h2, Mexican tariff item 8473.10.x2 from within Canadian tariff item 8473.10.a2, U.S. tariff item 8473.10.h2, Mexican tariff item 8473.10.x2, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473.21 A change to subheading 8473.21 from any other heading; or A change to subheading 8473.21 from within subheading 8473.21, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473.29 A change to subheading 8473.29 from any other heading; or A change to subheading 8473.29 from within subheading 8473.29, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473.30 8473.30.a1 A change to Canadian tariff item 8473.30.a1, U.S. tariff item 8473.30.h1, Mexican tariff item 8473.30.x1 from any other tariff item. 8473.30.a2 A change to Canadian tariff item 8473.30.a2, U.S. tariff item 8473.30.h2, Mexican tariff item 8473.30.x2 from any other tariff item. 8473.30.a3 A change to Canadian tariff item 8473.30.a3, U.S. tariff item 8473.30.h3, Mexican tariff item 8473.30.x3 from any other tariff item. 8473.30 A change to subheading 8473.30 from any other heading. 8473.40 A change to subheading 8473.40 from any other heading; or A change to subheading 8473.40 from within heading 8473.40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8474.10-8474.80 A change to subheadings 8474.10 through 8474.80 from any other heading; or A change to subheadings 8474.10 through 8474.80 from subheading 8474.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8474.90 A change to subheading 8474.90 from any other heading; or A change to subheading 8474.90 from within subheading 8474.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8475.10-8475.20 A change to subheadings 8475.10 through 8475.20 from any other heading; or A change to subheadings 8475.10 through 8475.20 from subheading 8475.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8475.90 A change to subheading 8475.90 from any other heading. 8476.11-8476.19 A change to subheadings 8476.11 through 8476.19 from any other heading; or A change to subheadings 8476.11 through 8476.19 from subheading 8476.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8476.90 A change to subheading 8476.90 from any other heading. 8477.10 A change to subheading 8477.10 from any other subheading, except from Canadian tariff item 8477.90.a1, U.S. tariff item 8477.90.h1, Mexican tariff item 8477.90.x1 or from more than one of the following: o Canadian tariff item 8477.90.a2, U.S. tariff item 8477.90.h2, Mexican tariff item 8477.x2, o Canadian tariff item 8537.10.a1, U.S. tariff item 8537.10.h1, Mexican tariff item 8537.10.x1. 8477.20 A change to subheading 8477.20 from any other subheading, except from Canadian tariff item 8477.90.a1, U.S. tariff item 8477.90.h1, Mexican tariff item 8477.90.x1 or from more than one of the following: o Canadian tariff item 8477.90.a2, U.S. tariff item 8477.90.h2, Mexican tariff item 8477.x2, o Canadian tariff item 8537.10.a1, U.S. tariff item 8537.10.h1, Mexican tariff item 8537.10.x1. 8477.30 A change to subheading 8477.30 from any other subheading, except from Canadian tariff item 8477.90.a1, U.S. tariff item 8477.90.h1, Mexican tariff item 8477.90.x1 or from more than one of the following: o Canadian tariff item 8477.90.a3, U.S. tariff item 8477.90.h3, Mexican tariff item 8477.90.x3, o Canadian tariff item 8537.10.a1, U.S. tariff item 8537.10.h1, Mexican tariff item 8537.10.x1. 8477.40-8477.80 A change to subheadings 8477.40 through 8477.80 from any other heading; or A change to subheadings 8477.40 through 8477.80 from subheading 8477.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8477.90 A change to subheading 8477.90 from any other heading. 8478.10 A change to subheading 8478.10 from any other heading; or A change to subheading 8478.10 from subheading 8478.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8478.90 A change to subheading 8478.90 from any other heading. 8479.10-8479.81 A change to subheadings 8479.10 through 8479.81 from any other heading; or A change to subheadings 8479.10 through 8479.81 from subheading 8479.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479.82 8479.82.x1 A change to Mexican tariff item 8479.82.x1 from any other tariff item, except from Canadian tariff item 8479.90.a1, 8479.90.a2, 8479.90.a3 or 8479.90.a4, U.S. tariff item 8479.90.h1, 8479.90.h2, 8479.90.h3 or 8479.90.h4, Mexican tariff item 8479.90.x1, 8479.90.x2, 8479.90.x3 or 8479.90.x4, or combinations thereof. 8479.82 A change to subheading 8479.82 from any other heading; or A change to subheading 8479.82 from subheading 8479.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479.89 8479.89.a1 A change to Canadian tariff item 8479.89.a1, U.S. tariff item 8479.89.h1 from any other tariff item, except from Canadian tariff item 8479.90.a1, 8479.90.a2, 8479.90.a3 or 8479.90.a4, U.S. tariff item 8479.90.h1, 8479.90.h2, 8479.90.h3 or 8479.90.h4, Mexican tariff item 8479.90.x1, 8479.90.x2, 8479.90.x3 or 8479.90.x4, or combinations thereof. 8479.89 A change to subheading 8479.89 from any other heading; or A change to subheading 8479.89 from subheading 8479.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479.90 8479.90.a1 A change to Canadian tariff item 8479.90.a1, U.S. tariff item 8479.90.h1, Mexican tariff item 8479.90.x1 from any other tariff item. 8479.90.a2 A change to Canadian tariff item 8479.90.a2, U.S. tariff item 8479.90.h2, Mexican tariff item 8479.90.x2 from any other tariff item. 8479.90.a3 A change to Canadian tariff item 8479.90.a3, U.S. tariff item 8479.90.h3, Mexican tariff item 8479.90.x3 from any other tariff item. 8479.90.a4 A change to Canadian tariff item 8479.90.a4, U.S. tariff item 8479.90.h4, Mexican tariff item 8479.90.x4 from any other tariff item. 8479.90 A change to subheading 8479.90 from any other heading. 84.80 A change to heading 84.80 from any other heading. 8481.10-8481.80 A change to subheadings 8481.10 through 8481.80 from any other heading; or A change to subheadings 8481.10 through 8481.80 from subheading 8481.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8481.90 A change to subheading 8481.90 from any other heading. 8482.10-8482.80 A change to subheadings 8482.10 through 8482.80 from any other subheading outside that group, except from Canadian tariff item 8482.99.a1, U.S. tariff item 8482.99.h1, Mexican tariff item 8482.99.x1; or A change to subheadings 8482.10 through 8482.80 from Canadian tariff item 8482.99.a1, U.S. tariff item 8482.99.h1, Mexican tariff item 8482.99.x1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8482.91-8482.99 A change to subheadings 8482.91 through 8482.99 from any other heading. 8483.10 A change to subheading 8483.10 from any other heading; or A change to subheadings 8483.10 from subheading 8483.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483.20 A change to subheading 8483.20 from any other subheading, except from subheadings 8482.10 through 8482.80, Canadian tariff item 8482.99.a1, U.S. tariff item 8482.90.h1, Mexican tariff item 8482.90.x1 or subheading 8483.90; or A change to subheadings 8483.20 from any of subheadings 8482.10 through 8482.80, Canadian tariff item 8482.99.a1, U.S. tariff item 8482.90.h1, Mexican tariff item 8482.90.x1 or subheading 8483.90, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483.30 A change to subheading 8483.30 from any other heading; or A change to subheadings 8483.30 from subheading 8483.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483.40-8483.60 A change to subheadings 8483.40 through 8483.60 from any other subheading, except from subheadings 8482.10 through 8482.80, Canadian tariff item 8482.99.a1, U.S. tariff item 8482.99.h1, Mexican tariff item 8482.99.x1 or subheading 8483.90; or A change to subheadings 8483.40 through 8483.60 from any of subheadings 8482.10 through 8482.80, Canadian tariff item 8482.99.a1, U.S. tariff item 8482.99.h1, Mexican tariff item 8482.99.x1 or subheading 8483.90, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483.90 A change to subheading 8483.90 from any other heading. 84.84-84.85 A change to headings 84.84 through 84.85 from any other heading, including another heading within that group. Chapter 85 Electrical Machinery and Equipment and Parts Thereof; Sound Recorders and Reproducers, Television Image and Sound Recorders and Reproducers, and Parts and Accessories of Such Articles Note X: Canadian tariff item 8517.90.a3, U.S. tariff item 8517.90.h3, Mexican tariff item 8517.90.x3 covers the following parts of facsimile machines: (1) Control or command assemblies, incorporating at least two of the following: printed circuit assembly; modem; hard or flexible (floppy) disc drive; keyboard; user interface; (2) Optics module assemblies, incorporating at least two of the following: optics lamp; charge couples device and appropriate optics; lenses; mirror; (3) Laser imaging assemblies, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner developing unit; charge/discharge unit; cleaning unit; (4) Ink jet marking assemblies, incorporating at least two of the following: thermal print head; ink dispensing unit; nozzle and reservoir unit; ink heater; (5) Thermal transfer imaging assemblies, incorporating at least two of the following: thermal print head; cleaning unit; supply or take-up roller; (6) Ionographic imaging assemblies, incorporating at least two of the following: ion generation and emitting unit; air assist unit; printed circuit assembly; charge receptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle and distribution unit; developing unit; charge/discharge unit; cleaning unit; (7) Image fixing assemblies, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; (8) Paper handling assemblies, incorporating at least two of the following: paper transport belt; roller; print bar; carriage; gripper roller; paper storage unit; exit tray; (9) Combinations of the above specified assemblies. Note Y: For the purposes of this Chapter, references to "high definition" as it applies to television receivers and cathode-ray tubes refers to goods having: (1) an aspect ratio of the screen equal to or greater than 16:9; and (2) a viewing screen capable of displaying more than 700 scanning lines. For the purposes of this Chapter, the video display diagonal is determined by measuring the maximum straight line dimension across the visible portion of the face plate used for displaying video. Note Z: Canadian tariff item 8529.90.a3, U.S. tariff item 8529.90.h3, Mexican tariff item 8529.90.x3 covers the following parts of television receivers: (1) Video intermediate (IF) amplifying and detecting systems; (2) Video processing and amplification systems; (3) Synchronizing and deflection circuitry; (4) Tuners and tuner control systems; (5) Audio detection and amplification systems. Note XX: For the purposes of Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.h1, Mexican tariff item 8540.91.x1, the term "front panel assembly" refers to an assembly which consists of a glass panel and a shadow mask or aperture grille, attached for ultimate use, which is suitable for incorporation into a colour cathode ray television picture tube (including video monitor cathode-ray tube), and which has undergone the necessary chemical and physical processes for imprinting phosphors on the glass panel with sufficient precision to render a video image when excited by a stream of electrons. 85.01 A change to heading 85.01 from any other heading, except from Canadian tariff item 8503.00.a1, U.S. tariff item 8503.00.h1, Mexican tariff item 8503.00.x1; or A change to heading 85.01 from Canadian tariff item 8503.00.a1, U.S. tariff item 8503.00.h1, Mexican tariff item 8503.00.x1, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.02 A change to heading 85.02 from any other heading, except from heading 84.06, 84.11, 85.01 or 85.03; or A change to heading 85.02 from any of headings 84.06, 84.11, 85.01 or 85.03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.03 A change to heading 85.03 from any other heading. 8504.10-8504.34 A change to subheadings 8504.10 through 8504.34 from any other heading; or A change to subheadings 8504.10 through 8504.34 from subheading 8504.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504.40.a1 A change to Canadian tariff item 8504.40.a1, U.S. tariff item 8504.40.h1, Mexican tariff item 8504.40.x1 from any other subheading. 8504.40.a2 A change to Canadian tariff item 8504.40.a2, U.S. tariff item 8504.40.h2, Mexican tariff item 8504.40.x2 from any other subheading, except from Canadian tariff item 8504.90.a1, U.S. tariff item 8504.40.h1, Mexican tariff item 8504.40.x1. 8504.40 A change to subheading 8504.40 from any other heading; or A change to subheadings 8504.40 from subheading 8504.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504.50 A change to subheading 8504.50 from any other heading; or A change to subheading 8504.50 from subheading 8504.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504.90 8504.90.a2 A change to Canadian tariff item 8504.90.a2, U.S. tariff item 8504.90.h2, Mexican tariff item 8504.90.x2 from any other tariff item. 8504.90 A change to subheading 8504.90 from any other heading. 8505.11-8505.30 A change to subheadings 8505.11 through 8505.30 from any other heading;or A change to subheadings 8505.11 through 8505.30 from subheading 8505.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8505.90 A change to subheading 8505.90 from any other heading. 8506.11-8506.20 A change to subheadings 8506.11 through 8506.20 from any other heading; or A change to subheadings 8506.11 through 8506.20 from subheading 8506.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8506.90 A change to subheading 8506.90 from any other heading. 8507.10-8507.80 A change to subheadings 8507.10 through 8507.80 from any other heading; or A change to subheadings 8507.10 through 8507.80 from subheading 8507.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8507.90 A change to subheading 8507.90 from any other heading. 8508.10-8508.80 A change to subheadings 8508.10 through 8508.80 from any other subheading outside that group, except from heading 85.01 or Canadian tariff item 8508.90.a1, U.S. tariff item 8508.90.h1, Mexican tariff item 8508.90.x1; or A change to subheadings 8508.10 through 8508.80 from any of heading 85.01 or Canadian tariff item 8508.90.a1, U.S. tariff item 8508.90.h1, Mexican tariff item 8508.90.x1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8508.90 A change to subheading 8508.90 from any other heading. 8509.10-8509.40 A change to subheadings 8509.10 through 8509.40 from any other subheading outside that group, except from heading 85.01 or Canadian tariff item 8509.90.a1, U.S. tariff item 8509.90.h1, Mexican tariff item 8509.90.x1; or A change to subheadings 8509.10 through 8509.40 from any of heading 85.01 or Canadian tariff item 8509.90.a1, U.S. tariff item 8509.90.h1, Mexican tariff item 8509.90.x1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8509.80 A change to subheading 8509.80 from any other heading; or A change to subheading 8509.80 from subheading 8509.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8509.90 A change to subheading 8509.90 from any other heading. 8510.10-8510.20 A change to subheadings 8510.10 through 8510.20 from any other heading; or A change to subheadings 8510.10 through 8510.20 from subheading 8510.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8510.90 A change to subheading 8510.90 from any other heading. 8511.10-8511.80 A change to subheadings 8511.10 through 8511.80 from any other heading; or A change to subheadings 8511.10 through 8511.80 from subheading 8511.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8511.90 A change to subheading 8511.90 from any other heading. 8512.10-8512.40 A change to subheadings 8512.10 through 8512.40 from any other heading; or A change to subheadings 8512.10 through 8512.40 from subheading 8512.90, whether or not there is also a change from any other heading, provided there is also a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8512.90 A change to subheading 8512.90 from any other heading. 8513.10 A change to subheading 8513.10 from any other heading; or A change to subheading 8513.10 from subheading 8513.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8513.90 A change to subheading 8513.90 from any other heading. 8514.10-8514.40 A change to subheadings 8514.10 through 8514.40 from any other heading; or A change to subheadings 8514.10 through 8514.40 from subheading 8514.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8514.90 A change to subheading 8514.90 from any other heading. 8515.11-8515.80 A change to subheadings 8515.11 through 8515.80 from any other heading; or A change to subheadings 8515.11 through 8515.80 from subheading 8515.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8515.90 A change to subheading 8515.90 from any other heading. 8516.10-8516.29 A change to subheadings 8516.10 through 8516.29 from subheading 8516.80 or any other heading; or A change to subheadings 8516.10 through 8516.29 from subheading 8516.90, whether or not there is also a change from any of subheading 8516.80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.31 A change to subheading 8516.31 from any other subheading, except from subheading 8516.80 or heading 85.01. 8516.32 A change to subheading 8516.32 from subheading 8516.80 or from any other heading; or A change to subheading 8516.32 from subheading 8516.90, whether or not there is also a change from any of subheading 8516.80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.33 A change to subheading 8516.33 from any other subheading, except from subheading 8516.80, heading 85.01 or Canadian tariff item 8516.90.a1, U.S. tariff item 8516.90.h1, Mexican tariff item 8516.90.x1. 8516.40 A change to subheading 8516.40 from any other subheading, except from heading 84.02, subheading 8481.40 or Canadian tariff item 8516.90.a2, U.S. tariff item 8516.90.h2, Mexican tariff item 8516.90.x2. 8516.50 A change to subheading 8516.50 from any other subheading, except from Canadian tariff item 8516.90.a3 or 8516.90.a4, U.S. tariff item 8516.90.h3 or 8516.90.h4, Mexican tariff item 8516.90.x3 or 8516.90.x4. 8516.60 8516.60.a1 A change to Canadian tariff item 8516.60.a1, U.S. tariff item 8516.60.h1, Mexican tariff item 8516.60.x1 from any other tariff item, except from Canadian tariff item 8516.90.a5, 8516.90.a6, 8516.90.a7 or 8537.10.a1, U.S. tariff item 8516.90.h5, 8516.90.h6, 8516.90.h7 or 8537.10.h1, Mexican tariff item 8516.90.x5, 8516.90.x6, 8516.90.x7 or 8537.10.x1. 8516.60 A change to subheading 8516.60 from any other subheading. 8516.71 A change to subheading 8516.71 from subheading 8516.80 or from any other heading; or A change to subheading 8516.71 from subheading 8516.90, whether or not there is also a change from any of subheading 8516.80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.72 A change to subheading 8516.72 from any other subheading, except from Canadian tariff item 8516.90.a8, U.S. tariff item 8516.90.h8, Mexican tariff item 8516.90.x8 or subheading 9032.10; or A change to subheading 8516.72 from any of Canadian tariff item 8516.90.a8, U.S. tariff item 8516.90.h8, Mexican tariff item 8516.90.x8 or subheading 9032.10, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.79 A change to subheading 8516.79 from subheading 8516.80 or from any other heading; or A change to subheading 8516.79 from subheading 8516.90, whether or not there is also a change from any of subheading 8516.80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.80 A change to subheading 8516.80 from any other heading; or A change to subheading 8516.80 from subheading 8516.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516.90 8516.90.a3 A change to Canadian tariff item 8516.90.a3, U.S. tariff item 8516.90.h3, Mexican tariff item 8516.90.x3 from any other tariff item. 8516.90.a4 A change to Canadian tariff item 8516.90.a4, U.S. tariff item 8516.90.h4, Mexican tariff item 8516.90.x4 from any other tariff item. 8516.90.a5 A change to Canadian tariff item 8516.90.a5, U.S. tariff item 8516.90.h5, Mexican tariff item 8516.90.x5 from any other tariff item. 8516.90.a6 A change to Canadian tariff item 8516.90.a6, U.S. tariff item 8516.90.h6, Mexican tariff item 8516.90.x6 from any other tariff item. 8516.90.a7 A change to Canadian tariff item 8516.90.a7, U.S. tariff item 8516.90.h7, Mexican tariff item 8516.90.x7 from any other tariff item. 8516.90 A change to subheading 8516.90 from any other heading. 8517.10 A change to subheading 8517.10 from any other subheading, except from Canadian tariff item 8517.90.a1, U.S. tariff item 8517.90.04, Mexican tariff item 8517.90.x1. 8517.20 A change to subheading 8517.20 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517.90.a1 or 8473.30.a1, U.S. tariff item 8517.90.04 or 8473.30.h1, Mexican tariff item 8517.90.x1 or 8473.30.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517.30 A change to subheading 8517.30 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517.90.a1 or 8473.30.a1, U.S. tariff item 8517.90.04 or 8473.30.h1, Mexican tariff item 8517.90.x1 or 8473.30.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517.40 8517.40.a2 A change to Canadian tariff item 8517.40.a2, U.S. tariff item 8517.40.h2, Mexican tariff item 8517.40.x2 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517.90.a1 or 8473.30.a1, U.S. tariff item 8517.90.04 or 8473.30.h1, Mexican tariff item 8517.90.x1 or 8473.30.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517.40 A change to subheading 8517.40 from any other subheading. 8517.81 8517.81.x1 A change to Mexican tariff item 8517.81.x1 from any other tariff item, except from Canadian tariff item 8517.90.a3, U.S. tariff item 8517.90.h3, Mexican tariff item 8517.90.x3. 8517.81 A change to subheading 8517.81 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517.90.a1 or 8473.30.a1, U.S. tariff item 8517.90.04 or 8473.30.h1, Mexican tariff item 8517.90.x1 or 8473.30.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517.82 8517.82.a2 A change to Canadian tariff item 8517.82.a2, U.S. tariff item 8517.82.h2 from any other tariff item, except from Canadian tariff item 8517.90.a3, U.S. tariff item 8517.90.h3, Mexican tariff item 8517.90.x3. 8517.82 A change to subheading 8517.82 from any other subheading. 8517.90 8517.90.a1 A change to Canadian tariff item 8517.90.a1, U.S. tariff item 8517.90.h1, Mexican tariff item 8517.90.x1 from any other tariff item, except from Canadian tariff item 8517.90.a5, U.S. tariff item 8517.90.h5, Mexican tariff item 8517.90.x5. 8517.90.a2 A change to Canadian tariff item 8517.90.a2, U.S. tariff item 8517.90.h2, Mexican tariff item 8517.90.x2 from any other tariff item, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517.90.a1 or 8473.30.a1, U.S. tariff item 8517.90.04 or 8473.30.h1, Mexican tariff item 8517.90.x1 or 8473.30.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517.90.a3 A change to Canadian tariff item 8517.90.a3, U.S. tariff item 8517.90.h3, Mexican tariff item 8517.90.x3 from any other tariff item. 8517.90.a4 A change to Canadian tariff item 8517.90.a4, U.S. tariff item 8517.90.h4, Mexican tariff item 8517.90.x4 from any other tariff item. 8517.90.a5 A change to Canadian tariff item 8517.90.a5, U.S. tariff item 8517.90.h5, Mexican tariff item 8517.90.x5 from any other tariff item. 8517.90.a6 A change to Canadian tariff item 8517.90.a6, U.S. tariff item 8517.90.h6, Mexican tariff item 8517.90.x6 from any other heading. 8517.90.a7 A change to Canadian tariff item 8517.90.a7, U.S. tariff item 8517.90.h7, Mexican tariff item 8517.90.x7 from Canadian tariff item 8517.90.a6, U.S. tariff item 8517.90.h6, Mexican tariff item 8517.90.x6 or from any other heading. 8517.90 A change to subheading 8517.90 from any other heading. 8518.10-8518.21 A change to subheadings 8518.10 through 8518.21 from any other heading; or A change to subheadings 8518.10 through 8518.21 from subheading 8518.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518.22 A change to subheading 8518.22 from any other heading; or A change to subheading 8518.22 from any of subheading 8518.29 or 8518.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518.29 A change to subheading 8518.29 from any other heading; or A change to subheading 8518.29 from subheading 8518.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518.30 8518.30.a1 A change to Canadian tariff item 8518.30.a1, U.S. tariff item 8518.30.10, Mexican tariff item 8518.30.x1 from any other tariff item. 8518.30 A change to subheading 8518.30 from any other heading; or A change to subheading 8518.30 from subheading 8518.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518.40-8518.50 A change to subheadings 8518.40 through 8518.50 from any other heading; or A change to subheadings 8518.40 through 8518.50 from subheading 8518.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518.90 A change to subheading 8518.90 from any other heading. 8519.10-8519.99 A change to subheadings 8519.10 through 8519.99 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522.90.a1, U.S. tariff item 8522.90.h1, 8522.90.x1. 8520.10-8520.90 A change to subheadings 8520.10 through 8520.90 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522.90.a1, U.S. tariff item 8522.90.h1, 8522.90.x1. 8521.10-8521.90 A change to subheadings 8521.10 through 8521.90 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522.90.a1, U.S. tariff item 8522.90.h1, 8522.90.x1. 85.22 A change to heading 85.22 from any other heading. 85.23-85.24 A change to headings 85.23 through 85.24 from any other heading, including another heading within that group. 8525.10-8525.20 A change to subheadings 8525.10 through 8525.20 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8525.30 8525.30.a1 A change to Canadian tariff item 8525.30.a1, U.S. tariff item 8525.30.h1, Mexican tariff item 8525.30.x1 from any other tariff item, except from Canadian tariff item 8525.30.a2, U.S. tariff item 8525.30.h2, Mexican tariff item 8525.30.x2. 8525.30 A change to subheading 8525.30 from any other subheading, except from Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1. 8526.10 A change to subheading 8526.10 from any other subheading, except from subheading 8525.20, Canadian tariff item 8529.90.a2, U.S. tariff item 8529.90.h2, Mexican tariff item 8529.90.x2 or from more than two of the following: o subheading 8529.10, o radar display unit, o Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1. 8526.91-8526.92 A change to subheadings 8526.91 through 8526.92 from any other heading, except from heading 85.29; or A change to subheadings 8526.91 through 8526.92 from heading 85.29, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8527.11-8527.39 A change to subheadings 8527.11 through 8527.39 from any other subheading, including another subheading within that group, except from Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1. 8527.90 A change to subheading 8527.90 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8528.10 8528.10.a1 A change to Canadian tariff item 8528.10.a1, U.S. tariff item 8528.10.h1, Mexican tariff item 8528.10.x1 from any other heading, except from Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1. 8528.10.a2 A change to Canadian tariff item 8528.10.a2, U.S. tariff item 8528.10.h2, Mexican tariff item 8528.10.x2 from any other heading, except from Canadian tariff 8540.11.a1, U.S. tariff item 8540.11.h1, Mexican tariff item 8540.11.x1. Note: Commencing on January 1, 1999, the above rule of origin for tariff item 8528.10.a2 shall be replaced by the following: 8528.10.a2 A change to Canadian tariff item 8528.10.a2, U.S. tariff item 8528.10.h2, Mexican tariff item 8528.10.x2 from any other heading, except from Canadian tariff 8540.11.a1, U.S. tariff item 8540.11.h1, Mexican tariff item 8540.11.x1 or a combination of all the specified parts of television receivers, as listed in Note Z to Chapter 85, plus a power supply. 8528.10.a3 A change to Canadian tariff item 8528.10.a3, U.S. tariff item 8528.10.h3, Mexican tariff item 8528.10.x3 from any other heading, except from Canadian tariff item 8540.12.a1, U.S. tariff item 8540.12.h1, 8540.12.x1. 8528.10.a4 A change to Canadian tariff item 8528.10.a4, U.S. tariff item 8528.10.h4, Mexican tariff item 8528.10.x4 from any other heading, except from Canadian tariff 8540.11.a2, Mexican tariff 8540.11.h2, U.S. 8540.11.x2. In addition, no more than half by unit of the semiconductors of Canadian tariff item 8542.11.a1, U.S. tariff item 8542.11.h1, Mexican tariff item 8542.11.x1 may be non-originating; or A change to Canadian tariff item 8528.10.a4, U.S. tariff item 8528.10.h4, Mexican tariff item 8528.10.x4 from any other heading, except from Canadian tariff 8540.11.a2, Mexican tariff 8540.11.h2, U.S. 8540.11.x2. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528.10.a5 A change to Canadian tariff item 8528.10.a5, U.S. tariff item 8528.10.h5, Mexican tariff item 8528.10.x5 from any other heading, except from Canadian tariff item 8540.12.a2, Mexican tariff item 8540.12.h2, U.S. tariff item 8540.12.x2. In addition, no more than half by unit of the semiconductors of Canadian tariff item 8542.11.a1, U.S. tariff item 8542.11.h1, Mexican tariff item 8542.11.x1 may be non-originating; or A change to Canadian tariff item 8528.10.a5, U.S. tariff item 8528.10.h5, Mexican tariff item 8528.10.x5 from any other heading, except from Canadian tariff item 8540.12.a2, Mexican tariff item 8540.12.h2, U.S. tariff item 8540.12.x2. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528.10.a6 A change to Canadian tariff item 8528.10.a6, U.S. tariff item 8528.10.h6, Mexican tariff item 8528.10.x6 from any other heading, except from Canadian tariff item 8529.90.a5, U.S. tariff item 8529.90.h5, Mexican tariff item 8529.90.x5. 8528.10 A change to subheading 8528.10 from any other heading, provided there is a regional value- content percentage is not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528.20 A change to subheading 8528.20 from any other heading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.10, Mexican tariff item 8529.90.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8529.10 A change to subheading 8529.10 from any other heading. 8529.90 8529.90.a1 A change to Canadian tariff item 8529.90.a1, U.S. tariff item 8529.90.h1, Mexican tariff item 8529.90.x1 from any other tariff item. 8529.90.a2 A change to Canadian tariff item 8529.90.a2, U.S. tariff item 8529.90.h2, Mexican tariff item 8529.90.x2 from any other tariff item. 8529.90.a3 A change to Canadian tariff item 8529.90.a3, U.S. tariff item 8529.90.h3, Mexican tariff item 8529.90.x3 from any other tariff item. 8529.90.a4 A change to Canadian tariff item 8529.90.a4, U.S. tariff item 8529.90.h4, Mexican tariff item 8529.90.x4 from any other tariff item. 8529.90.a5 A change to Canadian tariff item 8529.90.a5, U.S. tariff item 8529.90.h5, Mexican tariff item 8529.90.x5 from any other tariff item. 8529.90.a6 A change to Canadian tariff item 8529.90.a6, U.S. tariff item 8529.90.h6, Mexican tariff item 8529.90.x6 from any other tariff item. 8529.90.a7 A change to Canadian tariff item 8529.90.a7, U.S. tariff item 8529.90.h7, Mexican tariff item 8529.90.x7 from any other heading; or A change to Canadian tariff item 8529.90.a7, U.S. tariff item 8529.90.h7, Mexican tariff item 8529.90.x7 from within Canadian tariff item 8529.90.a7, U.S. tariff item 8529.90.h7, Mexican tariff item 8529.90.x7, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8529.90 A change to subheading 8529.90 from any other heading. 8530.10-8530.80 A change to subheadings 8530.10 through 8530.80 from any other heading; or A change to subheadings 8530.10 through 8530.80 from subheading 8530.90, whether or not there is also a change from any other heading, provided there is a regional value content not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8530.90 A change to subheading 8530.90 from any other heading. 8531.10 A change to subheading 8531.10 from any other subheading, except from Canadian tariff item 8531.90.a1, U.S. tariff item 8531.90.h1, Mexican tariff item 8531.90.x3. 8531.20 A change to subheading 8531.20 from any other heading; or A change to subheading 8531.20 from subheading 8531.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8531.80 8531.80.h1 A change to U.S. tariff item 8531.80.h1 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8531.90.a1, U.S. tariff item 8531.90.h1, Mexican tariff item 8531.90.x1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8531.80 A change to subheading 8531.80 from any other heading; or A change to subheading 8531.80 from subheading 8531.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8531.90 A change to subheading 8531.90 from any other heading. 8532.10 A change to subheading 8532.10 from any other heading; or A change to subheading 8532.10 from subheading 8532.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8532.21-8532.30 A change to subheadings 8532.21 through 8532.30 from any other subheading, including another subheading within that group. 8532.90 A change to subheading 8532.90 from any other heading. 8533.10-8533.39 A change to subheadings 8533.10 through 8533.39 from any other subheading, including another subheading within that group. 8533.40 A change to subheading 8533.40 from any other subheading, except from Canadian tariff item 8533.90.a1, U.S. tariff item 8533.90.h1, Mexican tariff item 8533.90.x1. 8533.90 A change to subheading 8533.90 from any other heading. 85.34 A change to heading 85.34 from any other heading. 85.35 8535.90.a1 A change to Canadian tariff item 8535.90.a1, U.S. tariff item 8535.90.h1, Mexican tariff item 8535.90.x1 from any other tariff item, except from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1; or A change to Canadian tariff item 8535.90.a1, U.S. tariff item 8535.90.h1, Mexican tariff item 8535.90.x1 from Canadian tariff item 8535.90.a1, U.S. tariff item 8535.90.h1, Mexican tariff item 8538.90.x1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.35 A change to heading 85.35 from any other heading, except from Canadian tariff item 8538.90.a2 or 8538.90.a3, U.S. tariff item 8538.90.h2 or 8538.90.h3, Mexican tariff item 8538.90.x2 or 8538.90.x3; or A change to heading 85.35 from any of Canadian tariff items 8538.90.a2 or 8538.90.a3, U.S. tariff items 8538.90.h2 or 8538.90.h3, Mexican tariff items 8538.90.x2 or 8538.90.x3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.36 8536.30.a1 A change to Canadian tariff item 8536.30.a1, U.S. tariff item 8536.30.h1, Mexican tariff item 8536.30.x1 from any other tariff item, except from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1; or A change to Canadian tariff item 8536.30.a1, U.S. tariff item 8536.30.h1, Mexican tariff item 8536.30.x1 from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8536.50.a1 A change to Canadian tariff item 8536.50.a1, U.S. tariff item 8536.50.h1, Mexican tariff item 8536.50.x1 from any other tariff item, except from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1; or A change to Canadian tariff item 8536.50.a1, U.S. tariff item 8536.50.h1, Mexican tariff item 8536.50.x1 from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8536.90.x1 A change to Mexican tariff item 8536.90.x1 from any other tariff item, except from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1; or A change to Mexican tariff item 8536.90.x1 from Canadian tariff item 8538.90.a1, U.S. tariff item 8538.90.h1, Mexican tariff item 8538.90.x1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.36 A change to heading 85.36 from any other heading, except from Canadian tariff item 8538.90.a2 or 8538.90.a3, U.S. tariff item 8538.90.h2 or 8538.90.h3, Mexican tariff item 8538.90.x2 or 8538.90.x3; or A change to heading 85.36 from any of Canadian tariff items 8538.90.a2 or 8538.90.a3, U.S. tariff items 8538.90.h2 or 8538.90.h3, Mexican tariff items 8538.90.x2 or 8538.90.x3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.37 A change to heading 85.37 from any other heading, except from Canadian tariff item 8538.90.a2 or 8538.90.a3, U.S. tariff item 8538.90.h2 or 8538.90.h3, Mexican tariff item 8538.90.x2 or 8538.90.x3; or A change to heading 85.37 from any of Canadian tariff items 8538.90.a2 or 8538.90.a3, U.S. tariff items 8538.90.h2 or 8538.90.h3, Mexican tariff items 8538.90.x2 or 8538.90.x3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.38 A change to heading 85.38 from any other heading. 8539.10-8539.40 A change to subheadings 8539.10 through 8539.40 from any other heading; or A change to subheadings 8539.10 through 8539.40 from subheading 8539.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8539.90 A change to subheading 8539.90 from any other heading. 8540.11 8540.11.a1 A change to Canadian tariff item 8540.11.a1, U.S. tariff item 8540.11.h1, Mexican tariff item 8540.11.x1 from any other subheading, except from more than one of the following: o Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.11, Mexican tariff item 8540.91.x1 o Canadian tariff item 7011.20.a1, U.S. tariff item 7011.20.11, Mexican tariff item 7011.20.x1. 8540.11.a2 A change to Canadian tariff item 8540.11.a2, U.S. tariff item 8540.11.h2, Mexican tariff item 8540.11.x2 from any other subheading, except from Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.h1, Mexican tariff item 8540.91.x1. 8540.11 A change to subheading 8540.11 from any other heading; or A change to subheading 8540.11 from subheading 8540.91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540.12 8540.12.a1 A change to Canadian tariff item 8540.12.a1, U.S. tariff item 8540.12.h1, Mexican tariff item 8540.12.x1 from any other subheading, except from more than one of the following: o Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.11, Mexican tariff item 8540.91.x1, o Canadian tariff item 7011.21.a1, U.S. tariff item 7011.21.11, Mexican tariff item 7011.21.x1. 8540.12.a2 A change to Canadian tariff item 8540.12.a2, U.S. tariff item 8540.12.h2, Mexican tariff item 8540.12.x2 from any other subheading, except from Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.h1, Mexican tariff item 8540.91.x1. 8540.12 A change to subheading 8540.12 from any other heading; or A change to subheading 8540.12 from subheading 8540.91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540.20 A change to subheading 8540.20 from any other heading; or A change to subheading 8540.20 from any of subheadings 8540.91 through 8540.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540.30 A change to subheading 8540.30 from any other subheading, except from Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.h1, Mexican tariff item 8540.91.x1. 8540.41-8540.49 A change to subheadings 8540.41 through 8540.49 from any other subheading outside of that group, except from Canadian tariff item 8540.99.a1, U.S. tariff item 8540.99.h1, Mexican tariff item 8540.99.x1. 8540.81-8540.89 A change to subheadings 8540.81 through 8540.89 from any other subheading, including another subheading within that group. 8540.91 8540.91.a1 A change to Canadian tariff item 8540.91.a1, U.S. tariff item 8540.91.11, Mexican tariff item 8540.91.x1 from any other tariff item. 8540.91 A change to subheading 8540.91 from any other heading. 8540.99 8540.99.a1 A change to Canadian tariff item 8540.99.a1, U.S. tariff item 8540.99.h1, Mexican tariff item 8540.99.x1 from any other tariff item. 8540.99 A change to subheading 8540.99 from any other heading. 85.41-85.42 Note: Notwithstanding Article 410 (Transshipment), goods qualifying under the rule below as originating goods may undergo further production outside the territory of the Parties and, when imported into the territory of a Party, will originate in the territory of a Party, provided that such further production did not result in a change to a subheading outside of headings 85.41 and 85.42. A change to subheadings 8541.10 through 8542.90 from any other subheading, including another subheading within that group. 8543.10-8543.30 A change to subheadings 8543.10 through 8543.30 from any other heading; or A change to subheadings 8543.10 through 8543.30 from subheading 8543.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543.80 8543.80.a1 A change to Canadian tariff item 8543.80.a1, U.S. tariff item 8543.80.h1, Mexican tariff item 8543.80.x1 from any other subheading, except from subheading 8504.40 or Canadian tariff item 8543.90.a1, U.S. tariff item 8543.90.h1, Mexican tariff item 8543.90.x1; or A change to Canadian tariff item 8543.80.a1, U.S. tariff item 8543.80.h1, Mexican tariff item 8543.80.x1 from any of subheading 8504.40 or Canadian tariff item 8543.90.a1, U.S. tariff item 8543.90.h1, Mexican tariff item 8543.90.x1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543.80 A change to subheading 8543.80 from any other heading; or A change to subheading 8543.80 from subheading 8543.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543.90 A change to subheading 8543.90 from any other heading. 8544.11-8544.60 A change to subheadings 8544.11 through 8544.60 from any other subheading, except from heading 74.08, 74.13, 76.05 or 76.14; or A change to subheadings 8544.11 through 8544.60 from any of headings 74.08, 74.13, 76.05 or 76.14, whether or not there is also a change from any other subheading, provided there is also a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8544.70 A change to subheading 8544.70 from any other subheading, except from heading 90.01 or 70.02; or A change to subheading 8544.70 from any of headings 90.01 or 70.02, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85.45-85.48 A change to headings 85.45 through 85.48 from any other heading, including another heading within that group. Annex 00 SECTION XVII Vehicles, Aircraft, Vessels and Associated Transport Equipment (Ch. 86-89) Chapter 86 Railway or Tramway Locomotives, Rolling- Stock and Parts Thereof; Railway or Tramway Track Fixtures and Fittings and Parts Thereof; Mechanical (Including Electro-Mechanical) Traffic Signalling Equipment of all Kinds 86.01-86.06 A change to headings 86.01 through 86.06 from any other heading, including another heading within that group, except from heading 86.07; or A change to headings 86.01 through 86.06 from heading 86.07, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607.11-8607.12 A change to subheadings 8607.11 through 8607.12 from any other heading. 8607.19 8607.19.11 A change to Canadian tariff item 8607.19.11, U.S. tariff item 8607.19.12, Mexican tariff item 8607.19.02 or 8607.19.06 from any other heading; or A change to Canadian tariff item 8607.19.11, U.S. tariff item 8607.19.12, Mexican tariff item 8607.19.02 or 8607.19.06 from Canadian tariff item 8607.19.14, U.S. tariff item 8607.19.16, Mexican tariff item 8607.19.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607.19.12 A change to Canadian tariff item 8607.19.12, U.S. tariff item 8607.19.22, Mexican tariff item 8607.19.03 from any other heading; or A change to Canadian tariff item 8607.19.12, U.S. tariff item 8607.19.22, Mexican tariff item 8607.19.03 from Canadian tariff item 8607.19.14, U.S. tariff item 8607.19.26, Mexican tariff item 8607.19.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607.19 A change to subheading 8607.19 from any other heading. 8607.21-8607.30 A change to subheadings 8607.21 through 8607.30 from any other heading. 8607.91-8607.99 A change to subheadings 8607.91 through 8607.99 from any other heading. 86.08-86.09 A change to headings 86.08 through 86.09 from any other heading, including another heading within that group. Chapter 87 Vehicles Other Than Railway or Tramway Rolling-Stock, and Parts and Accessories Thereof 87.01 A change to heading 87.01 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87.02 8702.10.a1 A change to tariff item 8702.10.a1 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702.10.a2 A change to tariff item 8702.10.a2 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702.90.a1 A change to tariff item 8702.90.a1 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702.90.a2 A change to tariff item 8702.90.a2 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8703.10 A change to subheading 8703.10 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8703.21-8703.90 A change to subheadings 8703.21 through 8703.90 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704.10 A change to subheading 8704.10 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704.21 A change to subheading 8704.21 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704.22-8407.23 A change to subheadings 8704.22 through 8704.23 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704.31 A change to subheading 8704.31 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704.32-8407.90 A change to subheadings 8704.32 through 8704.90 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87.05 A change to heading 87.05 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87.06 8706.00.a1 A change to subheading 8706.00.a1 from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 8706.00.a2 A change to subheading 8706.00.a2 from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 87.07 A change to heading 87.07 from any other chapter; or A change to heading 87.07 from heading 87.08, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 8708.10 A change to subheading 8708.10 from any other heading; or A change to subheading 8707.10 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.21 A change to subheading 8708.21 from any other heading; or A change to subheading 8708.21 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.29 A change to subheading 8708.29 from any other heading; or A change to subheading 8708.29 from within subheading 8708.29 or from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.31 A change to subheading 8708.31 from any other heading; or A change to subheading 8708.31 from any of subheadings 8708.39 or 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.39 A change to subheading 8708.39 from any other heading; or A change to subheading 8708.39 from any of subheadings 8708.31 or 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.40 A change to subheading 8708.40 from any other heading; or A change to subheading 8708.40 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.50 8708.50.a1 A change to Canadian tariff item 8708.50.a1, U.S. tariff item 8708.50.50, Mexican tariff item 8708.50.x1 from any other heading, except from subheadings 8482.10 through 8482.80; or A change to Canadian tariff item 8708.50.a1, U.S. tariff item 8708.50.50, Mexican tariff item 8708.50.x1 from any of subheadings 8482.10 through 8482.80 or 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.50 A change to subheading 8708.50 from any other heading; or A change to subheading 8708.50 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.60 8708.60.a1 A change to Canadian tariff item 8708.60.a1, U.S. tariff item 8708.60.h1, Mexican tariff item 8708.60.x1 from any other heading, except from subheadings 8482.10 through 8482.80; or A change to Canadian tariff item 8708.60.a1, U.S. tariff item 8708.60.h1, Mexican tariff item 8708.60.x1 from any of subheadings 8482.10 through 8482.80 or 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.60 A change to subheading 8708.60 from any other heading; or A change to subheading 8708.60 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.70 A change to subheading 8708.70 from any other heading; or A change to subheading 8708.70 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.80 8708.80.a1 A change to Canadian tariff item 8708.80.a1, U.S. tariff item 8708.80.h1, Mexican tariff item 8708.80.x1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 8708.80 A change to subheading 8708.80 from any other heading; or A change to subheading 8708.80 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% of the net cost method. 8708.91 A change to subheading 8708.91 from any other heading; or A change to subheading 8708.91 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% of the net cost method. 8708.92 A change to subheading 8708.92 from any other heading; or A change to subheading 8708.92 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.93 A change to subheading 8708.93 from any other heading; or A change to subheading 8708.93 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.94 A change to subheading 8708.94 from any other heading; or A change to subheading 8708.94 from subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.99 8708.99.a1 A change to Canadian tariff item 8708.99.a1, U.S. tariff item 8708.99.40, Mexican tariff item 8708.99.x1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 8708.99.a2 A change to Canadian tariff item 8708.99.a2, U.S. tariff item 8708.99.h2, Mexican tariff item 8708.99.x2 from any other heading, except from subheadings 8482.10 through 8482.80 or Canadian tariff item 8482.99.a1, U.S. tariff item 8482.99.h1, Mexican tariff item 8482.99.x1; or A change to Canadian tariff item 8708.99.a2, U.S. tariff item 8708.99.h2, Mexican tariff item 8708.99.x2 from any other tariff item, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708.99 A change to subheading 8708.99 from any other heading; or A change to subheading 8708.99 from within subheading 8708.99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8709.11-8709.19 A change to subheadings 8709.11 through 8709.29 from any other heading; or A change to subheadings 8709.11 through 8709.19 from subheading 8709.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8709.90 A change to subheading 8709.90 from any other heading. 87.10 A change to heading 87.10 from any other heading. 87.11 A change to heading 87.11 from any other heading, except from heading 87.14; or A change to heading 87.11 from heading 87.14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87.12 A change to heading 87.12 from any other heading, except from heading 87.14; or A change to heading 87.12 from heading 87.14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87.13 A change to heading 87.13 from any other heading, except from heading 87.14; or A change to heading 87.13 from heading 87.14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87.14 A change to heading 87.14 from any other heading. 87.15 A change to heading 87.15 from any other heading. 8716.10-8716.80 A change to subheadings 8716.10 through 8716.80 from any other heading; or A change to subheadings 8716.10 through 8716.80 from subheading 8716.90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8716.90 A change to subheading 8716.90 from any other heading. Chapter 88 Aircraft, Spacecraft, and Parts Thereof 8801.10-8803.90 A change to subheadings 8801.10 through 8803.90 from any other subheading, including another subheading within that group. 88.04-88.05 A change to headings 88.04 through 88.05 from any other heading, including another heading within that group. Chapter 89 Ships, Boats and Floating Structures 89.01-89.02 A change to headings 89.01 through 89.02 from any other chapter; or A change to headings 89.01 through 89.02 from any other heading within Chapter 89, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89.03 A change to heading 89.03 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89.04-89.05 A change to headings 89.04 through 89.05 from any other chapter; or A change to headings 89.04 through 89.05 from any other heading within Chapter 89, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89.06-89.08 A change to headings 89.06 through 89.08 from any other heading, including another heading within that group. Annex 00 SECTION XVIII Optical, Photographic, Cinematographic, Measuring, Checking, Precision, Medical or Surgical Instruments and Apparatus; Clocks and Watches; Musical Instruments; Parts and Accessories Thereof (Ch. 90-92) Chapter 90 Optical, Photographic, Cinematographic, Measuring, Checking, Precision, Medical or Surgical Instruments and Apparatus; Parts and Accessories Thereof Note 1: For purposes of this Chapter, the term, "printed circuit assembly", means a printed circuit of heading 85.34 with one or more active elements assembled thereon, with or without passive elements. For purposes of this Note, "active elements" means diodes, transistors and other semiconductor devices, whether or not photosensitive, of heading 85.41, and integrated circuits and microassemblies of heading 85.42. Note 2: The origin of the goods of Chapter 90 shall be determined without regard to the origin of any automatic data processing machines or units thereof of heading 84.71, or parts and accessories thereof of heading 84.73, which may be included therewith. Note X: Canadian tariff item 9009.90.a1, U.S. tariff item 9009.90.h1, Mexican tariff item 9009.90.x1 covers the following parts of photo-copying apparatus: (1) Imaging assemblies for the machines of subheading 9009.12, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle unit; developer distribution unit; charge/discharge unit; cleaning unit; (2) Optics assemblies for machines of subheading 9009.12, incorporating at least two of the following: lens; mirror; illumination source; document exposure glass; (3) User control assemblies for machines of subheading 9009.12, incorporating at least two of the following: printed circuit assembly; power supply; user input keyboard; wiring harness; display unit (cathode ray type or flat panel); (4) Image fixing assemblies for machines of subheading 9009.12, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; and (5) Combinations of the above specified assemblies. 9001.10 A change to subheading 9001.10 from any other chapter, except from heading 70.02; or A change to subheading 9001.10 from heading 70.02, whether or not there is also a change from any other chapter, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9001.20-9002.90 A change to subheadings 9001.20 through 9002.90 from any other heading, including another heading within that group. 9003.11-9003.19 A change to subheadings 9003.11 through 9003.19 from any other heading; or A change to subheadings 9003.11 through 9003.19 from subheading 9003.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9003.90 A change to subheading 9003.90 from any other heading. 90.04 A change to heading 90.04 from any other chapter; or A change to heading 90.04 from within Chapter 90, whether or not there is also a change from any other chapter, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9005.10-9005.80 A change to subheadings 9005.10 through 9005.80 from any other subheading, except from headings 90.01 through 90.02. 9005.90 A change to subheading 9005.90 from any other heading. 9006.10-9006.69 A change to subheadings 9006.10 through 9006.69 from any other heading; or A change to subheadings 9006.10 through 9006.69 from any of subheadings 9006.91 or 9006.99, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9006.91-9006.99 A change to subheadings 9006.91 through 9006.99 from any other heading. 9007.11 A change to subheading 9007.11 from any other heading; or A change to subheading 9007.11 from subheading 9007.91, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007.19 9007.19.a1 A change to Canadian tariff item 9007.19.a1, U.S. tariff item 9007.19.h1, Mexican tariff item 9007.19.x1 from any other tariff item. 9007.19 A change to subheading 9007.19 from any other heading; or A change to subheading 9007.19 from subheading 9007.91, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007.21-9007.29 A change to subheadings 9007.21 through 9007.29 from any other heading; or A change to subheadings 9007.21 through 9007.29 from subheading 9007.92, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007.91 A change to subheading 9007.91 from any other heading. 9007.92 A change to subheading 9007.92 from any other heading; or A change to subheading 9007.92 from within subheading 9007.92, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9008.10-9008.40 A change to subheadings 9008.10 through 9008.40 from any other heading; or A change to subheadings 9008.10 through 9008.40 from subheading 9008.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9008.90 A change to subheading 9008.90 from any other heading. 9009.11 A change to subheading 9009.11 from any other subheading. 9009.12 A change to subheading 9009.12 from any other tariff item, except from Canadian tariff item 9009.90.a1. 9009.21-9009.30 A change to subheadings 9009.21 through 9009.30 from any other subheading, including another subheading within that group. 9009.90 9009.90.a1 A change to Canadian tariff item 9009.90.a1, U.S. tariff item 9009.90.h1, Mexican tariff item 9009.90.x1 from Canadian tariff item 9009.90.a2, U.S. tariff item 9009.90.h2, Mexican tariff item 9009.90.x2 or from any other heading, provided that at least one of the components of such assembly named in the Legal Note is originating. 9009.90 A change to subheading 9009.90 from any other heading. 9010.10-9010.30 A change to subheadings 9010.10 through 9010.30 from any other heading; or A change to subheadings 9010.10 through 9010.30 from subheading 9010.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9010.90 A change to subheading 9010.90 from any other heading. 9011.10-9011.80 A change to subheadings 9011.10 through 9011.80 from any other heading; or A change to subheadings 9011.10 through 9011.80 from subheading 9011.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9011.90 A change to subheading 9011.90 from any other heading. 9012.10 A change to subheading 9012.10 from any other heading; or A change to subheading 9012.10 from subheading 9012.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9012.90 A change to subheading 9012.90 from any other heading. 9013.10-9013.80 A change to subheadings 9013.10 through 9013.80 from any other heading; or A change to subheadings 9013.10 through 9013.80 from subheading 9013.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9013.90 A change to subheading 9013.90 from any other heading. 9014.10-9014.80 A change to subheadings 9014.10 through 9014.80 from any other heading; or A change to subheadings 9014.10 through 9014.80 from subheading 9014.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9014.90 A change to subheading 9014.90 from any other heading. 9015.10-9015.80 A change to subheadings 9015.10 through 9015.80 from any other heading; or A change to subheadings 9015.10 through 9015.80 from subheading 9015.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9015.90 A change to subheading 9015.90 from any other heading; or A change to subheading 9015.90 from within subheading 9015.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 90.16 A change to heading 90.16 from any other heading. 9017.10-9017.80 A change to subheadings 9017.10 through 9017.80 from any other heading; or A change to subheadings 9017.10 through 9017.80 from subheading 9017.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9017.90 A change to subheading 9017.90 from any other heading. 9018.11 9018.11.a1 A change to Canadian tariff item 9018.11.a1, U.S. tariff item 9018.11.h1, Mexican tariff item 9018.11.x1 from any other tariff item, except from Canadian tariff item 9018.11.a2, U.S tariff item 9018.11 h2, Mexican tariff item 9018.11.x2. 9018.11 A change to subheading 9018.11 from any other heading. 9018.19 9018.19.a1 A change to Canadian tariff item 9018.19.a1, U.S. tariff item 9018.19.h1, Mexican tariff item 9018.19.x1 from any other tariff item, except from Canadian tariff item 9018.19.a2, U.S tariff item 9018.19.h2, Mexican tariff item 9018.19.x2. . 9018.19 A change to subheading 9018.19 from any other heading. 9018.20-9018.50 A change to subheadings 9018.20 through 9018.50 from any other heading. 9018.90 9018.90.a1 A change to Canadian tariff item 9018.90.a1, U.S. tariff item 9018.90.h1, Mexican tariff item 9018.90.x1 from any other tariff item, except from Canadian tariff item 9018.90.a2, U.S tariff item 9018.90.h2, Mexican tariff item 9018.90.x2. 9018.90 A change to subheading 9018.90 from any other heading. 90.19-90.21 A change to headings 90.19 through 90.21 from any other heading. 9022.11 A change to subheading 9022.11 from any other subheading, except from Canadian tariff item 9022.90.a1, U.S. tariff item 9022.90.h1, Mexican tariff item 9022.90.x1. 9022.19 A change to subheading 9022.19 from any other subheading, except from subheading 9022.30 or 9022.90.a1, U.S. tariff item 9022.90.h1, Mexican tariff item 9022.90.x1. 9022.21 A change to subheading 9022.21 from any other subheading, except from Canadian tariff item 9022.90.a2, U.S. tariff item 9022.90.h2, Mexican tariff item 9022.90.x2. 9022.29-9022.30 A change to subheadings 9022.29 through 9022.30 from any other heading; or A change to subheadings 9022.29 through 9022.30 from subheading 9022.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9022.90 9022.90.a1 A change to Canadian tariff item 9022.90.a1, U.S. tariff item 9022.90.h1, Mexican tariff item 9022.90.x1 from any other tariff item. 9022.90 A change to subheading 9022.90 from any other heading; or A change to subheading 9022.90 from within subheading 9022.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 90.23 A change to heading 90.23 from any other heading. 9024.10-9024.80 A change to subheadings 9024.10 through 9024.80 from any other heading; or A change to subheadings 9024.10 through 9024.80 from subheading 9024.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9024.90 A change to subheading 9024.90 from any other heading. 9025.11-9025.80 A change to subheadings 9025.11 through 9025.80 from any other heading; or A change to subheadings 9025.11 through 9025.80 from subheading 9025.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9025.90 A change to subheading 9025.90 from any other heading. 9026.10-9026.80 A change to subheadings 9026.10 through 9026.80 from any other heading; or A change to subheadings 9026.10 through 9026.80 from subheading 9026.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9026.90 A change to subheading 9026.90 from any other heading. 9027.10-9027.50 A change to subheadings 9027.10 through 9027.50 from any other heading; or A change to subheadings 9027.10 through 9027.50 from subheading 9027.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9027.80 9027.80.a1 A change to Canadian tariff item 9027.80.a1, U.S. tariff item 9027.80.h1, Mexican tariff item 9027.80.x1 from any other subheading, except from subheading 8505.19 or Canadian tariff item 9027.90.a1, U.S. tariff item 9027.90.h1, Mexican tariff item 9027.90.x1. 9027.80 A change to subheading 9027.80 from any other heading; or A change to subheading 9027.80 from subheading 9027.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9027.90 A change to subheading 9027.90 from any other heading. 9028.10-9028.30 A change to subheadings 9028.10 through 9028.30 from any other heading; or A change to subheadings 9028.10 through 9028.30 from subheading 9028.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9028.90 A change to subheading 9028.90 from any other heading. 9029.10-9029.20 A change to subheadings 9029.10 through 9029.20 from any other heading; or A change to subheadings 9029.10 through 9029.20 from subheading 9029.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9029.90 A change to subheading 9029.90 from any other heading. 9030.10 A change to subheading 9030.10 from any other heading; or A change to subheading 9030.10 from subheading 9030.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9030.20-9030.39 A change to subheadings 9030.20 through 9030.39 from any other subheading, including another subheading within that group, except from Canadian tariff item 9030.90.a1, U.S. tariff item 9030.90.h1, Mexican tariff item 9030.90.x1. 9030.40-9030.89 A change to subheadings 9030.40 through 9030.89 from any other heading; or A change to subheadings 9030.40 through 9030.89 from subheading 9030.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9030.90 A change to subheading 9030.90 from any other heading. 9031.10-9031.40 A change to subheadings 9031.10 through 9031.40 from any other heading; or A change to subheadings 9031.10 through 9031.40 from subheading 9031.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9031.80 9031.80.a1 A change to Canadian tariff item 9031.80.a1, U.S. tariff item 9031.80.h1, Mexican tariff item 9031.80.x1 from any other tariff item, except from subheading 8537.10 or Canadian tariff item 9031.90.a1, U.S. tariff item 9031.90.h1, Mexican tariff item 9031.90.x1. 9031.80 A change to subheading 9031.80 from any other heading; or A change to subheading 9031.80 from subheading 9031.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9031.90 A change to subheading 9031.90 from any other heading. 9032.10-9032.89 A change to subheadings 9032.10 through 9032.89 from any other heading; or A change to subheadings 9032.10 through 9032.89 from subheading 9032.90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9032.90 A change to subheading 9032.90 from any other heading. 90.33 A change to heading 90.33 from any other heading. Chapter 91 Clocks and Watches and Parts Thereof 91.01-91.07 A change to headings 91.01 through 91.07 from any other chapter; or A change to headings 91.01 through 91.07 from heading 91.14, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 91.08-91.13 A change to headings 91.08 through 91.13 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 91.14 A change to heading 91.14 from any other heading. Chapter 92 Musical Instruments; Parts and Accessories of Such Articles 92.01-92.08 A change to headings 92.01 through 92.08 from any other chapter; or A change to headings 92.01 through 92.08 from heading 92.09, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 92.09 A change to heading 92.09 from any other heading. Annex 00 SECTION XX Miscellaneous Manufactured Articles (Ch. 94-96) Chapter 94 Furniture; Bedding, Mattresses, Mattress Supports, Cushions and Similar Stuffed Furnishings; Lamps and Lighting Fittings, Not Elsewhere Specified or Included; Illuminated Signs, Illuminated Name-Plates and the Like; Prefabricated Buildings 94.01 A change to heading 94.01 from any other chapter; or A change to heading 94.01 from subheading 9401.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 94.02 A change to heading 94.02 from any other chapter. 9403.10-9403.80 A change to subheadings 9403.10 through 9403.80 from any other chapter; or A change to subheadings 9403.10 through 9403.80 from subheading 9403.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9403.90 A change to subheading 9403.90 from any other heading. 9404.10-9404.30 A change to subheadings 9404.10 through 9404.30 from any other chapter. 9404.90 A change to subheading 9404.90 from any other chapter, except from headings 50.07, 51.11 through 51.13, 52.08 through 52.12, 53.09 through 53.11, 54.07 through 54.08 or 55.12 through 55.16. 9405.10-9405.60 A change to subheadings 9405.10 through 9405.60 from any other chapter; or A change to subheadings 9405.10 through 9405.60 from any of subheadings 9405.91 through 9405.99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9405.91-9405.99 A change to subheadings 9405.91 through 9405.99 from any other heading. 94.06 A change to heading 94.06 from any other chapter. Chapter 95 Toys, Games and Sports Requisites; Parts and Accessories Thereof 95.01 A change to heading 95.01 from any other chapter. 9502.10 A change to subheading 9502.10 from any other chapter; or A change to subheading 9502.10 from any of subheadings 9502.91 through 9502.99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9502.91-9502.99 A change to subheadings 9502.91 through 9502.99 from any other heading. 95.03-95.05 A change to headings 95.03 through 95.05 from any other chapter. 9506.11-9506.29 A change to subheadings 9506.11 through 9506.29 from any other chapter. 9506.31 A change to subheading 9506.31 from any other chapter; or A change to subheading 9506.31 from subheading 9506.39, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9506.32 A change to subheading 9506.32 from any other chapter. 9506.39 9506.39.x1 A change to Mexican tariff item 9506.39.x1 from any other chapter; or A change to Mexican tariff item 9506.39.x1 from any other tariff item, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9506.39 A change to subheading 9506.39 from any other chapter. 9506.40-9506.99 A change to subheadings 9506.40 through 9506.99 from any other chapter. 95.07-95.08 A change to headings 95.07 through 95.08 from any other chapter. Chapter 96 Miscellaneous Manufactured Articles 96.01-96.05 A change to headings 96.01 through 96.05 from any other chapter. 9606.10 A change to subheading 9606.10 from any other chapter. 9606.21-9606.29 A change to subheadings 9606.21 through 9606.29 from any other chapter; or A change to subheadings 9606.21 through 9606.29 from subheading 9606.30, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9606.30 A change to subheading 9606.30 from any other heading. 9607.11-9607.19 A change to subheadings 9607.11 through 9607.19 from any other chapter; or A change to subheadings 9607.11 through 9607.19 from subheading 9607.20, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9607.20 A change to subheading 9607.20 from any other heading. 9608.10-9608.50 A change to subheadings 9608.10 through 9608.50 from any other chapter; or A change to subheadings 9608.10 through 9608.50 from any of subheadings 9608.91 through 9608.99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9608.60-9608.99 A change to subheadings 9608.50 through 9608.99 from any other heading. 96.09-96.12 A change to headings 96.09 through 96.12 from any other chapter. 9613.10-9613.80 A change to subheadings 9613.10 through 9613.80 from any other chapter; or A change to subheadings 9613.10 through 9613.80 from subheading 9613.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9613.90 A change to subheading 9613.90 from any other heading. 9614.10 A change to subheading 9614.10 from any other chapter. 9614.20 A change to subheading 9614.20 from any other subheading, except from subheading 9614.90. 9614.90 A change to subheading 9614.90 from any other heading. 9615.11-9615.19 A change to subheadings 9615.11 through 9615.19 from any other chapter; or A change to subheadings 9615.11 through 9615.19 from subheading 9615.90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9615.90 A change to subheading 9615.90 from any other heading. 96.16-96.18 A change to headings 96.16 through 96.18 from any other chapter. Annex 00 SECTION XXI Works of Art, Collectors' Pieces and Antiques (Ch. 97) Chapter 97 Works of Art, Collectors' Pieces and Antiques 97.01-97.06 A change to headings 97.01 through 97.06 from any other chapter. Annex 00B SECTION II Vegetable Products (Ch. 6-14) Note: Agricultural and horticultural goods grown in the territory of a Party shall be treated as originating in the territory of that Party even if grown from seed or bulbs imported from a country not a Party to this Agreement. Chapter 6 Live Trees and Other Plants; Bulbs, Roots and the Like; Cut Flowers and Ornamental Foliage 06.01-06.04 A change to headings 06.01 through 06.04 from any other chapter. Chapter 7 Edible Vegetables and Certain Roots and Tubers 07.01-07.14 A change to headings 07.01 through 07.14 from any other chapter. Chapter 8 Edible Fruit and Nuts; Peel of Citrus Fruit or Melons 08.01-08.14 A change to headings 08.01 through 08.14 from any other chapter. Chapter 9 Coffee, Tea, Mat and Spices 09.01-09.10 A change to headings 09.01 through 09.10 from any other chapter. Chapter 10 Cereals 10.01-10.08 A change to headings 10.01 through 10.08 from any other chapter. Chapter 11 Products of the Milling Industry; Malt; Starches; Insulin; Wheat Gluten 11.01-11.09 A change to headings 11.01 through 11.09 from any other chapter. Chapter 12 Oil Seeds and Oleaginous Fruits; Miscellaneous Grains, Seeds and Fruit; Industrial or Medicinal Plants; Straw and Fodder 12.01-12.14 A change to headings 12.01 through 12.14 from any other chapter. Chapter 13 Lac; Gums, Resins and Other Vegetable Saps and Extracts 13.01-13.02 A change to headings 13.01 through 13.02 from any other chapter. Chapter 14 Vegetable Plaiting Materials; Vegetable Products Not Elsewhere Specified or Included 14.01-14.04 A change to headings 14.01 through 14.04 from any other chapter. Annex 00a SECTION I Live Animals; Animal Products (Ch. 1-5) Chapter 1 Live Animals 01.01-01.06 A change to headings 01.01 through 01.06 from any other chapter. Chapter 2 Meat and Edible Meat Offal 02.01-02.10 A change to headings 02.01 through 02.10 from any other chapter. Chapter 3 Fish and Crustaceans, Molluscs and Other Aquatic Invertebrates 03.01-03.07 A change to headings 03.01 through 03.07 from any other chapter. Chapter 4 Dairy Produce; Birds' Eggs; Natural Honey; Edible Products of Animal Origin, Not Elsewhere Specified or Included 04.01-04.10 A change to headings 04.01 through 04.10 from any other chapter, except from Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03. Chapter 5 Products of Animal Origin, Not Elsewhere Specified or Included 05.01-05.11 A change to headings 05.01 through 05.11 from any other chapter. Annex 01 SECTION IV Prepared Foodstuffs; Beverages, Spirits, and Vinegar; Tobacco and Manufactured Tobacco Substitutes (Ch. 16-24) Chapter 16 Preparations of Meat, of Fish or of Crustaceans, Molluscs or Other Aquatic Invertebrates 16.01-16.05 A change to headings 16.01 through 16.05 from any other chapter. Chapter 17 Sugars and Sugar Confectionery 17.01-17.03 A change to headings 17.01 through 17.03 from any other chapter. 17.04 A change to heading 17.04 from any other heading. Chapter 18 Cocoa and Cocoa Preparations 18.01-18.05 A change to headings 18.01 through 18.05 from any other chapter. 1806.10 1806.10.10 A change to Canadian tariff item 1806.10.10, U.S. tariff item 1806.10.41 or 1806.10.42, Mexican tariff item 1806.10.01 from any other heading. 1806.10 A change to subheading 1806.10 from any other heading, provided that the non-originating sugar of Chapter 17 constitutes no more than 35% by weight of the sugar and provided that the non-originating cocoa powder of heading 18.05 constitutes no more than 35% by weight of the cocoa powder. 1806.20 A change to subheading 1806.20 from any other heading. 1806.31 A change to subheading 1806.31 from any other subheading. 1806.32 A change to subheading 1806.32 from any other heading. 1806.90 A change to subheading 1806.90 from any other subheading. Chapter 19 Preparations of Cereals, Flour, Starch or Milk; Pastrycooks' Products 1901.10 1901.10.31 A change to Canadian tariff item 1901.10.31, U.S. tariff item 1901.10.10, Mexican tariff item 1901.10.01 from any other chapter, except from Chapter 4. 1901.10 A change to subheading 1901.10 from any other chapter. 1901.20 1901.20.11 A change to Canadian tariff item 1901.20.11 or 1901.20.21, U.S. tariff item 1901.20.10, Mexican tariff item 1901.20.01 from any other chapter, except from Chapter 4. 1901.20 A change to subheading 1901.20 from any other chapter. 1901.90 1901.90.31 A change to Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03 from any other chapter, except from Chapter 4. 1901.90 A change to subheading 1901.90 from any other chapter. 19.02-19.05 A change to headings 19.02 through 19.05 from any other chapter. Chapter 20 Preparations of Vegetables, Fruit, Nuts or Other Parts of Plants Note: Fruit, nut and vegetable preparations of Chapter 20 that have been prepared or preserved merely by freezing, by packing (including canning) in water, brine, or in natural juices, or by roasting, either dry or in oil (including processing incidental to freezing, packing or roasting), shall be treated as a good of the country in which the fresh good was produced. 20.01-20.07 A change to headings 20.01 through 20.07 from any other chapter. 2008.11 2008.11.a1 A change to Canadian tariff item 2008.11.a1, U.S. tariff item 2008.11.h1, Mexican tariff item 2008.11.x1 from any other heading, except from heading 12.02. 2008.11 A change to subheading 2008.11 from any other chapter. 2008.19-2008.99 A change to subheadings 2008.19 through 2008.99 from any other chapter. 2009.11-2009.30 A change to subheadings 2009.11 through 2009.30 from any other chapter, except from heading 08.05. 2009.40-2009.80 A change to subheadings 2009.40 through 2009.80 from any other chapter. 2009.90 A change to subheading 2009.90 from any other chapter; or A change to subheading 2009.90 from any other subheading within Chapter 20, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. Chapter 21 Miscellaneous Edible Preparations 21.01 2101.10.11 A change to Canadian tariff item 2101.10.11, U.S. tariff item 2101.10.25, Mexican tariff item 2101.10.01 from any other chapter, provided that the non- originating coffee of Chapter 9 constitutes no more than 60 percent by weight. 21.01 A change to heading 21.01 from any other chapter. 21.02 A change to heading 21.02 from any other chapter. 2103.10 A change to subheading 2103.10 from any other chapter. 2103.20 2103.20.10 A change to Canadian tariff item 2103.20.10, U.S. tariff item 2103.20.20, Mexican tariff item 2103.20.01 from any other chapter, except from subheading 2002.90. 2103.20 A change to subheading 2103.20 from any other chapter. 2103.30-2103.90 A change to subheadings 2103.30 through 2103.90 from any other chapter. 21.04 A change to heading 21.04 from any other chapter. 21.05 A change to heading 21.05 from any other heading, except from Chapter 4 or Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03. 21.06 2106.90.a2 A change to Canadian tariff item 2106.90.a2, U.S. tariff items 2106.90.16 through 2106.90.19A, Mexican tariff item 2106.90.x2 from any other chapter, except from heading 08.05 or 20.09 or Canadian tariff item 2202.90.a1 , U.S. tariff item 2202.90.30, 2202.90.35 or 2202.90.39A, Mexican tariff item 2202.90.x1. 2106.90.a3 A change to Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3 from any other chapter, except from subheading 2009.90 or Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2; or A change to Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3 from any other subheading within Chapter 21, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2106.90.a4 A change to Canadian tariff item 2106.90.a4, U.S. tariff item 2106.90.h4, Mexican tariff item 2106.90.x4 from any other chapter, except from Chapter 4 or tariff item 1901.90.a1. 21.06 A change to heading 21.06 from any other chapter. Chapter 22 Beverages, Spirits and Vinegar 22.01 A change to heading 22.01 from any other chapter. 2202.10 A change to subheading 2202.10 from any other chapter. 2202.90 2202.90.a1 A change to Canadian tariff item 2202.90.a1, U.S. tariff items 2202.90.30 through 2202.90.39A, Mexican tariff item 2202.90.x4 from any other chapter, except from heading 08.05 or 20.09 or Canadian tariff item 2106.90.a2, U.S. tariff item 2106.90.16 or 2106.90.19A, Mexican tariff item 2106.90.x2. 2202.90.a2 A change to Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2 from any other chapter, except from subheading 2009.90 or Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3; or A change to Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2 from any other subheading within Chapter 22, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2202.90.9x A change to Canadian tariff item 2202.90.9x, U.S. tariff item 2202.90.10 or 2202.90.20, Mexican tariff item 2202.90.02 from any other chapter, except from Chapter 4 or Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03. 2202.90 A change to subheading 2202.90 from any other chapter. 22.03-22.09 A change to headings 22.03 through 22.09 from any other heading outside that group. Chapter 23 Residues and Waste From the Food Industries; Prepared Animal Fodder 23.01-23.08 A change to headings 23.01 through 23.08 from any other chapter. 2309.10 A change to subheading 2309.10 from any other heading. 2309.90 2309.90.a1 A change to Canadian tariff item 2309.90.a1, U.S. tariff item 2309.90.h1, Mexican tariff item 2309.90.x1 from any other heading, except from Chapter 4 or tariff item 1901.90.a1. 2309.90 A change to subheading 2309.90 from any other heading. Chapter 24 Tobacco and Manufactured Tobacco Substitutes 24.01-24.03 A change to headings 24.01 through 24.03 from any other chapter or from Canadian tariff item 2401.10.10 or 2403.91.a1, U.S. tariff item 2401.10.h1 or 2403.91.20, Mexican tariff item 2401.10.x1 or 2403.91.x1. Annex 01 SECTION IV Prepared Foodstuffs; Beverages, Spirits, and Vinegar; Tobacco and Manufactured Tobacco Substitutes (Ch. 16-24) Chapter 16 Preparations of Meat, of Fish or of Crustaceans, Molluscs or Other Aquatic Invertebrates 16.01-16.05 A change to headings 16.01 through 16.05 from any other chapter. Chapter 17 Sugars and Sugar Confectionery 17.01-17.03 A change to headings 17.01 through 17.03 from any other chapter. 17.04 A change to heading 17.04 from any other heading. Chapter 18 Cocoa and Cocoa Preparations 18.01-18.05 A change to headings 18.01 through 18.05 from any other chapter. 1806.10 1806.10.10 A change to Canadian tariff item 1806.10.10, U.S. tariff item 1806.10.41 or 1806.10.42, Mexican tariff item 1806.10.01 from any other heading. 1806.10 A change to subheading 1806.10 from any other heading, provided that the non-originating sugar of Chapter 17 constitutes no more than 35% by weight of the sugar and provided that the non-originating cocoa powder of heading 18.05 constitutes no more than 35% by weight of the cocoa powder. 1806.20 A change to subheading 1806.20 from any other heading. 1806.31 A change to subheading 1806.31 from any other subheading. 1806.32 A change to subheading 1806.32 from any other heading. 1806.90 A change to subheading 1806.90 from any other subheading. Chapter 19 Preparations of Cereals, Flour, Starch or Milk; Pastrycooks' Products 1901.10 1901.10.31 A change to Canadian tariff item 1901.10.31, U.S. tariff item 1901.10.10, Mexican tariff item 1901.10.01 from any other chapter, except from Chapter 4. 1901.10 A change to subheading 1901.10 from any other chapter. 1901.20 1901.20.11 A change to Canadian tariff item 1901.20.11 or 1901.20.21, U.S. tariff item 1901.20.10, Mexican tariff item 1901.20.01 from any other chapter, except from Chapter 4. 1901.20 A change to subheading 1901.20 from any other chapter. 1901.90 1901.90.31 A change to Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03 from any other chapter, except from Chapter 4. 1901.90 A change to subheading 1901.90 from any other chapter. 19.02-19.05 A change to headings 19.02 through 19.05 from any other chapter. Chapter 20 Preparations of Vegetables, Fruit, Nuts or Other Parts of Plants Note: Fruit, nut and vegetable preparations of Chapter 20 that have been prepared or preserved merely by freezing, by packing (including canning) in water, brine, or in natural juices, or by roasting, either dry or in oil (including processing incidental to freezing, packing or roasting), shall be treated as a good of the country in which the fresh good was produced. 20.01-20.07 A change to headings 20.01 through 20.07 from any other chapter. 2008.11 2008.11.a1 A change to Canadian tariff item 2008.11.a1, U.S. tariff item 2008.11.h1, Mexican tariff item 2008.11.x1 from any other heading, except from heading 12.02. 2008.11 A change to subheading 2008.11 from any other chapter. 2008.19-2008.99 A change to subheadings 2008.19 through 2008.99 from any other chapter. 2009.11-2009.30 A change to subheadings 2009.11 through 2009.30 from any other chapter, except from heading 08.05. 2009.40-2009.80 A change to subheadings 2009.40 through 2009.80 from any other chapter. 2009.90 A change to subheading 2009.90 from any other chapter; or A change to subheading 2009.90 from any other subheading within Chapter 20, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. Chapter 21 Miscellaneous Edible Preparations 21.01 2101.10.11 A change to Canadian tariff item 2101.10.11, U.S. tariff item 2101.10.25, Mexican tariff item 2101.10.01 from any other chapter, provided that the non- originating coffee of Chapter 9 constitutes no more than 60 percent by weight. 21.01 A change to heading 21.01 from any other chapter. 21.02 A change to heading 21.02 from any other chapter. 2103.10 A change to subheading 2103.10 from any other chapter. 2103.20 2103.20.10 A change to Canadian tariff item 2103.20.10, U.S. tariff item 2103.20.20, Mexican tariff item 2103.20.01 from any other chapter, except from subheading 2002.90. 2103.20 A change to subheading 2103.20 from any other chapter. 2103.30-2103.90 A change to subheadings 2103.30 through 2103.90 from any other chapter. 21.04 A change to heading 21.04 from any other chapter. 21.05 A change to heading 21.05 from any other heading, except from Chapter 4 or Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03. 21.06 2106.90.a2 A change to Canadian tariff item 2106.90.a2, U.S. tariff items 2106.90.16 through 2106.90.19A, Mexican tariff item 2106.90.x2 from any other chapter, except from heading 08.05 or 20.09 or Canadian tariff item 2202.90.a1 , U.S. tariff item 2202.90.30, 2202.90.35 or 2202.90.39A, Mexican tariff item 2202.90.x1. 2106.90.a3 A change to Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3 from any other chapter, except from subheading 2009.90 or Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2; or A change to Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3 from any other subheading within Chapter 21, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2106.90.a4 A change to Canadian tariff item 2106.90.a4, U.S. tariff item 2106.90.h4, Mexican tariff item 2106.90.x4 from any other chapter, except from Chapter 4 or tariff item 1901.90.a1. 21.06 A change to heading 21.06 from any other chapter. Chapter 22 Beverages, Spirits and Vinegar 22.01 A change to heading 22.01 from any other chapter. 2202.10 A change to subheading 2202.10 from any other chapter. 2202.90 2202.90.a1 A change to Canadian tariff item 2202.90.a1, U.S. tariff items 2202.90.30 through 2202.90.39A, Mexican tariff item 2202.90.x4 from any other chapter, except from heading 08.05 or 20.09 or Canadian tariff item 2106.90.a2, U.S. tariff item 2106.90.16 or 2106.90.19A, Mexican tariff item 2106.90.x2. 2202.90.a2 A change to Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2 from any other chapter, except from subheading 2009.90 or Canadian tariff item 2106.90.a3, U.S. tariff item 2106.90.19B, Mexican tariff item 2106.90.x3; or A change to Canadian tariff item 2202.90.a2, U.S. tariff item 2202.90.39B, Mexican tariff item 2202.90.x2 from any other subheading within Chapter 22, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2202.90.9x A change to Canadian tariff item 2202.90.9x, U.S. tariff item 2202.90.10 or 2202.90.20, Mexican tariff item 2202.90.02 from any other chapter, except from Chapter 4 or Canadian tariff item 1901.90.31, U.S. tariff item 1901.90.31, 1901.90.41 or 1901.90.81, Mexican tariff item 1901.90.03. 2202.90 A change to subheading 2202.90 from any other chapter. 22.03-22.09 A change to headings 22.03 through 22.09 from any other heading outside that group. Chapter 23 Residues and Waste From the Food Industries; Prepared Animal Fodder 23.01-23.08 A change to headings 23.01 through 23.08 from any other chapter. 2309.10 A change to subheading 2309.10 from any other heading. 2309.90 2309.90.a1 A change to Canadian tariff item 2309.90.a1, U.S. tariff item 2309.90.h1, Mexican tariff item 2309.90.x1 from any other heading, except from Chapter 4 or tariff item 1901.90.a1. 2309.90 A change to subheading 2309.90 from any other heading. Chapter 24 Tobacco and Manufactured Tobacco Substitutes 24.01-24.03 A change to headings 24.01 through 24.03 from any other chapter or from Canadian tariff item 2401.10.10 or 2403.91.a1, U.S. tariff item 2401.10.h1 or 2403.91.20, Mexican tariff item 2401.10.x1 or 2403.91.x1. ANNEX 300-A Trade and Investment in the Automotive Industry Sector 1. Except as provided in this Annex, each Party shall apply this Agreement to automotive goods of another Party and to enterprises of the automotive industry sector in its territory. 2. Except as provided in this Annex, each Party shall promptly accord to existing producers of vehicles in its territory treatment no less favorable than that it accords, in like circumstances, to a new producer of vehicles in its territory regarding measures covered by this Annex. 3. The Parties shall review, no later than December 31, 2003, the status of the North American automotive industry sector and the effectiveness of the measures contained in this Annex to determine actions that could be taken to strengthen the integration and global competitiveness of the industry. ============================================================================= Appendix A: Canada Existing Measures 1. Canada and the United States may maintain the Agreement Concerning Automotive Products between the Government of Canada and the Government of the United States of America which entered into force on September 16, 1966, in accordance with Article 1001, Article 1002(1) and (4) (as they refer to Annex 1002.1, Part One), Article 1005(1) and (3), and Annex 1002.1, Part One (Waivers of Customs Duties) of Canada - United States Free Trade Agreement. 2. Canada may maintain the measures referred to in Article 1002(1) and (4) (as they refer to Annex 1002.1, Parts Two and Three), Article 1002(2) and (3), Article 1003, and Annex 1002.1, Parts Two (Export-Based Waivers of Customs Duties) and Three (Production-Based Waivers of Customs Duties) of the Canada - United States Free Trade Agreement. Canada shall eliminate those measures in accordance with the terms set out in that agreement. Used Vehicles 3. Canada may adopt or maintain prohibitions and restrictions on imports of used vehicles from the territory of Mexico, except as follows: (a) after January 1, 2009, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least 10 years old; (b) after January 1, 2011, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least eight years old; (c) after January 1, 2013, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least six years old; (d) after January 1, 2015, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least four years old; (e) after January 1, 2017, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least two years old; and (f) after January 1, 2019, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles regardless of age. ============================================================================= Appendix B: Mexico Auto Decree and Auto Decree Implementing Regulations 1. Subject to this Appendix, Mexico may maintain, until January 1, 2004, the Decree for Development and Modernization of the Automotive Industry ("Decreto para el Fomento y Modernizaci¢n de la Industria Automotriz") (December 11, 1989) (the "Auto Decree") and the Resolution that Establishes Rules for the Implementation of the Auto Decree ("Acuerdo que Determina Reglas para la Aplicaci¢n para el Fomento y Modernizaci¢n de la Industria Automotriz") (November 30, 1990) (the "Auto Decree Implementing Regulations"). Mexico may adopt or maintain any measure respecting automotive goods or manufacturers of automotive goods in its territory provided that such measure is not inconsistent with this Agreement. Autoparts Industry, National Suppliers and Independent Maquiladoras 2. Mexico may not require that an enterprise attain a level of national value added in excess of 20 percent of its total sales as one of the conditions to qualify as a national supplier or enterprise of the autoparts industry. 2a. For purposes of paragraph 2, "national value added" means the total value of sales of such enterprises (excluding those for the aftermarket) minus the value of its total imports, direct and indirect, excluding those imports incorporated in aftermarket parts and components, as modified by paragraph 3. 3. Mexico may require that a national supplier or an enterprise of the autoparts industry, in calculating its national value added solely for the purposes of paragraph 2, include customs duties in the value of imports incorporated into the parts and components produced by such enterprises. 4. Mexico shall grant national supplier status to an independent maquiladora that requests such status and meets the requirements for that status set out in the existing Auto Decree. Mexico shall continue to grant to all independent maquiladoras that request national supplier status all existing rights and privileges accorded to independent maquiladoras under the existing Decree for the Promotion and Operation of the Maquiladora Export Industry ("Decreto para el Fomento y Operaci¢n de la Industria Maquiladora de Exportaci¢n") (December 22, 1989) (the "Maquiladora Decree"). 4a. For purposes of paragraph 4, "independent maquiladora" means an enterprise registered as an export maquiladora enterprise under the Maquiladora Decree which has no common majority shareholder with any manufacturer, and for which no manufacturer is directly or indirectly a majority shareholder. National Value Added 5. Mexico may provide that a manufacturer ("empresa de la industria terminal") calculate its required national value added from suppliers (VANp) as a percentage of: (a) a manufacturer's reference value as defined in paragraph 8; or (b) a manufacturer's total national value added (VANt), whichever is greater. 6. Mexico shall not require that the percentage referred to in paragraph 5 be greater than: (a) 34 percent for each of the first five years beginning January 1, 1994; (b) 33 percent for 1999; (c) 32 percent for 2000; (d) 31 percent for 2001; (e) 30 percent for 2002; and (f) 29 percent for 2003. 7. Notwithstanding paragraph 6, Mexico shall allow a manufacturer that produced vehicles in Mexico before model year 1992 to use as its percentage referred to in paragraph 5 the ratio of actual national value added from suppliers (VANp) to total national value added (VANt) that such manufacturer attained in model year 1992, for so long as that ratio is lower than the applicable percentage specified under paragraph 6. In determining such ratio for 1992, purchases that such manufacturer made from independent maquiladoras that would have been eligible to receive national supplier status had paragraphs 2, 3 and 4 of this Appendix been in effect at that time, shall be included in the calculation of the manufacturer's national value added from suppliers (VANp), in the same manner as parts and components from any other national supplier or enterprise of the autoparts industry. 8. "The annual reference value for a manufacturer" ("reference value") shall be: (a) for each of the years 1994 through 1997, the base value for the manufacturer, plus no more than 65 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value; (b) for each of the years 1998 through 2000, the base value for the manufacturer, plus no more than 60 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value; and (c) for each of the years 2001 through 2003, the base value for the manufacturer, plus no more than 50 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value. 9. Mexico shall provide that where a manufacturer's total sales in Mexico in a year are lower than its base value, the reference value for such manufacturer for that year shall be equal to the manufacturer's total value of sales in Mexico for the year. 9a. For purposes of paragraphs 8 and 9: (a) "base value" means the average annual value of the manufacturer's production in Mexico for sale in Mexico (VTVd) in model years 1991 and 1992, adjusted for inflation, using the Mexican producer price index for automotive goods published by the Bank of Mexico ("Banco de Mexico"); and (b) "manufacturer's total sales in Mexico in that year" means the invoice value of sales by a manufacturer of vehicles it produced in Mexico for sale in Mexico plus the invoice value of its sales of imported vehicles. 10. In the event an abnormal production disruption affects a manufacturer's production capability, Mexico shall allow such manufacturer to seek a reduction in its reference value before the Intersecretariat Automotive Industry Commission, established under Chapter V of the Auto Decree. If the Commission finds that the production capability of the manufacturer has been impaired by such an abnormal production disruption, the Commission shall reduce the manufacturer's reference value in an amount commensurate to such event. 10a. For purposes of paragraph 10, "abnormal production disruption" means a disruption in a manufacturer's production capability resulting from a natural disaster, fire, explosion or other unforeseen event beyond the manufacturer's control. 11. If, upon the request of a manufacturer, the Intersecretariat Automotive Industry Commission finds that the production capability of such manufacturer has been significantly disrupted as a result of a major retooling or plant conversion in the facilities of the manufacturer, the Commission shall reduce the reference value for the manufacturer for that year in an amount commensurate with the disruption, provided that such reduction in that manufacturer's required national value added from suppliers (VANp) that may result from the Commission's determination to lower the manufacturer's reference value shall be fully made up by the manufacturer over the following two model years. 11a. For purposes of paragraph 11, "significant disruption" means a sizable impairment in the manufacturer's production capability that lasts at least six months but no longer than 12 months. Trade Balance 12. Mexico shall not require a manufacturer to include in the calculation of its trade balance (S) a percentage of the value of direct and indirect imports of parts and components that such manufacturer incorporated into vehicles it has produced in Mexico for sale in Mexico (VTVd) in the corresponding year, greater than the following: (a) 80 percent for 1994; (b) 77.2 percent for 1995; (c) 74.4 percent for 1996; (d) 71.6 percent for 1997; (e) 68.9 percent for 1998; (f) 66.1 percent for 1999; (g) 63.3 percent for 2000; (h) 60.5 percent for 2001; (i) 57.7 percent for 2002; and (j) 55.0 percent for 2003. 13. For purposes of determining a manufacturer's total national value added (VANt), paragraph 12 shall not apply to the calculation of its trade balance (S). 14. Mexico shall permit a manufacturer with a surplus in its extended trade balance to divide its extended trade balance by the applicable percentages in paragraph 12 to determine the value of new vehicles that it may import. 15. Mexico shall provide that in the calculation of a manufacturer's adjustment factor (Y) in its extended trade balance: (a) a manufacturer's total national value added (VANt) be replaced by that manufacturer's reference value in any year in which the manufacturer's total national value added (VANt) is lower than its reference value; and (b) the applicable percentage under paragraphs 6 or 7, as appropriate, be used. 16. In determining the annual amount that a manufacturer may apply to its extended trade balance from surpluses earned prior to model year 1991, Mexico shall in any given year allow such manufacturer to elect: (a) to use the procedures of the existing Auto Decree Implementing Regulation; or (b) to apply up to $US 150 million, adjusted for inflation in accordance with the U.S. GDP Price Deflator or its equivalent in Mexican pesos, until such surpluses have been exhausted. Other Restrictions in the Auto Decree 17. Mexico shall eliminate the restriction set out in the existing Auto Decree that limits the number of vehicles that a manufacturer may import into Mexico in relation to the total number of vehicles that such manufacturer sells in Mexico. Autotransportation Decree and Autotransportation Implementing Regulations 18. Mexico shall eliminate the Mexican Decree for Development and Modernization of the Autotransportation Vehicle Manufacturing Industry (December 1989) ("Decreto para el Fomento y Modernizaci¢n de la Industria Manufacturera de Vehiculos de Autotransporte") (the "Autotransportation Decree") and the Resolution that Establishes Rules for the Implementation of the Autotransportation Decree (November 1990) ("Acuerdo que Establece Reglas de Aplicacion del Decreto para el Fomento y Modernizaci¢n de la Industria Manufacturera de Veh¡culos de Autotransporte") (the "Autotransportation Decree Implementing Regulations"). Mexico may adopt or maintain any measure respecting autotransportation vehicles or manufacturers of autotransportation vehicles in its territory provided that such measure is not inconsistent with this Agreement. Importation of Autotransportation Vehicles 19. Except as provided in paragraphs 20 and 21, Mexico may adopt or maintain a prohibition or restriction on the importation of autotransportation vehicles of another Party until January 1, 1999. 20. For each of the years 1994 through 1998, Mexico shall allow any manufacturer of autotransportation vehicles to import, for each type of autotransportation vehicle, a quantity of originating autotransportation vehicles equal to at least 50 percent of the number of vehicles of such type that such manufacturer produced in Mexico in that year. 20a. For purposes of paragraph 20, "manufacturer of autotransportation vehicles" means an enterprise, established in Mexico, that produces autotransportation vehicles, is registered with the Ministry of Trade and Industrial Development ("Secretar¡a de Comercia y Fomento Industrial"), and whose sales in Mexico incorporate at least 40 percent national value added, where national value added is the result of subtracting from the total sales (excluding imports of autotransportation vehicles) of an autotransportation manufacturer the invoice value of its direct and indirect imports of parts and components. 21. For each of the years 1994 through 1998, Mexico shall allow persons other than manufacturers of autotransportation vehicles to import, in a quantity to be allocated among them, originating autotransportation vehicles of each type as follows: (a) for each of the years 1994 and 1995, no less than 15 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico; (b) for 1996, no less than 20 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico; and (c) for each of the years 1997 and 1998, no less than 30 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico. Mexico shall allocate such quantity through a non-discriminatory auction. Used Vehicles 22. Mexico may adopt or maintain prohibitions and restrictions on imports of used vehicles from the territory of another Party, except as follows: (a) after January 1, 2009, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least ten years old; (b) after January 1, 2011, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least eight years old; (c) after January 1, 2013, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least six years old; (d) after January 1, 2015, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least four years old; (e) after January 1, 2017, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least two years old; and (f) after January 1, 2019, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles, regardless of age. ============================================================================= Appendix B: Definitions Note: (The following terms shall be defined as provided in the Auto Decree and Auto Decree Implementing Regulations, incorporating those specific modifications required by this Appendix. For purposes of transparency, set out below for each term are the corresponding Spanish term, citations to the relevant provisions of the Auto Decree and Auto Decree Implementing Regulations and, where appropriate, the paragraph of this Appendix that modifies the definition in the Auto Decree or Auto Decree Implementing Regulations. English translations of these definitions, amplified for clarity where appropriate, and incorporating modifications required by this Appendix, will be set out here at a later date.) adjustment factor (Y) means "factor de ajuste Y" as defined in rule 18 of the Auto Decree Implementing Regulations and as modified by paragraph 15 of this Appendix; enterprise of the autoparts industry means "empresa de la industria de autopartes" as set out in Article 2, paragraph V of the Auto Decree, as modified by paragraph 2 of this Appendix; extended trade balance means "balanza comercial ampliada" referred to in rule 28 of the Auto Decree implementing Regulations, and is equal to the numerator (S+W+.3I+Sft+T-Y) of formula (1) in rule 8, of the Auto Decree Implementing Regulations; manufacturer means an "empresa de la industria terminal" as defined in Article 2, paragraph IV of the Auto Decree that produces any of the following classes of vehicles: (a) passenger car: a vehicle for the transportation of up to 10 people or a compact car of popular use, provided for in subheadings (to be specified) of the Harmonized System; (b) commercial truck: a vehicle with or without a chassis, for the transportation of cargo or over 10 people, with a GVW of up to 2,727 kgs., provided for in heading (to be specified) of the Harmonized System; (c) light duty truck: a vehicle with a chassis, for the transportation of cargo or over 10 people, with a GVW of over 2,727 but less than 7,272 kgs., provided for in headings (to be specified); or (d) medium duty truck: a vehicle with a chassis for the transportation of cargo or over ten people, with a GVW of over 7,272 kgs. but less than 8,864 kgs., provided for in headings (to be specified) of the Harmonized System; manufacturer's production in Mexico for sale in Mexico (VTVd) means "valor total de las ventas que realicen las empresas de la industria terminal al mercado domestico, excluyendo vehiculos importados" as set out in rule 18 of the Auto Decree Implementing Regulations; manufacturer's total national value added (VANt) means "valor agregado nacional de la empresa de la industria terminal" as defined in rule 18 of the Auto Decree Implementing Regulations; national supplier means a "proveedor nacional" as defined by article 2 paragraph VII of the Auto Decree, as modified by paragraph 2 of this Appendix; national value added from suppliers (VANp) means "valor agregado nacional de proveedores", as provided in rule 18 of the Auto Decree Implementing Regulations; parts and components means "partes y componentes automotrices" as defined in article 2, paragraph X of the Auto Decree; trade balance (S) means "saldo en balanza comercial de la empresa de la industria terminal", as defined in rule 9 of the Auto Decree Implementing Regulation, as modified by paragraphs 12 and 13 of this Appendix; autotransportation vehicles means a vehicle included in any of the following types: (a) heavy duty truck: a vehicle with a chassis for the transport of goods or more than ten people with a GVW over 8,864 kgs., provided for in headings (to be specified) of the Harmonized System; (b) truck tractor: a vehicle with 2 or 3 axles for transporting goods by hauling trailers, semi-trailers or containing integrated equipment, provided for in subheading (to be specified) of the Harmonized System; (c) integral bus: a vehicle without a chassis but with an integral body used to transport more than 10 people, provided for in heading (to be specified) of the Harmonized System; and (d) specialty vehicles: special purpose motor vehicles or vehicles modified for the handicapped provided for in heading (to be specified) of the Harmonized System, (as provided for in Article 2 of the Autotransportation Decree). ============================================================================= Appendix C: United States Corporate Average Fuel Economy 1. As provided in paragraph 2, for purposes of the Energy Policy and Conservation Act (October 1975), as amended ("the CAFE Act"), the United States shall consider an automobile to be domestically manufactured in any model year if at least 75 percent of the cost to the manufacturer of such automobile is attributable to value added in Canada, Mexico or the United States, unless the assembly of such automobile is completed in Canada or Mexico and such automobile is not imported into the United States prior to the expiration of the 30 days following the end of such model year. 2. The United States shall implement the obligation set out in paragraph 1 for all automobiles of a manufacturer sold in the United States, wherever produced and irrespective of car line or truck line, beginning with the next model year after January 1, 2004, except as provided in the following schedule: (a) with respect to a manufacturer that initiated the manufacture of automobiles in Mexico before model year 1992, the enterprise that provides certification under the CAFE Act may make a one-time election at any time between January 1, 1997 and January 1, 2004, to have paragraph 1 applied beginning with the next model year after such election; (b) with respect to a manufacturer initiating the manufacture of automobiles in Mexico after model year 1991, paragraph 1 shall apply beginning with the next model year after either January 1, 1994 or the date that such manufacturer initiates manufacturing automobiles in Mexico, whichever is later; (c) with respect to any other manufacturer of automobiles in the territory of a Party, the enterprise that provides certification under the CAFE Act may make a one-time election at any time between January 1, 1997 and January 1, 2004, to have paragraph 1 applied beginning with the next model year after such election. If such a manufacturer initiates manufacturing automobiles in Mexico, it shall be subject to subparagraph (b) on the date it initiates such manufacturing; and (d) with respect to all manufacturers of automobiles not manufacturing automobiles in the territory of a Party, paragraph 1 shall apply beginning with the next model year after January 1, 1994. 3. The United States shall make any future changes pertaining to the definition of domestic production in the CAFE Act or its implementing regulations equally applicable to value added in any of the Parties. 4. Nothing in this Appendix shall require the United States to make any changes in its fuel economy requirements for automobiles. 5. For purposes of this Appendix, "automobile" means a motor vehicle that complies with the definition in the CAFE Act and its implementing regulations. ============================================================================= Appendix D: General Definitions existing producer of vehicles means a producer that was producing in the territory of the relevant Party prior to model year 1992; and automotive goods means all types of motor vehicles, and parts and components intended for use in motor vehicles. Note: (Additional terms may be added where appropriate) ANNEX 300-B Textile and Apparel Goods Section 1: Scope and Coverage 1. This Annex applies to the textile and apparel goods set out in Appendix 1.1. 2. In the event of any inconsistency between this Agreement and the Arrangement Regarding International Trade in Textiles (Multifiber Arrangement), as amended and extended, including any amendment or extension after the date of entry into force of this Agreement, or any other existing or future agreement applicable to trade in textile or apparel goods, this Agreement shall prevail to the extent of the inconsistency, unless the Parties agree otherwise. Section 2: Tariff Elimination 1. Except as otherwise provided in this Agreement , each Party shall progressively eliminate its customs duties on originating goods as provided in its Schedule set out in Annex 302.2, in accordance with Appendix 2.1. 2. (a) For purposes of this Annex, a good shall be considered to be an originating good if the applicable change in tariff classification has been satisfied in the territory of one or more of the Parties, as provided by Article 404. (b) For purposes of determining which rate of duty and staging category is applicable to an originating textile or apparel good, a good shall be a good of the Party in which the last substantial transformation occurred, according to each importing Party's regulations, practices or procedures or, in the event of an agreement between the Parties pursuant to Annex 312(1), setting out rules applicable to textile and apparel goods for determining whether a good is a good of a Party ("Marking Rules"), according to such agreement. 3. Each Party shall provide duty-free treatment for the following textile and apparel goods of another Party, provided such goods have been certified by the competent authority of the exporting Party as one of the following: (a) hand-loomed fabrics of a cottage industry; (b) hand-made cottage industry goods made of such hand- loomed fabrics; or (c) traditional folklore handicraft goods that have been identified and agreed by the Parties concerned for duty-free treatment. Section 3: Import and Export Restrictions and Consultation Levels 1. Appendix 3.1 sets out certain circumstances and conditions under which prohibitions, restrictions, or consultation levels in effect upon the date of entry into force of this Agreement may be maintained, notwithstanding Article 309. 2. Each Party shall eliminate a restriction or consultation level on a textile or apparel good that otherwise would be permitted under this Annex if the elimination of that restriction is required as a result of integration of that good into the GATT pursuant to commitments undertaken by that Party under any successor agreement to the Multifiber Arrangement. Section 4: Bilateral Emergency Actions (Tariff Actions) 1. During the transition period only, if, as a result of the reduction or elimination of a duty provided for in this Agreement, an originating textile or apparel good, or a good that has been integrated into the GATT pursuant to a commitment undertaken by a Party under any successor agreement to the Multifiber Arrangement and entered under a tariff preference level set out in Appendix 6.0, is being imported into the territory of another Party in such increased quantities, in absolute terms or relative to the domestic market for that good, and under such conditions as to cause serious damage, or actual threat thereof, to a domestic industry producing a like or directly competitive good, the importing Party may, to the extent necessary to remedy the damage or actual threat thereof: (a) suspend the further reduction of any rate of duty provided for under this Agreement on such good; or (b) increase the rate of duty on such good to a level not to exceed the lesser of: (i) the most-favored-nation (MFN) applied rate of duty in effect at the time the action is taken, or (ii) the MFN applied rate of duty in effect on the day immediately preceding the date of entry into force of this Agreement. 2. In determining serious damage, or actual threat thereof, the Party shall: (a) examine the effect of increased imports on the particular industry, as reflected in the following factors, none of which is necessarily decisive: changes in such relevant economic variables as output, productivity, utilization of capacity, inventories, market share, exports, wages, employment, domestic prices, profits and investment; and (b) not consider changes in technology or consumer preference as factors supporting a determination of serious damage or actual threat thereof. 3. The following conditions and limitations shall apply to any emergency action taken pursuant to this Section: (a) a Party shall deliver without delay to any Party that may be affected written notice of intent to take such action, and shall enter into consultations with that Party upon request; (b) no action may be maintained for a period exceeding three years or, except with the consent of the Party against whose good the action is taken, have effect beyond the expiration of the transition period; (c) no action may be taken by a Party against any particular originating good more than once during the transition period; and (d) upon the termination of the action, the rate of duty shall be the rate that, according to the Schedule for that staged elimination of the tariff, would have been in effect a year after the commencement of the action, and commencing January 1 of the year following the termination of the action, at the option of the Party that has taken the action: (i) the rate of duty shall conform to the schedule in that Party's Schedule in Annex 302.2, or (ii) the tariff shall be eliminated in equal annual stages ending on the date set forth in that Party's Schedule in Annex 302.2 for the elimination of the tariff. 4. A Party taking an action under this Section shall provide, to the Party against whose good the action is taken, mutually agreed trade liberalizing compensation in the form of concessions having substantially equivalent trade effects on the other Party, or equivalent to the value of the additional duties expected to result from the action. Such concessions shall be limited to the textile and apparel goods listed in Appendix 1.1, unless the Parties otherwise agree. If the concerned Parties are unable to agree on compensation, the exporting Party may take tariff action having trade effects substantially equivalent to the action taken under this Section against any goods imported from the Party that initiated the action pursuant to this Section. The Party taking such tariff action shall only apply it for the minimum period necessary to achieve such substantially equivalent effects. Section 5: Bilateral Emergency Actions (Quantitative Restrictions) 1. Notwithstanding any other provision of this Agreement except Appendix 5.2, a Party may take bilateral emergency action against non-originating goods of another Party in accordance with this Section and the provisions of Appendix 3.1. 2. If a Party considers that non-originating textile and apparel goods, including goods entered under the tariff preference levels (TPLs) set out in Appendix 6.0, are being imported into its territory from a Party in such increased quantities, in absolute terms or relative to the domestic market, so as to cause serious damage or actual threat thereof, to a domestic industry producing a like or directly competitive good in the importing Party, that Party may request consultations with another Party with a view to eliminating the serious damage or actual threat thereof. 3. The Party requesting consultations shall include in its request for consultations the reasons that it considers demonstrate that such serious damage or actual threat to its domestic industry is resulting from the imports of the other Party, including the latest data concerning such damage or threat. 4. In determining serious damage, or actual threat thereof, the Party shall apply the provisions of paragraph 2, Section 4. 5. The concerned Parties shall commence consultations within 60 days following the request for consultations and shall endeavor to agree on a mutually satisfactory level of restraint on exports of the particular good within 90 days of the request, unless the consulting Parties agree to extend this period. In reaching a mutually satisfactory level of export restraint, the consulting Parties shall: (a) consider the situation in the market in the importing Party; (b) consider the history of trade in textile and apparel goods between the consulting Parties, including the previous levels of trade; and (c) ensure that textile and apparel goods imported from the territory of another Party are accorded equitable treatment as compared with treatment granted to other non-Party suppliers of like textile and apparel goods. 6. If the Parties do not agree on a mutually satisfactory level during the 90-day consultation period, the Party requesting consultations may impose annual quantitative restrictions on imports of the good from the territory of the other Party for a period no longer than that provided for in paragraph 9, provided that: (a) the measure shall not have effect beyond the transition period; and (b) the quantitative restriction shall not be less than the sum of (i) the quantity of the good imported into its territory from the Party that would be affected by the restriction, as reported in general import statistics, during the first 12 of the most recent 14 months preceding the month in which the request for consultations was made, and (ii) an additional 20 percent of such quantity for cotton, man-made fiber and other non-cotton vegetable fiber good categories and six percent for wool good categories. 7. The first term of any quantitative restriction imposed under paragraph 6 shall commence on the day following the request for consultations and terminate at the end of the calendar year in which the quantitative restriction was imposed. Any quantitative restriction that is imposed for a term less than 12 months and the applicable flexibility provisions shall be prorated to correspond to the period of time remaining in the calendar year in which the restriction is imposed. 8. For each successive calendar year that the quantitative restriction imposed under paragraph 6 remains in effect, the Party imposing it shall: (a) increase by 6 percent restrictions on cotton, man-made fiber and non-cotton vegetable fiber textile and apparel goods and by 2 percent restrictions on wool textile and apparel goods; (b) accelerate the growth rate for quantitative restrictions on cotton, man-made fiber and non-cotton vegetable fiber textile and apparel goods if required by any successor agreement to the Multifiber Arrangement; and (c) apply the flexibility provisions set forth in Appendix 3.1, as appropriate. 9. Quantitative restrictions established pursuant to paragraph 6 before July 1 in any given calendar year may remain in place for the initial prorated period in the first calendar year, plus two additional calendar years. Such restrictions established on or after July 1 in any given calendar year may remain in place for the initial prorated period plus three additional calendar years. 10. No Party may take an emergency action under this Section with respect to any textile or apparel non-originating good that is already subject to a quantitative restriction. 11. No party may adopt or maintain a quantitative restriction under this Section on a textile or apparel good if that good has been integrated into the GATT as a result of commitments undertaken by that Party pursuant to any successor agreement to the Multifiber Arrangement. 12. A Party may take a bilateral emergency action after the expiration of the transition period to deal with cases of serious damage to domestic industry arising from the operation of this Agreement only with the consent of the Party against whose good the action would be taken. Section 6: Special Provisions A Party shall treat the textile or apparel goods of another Party set out in Appendix 6.0 in accordance with the provisions therein. Section 7: Review and Revision of Rules of Origin 1. (a) The Parties shall monitor the effects of the application of the rule of origin contained in Annex 401.1 applicable to goods of subheading 6212.10. No earlier than 15 months after the date of entry into force of this Agreement, any Party may request consultations to seek a mutually satisfactory solution to any difficulties that it considers results from the application of that rule of origin. (b) If the Parties fail to reach a mutually satisfactory solution through consultations within 90 days of a request for consultations, any Party may request that the rule applicable to subheading 6212.10 be changed to the rule applicable to headings 62.06 through 62.11 of the Harmonized System (HS) with respect to trade with the requesting Party. Any such change shall be effective no earlier than 180 days following the request therefor. The Parties shall take measures to ease any resulting administrative burden on producers. (c) Unless otherwise agreed, at any time after the initial consultations, and within the transition period of this Agreement, any Party may make one request for additional consultations under the same procedures provided in paragraphs (a) and (b). 2. (a) At the request of any Party, the Parties shall consult to consider whether specific goods should be made subject to different rules of origin in order to address issues of availability of supply of fibers, yarns or fabrics within the free trade area. (b) In the consultations, each Party shall consider all data presented by a Party showing substantial production in its territory for a good submitted for review. A legitimate claim of substantial production of the good in the territory of a Party shall be deemed to exist if that Party can show that its domestic producers are capable of supplying commercial quantities of the good in a timely manner. (c) The Parties shall make every effort to conclude consultations within sixty days. Any agreement between two or more Parties resulting from these consultations shall be considered part of this Agreement. If agreement is not reached, the Parties have recourse to the provisions of paragraph 8(a) of Appendix 6.6. (d) In this context, at the request of any Party, the Parties shall consult to consider whether the rules of origin applicable to the following provisions in Annex 401.1 should be amended in view of increasing availability of supply of relevant yarns or fabrics within the free trade area; (i) Canadian tariff item 5407.60.10, United States tariff item 5407.60.22 and Mexican tariff item 5407.60.02, (ii) provisions (i) through (viii) of the rule for subheadings 6205.20 through 6205.30, (iii) note 2 to Chapter 61, (iv) note 2 to Chapter 62, and (v) Canadian tariff item 6303.92.a1, United States tariff item 6303.92.h1 and Mexican tariff item 6303.92.x1. 3. The Parties shall review the rules of origin applicable to textile and apparel goods within five years after the date of entry into force of this Agreement to take into account the effect of increasing global competition on textile and apparel goods, and the implications of any integration into the GATT of textile and apparel goods pursuant to any successor agreement to the Multifiber Arrangement. The Parties shall give particular consideration to operative rules in other economic association or integration agreements and developments related to textile and apparel production and trade between the Parties and worldwide. Section 8: Labelling Requirements To facilitate trade in textile and apparel goods between the Parties through the harmonization of domestic labelling requirements and the elimination of unnecessary obstacles to trade resulting from differences in such requirements, the Subcommittee on Labelling of Textile and Apparel Goods established under Article 913(5) shall perform the functions set out in Annex 913-D. Section 9: Trade in Worn Clothing and Other Worn Articles 1. The Parties hereby establish a Committee on Trade in Worn Clothing comprising representatives of each Party. The purpose of the Committee shall be to assess the potential effects that may result from the elimination of restrictions, maintained by a Party prior to the date of entry into force of this Agreement, on trade in worn clothing and other worn articles as defined in the heading 63.09 of the HS. This Committee shall: (a) include or consult with a broadly representative group from the manufacturing and retailing sectors in each Party; and (b) act in a transparent manner and reach recommendations by consensus of all representatives involved. 2. The Committee shall develop and pursue a work program to consider the potential benefits and risks that may be derived from the elimination of restrictions on trade between the Parties in worn clothing and other worn articles, including the effects on business and employment opportunities, and on the market for textile and apparel goods in each Party. 3. Notwithstanding Article 309 and paragraph 2 of Section 3, a Party may maintain restrictions in effect upon the date of entry into force of this Agreement on the importation of worn clothing and other worn articles classified under heading 63.09 of the HS, unless the Parties agree otherwise on the basis of the recommendations presented to the Commission by the Committee on Trade in Worn Clothing. Section 10: Definitions For purposes of this Annex: carryforward means the allocation to the present year of a portion of the following year's limit, which must be accounted for by an equivalent decrease in the following year's limit; carryover means the allocation to the present year of an unused portion of the previous year's limit; category means a grouping of textile or apparel goods, as further defined in Appendix 10.1; consensus means, when applied to recommendations of the Committee on Trade in Worn Clothing, a recommendation is approved if no member of the Committee formally objects to its approval; consultation level ("level"), including designated consultation level, means a level of exports, for a particular textile or apparel good, which may be increased in accordance with the provisions of Appendix 3.1 as a result of consultations requested by the exporting Party, in contrast to a specific limit which is increased by the specific rates provided for in Appendix 3.1; exporting Party means the Party from whose territory textile or apparel goods are exported; flexibility provisions means the provisions set forth in paragraph 7 of Appendix 3.1; importing Party means the Party into whose territory textile or apparel goods are imported; integrated into the GATT, when referring to a textile or apparel good, means that good has become subject to the obligations of the General Agreement on Tariffs and Trade pursuant to any successor agreement to the Multifiber Arrangement; non-wool fabric means fabric in chief weight of any fiber other than wool, except woven fabric in chief weight of cotton or man-made fiber, containing 36 percent or more by weight wool; non-wool made-up textile good means a good in chief weight of any fiber other than wool; oxford cloth means fabrics woven as plain weave except that two or more warp ends are woven as one (taped warp); restriction means any import or export limitation, except for customs duties, taxes or other duties or charges, whether made effective through quotas, licenses, permits, import or export price requirements, or any other measure; specific limit ("limit"), means a level of exports, specified in Appendix 3.1, for a particular textile or apparel good which may be increased only in accordance with the provisions and specific rates set forth in Appendix 3.1; square meters equivalent (SME) means a common unit of measurement for textile and apparel goods; primary units of measure (e.g., units, dozens, kilograms) are converted to SMEs using the conversion factors set forth in Schedule 3.1.3 of Appendix 3.1; tariff preference level (TPL) means a mechanism by which to apply the preferential rate of customs duty to imports of a particular non-originating good up to a specified quantity; transition period means a period of 10 years from the date of entry into force of this Agreement; and wool apparel means: (i) apparel in chief weight of wool, (ii) woven apparel in chief weight of man-made fibers containing 36 percent or more by weight of wool, and (iii) knitted or crocheted apparel in chief weight of man-made fibers containing 23 percent or more by weight of wool. ============================================================================= APPENDIX 1.1 List of Goods Covered by Annex 300-B The descriptions listed in this Appendix are provided for ease of reference only; for legal purposes, coverage shall be determined according to the terms of the Harmonized System. HS No. Description Ch. 30 Pharmaceutical Products 3005 90 Wadding, gauze, bandages and the like Ch. 39 Plastics and articles thereof ex 3921 12 (Woven, knitted or non-woven fabric coated, covered or laminated with plastics ex 3921 13 ex 3921 90) Ch. 42 Articles of leather; saddlery and harness; travel goods, handbags and similar containers ex 4202 12 (Luggage, handbags and flatgoods with an outer surface predominantly of textile materials ex 4202 22) ex 4202 32) ex 4202 92) Ch. 50 Silk 5004 00 Silk yarn (other than yarn spun from silk waste) not for retail sale 5005 00 Yarn spun from silk waste, not for retail sale 5006 00 Silk yarn and yarn spun from silk waste, for retail sale; silk- worm gut 5007 10 Woven fabric of noil silk 5007 20 Woven fabric of silk or silk waste, other than noil silk, 85% or more of such fibers 5007 90 Woven fabric of silk, nes Ch. 51 Wool, fine or coarse animal hair, horsehair yarn and fabric 5105 10 Carded wool 5105 21 Combed wool in fragments 5105 29 Wool tops and other combed wool, other than combed wool in fragments 5105 30 Fine animal hair, carded or combed 5106 10 Yarn of carded wool, ò85% wool, not for retail sale 5106 20 Yarn of carded, wool, <85% wool, not for retail sale 5107 10 Yarn of combed wool, ò85% wool, not for retail sale 5107 20 Yarn of combed wool, <85% wool, not for retail sale 5108 10 Yarn of carded fine animal hair, not for retail sale 5108 20 Yarn of combed fine animal hair, not for retail sale 5109 10 Yarn of wool or of fine animal hair, ò85% wool and fine animal hair, for retail sale 5109 90 Yarn of wool/of fine animal hair, <85% wool and fine animal hair, for retail sale 5110 00 Yarn of coarse animal hair or of horsehair 5111 11 Woven fabric of carded wool or fine animal hair, ò85% wool and fine animal hair, ó 300 g/m2 5111 19 Woven fabric of carded wool or fine animal hair, ò85% wool or fine animal hair, >300 g/m2 5111 20 Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, with man-made fibers 5111 30 Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, with man-made fibers 5111 90 Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, nes 5112 11 Woven fabric of combed wool or fine animal hair, ò85% wool or fine animal hair, ó200 g/m2 5112 19 Woven fabric of combed wool or fine animal hair, ò85% wool or fine animal hair, >200 g/m2 5112 20 Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, with man-made filament 5112 30 Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, with man-made fibers 5112 90 Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, nes 5113 00 Woven fabric of coarse animal hair or of horsehair Ch. 52 Cotton 5203 00 Cotton, carded or combed 5204 11 Cotton sewing thread ò85% cotton, not for retail sale 5204 19 Cotton sewing thread, <85% cotton, not for retail sale 5204 20 Cotton sewing thread, for retail sale 5205 11 Cotton yarn, ò85% cotton, single, uncombed, ò714.29 decitex, not for retail sale 5205 12 Cotton yarn, ò85% cotton, single, uncombed, 714.29 >decitexò232.56, not for retail sale 5205 13 Cotton yarn, ò85% cotton, single, uncombed, 232.56>decitexò192.31, not for retail sale 5205 14 Cotton yarn, ò85% cotton, single, uncombed, 192.31 >decitexò125, not for retail sale 5205 15 Cotton yarn, ò85% cotton, single, uncombed, <125 decitex, not for retail sale 5205 21 Cotton yarn, ò85% cotton, single, combed, ò714.29, not for retail sale 5205 22 Cotton yarn, ò85% cotton, single, combed, 714.29 >decitexò232.56, not for retail sale 5205 23 Cotton yarn, ò85% cotton, single, combed, 232.56 >decitexò192.31, not for retail sale 5205 24 Cotton yarn, ò85% cotton, single, combed, 192.31 >decitexò125, not for retail sale 5205 25 Cotton yarn, ò85% cotton, single, combed, <125 decitex, not for retail sale 5205 31 Cotton yarn, ò85% cotton, multiple, uncombed, ò714.29 decitex, not for retail sale, nes 5205 32 Cotton yarn, ò85% cotton, multiple, uncombed, 714.29 >decitexò232.56, not for retail sale, nes 5205 33 Cotton yarn, ò85% cotton, multiple, uncombed, 232.56 >decitexò192.31, not for retail sale, nes 5205 34 Cotton yarn, ò85% cotton, multiple, uncombed, 192.31 >decitexò125, not for retail sale, nes 5205 35 Cotton yarn, ò85% cotton, multiple, uncombed, <125 decitex, not for retail sale, nes 5205 41 Cotton yarn, ò85% cotton, multiple, combed, ò714.29 decitex, not for retail sale, nes 5205 42 Cotton yarn, ò85% cotton, multiple, combed, 714.29 >decitexò232.56, not for retail sale, nes 5205 43 Cotton yarn, ò85% cotton, multiple, combed, 232.56 >decitexò192.31, not for retail sale, nes 5205 44 Cotton yarn, ò85% cotton, multiple, combed, 192.31 >decitexò125, not for retail sale, nes 5205 45 Cotton yarn, ò85% cotton, multiple, combed, <125 decitex, not for retail sale, nes 5206 11 Cotton yarn, <85% cotton, single, uncombed, ò714.29, not for retail sale 5206 12 Cotton yarn, <85% cotton, single, uncombed, 714.29 >decitexò232.56, not for retail sale 5206 13 Cotton yarn, <85% cotton, single, uncombed, 232.56 >decitexò192.31, not for retail sale 5206 14 Cotton yarn, <85% cotton, single, uncombed, 192.31 >decitexò125, not for retail sale 5206 15 Cotton yarn, <85% cotton, single, uncombed, <125 decitex, not for retail sale 5206 21 Cotton yarn, <85% cotton, single, combed, ò714.29 decitex, not for retail sale 5206 22 Cotton yarn, <85% cotton, single, combed, 714.29 >decitexò232.56, not for retail sale 5206 23 Cotton yarn, <85% cotton, single, combed, 232.56 >decitexò192.31, not for retail sale 5206 24 Cotton yarn, <85% cotton, single, combed, 192.31 >decitexò125, not for retail sale 5206 25 Cotton yarn, <85% cotton, single, combed, <125 decitex, not for retail sale 5206 31 Cotton yarn, <85% cotton, multiple, uncombed, ò714.29, not for retail sale, nes 5206 32 Cotton yarn, <85% cotton, multiple, uncombed, 714.29 >decitexò232.56, not for retail sale, nes 5206 33 Cotton yarn, <85% cotton, multiple, uncombed, 232.56 >decitexò192.31, not for retail sale, nes 5206 34 Cotton yarn, <85% cotton, multiple, uncombed, 192.31 >decitexò125, not for retail sale, nes 5206 35 Cotton yarn, <85% cotton, multiple, uncombed, <125 decitex, not for retail sale, nes 5206 41 Cotton yarn, <85% cotton, multiple, combed, ò714.29, not for retail sale, nes 5206 42 Cotton yarn, <85% cotton, multiple, combed, 714.29 >decitexò232.56, not for retail sale, nes 5206 43 Cotton yarn, <85% cotton, multiple, combed, 232.56 >decitexò192.31, not for retail sale, nes 5206 44 Cotton yarn, <85% cotton, multiple, combed, 192.31 >decitexò125, not for retail sale, nes 5206 45 Cotton yarn, <85% cotton, multiple, combed, <125 decitex, not for retail sale, nes 5207 10 Cotton yarn (other than sewing thread)ò85% cotton, for retail sale 5207 90 Cotton yarn (other than sewing thread) <85% cotton, for retail sale 5208 11 Plain weave cotton fabric, ó85% cotton, ó100g/m2, unbleached 5208 12 Plain weave cotton fabric, ó85% cotton, >100g/m2, ó200g/m2, unbleached 5208 13 Twill weave cotton fabric, ò85% cotton, ó200g/m2, unbleached 5208 19 Woven fabric of cotton, ò85% cotton, ó200g/m2, unbleached, nes 5208 21 Plain weave cotton fabric, ò85% cotton, ó100g/m2, bleached 5208 22 Plain weave cotton fabric, ò85% cotton, >100g/m2, ó200g/m2, bleached 5208 23 Twill weave cotton fabric, ò85% cotton, ó200g/m2, bleached 5208 29 Woven fabric of cotton, ò85% cotton, ó200g/m2, bleached, nes 5208 31 Plain weave cotton fabric, ò85% cotton, ó100g/m2, dyed 5208 32 Plain weave cotton fabric, ò85% cotton, >100g/m2, ó 200g/m2, dyed 5208 33 Twill weave cotton fabric, ò85% cotton, ó200g/m2, dyed 5208 39 Woven fabric of cotton, ò85% cotton, ó200g/m2, dyed, nes 5208 41 Plain weave cotton fabric, ò85% cotton, ó100g/m2, yarn dyed 5208 42 Plain weave cotton fabric, ò85% cotton, >100g/m2, ó200 g/m2, yarn dyed 5208 43 Twill weave cotton fabric, ò85% cotton, ó200g/m2, yarn dyed 5208 49 Woven fabric of cotton, ò85% cotton, ó200g/m2, yarn dyed, nes 5208 51 Plain weave cotton fabric, ò85% cotton, ó100g/m2, printed 5208 52 Plain weave cotton fabric, ò85% cotton, >100g/m2, ó200 g/m2, printed 5208 53 Twill weave cotton fabric, ò85% cotton, ó200g/m2, printed 5208 59 Woven fabric of cotton, ò85% cotton, ó 200g/m2, printed, nes 5209 11 Plain weave cotton fabric, ò85% cotton, >200g/m2, unbleached 5209 12 Twill weave cotton fabric, ò85% cotton, >200g/m2, unbleached 5209 19 Woven fabric of cotton, ò85% cotton, >200g/m2, unbleached, nes 5209 21 Plain weave cotton fabric, ò85% cotton, >200g/m2, bleached 5209 22 Twill weave cotton fabric, ò85% cotton, >200g/m2, bleached 5209 29 Woven fabric of cotton, ò85% cotton, >200g/m2, bleached, nes 5209 31 Plain weave cotton fabric, ò85% cotton, >200g/m2, dyed 5209 32 Twill weave cotton fabric, ò85% cotton, >200g/m2, dyed 5209 39 Woven fabric of cotton, ò85% cotton, >200g/m2, dyed, nes 5209 41 Plain weave cotton fabric, ò85% cotton, >200g/m2, yarn dyed 5209 42 Blue denim fabric of cotton, ò85% cotton, >200g/m2 5209 43 Twill weave cotton fabric, other than denim,ò85% cotton, >200g/m2, yarn dyed 5209 49 Woven fabric of cotton, ò85% cotton, >200g/m2, yarn dyed, nes 5209 51 Plain weave cotton fabric, ò85% cotton, >200g/m2, printed 5209 52 Twill weave cotton fabric, ò85% cotton, >200g/m2, printed 5209 59 Woven fabric of cotton, ò85% cotton, >200g/m2, printed, nes 5210 11 Plain weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, unbleached 5210 12 Twill weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, unbleached 5210 19 Woven fabric of cotton, <85% cotton, with man-made fiber, ó200g/m2, unbleached, nes 5210 21 Plain weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, bleached 5210 22 Twill weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, bleached 5210 29 Woven fabric of cotton, <85% cotton, with man-made fiber, ó200g/m2, bleached, nes 5210 31 Plain weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, dyed 5210 32 Twill weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, dyed 5210 39 Woven fabric of cotton, <85% cotton, with man-made fiber, ó200g/m2, dyed, nes 5210 41 Plain weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, yarn dyed 5210 42 Twill weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, yarn dyed 5210 49 Woven fabric of cotton, <85% cotton, with man-made fiber, ó200g/m2, yarn dyed, nes 5210 51 Plain weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, printed 5210 52 Twill weave cotton fabric, <85% cotton, with man-made fiber, ó200g/m2, printed 5210 59 Woven fabric of cotton, <85% cotton, with man-made fiber, ó200g/m2, printed, nes 5211 11 Plain weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, unbleached 5211 12 Twill weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, unbleached 5211 19 Woven fabric of cotton, <85% cotton, with man-made fiber, >200g/m2, unbleached, nes 5211 21 Plain weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, bleached 5211 22 Twill weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, bleached 5211 29 Woven fabric of cotton, <85% cotton, with man-made fiber, >200g/m2, bleached, nes 5211 31 Plain weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, dyed 5211 32 Twill weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, dyed 5211 39 Woven fabric of cotton, <85% cotton, with man-made fiber, >200g/m2, dyed, nes 5211 41 Plain weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, yarn dyed 5211 42 Blue denim fabric of cotton, <85% cotton, with man-made fiber, >200g/m2 5211 43 Twill weave cotton fabric, other than denim, <85% cotton, with man-made fiber, >200g/m2, yarn dyed 5211 49 Woven fabric of cotton, <85% cotton, with man-made fiber, >200g/m2, yarn dyed, nes 5211 51 Plain weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, printed 5211 52 Twill weave cotton fabric, <85% cotton, with man-made fiber, >200g/m2, printed 5211 59 Woven fabric of cotton, <85% cotton, with man-made fiber, >200g/m2, printed, nes 5212 11 Woven fabric of cotton, weighing ó200g/m2, unbleached, nes 5212 12 Woven fabric of cotton, weighing ó200g/m2, bleached, nes 5212 13 Woven fabric of cotton, weighing ó200g/m2, dyed, nes 5212 14 Woven fabric of cotton, ó200g/m2, of yarns of different colors, nes 5212 15 Woven fabric of cotton, weighing ó200g/m2, printed, nes 5212 21 Woven fabric of cotton, weighing >200g/m2, unbleached, nes 5212 22 Woven fabric of cotton, weighing >200g/m2, bleached, nes 5212 23 Woven fabric of cotton, weighing >200g/m2, dyed, nes 5212 24 Woven fabric of cotton, >200g/m2, of yarns of different colors, nes 5212 25 Woven fabric of cotton, weighing >200g/m2, printed, nes Ch. 53 Other vegetable textile fibers; paper yarn and woven fabric of paper yarn 5306 10 Flax yarn, single 5306 20 Flax yarn, multiple 5307 10 Yarn of jute or of other textile bast fibers, single 5307 20 Yarn of jute or other textile bast fibers, multiple 5308 20 True hemp yarn 5308 90 Yarn of other vegetable textile fibers 5309 11 Woven fabric, ò85% flax, unbleached or bleached 5309 19 Woven fabric, ò85% flax, other than unbleached or bleached 5309 21 Woven fabric of flax, <85% flax, unbleached or bleached 5309 29 Woven fabric of flax, <85% flax, other than unbleached or bleached 5310 10 Woven fabric of jute or of other textile bast fibers, unbleached 5310 90 Woven fabric of jute or of other textile bast fibers, other than unbleached 5311 00 Woven fabric of other vegetable textile fibers; woven fabric of paper yarn Ch. 54 Man-made filaments 5401 10 Sewing thread of synthetic filaments 5401 20 Sewing thread of artificial filaments 5402 10 High tenacity yarn (other than sewing thread), nylon or other polyamide fiber, not for retail sale 5402 20 High tenacity yarn (other than sewing thread), of polyester filaments, not for retail sale 5402 31 Textured yarn nes, of nylon or other polyamide fiber,ó50tex/single yarn, not for retail sale 5402 32 Textured yarn nes, of nylon or other polyamide fiber,>50 tex/single yarn, not for retail sale 5402 33 Textured yarn nes, of polyester filaments, not for retail sale 5402 39 Textured yarn of synthetic filaments, nes, not for retail sale 5402 41 Yarn of nylon or other polyamide fiber, single, untwisted, nes, not for retail sale 5402 42 Yarn of polyester filaments, partially oriented, single, nes, not for retail sale 5402 43 Yarn of polyester filaments, single, untwisted, nes, not for retail sale 5402 49 Yarn of synthetic filaments, single, untwisted, nes, not for retail sale 5402 51 Yarn of nylon or other polyamide fiber, single, >50 turns per meter, not for retail sale 5402 52 Yarn of polyester filaments, single, >50 turns per meter, not for retail sale 5402 59 Yarn of synthetic filaments, single, >50 turns per meter, nes, not for retail sale 5402 61 Yarn of nylon or other polyamide fiber, multiple, nes, not for retail sale 5402 62 Yarn of polyester filaments, multiple, nes, not for retail sale 5402 69 Yarn of synthetic filaments, multiple, nes, not for retail sale 5403 10 High tenacity yarn (other than sewing thread), of viscose rayon filaments, not for retail sale 5403 20 Textured yarn nes, of artificial filaments, not for retail sale 5403 31 Yarn of viscose rayon filaments, single, untwisted, nes, not for retail sale 5403 32 Yarn of viscose rayon filaments, single, >120 turns per meter, nes, not for retail sale 5403 33 Yarn of cellulose acetate filaments, single, nes, not for retail sale 5403 39 Yarn of artificial filaments, single, nes, not for retail sale 5403 41 Yarn of viscose rayon filaments, multiple, nes, not for retail sale 5403 42 Yarn of cellulose acetate filaments, multiple, nes, not for retail sale 5403 49 Yarn of artificial filaments, multiple, nes, not for retail sale 5404 10 Synthetic monofilament, ò67 decitex, no cross sectional dimension >1 mm 5404 90 Strip and the like of synthetic textile material of an apparent width ó 5mm 5405 00 Artificial monofil, 67 decitex, cross sectional dimension >1mm; strip of art. tex. mat. width ó5mm 5406 10 Yarn of synthetic filaments (other than sewing thread), for retail sale 5406 20 Yarn of artificial filaments (other than sewing thread), for retail sale 5407 10 Woven fabric of high tenacity filament yarn of nylon or other polyamides, or polyester 5407 20 Woven fabric obtained from strip or the like of synthetic textile materials 5407 30 Fabric specified in Note 9 Section XI (layers of parallel synthetic textile yarn) 5407 41 Woven fabric, ò85% nylon or other polyamide filaments, unbleached or bleached, nes 5407 42 Woven fabric, ò85% nylon or other polyamide filaments, dyed, nes 5407 43 Woven fabric, ò85% nylon or other polyamide filaments, yarn dyed, nes 5407 44 Woven fabric, ò85% nylon or other polyamide filaments, printed, nes 5407 51 Woven fabric, ò85% textured polyester filaments, unbleached or bleached, nes 5407 52 Woven fabric, ò85% textured polyester filaments, dyed, nes 5407 53 Woven fabric, ò85% textured polyester filaments, yarn dyed, nes 5407 54 Woven fabric, ò85% textured polyester filaments, printed, nes 5407 60 Woven fabric, ò85% non-textured polyester filaments, nes 5407 71 Woven fabric, ò85% synthetic filaments, unbleached or bleached, nes 5407 72 Woven fabric, ò85% synthetic filaments, dyed, nes 5407 73 Woven fabric, ò85% synthetic filaments, yarn dyed, nes 5407 74 Woven fabric, ò85% synthetic filaments, printed, nes 5407 81 Woven fabric of synthetic filaments, <85% syn. filaments, with cotton, unbl or bl, nes 5407 82 Woven fabric of synthetic filaments, <85% with cotton, dyed, nes 5407 83 Woven fabric of synthetic filaments, <85% with cotton, yarn dyed, nes 5407 84 Woven fabric of synthetic filaments, <85% with cotton, printed, nes 5407 91 Woven fabric of synthetic filaments, unbleached or bleached, nes 5407 92 Woven fabric of synthetic filaments, dyed, nes 5407 93 Woven fabric of synthetic filaments, yarn dyed, nes 5407 94 Woven fabric of synthetic filaments, printed, nes 5408 10 Woven fabric of high tenacity filament yarn of viscose rayon 5408 21 Woven fabric, ò85% artificial filament or strip, unbleached or bleached, nes 5408 22 Woven fabric, ò85% artificial filament or strip, dyed, nes 5408 23 Woven fabric, ò85% artificial filament or strip, yarn dyed, nes 5408 24 Woven fabric, ò85% artificial filament or strip, printed, nes 5408 31 Woven fabric of artificial filaments, unbleached or bleached, nes 5408 32 Woven fabric of artificial filaments, dyed, nes 5408 33 Woven fabric of artificial filaments, yarn dyed, nes 5408 34 Woven fabric of artificial filaments, printed, nes Ch.55Man-made staple fibers 5501 10 Filament tow of nylon or other polyamides 5501 20 Filament tow of polyesters 5501 30 Filament tow of acrylic or modacrylic 5501 90 Synthetic filament tow, nes 5502 00 Artificial filament tow 5503 10 Staple fibers of nylon or other polyamides, not carded or combed 5503 20 Staple fibers of polyesters, not carded or combed 5503 30 Staple fibers of acrylic or modacrylic, not carded or combed 5503 40 Staple fibers of polypropylene, not carded or combed 5503 90 Synthetic staple fibers, not carded or combed, nes 5504 10 Staple fibers of viscose, not carded or combed 5504 90 Artificial staple fibers, other than viscose, not carded or combed 5505 10 Waste of synthetic fibers 5505 20 Waste of artificial fibers 5506 10 Staple fibers of nylon or other polyamides, carded or combed 5506 20 Staple fibers of polyesters, carded or combed 5506 30 Staple fibers of acrylic or modacrylic, carded or combed 5506 90 Synthetic staple fibers, carded or combed, nes 5507 00 Artificial staple fibers, carded or combed 5508 10 Sewing thread of synthetic staple fibers 5508 20 Sewing thread of artificial staple fibers 5509 11 Yarn, ò85% nylon or other polyamide staple fibers, single, not for retail sale 5509 12 Yarn, ò85% nylon or other polyamide staple fibers, multiple, not for retail sale, nes 5509 21 Yarn, ò85% of polyester staple fibers, single, not for retail sale 5509 22 Yarn, ò85% of polyester staple fibers, multiple, not for retail sale, nes 5509 31 Yarn, ò85% of acrylic or modacrylic staple fibers, single, not for retail sale 5509 32 Yarn, ò85% acrylic/modacrylic staple fibers, multiple, not for retail sale, nes 5509 41 Yarn, ò85% of other synthetic staple fibers, single, not for retail sale 5509 42 Yarn, ò85% of other synthetic staple fibers, multiple, not for retail sale, nes 5509 51 Yarn of polyester staple fibers mixed with artificial staple fiber, not for retail sale, nes 5509 52 Yarn of polyester staple fiber mixed with wool or fine animal hair, not for retail sale, nes 5509 53 Yarn of polyester staple fibers mixed with cotton, not for retail sale, nes 5509 59 Yarn of polyester staple fibers, not for retail sale, nes 5509 61 Yarn of acrylic staple fiber mixed with wool or fine animal hair, not for retail sale, nes 5509 62 Yarn of acrylic staple fibers mixed with cotton, not for retail sale, nes 5509 69 Yarn of acrylic staple fibers, not for retail sale, nes 5509 91 Yarn of other synthetic staple fibers mixed with wool or fine animal hair, not for retail sale, nes 5509 92 Yarn of other synthetic staple fibers mixed with cotton, not for retail sale, nes 5509 99 Yarn of other synthetic staple fibers, not for retail sale, nes 5510 11 Yarn, ò85% of artificial staple fibers, single, not for retail sale 5510 12 Yarn, ò85% of artificial staple fibers, multiple, not for retail sale, nes 5510 20 Yarn of artificial staple fiber mixed with wool/fine animal hair, not for retail sale, nes 5510 30 Yarn of artificial staple fibers mixed with cotton, not for retail sale, nes 5510 90 Yarn of artificial staple fibers, not for retail sale, nes 5511 10 Yarn, ò85% of synthetic staple fibers, other than sewing thread, for retail sale 5511 20 Yarn, <85% of synthetic staple fibers, for retail sale, nes 5511 30 Yarn of artificial fibers (other than sewing thread), for retail sale 5512 11 Woven fabric, ò85% of polyester staple fibers, unbleached or bleached 5512 19 Woven fabric, ò85% of polyester staple fibers, other than unbleached or bleached 5512 21 Woven fabric, ò85% of acrylic staple fibers, unbleached or bleached 5512 29 Woven fabric, ò85% of acrylic staple fibers, other than unbleached or bleached 5512 91 Woven fabric, ò85% of other synthetic staple fibers, unbleached or bleached 5512 99 Woven fabric, ò85% of other synthetic staple fibers, other than unbleached or bleached 5513 11 Plain weave polyester fabric, <85% syn stple fiber, with cot, ó170g/m2, unbl or bl 5513 12 Twill weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, ó170g/m2, unbl or bl 5513 13 Woven polyester fabric, <85% synthetic stple fiber, with cotton, ó170g/m2, unbl or bl, nes 5513 19 Woven fabric of other synthetic staple fiber, <85% syn. stpl fib, with cotton, ó170g/m2, unbl or bl 5513 21 Plain weave polyester staple fiber fabric,<85% synthetic staple fiber, with cotton, ó170g/m2, dyed 5513 22 Twill weave polyester staple fiber fabric,<85% synthetic staple fiber, with cotton, ó170g/m2, dyed 5513 23 Woven fabric of polyester staple fiber, <85% syn. staple fiber, with cotton, ó170g/m2, dyed, nes 5513 29 Woven fabric of other synthetic staple fiber, <85% syn. staple fiber, with cotton, ó170g/m2, dyed 5513 31 Plain weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, ó170g/m2, yarn dyed 5513 32 Twill weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, ó170g/m2, yarn dyed 5513 33 Woven fabric of polyester staple fiber, <85% syn. staple fiber, with cotton, ó170g/m2, dyed nes 5513 39 Woven fabric of other synthetic staple fiber, <85% syn. staple fiber, with cotton, ó170g/m2, yarn dyed 5513 41 Plain weave polyester staple fiber fabric, <85% syn. stpl fiber, with cotton, ó170g/m2, printed 5513 42 Twill weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, <=/170g/m2, printed 5513 43 Woven fabric of polyester staple fiber, <85% syn staple fiber, with cotton, ó170g/m2, printed, nes 5513 49 Woven fabric of other synthetic staple fiber, <85% syn. staple fiber, with cotton, ó170g/m2, printed 5514 11 Plain weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, >170g/m2, unbl or bl 5514 12 Twill weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, >170g/m2, unbl or bl 5514 13 Woven fabric of polyester staple fiber, <85% syn. stpl fiber, with cotton, >170g/m2, unbl or bl, nes 5514 19 Woven fabric of other synthetic staple fiber, <85% syn stpl. fib, with cotton, >170g/m2, unbl or bl 5514 21 Plain weave polyester staple fiber fabric, <85% syn staple fiber, with cotton, >170g/m2, dyed 5514 22 Twill weave polyester staple fiber fabric, <85% synthetic staple fiber, with cotton, >170g/m2, dyed 5514 23 Woven fabric of polyester staple fiber, <85% synthetic staple fiber, with cotton, >170g/m2, dyed 5514 29 Woven fabric of other synthetic staple fiber, <85% synthetic staple fiber, with cotton, >170g/m2, dyed 5514 31 Plain weave polyester staple fiber fabric, <85% syn. staple fiber, with cotton, >170g/m2, yarn dyed 5514 32 Twill weave polyester staple fiber fabric, <85% mixed with cotton, >170g/m2, yarn dyed 5514 33 Woven fabric of polyester staple fiber, <85% syn. staple fiber, with cotton, >170g/m2, yarn dyed nes 5514 39 Woven fabric of other synthetic staple fiber, <85% syn. stpl fiber, with cotton, >170g/m2, yarn dyed 5514 41 Plain weave polyester staple fiber fabric, <85% synthetic staple fiber, with cotton, >170g/m2, printed 5514 42 Twill weave polyester staple fiber fabric, <85% synthetic staple fiber, with cotton, >170g/m2, printed 5514 43 Woven fabric of polyester staple fibers <85% syn. staple fiber, with cotton, >170g/m2, printed, nes 5514 49 Woven fabric of other synthetic staple fiber, <85% syn. staple fiber, with cotton, >170g/m2, printed 5515 11 Woven fabric of polyester staple fiber, with viscose rayon staple fiber, nes 5515 12 Woven fabric of polyester staple fiber, with man-made filaments, nes 5515 13 Woven fabric of polyester staple fiber, with wool or fine animal hair, nes 5515 19 Woven fabric of polyester staple fiber, nes 5515 21 Woven fabric of acrylic staple fiber, with man-made filaments, nes 5515 22 Woven fabric of acrylic staple fiber, with wool or fine animal hair, nes 5515 29 Woven fabric of acrylic or modacrylic staple fibers, nes 5515 91 Woven fabric of other synthetic staple fiber, with man-made filaments, nes 5515 92 Woven fabric of other synthetic staple fiber, with wool or fine animal hair, nes 5515 99 Woven fabric of synthetic staple fibers, nes 5516 11 Woven fabric, ò85% artificial staple fiber, unbleached or bleached 5516 12 Woven fabric, ò85% artificial staple fiber, dyed 5516 13 Woven fabric, ò85% artificial staple fiber, yarn dyed 5516 14 Woven fabric, ò85% artificial staple fiber, printed 5516 21 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with man-made fib, unbl or bl 5516 22 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with man-made fib, dyed 5516 23 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with man-made fib, yarn dyed 5516 24 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with man-made fib, printed 5516 31 Woven fabric of artificial staple fiber, <85% art stpl fiber, with wool/fine animal hair, unbl or bl 5516 32 Woven fabric of artificial staple fiber, <85% art staple fiber, with wool/fine animal hair, dyed 5516 33 Woven fabric of artificial staple fiber, <85% art staple fiber, with wool/fine animal hair, yarn dyed 5516 34 Woven fabric of artificial staple fiber, <85% art staple fiber, with wool/fine animal hair, printed 5516 41 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with cotton, unbl or bl 5516 42 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with cotton, dyed 5516 43 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with cotton, yarn dyed 5516 44 Woven fabric of artificial staple fiber, <85% artificial staple fiber, with cotton, printed 5516 91 Woven fabric of artificial staple fiber, unbleached or bleached, nes 5516 92 Woven fabric of artificial staple fiber, dyed, nes 5516 93 Woven fabric of artificial staple fiber, yarn dyed, nes 5516 94 Woven fabric of artificial staple fiber, printed, nes Ch. 56 Wadding, felt and nonwovens; special yarns, twine, cordage, ropes and cables and articles thereof 5601 10 Sanitary articles of wadding of textile materials, including sanitary towels, tampons, and diapers 5601 21 Wadding of cotton and articles thereof, other than sanitary articles 5601 22 Wadding of man-made fibers and articles thereof, other than sanitary articles 5601 29 Wedge of other textile materials and articles thereof, other than sanitary articles 5601 30 Textile flock and dust and mill neps 5602 10 Needleloom felt and stitch-bonded fiber fabric 5602 21 Felt other than needleloom, of wool or fine animal hair, not impregnated, coated, covered or laminated 5602 29 Felt other than needleloom, of other textile materials, not impregnated, coated, covered or laminated 5602 90 Felt of textile materials, nes 5603 00 Nonwovens, whether or not impregnated, coated, covered or laminated 5604 10 Rubber thread and cord, textile covered 5604 20 High tenacity yarn of polyester, nylon other polyamide, viscose rayon, impregnated or coated 5604 90 Textile yarn, strip, impregnated, coated, covered or sheathed with rubber or plastics nes 5605 00 Metalized yarn, being textile yarn combined with metal thread, strip, or powder 5606 00 Gimped yarn nes; chenille yarn; loop wale-yarn 5607 10 Twine, cordage, ropes and cables, of jute or other textile bast fibers 5607 21 Binder or baler twine, of sisal or other textile fibers of the genus Agave 5607 29 Twine nes, cordage, ropes and cables, of sisal textile fibers 5607 30 Twine, cordage, ropes and cables, of abaca or other hard (leaf) fibers 5607 41 Binder or baler twine, of polyethylene or polypropylene 5607 49 Twine nes, cordage, ropes and cables, of polyethylene or polypropylene 5607 50 Twine, cordage, ropes and cables, of other synthetic fibers 5607 90 Twine, cordage, ropes and cables, of other materials 5608 11 Made up fishing nets, of man-made textile materials 5608 19 Knotted netting of twine, cordage, or rope, and other made up nets of man-made textile materials 5608 90 Knotted netting of twine, cordage, or rope, nes, and made up nets of other textile materials 5609 00 Articles of yarn, strip, twine, cordage, rope and cables, nes Ch.57Carpets and other textile floor coverings 5701 10 Carpets of wool or fine animal hair, knotted 5701 90 Carpets of other textile materials, knotted 5702 10 Kelem, Schumacks, Karamanie and similar textile hand-woven rugs 5702 20 Floor coverings of coconut fibers (coir) 5702 31 Carpets of wool or fine animal hair, of woven pile construction, not made up, nes 5702 32 Carpets of man-made textile materials, of woven pile construction, not made up, nes 5702 39 Carpets of other textile materials, of woven pile construction, not made up, nes 5702 41 Carpets of wool or fine animal hair, of woven pile construction, made up, nes 5702 42 Carpets of man-made textile materials, of woven pile construction, made up, nes 5702 49 Carpets of other textile materials, of woven pile construction, made up, nes 5702 51 Carpets of wool or fine animal hair, woven, not made up, nes 5702 52 Carpets of man-made textile materials, woven, not made up, nes 5702 59 Carpets of other textile materials, woven, not made up, nes 5702 91 Carpets of wool or fine animal hair, woven, made up, nes 5702 92 Carpets of man-made textile materials, woven, made up, nes 5702 99 Carpets of other textile materials, woven, made up, nes 5703 10 Carpets of wool or fine animal hair, tufted 5703 20 Carpets of nylon or other polyamide, tufted 5703 30 Carpets of other man-made textile materials, tufted 5703 90 Carpets of other textile materials, tufted 5704 10 Tiles of felt of textile materials, having a maximum surface area of 0.3 m2 5704 90 Carpets of felt of textile materials, nes 5705 00 Carpets and other textile floor coverings, nes Ch. 58 Special woven fabrics; tufted textile fabrics; lace; tapestries; trimmings; embroidery 5801 10 Woven pile fabric of wool or fine animal hair, other than terry and narrow fabric 5801 21 Woven uncut weft pile fabric of cotton, other than terry and narrow fabric 5801 22 Cut corduroy fabric of cotton, other than narrow fabric 5801 23 Woven weft pile fabric of cotton, nes 5801 24 Woven warp pile fabric of cotton, epingle (uncut), other than terry and narrow fabric 5801 25 Woven warp pile fabric of cotton, cut, other than terry and narrow fabric 5801 26 Chenille fabric of cotton, other than narrow fabric 5801 31 Woven uncut weft pile fabric of manmade fibers, other than terry and narrow fabric 5801 32 Cut corduroy fabric of man-made fibers, other than narrow fabric 5801 33 Woven weft pile fabric of man-made fibers, nes 5801 34 Woven warp pile fabric of man-made fiber, epingle (uncut),other than terry and narrow fabric 5801 35 Woven warp pile fabric of man-made fiber, cut, other than terry and narrow fabric 5801 36 Chenille fabric of man-made fibers, other than narrow fabric 5801 90 Woven pile fabric and chenille fabric of other textile materials, other than terry and narrow fabric 5802 11 Terry toweling and similar woven terry fabric of cotton, other than narrow fabric, unbleached 5802 19 Terry toweling and similar woven terry fabric of cotton, other than unbleached or narrow fabric 5802 20 Terry toweling and similar woven terry fabric of other textile materials, other than narrow fabric 5802 30 Tufted textile fabric, other than products of heading No 57.03 5803 10 Gauze of cotton, other than narrow fabric 5803 90 Gauze of other textile material, other than narrow fabric 5804 10 Tulles and other net fabric, not including woven, knitted or crocheted fabric 5804 21 Mechanically made lace of man-made fiber, in the piece, in strips or motifs 5804 29 Mechanically made lace of other textile materials, in the piece, in strips or in motifs 5804 30 Hand-made lace, in the piece, in strips or in motifs 5805 00 Hand-woven tapestries and needle-worked tapestries, whether or not made up 5806 10 Narrow woven pile fabric and narrow chenille fabric 5806 20 Narrow woven fabric, containing ò5% elastomeric yarn or rubber thread, nes 5806 31 Narrow woven fabric of cotton, nes 5806 32 Narrow woven fabric of man-made fibers, nes 5806 39 Narrow woven fabric of other textile materials, nes 5806 40 Fabric consisting of warp without weft, assembled by means of an adhesive 5807 10 Labels, badges and similar woven articles of textile materials 5807 90 Labels, badges and similar articles, not woven, of textile materials, nes 5808 10 Braids in the piece 5808 90 Ornamental trimmings in the piece, other than knit; tassels, pompons and similar articles 5809 00 Woven fabric of metal thread or metalized yarn, for apparel, and homefurnishings, nes 5810 10 Embroidery without visible ground, in the piece, in strips or in motifs 5810 91 Embroidery of cotton, in the piece, in strips or in motifs, nes 5810 92 Embroidery of man-made fibers, in the piece, in strips or in motifs, nes 5810 99 Embroidery of other textile materials, in the piece, in strips or motifs, nes 5811 00 Quilted textile products in the piece Ch. 59 Impregnated, coated, covered, laminated textile fabric; textile articles suitable for industrial use 5901 10 Textile fabric coated with gum, of a kind used for outer covers of books or the like 5901 90 Tracing cloth; prepared painting canvas; stiffened textile fabric for hats, nes 5902 10 Tire cord fabric of high tenacity nylon or other polyamide yarn 5902 20 Tire cord fabric of high tenacity polyester yarn 5902 90 Tire cord fabric made of high tenacity viscose rayon yarn 5903 10 Textile fabric impregnated, coated, covered, or laminated with polyvinyl chloride, nes 5903 20 Textile fabric impregnated, coated, covered, or laminated with polyurethane, nes 5903 90 Textile fabric impregnated, coated, covered, or laminated with plastics, nes 5904 10 Linoleum, whether or not cut to shape 5904 91 Floor coverings, other than linoleum, with a base of needleloom felt or nonwovens 5904 92 Floor coverings, other than linoleum, with other textile base 5905 00 Textile wall coverings 5906 10 Rubberized textile adhesive tape of a width not exceeding 20 cm 5906 91 Rubberized textile knitted or crocheted fabric, nes 5906 99 Rubberized textile fabric, nes 5907 00 Textile fabric impregnated, coated, covered, nes; painted canvas for theater use, backdrops, etc. 5908 00 Textile wicks for lamps, stoves, candles or the like; gas mantles and knitted gas mantle fabric 5909 00 Textile hosepiping and similar textile tubing 5910 00 Transmission or conveyor belts or belting of textile material whether or not reinforced 5911 10 Felt and felt-lined woven fabric combined with rubber, leather, or other material, for technical uses 5911 20 Textile bolting cloth, whether or not made up 5911 31 Textile fabric, endless or linked, for paper-making or similar machines, weighing <650 g/m2 5911 32 Textile fabric, endless or linked, for paper-making or similar machines, weighing ò650 g/m2 5911 40 Textile straining cloth used in oil presses or the like, including of human hair 5911 90 Textile products and articles for technical uses, nes Ch. 60 Knitted or crocheted fabrics 6001 10 Long pile knitted or crocheted textile fabric 6001 21 Looped pile knitted or crocheted fabric, of cotton 6001 22 Looped pile knitted or crocheted fabric, of man-made fibers 6001 29 Looped pile knitted or crocheted fabric, of other textile materials 6001 91 Pile knitted or crocheted fabric, of cotton, nes 6001 92 Pile knitted or crocheted fabric, of man-made fiber, nes 6001 99 Pile knitted or crocheted fabric, of other textile materials, nes 6002 10 Knitted or crocheted textile fabric, wó30 cm,ò5% of elastomeric yarn or rubber thread, nes 6002 20 Knitted or crocheted textile fabric, width not exceeding 30 cm, nes 6002 30 Knitted or crocheted textile fabric, width > 30 cm, ò5% of elastomeric yarn or rubber thread, nes 6002 41 Warp knitted fabric, of wool or fine animal hair, nes 6002 42 Warp knitted fabric, of cotton, nes 6002 43 Warp knitted fabric, of man-made fibers, nes 6002 49 Warp knitted fabric, of other materials, nes 6002 91 Knitted or crocheted fabric, of wool or of fine animal hair, nes 6002 92 Knitted or crocheted fabric, of cotton, nes 6002 93 Knitted or crocheted fabric, of manmade fibers, nes 6002 99 Knitted or crocheted fabric, of other materials, nes Ch. 61 Articles of apparel and clothing accessories, knitted or crocheted 6101 10 Men's or boys' overcoats, anoraks, and sim articles, of wool or fine animal hair, knitted or crocheted 6101 20 Men's or boys' overcoats, anoraks, and similar articles, of cotton, knitted or crocheted 6101 30 Men's or boys' overcoats, anoraks, and similar articles, of man- made fibers, knitted or crocheted 6101 90 Men's or boys' overcoats, anoraks, and sim articles, of other textile materials, knitted or crocheted 6102 10 Women's or girls' overcoats, anoraks and sim art, of wool or fine animal hair, knitted or crocheted 6102 20 Women's or girls' overcoats, anoraks and similar articles, of cotton, knitted or crocheted 6102 30 Women's or girls' overcoats, anoraks and similar articles, of man- made fibers, knitted or crocheted 6102 90 Women's or girls' overcoats, anoraks and sim art, of other textile materials, knitted or crocheted 6103 11 Men's or boys' suits, of wool or fine animal hair, knitted or crocheted 6103 12 Men's or boys' suits, of synthetic fibers, knitted or crocheted 6103 19 Men's or boys' suits, of other textile materials, knitted or crocheted 6103 21 Men's or boys' ensembles, of wool or fine animal hair, knitted or crocheted 6103 22 Men's or boys' ensembles, of cotton, knitted or crocheted 6103 23 Men's or boys' ensembles, of synthetic fibers, knitted or crocheted 6103 29 Men's or boys' ensembles, of other textile materials, knitted or crocheted 6103 31 Men's or boys' jackets and blazers, of wool or fine animal hair, knitted or crocheted 6103 32 Men's or boys' jackets and blazers, of cotton, knitted or crocheted 6103 33 Men's or boys' jackets and blazers, of synthetic fibers, knitted or crocheted 6103 39 Men's or boys' jackets and blazers, of other textile materials, knitted or crocheted 6103 41 Men's or boys' trousers and shorts, of wool or fine animal hair, knitted or crocheted 6103 42 Men's or boys' trousers and shorts, of cotton, knitted or crocheted 6103 43 Men's or boys' trousers and shorts, of synthetic fibers, knitted or crocheted 6103 49 Men's or boys' trousers and shorts, of other textile materials, knitted or crocheted 6104 11 Women's or girls' suits, of wool or fine animal hair, knitted or crocheted 6104 12 Women's or girls' suits, of cotton, knitted or crocheted 6104 13 Women's or girls' suits, of synthetic fibers, knitted or crocheted 6104 19 Women's or girls' suits, of other textile materials, knitted or crocheted 6104 21 Women's or girls' ensembles, of wool or fine animal hair, knitted or crocheted 6104 22 Women's or girls' ensembles, of cotton, knitted or crocheted 6104 23 Women's or girls' ensembles, of synthetic fibers, knitted or crocheted 6104 29 Women's or girls' ensembles, of other textile materials, knitted or crocheted 6104 31 Women's or girls' jackets, of wool or fine animal hair, knitted or crocheted 6104 32 Women's or girls' jackets, of cotton, knitted or crocheted 6104 33 Women's or girls' jackets, of synthetic fibers, knitted or crocheted 6104 39 Women's or girls' jackets, of other textile materials, knitted or crocheted 6104 41 Women's or girls' dresses, of wool or fine animal hair, knitted or crocheted 6104 42 Women's or girls' dresses, of cotton, knitted or crocheted 6104 43 Women's or girls' dresses, of synthetic fibers, knitted or crocheted 6104 44 Women's or girls' dresses, of artificial fibers, knitted or crocheted 6104 49 Women's or girls' dresses, of other textile materials, knitted or crocheted 6104 51 Women's or girls' skirts, of wool or fine animal hair, knitted or crocheted 6104 52 Women's or girls' skirts, of cotton, knitted or crocheted 6104 53 Women's or girls' skirts, of synthetic fibers, knitted or crocheted 6104 59 Women's or girls' skirts, of other textile materials, knitted or crocheted 6104 61 Women's or girls' trousers and shorts, of wool or fine animal hair, knitted or crocheted 6104 62 Women's or girls' trousers and shorts, of cotton, knitted or crocheted 6104 63 Women's or girls' trousers and shorts, of synthetic fibers, knitted or crocheted 6104 69 Women's or girls' trousers and shorts, of other textile materials, knitted or crocheted 6105 10 Men's or boys' shirts, of cotton, knitted or crocheted 6105 20 Men's or boys' shirts, of man-made fibers, knitted or crocheted 6105 90 Men's or boys' shirts, of other textile materials, knitted or crocheted 6106 10 Women's or girls' blouses and shirts, of cotton, knitted or crocheted 6106 20 Women's or girls' blouses and shirts, of man-made fibers, knitted or crocheted 6106 90 Women's or girls' blouses and shirts, of other materials, knitted or crocheted 6107 11 Men's or boys' underpants and briefs, of cotton, knitted or crocheted 6107 12 Men's or boys' underpants and briefs, of man-made fibers, knitted or crocheted 6107 19 Men's or boys' underpants and briefs, of other textile materials, knitted or crocheted 6107 21 Men's or boys' nightshirts and pajamas, of cotton, knitted or crocheted 6107 22 Men's or boys' nightshirts and pajamas, of man-made fibers, knitted or crocheted 6107 29 Men's or boys' nightshirts and pajamas, of other textile materials, knitted or crocheted 6107 91 Men's or boys' underpants, briefs, robes, and similar articles of cotton, knitted or crocheted 6107 92 Men's or boys' underpants, briefs, robes, and sim articles of man- made fibers, knitted or crocheted 6107 99 Men's or boys' underwear, briefs, robes, and sim art of other textile materials, knitted or crocheted 6108 11 Women's or girls' slips and petticoats, of man-made fibers, knitted or crocheted 6108 19 Women's or girls' slips and petticoats, of other textile materials, knitted or crocheted 6108 21 Women's or girls' briefs and panties, of cotton, knitted or crocheted 6108 22 Women's or girls' briefs and panties, of man-made fibers, knitted or crocheted 6108 29 Women's or girls' briefs and panties, of other textile materials, knitted or crocheted 6108 31 Women's or girls' nightdresses and pajamas, of cotton, knitted or crocheted 6108 32 Women's or girls' nightdresses and pajamas, of man-made fibers, knitted or crocheted 6108 39 Women's or girls' nightdresses and pajamas, of other textile materials, knitted or crocheted 6108 91 Women's or girls' robes, dressing gowns, and similar articles of cotton, nes, knitted or crocheted 6108 92 Women's or girls' robes, dressing gowns, and sim art of man-made fibers, nes, knitted or crocheted 6108 99 Women's or girls' robes, dressing gowns, and sim art of other tex materials, nes, knitted or crocheted 6109 10 T-shirts, singlets, tank tops, and similar garments, of cotton, knitted or crocheted 6109 90 T-shirts, singlets, tank tops, and similar garments, of other textile materials, knitted or crocheted 6110 10 Sweaters, pullovers, sweatshirts, and sim articles of wool or fine animal hair, knitted or crocheted 6110 20 Sweaters, pullovers, sweatshirts, and similar articles of cotton, knitted or crocheted 6110 30 Sweaters, pullovers, sweatshirts, and similar articles of man-made fibers, knitted or crocheted 6110 90 Sweaters, pullovers, sweatshirts, and sim articles of other textile materials, knitted or crocheted 6111 10 Babies garments and clothing accessories of wool or fine animal hair, knitted or crocheted 6111 20 Babies garments and clothing accessories of cotton, knitted or crocheted 6111 30 Babies garments and clothing accessories of synthetic fibers, knitted or crocheted 6111 90 Babies garments and clothing accessories of other textile materials, knitted or crocheted 6112 11 Track suits, of cotton, knitted or crocheted 6112 12 Track suits, of synthetic fibers, knitted or crocheted 6112 19 Track suits, of other textile materials, knitted or crocheted 6112 20 Ski suits, of textile materials, knitted or crocheted 6112 31 Men's or boys' swimwear, of synthetic fibers, knitted or crocheted 6112 39 Men's or boys' swimwear, of other textile materials, knitted or crocheted 6112 41 Women's or girls' swimwear, of synthetic fibers, knitted or crocheted 6112 49 Women's or girls' swimwear, of other textile materials, knitted or crocheted 6113 00 Garments made up of impregnated, coated, covered or laminated textile knitted or crocheted fabric 6114 10 Garments of wool or fine animal hair, knitted or crocheted, nes 6114 20 Garments of cotton, knitted or crocheted, nes 6114 30 Garments of man-made fibers, knitted or crocheted, nes 6114 90 Garments of other textile materials, knitted or crocheted, nes 6115 11 Panty hose and tights, of synthetic fiber yarn, <67 decitex/single yarn, knitted or crocheted 6115 12 Panty hose and tights, of synthetic fiber yarn, ò67 decitex/single yarn, knitted or crocheted 6115 19 Panty hose and tights, of other textile materials, knitted or crocheted 6115 20 Women full or knee length hosiery, of textile yarn, <67 decitex/single yarn, knitted or crocheted 6115 91 Hosiery nes, of wool or fine animal hair, knitted or crocheted 6115 92 Hosiery nes, of cotton, knitted or crocheted 6115 93 Hosiery nes, of synthetic fibers, knitted or crocheted 6115 99 Hosiery nes, of other textile materials, knitted or crocheted 6116 10 Gloves or mittens, impregnated, coated or covered with plastics or rubber, knitted or crocheted 6116 91 Gloves or mittens, nes, of wool or fine animal hair, knitted or crocheted 6116 92 Gloves or mittens, nes, of cotton, knitted or crocheted 6116 93 Gloves or mittens, nes, of synthetic fibers, knitted or crocheted 6116 99 Gloves or mittens, nes, of other textile materials, knitted or crocheted 6117 10 Shawls, scarves, veils and the like, of textile materials, knitted or crocheted 6117 20 Ties, bow ties and cravats, of textile materials, knitted or crocheted 6117 80 Clothing accessories nes, of textile materials, knitted or crocheted 6117 90 Parts of garments or clothing accessories, of textile materials, knitted or crocheted Ch. 62 Articles of apparel and clothing accessories, not knitted or crocheted or crocheted 6201 11 Men's or boys' overcoats, and similar articles of wool or fine animal hair, not knit 6201 12 Men's or boys' overcoats, and similar articles of cotton, not knitted or crocheted 6201 13 Men's or boys' overcoats, and similar articles of man-made fibers, not knitted or crocheted 6201 19 Men's or boys' overcoats, and similar articles of other textile materials, not knitted or crocheted 6201 91 Men's or boys' anoraks and similar articles, of wool or fine animal hair, not knitted or crocheted 6201 92 Men's or boys' anoraks and similar articles, of cotton, not knitted or crocheted 6201 93 Men's or boys' anoraks and similar articles, of man-made fibers, not knitted or crocheted 6201 99 Men's or boys' anoraks and similar articles, of other textile materials, not knitted or crocheted 6202 11 Women's or girls' overcoats and similar articles of wool or fine animal hair not knit 6202 12 Women's or girls' overcoats and similar articles of cotton, not knitted or crocheted 6202 13 Women's or girls' overcoats and similar articles of man-made fibers, not knitted or crocheted 6202 19 Women's or girls' overcoats and similar articles of other textile mat, not knit 6202 91 Women's or girls' anoraks and similar article of wool or fine animal hair, not knit 6202 92 Women's or girls' anoraks and similar article of cotton, not knitted or crocheted 6202 93 Women's or girls' anoraks and similar article of man-made fibers, not knitted or crocheted 6202 99 Women's or girls' anoraks and similar article of other textile materials, not knit 6203 11 Men's or boys' suits, of wool or fine animal hair, not knitted or crocheted 6203 12 Men's or boys' suits, of synthetic fibers, not knitted or crocheted 6203 19 Men's or boys' suits, of other textile materials, not knitted or crocheted 6203 21 Men's or boys' ensembles, of wool or fine animal hair, not knitted or crocheted 6203 22 Men's or boys' ensembles, of cotton, not knitted or crocheted 6203 23 Men's or boys' ensembles, of synthetic fibers, not knitted or crocheted 6203 29 Men's or boys' ensembles, of other textile materials, not knitted or crocheted 6203 31 Men's or boys' jackets and blazers, of wool or fine animal hair, not knitted or crocheted 6203 32 Men's or boys' jackets and blazers, of cotton, not knitted or crocheted 6203 33 Men's or boys' jackets and blazers, of synthetic fibers, not knitted or crocheted 6203 39 Men's or boys' jackets and blazers, of other textile materials, not knitted or crocheted 6203 41 Men's or boys' trousers and shorts, of wool or fine animal hair, not knitted or crocheted 6203 42 Men's or boys' trousers and shorts, of cotton, not knitted or crocheted 6203 43 Men's or boys' trousers and shorts, of synthetic fibers, not knitted or crocheted 6203 49 Men's or boys' trousers and shorts, of other textile materials, not knitted or crocheted 6204 11 Women's or girls' suits, of wool or fine animal hair, not knitted or crocheted 6204 12 Women's or girls' suits, of cotton, not knitted or crocheted 6204 13 Women's or girls' suits, of synthetic fibers, not knitted or crocheted 6204 19 Women's or girls' suits, of other textile materials, not knitted or crocheted 6204 21 Women's or girls' ensembles, of wool or fine animal hair, not knitted or crocheted 6204 22 Women's or girls' ensembles, of cotton, not knitted or crocheted 6204 23 Women's or girls' ensembles, of synthetic fibers, not knitted or crocheted 6204 29 Women's or girls' ensembles, of other textile materials, not knitted or crocheted 6204 31 Women's or girls' jackets, of wool or fine animal hair, not knitted or crocheted 6204 32 Women's or girls' jackets, of cotton, not knitted or crocheted 6204 33 Women's or girls' jackets, of synthetic fibers, not knitted or crocheted 6204 39 Women's or girls' jackets, of other textile materials, not knitted or crocheted 6204 41 Women's or girls' dresses, of wool or fine animal hair, not knitted or crocheted 6204 42 Women's or girls' dresses, of cotton, not knitted or crocheted 6204 43 Women's or girls' dresses, of synthetic fibers, not knitted or crocheted 6204 44 Women's or girls' dresses, of artificial fibers, not knitted or crocheted 6204 49 Women's or girls' dresses, of other textile materials, not knitted or crocheted 6204 51 Women's or girls' skirts, of wool or fine animal hair, not knitted or crocheted 6204 52 Women's or girls' skirts, of cotton, not knitted or crocheted 6204 53 Women's or girls' skirts, of synthetic fibers, not knitted or crocheted 6204 59 Women's or girls' skirts, of other textile materials, not knitted or crocheted 6204 61 Women's or girls' trousers and shorts, of wool or fine animal hair, not knitted or crocheted 6204 62 Women's or girls' trousers and shorts, of cotton, not knitted or crocheted 6204 63 Women's or girls' trousers and shorts, of synthetic fibers, not knitted or crocheted 6204 69 Women's or girls' trousers and shorts, of other textile materials, not knitted or crocheted 6205 10 Men's or boys' shirts, of wool or fine animal hair, not knitted or crocheted 6205 20 Men's or boys' shirts, of cotton, not knitted or crocheted 6205 30 Men's or boys' shirts, of man-made fibers, not knitted or crocheted 6205 90 Men's or boys' shirts, of other textile materials, not knitted or crocheted 6206 10 Women's or girls' blouses and shirts, of silk or silk waste, not knitted or crocheted 6206 20 Women's or girls' blouses and shirts, of wool or fine animal hair, not knitted or crocheted 6206 30 Women's or girls' blouses and shirts, of cotton, not knitted or crocheted 6206 40 Women's or girls' blouses and shirts, of man-made fibers, not knitted or crocheted 6206 90 Women's or girls' blouses and shirts, of other textile materials, not knitted or crocheted 6207 11 Men's or boys' underpants and briefs, of cotton, not knitted or crocheted 6207 19 Men's or boys' underpants and briefs, of other textile materials, not knitted or crocheted 6207 21 Men's or boys' nightshirts and pajamas, of cotton, not knitted or crocheted 6207 22 Men's or boys' nightshirts and pajamas, of man-made fibers, not knitted or crocheted 6207 29 Men's or boys' nightshirts and pajamas, of other textile materials, not knitted or crocheted 6207 91 Men's or boys' robes, dressing gowns, and similar articles of cotton, not knitted or crocheted 6207 92 Men's or boys' robes, dressing gowns, and sim art of man-made fibers, not knitted or crocheted 6207 99 Men's or boys' robes, dressing gowns, and similar articles of other textile materials, not knit 6208 11 Women's or girls' slips and petticoats, of man-made fibers, not knitted or crocheted 6208 19 Women's or girls' slips and petticoats, of other textile materials, not knitted or crocheted 6208 21 Women's or girls' nightdresses and pajamas, of cotton, not knitted or crocheted 6208 22 Women's or girls' nightdresses and pajamas, of man-made fibers, not knitted or crocheted 6208 29 Women's or girls' nightdresses and pajamas, of other textile materials, not knitted or crocheted 6208 91 Women's or girls' panties, robes, and similar articles of cotton, not knitted or crocheted 6208 92 Women's or girls' panties, robes, and similar articles of man-made fibers, not knitted or crocheted 6208 99 Women's or girls' panties, robes, and sim art of other textile materials, not knitted or crocheted 6209 10 Babies garments and clothing accessories of wool or fine animal hair, not knitted or crocheted 6209 20 Babies garments and clothing accessories of cotton, not knitted or crocheted 6209 30 Babies garments and clothing accessories of synthetic fibers, not knitted or crocheted 6209 90 Babies garments and clothing accessories of other textile materials, not knitted or crocheted 6210 10 Garments made up of textile felts and of nonwoven textile fabric 6210 20 Men's or boys' overcoats and similar articles of impreg, coated, covered etc, textile fabric 6210 30 Women's or girls' overcoats and sim art, of impregnated, coated, covered, or laminated woven fabric 6210 40 Men's or boys' garments nes, made up of impregnated, coated, covered, or laminated woven fabric 6210 50 Women's or girls' garments nes, of impregnated, coated, covered, or laminated woven fabric 6211 11 Men's or boys' swimwear, of textile materials not knitted or crocheted 6211 12 Women's or girls' swimwear, of textile materials, not knitted or crocheted 6211 20 Ski suits, of textile materials, not knitted or crocheted 6211 31 Men's or boys' garments nes, of wool or fine animal hair, not knitted or crocheted 6211 32 Men's or boys' garments nes, of cotton, not knitted or crocheted 6211 33 Men's or boys' garments nes, of man-made fibers, not knitted or crocheted 6211 39 Men's or boys' garments nes, of other textile materials, not knitted or crocheted 6211 41 Women's or girls' garments nes, of wool or fine animal hair, not knitted or crocheted 6211 42 Women's or girls' garments nes, of cotton, not knitted or crocheted 6211 43 Women's or girls' garments nes, of man-made fibers, not knitted or crocheted 6211 49 Women's or girls' garments nes, of other textile materials, not knitted or crocheted 6212 10 Brassieres and parts thereof, of textile materials, whether or not knitted or crocheted 6212 20 Girdles, panty girdles and parts thereof, of textile materials, whether or not crocheted 6212 30 Corselettes and parts thereof, of textile materials, whether or not knitted or crocheted 6212 90 Corsets, braces and sim articles and parts, of textile materials, whether or not knitted or crocheted 6213 10 Handkerchiefs, of silk or silk waste, not knitted or crocheted 6213 20 Handkerchiefs, of cotton, not knitted or crocheted 6213 90 Handkerchiefs, of other textile materials, not knitted or crocheted 6214 10 Shawls, scarves, veils and the like, of silk or silk waste, not knitted or crocheted 6214 20 Shawls, scarves, veils and the like, of wool or fine animal hair, not knitted or crocheted 6214 30 Shawls, scarves, veils and the like, of synthetic fibers, not knitted or crocheted 6214 40 Shawls, scarves, veils and the like, of artificial fibers, not knitted or crocheted 6214 90 Shawls, scarves, veils and the like, of other textile materials, not knitted or crocheted 6215 10 Ties, bow ties and cravats, of silk or silk waste, not knitted or crocheted 6215 20 Ties, bow ties and cravats, of man-made fibers, not knitted or crocheted 6215 90 Ties, bow ties and cravats, of other textile materials, not knitted or crocheted 6216 00 Gloves, mittens and mitts, of textile materials, not knitted or crocheted 6217 10 Clothing accessories of textile materials, not knitted or crocheted, nes 6217 90 Parts of garments or of clothing accessories of textile materials, not knitted or crocheted, nes Ch. 63 Other made up textile articles; needlecraft sets; worn clothing and worn textile articles; rags 6301 10 Electric blankets, of textile materials 6301 20 Blankets (other than electric) and traveling rugs, of wool or fine animal hair 6301 30 Blankets (other than electric) and traveling rugs, of cotton 6301 40 Blankets (other than electric) and traveling rugs, of synthetic fibers 6301 90 Blankets (other than electric) and traveling rugs, of other textile materials 6302 10 Bed linen, of textile knitted or crocheted or crocheted materials 6302 21 Bed linen, of cotton, printed, not knitted or crocheted 6302 22 Bed linen, of man-made fibers, printed, not knitted or crocheted 6302 29 Bed linen, of other textile materials, printed, not knitted or crocheted 6302 31 Bed linen, of cotton, nes 6302 32 Bed linen, of man-made fibers, nes 6302 39 Bed linen, of other textile materials, nes 6302 40 Table linen, of textile knitted or crocheted materials 6302 51 Table linen, of cotton, not knitted or crocheted 6302 52 Table linen, of flax, not knitted or crocheted 6302 53 Table linen, of man-made fibers, not knitted or crocheted 6302 59 Table linen, of other textile materials, not knitted or crocheted 6302 60 Toilet and kitchen linen, of terry toweling or similar terry fabric, of cotton 6302 91 Toilet and kitchen linen, of cotton, nes 6302 92 Toilet and kitchen linen, of flax 6302 93 Toilet and kitchen linen, of man-made fibers 6302 99 Toilet and kitchen linen, of other textile materials 6303 11 Curtains, interior blinds and curtain or bed valances, of cotton, knitted or crocheted 6303 12 Curtains, interior blinds and curtain or bed valances, of synthetic fiber, knitted or crocheted 6303 19 Curtains, interior blinds and curtain or bed valances, other textile materials, knitted or crocheted 6303 91 Curtains, interior blinds and curtain or bed valances, of cotton, not knitted or crocheted 6303 92 Curtains, interior blinds and curtain or bed valances, of synthetic fiber, not knitted or crocheted 6303 99 Curtains, interior blinds and curtain or bed valances, of other tex mat, not knitted or crocheted 6304 11 Bedspreads of textile materials, nes, knitted or crocheted 6304 19 Bedspreads of textile materials, nes, not knitted or crocheted 6304 91 Furnishing articles nes, of textile materials, knitted or crocheted 6304 92 Furnishing articles nes, of cotton, not knitted or crocheted 6304 93 Furnishing articles nes, of synthetic fibers, not knitted or crocheted 6304 99 Furnishing articles nes, of other textile materials, not knitted or crocheted 6305 10 Sacks and bags of jute or of other textile bast fibers 6305 20 Sacks and bags of cotton 6305 31 Sacks and bags polyethylene or polypropylene strips 6305 39 Sacks and bags of other man-made textile materials 6305 90 Sacks and bags of other textile materials 6306 11 Tarpaulins, awnings and sunblinds, of cotton 6306 12 Tarpaulins, awnings and sunblinds, of synthetic fibers 6306 19 Tarpaulins, awnings and sunblinds, of other textile materials 6306 21 Tents, of cotton 6306 22 Tents, of synthetic fibers 6306 29 Tents, of other textile materials 6306 31 Sails, of synthetic fibers 6306 39 Sails, of other textile materials 6306 41 Pneumatic mattresses, of cotton 6306 49 Pneumatic mattresses, of other textile materials 6306 91 Camping goods nes, of cotton 6306 99 Camping goods nes, of other textile materials 6307 10 Floor-cloths, dish-cloths, dusters and similar cleaning cloths, of textile materials 6307 20 Life jackets and life belts, of textile materials 6307 90 Made up articles, of textile materials, nes, including dress patterns 6308 00 Sets of woven fabric and yarn, for rugs, tapestries, and similar textile articles, for retail sale 6309 00 Worn clothing and other worn articles Ch. 64 Footwear, gaiters, and the like; parts of such articles ex 6405 20 Footwear with soles and uppers of wool felt ex 6406 10 Footwear uppers of which the external surface is ò50% textile material ex 6406 99 Leg warmers and gaiters of textile materials Ch. 65 Headgear and parts thereof 6501 00 Hat-forms, hat bodies and hoods of felt; plateaux and manchons of felt 6502 00 Hat-shapes, plaited or made by assembling strips of any material 6503 00 Felt hats and other felt headgear 6504 00 Hats and other headgear, plaited or made by assembling strips of any material 6505 90 Hats and other headgear, knitted or made up from lace, or other textile materials Ch. 66 Umbrellas, sun umbrellas, walking sticks, seatsticks, whips, riding-crops and parts thereof 6601 10 Umbrellas and sun umbrellas, garden type 6601 91 Other umbrella types, telescopic shaft 6601 99 Other umbrellas Ch. 70 Glass and glassware ex 7019 10 Yarn of fiber glass ex 7019 20 Woven fabric of fiber glass Ch. 87 Vehicles other than railway or tramway rolling stock, and parts and accessories thereof 8708 21 Safety seat belts for motor vehicles Ch. 88 Aircraft, spacecraft, and parts thereof 8804 00 Parachutes; their parts and accessories Ch. 91 Clocks and watchs and parts thereof 9113 90 Watch straps, bands and bracelets of textile materials Ch. 94 Furniture; bedding, mattresses, mattress supports, cushions and similar stuffed furnishings ex 9404 90 Pillow and cushions of cotton; quilts; eiderdowns; comforters and sim articles of textile materials Ch. 95 Toys, games and sports requisites; parts and accessories thereof 9502 91 Garments for dolls Ch. 96 Miscellaneous manufactured articles ex 9612 10 Woven ribbons, of man-made fibers, other than those <30 mm wide and permanently in cartridges ============================================================================= APPENDIX 2.1 Tariff Elimination Trade Between the United States and Canada 1. The United States and Canada shall progressively eliminate their respective customs duties on originating textile and apparel goods of each other in accordance with the base rates and schedules set forth in Annex 401.2, as amended, of the Canada- United States Free Trade Agreement. Trade Between the United States and Mexico 2. The United States and Mexico shall progressively eliminate their respective customs duties on originating textile and apparel goods of each other, starting from the base rates set forth in the Party's Schedule in Annex 302.2, as follows: (a) duties on textile and apparel goods provided for in the items in staging category A in a Party's Schedule shall be eliminated entirely and such goods shall be duty- free effective January 1, 1994; (b) duties on textile and apparel goods provided for in the items in staging category B in a Party's Schedule shall be reduced on January 1, 1994, by an amount equal, in percentage terms, to the base rates. Thereafter, duties shall be removed in five equal annual stages commencing on January 1, 1995, and such goods shall be duty-free effective January 1, 1999; (c) duties on textile and apparel goods provided for in the items in staging category C in a Party's Schedule shall be removed in 10 equal annual stages commencing on January 1, 1994, and such goods shall be duty-free effective January 1, 2003; and (d) if the application of the formulas provided in subparagraphs (b) and (c) for staging categories B and C result in a duty that exceeds 20 percent ad valorem during any annual stage, the rate of duty during that stage shall be 20 percent ad valorem instead of the rate that otherwise would have applied. Exceptions to this provision are specified in Schedule 2.1. 3. In addition, on January 1, 1994, the United States shall eliminate customs duties on textile and apparel goods that are: (a) assembled in Mexico from fabrics wholly formed and cut in the United States; and (b) exported from and reimported into the United States under U.S. tariff item 9802.00.80.10, and shall not adopt or maintain customs duties on textile and apparel goods of Mexico that satisfy the requirements of any successor provision to that U.S. tariff item. Trade Between Canada and Mexico 4. Canada and Mexico shall progressively eliminate their respective customs duties on originating textile and apparel goods of each other, starting from the base rates set forth in the Party's Schedule in Annex 302.2, as follows: (a) duties on textile and apparel goods provided for in the items in staging category A in a Party's Schedule shall be eliminated entirely and such goods shall be duty- free effective January 1, 1994; (b) duties on textile and apparel goods provided for in the items in staging category B in a Party's Schedule shall be removed in six equal annual stages commencing on January 1, 1994, and such goods shall be duty-free effective January 1, 1999; (c) duties on textile and apparel goods provided for in the items in staging category B+ shall be reduced by the following percentages of the base rates, commencing on January 1, 1994, and such goods shall be duty-free effective January 1, 2001: January 1, 1994, 20 per cent; January 1, 1995, 0 per cent; January 1, 1996, 10 per cent; January 1, 1997, 10 per cent; January 1, 1998, 10 per cent; January 1, 1999, 10 per cent; January 1, 2000, 10 per cent; January 1, 2001, 30 per cent; and (d) duties on textile and apparel goods provided for in the items in staging category C in a Party's Schedule shall be removed in 10 equal annual stages commencing on January 1, 1994, and such goods shall be duty-free effective January 1, 2003. Trade Between All Parties 5. Originating textile and apparel goods provided for in the items in staging category D in a Party's Schedule shall continue to receive duty-free treatment. ============================================================================= Schedule 2.1 Exceptions to Tariff Phase-out Formula Specified in Appendix 2.1 1. The United States shall apply the following rates of duty on tariff items 5111.11.70, 5111.19.60, 5112.11.20, and 5112.19.90 during the transition period: Year 1 25.0% Year 2 24.1% Year 3 18.0% Year 4 12.0% Year 5 6.0% Year 6 and thereafter 0.0% 2. Mexico shall apply the following rates of duty on tariff items 5111.11.01, 5111.19.99, 5112.11.01, 5112.19.99, as modified to correspond to the U.S. tariff items identified in paragraph 1, during the transition period: Year 1 15.0% Year 2 14.5% Year 3 10.8% Year 4 7.2% Year 5 3.6% Year 6 and thereafter 0.0% 3. The United States shall apply the following rates of duty on tariff items 5111.20.90, 5111.30.90, 5112.20.30, 5112.30.30, 5407.91.05, 5407.92.05, 5407.93.05, 5407.94.05, 5408.31.05, 5408.32.05, 5408.33.05, 5408.34.05, 5515.13.05, 5515.22.05, 5515.92.05, 5516.31.05, 5516.32.05, 5516.33.05, and 5516.34.05 during the transition period: Year 1 25.0% Year 2 25.0% Year 3 20.0% Year 4 13.3% Year 5 6.7% Year 6 and thereafter 0.0% 4. Mexico shall apply the following rates of duty on tariff items 5111.20.99, 5111.30.99, 5112.20.01, 5112.30.01, 5407.91.99, 5407.92.99, 5407.93.99, 5407.94.99, 5408.31.99, 5408.32.99, 5408.33.99, 5408.34.99, 5515.13.01, 5515.22.01, 5515.92.01, 5516.31.01, 5516.32.01, 5516.33.01, and 5516.34.01, as modified to correspond to the U.S. tariff items identified in paragraph 3, during the transition period: Year 1 15.0% Year 2 15.0% Year 3 12.0% Year 4 8.0% Year 5 4.0% Year 6 and thereafter 0.0% 5. Mexico shall apply the following rates of duty on goods in subheadings 5703.20 and 5703.30 measuring not more than 5.25 square meters in area, other than hand-hooked, of nylon, during the transition period: Year 1 20.0% Year 2 20.0% Year 3 10.0% Year 4 6.6% Year 5 3.3% Year 6 and thereafter 0.0% ============================================================================= APPENDIX 3.1 Administering Import and Export Restrictions and Consultation Levels General Provisions Applicable Only to Trade Between Mexico and the United States and Between Mexico and Canada 1. A Party applying a restriction or consultation level on non- originating goods pursuant to Section 5 or paragraph 8 of this Appendix shall apply it in accordance with this Appendix and its Schedules. 2. An exporting Party whose textile or apparel good is subject to a restriction or consultation level shall limit its annual exports to the specified limits or levels, and the importing Party may assist the exporting Party in implementing such restriction or consultation level by controlling its imports. 3. Textile and apparel goods exported subject to restrictions or consultation levels shall be counted against the limits or levels applicable to the year in which exported. Exports in excess of authorized limits or levels in each calendar year shall, if allowed entry into the importing Party, be charged to the limit or level authorized for the succeeding year. 4. Each exporting Party whose goods are subject to a restriction or consultation level shall use its best efforts to space exports of such goods to the territory of the importing Party evenly throughout each calendar year, taking into consideration normal seasonal factors. 5. Upon written request by an exporting Party whose goods are subject to a restriction or consultation level, that Party and the importing Party shall enter into consultations, within 30 days of receipt of the written request therefor, on any question arising from the implementation of this Appendix. If the exporting Party considers that, as a result of a restriction or consultation level applied under this Appendix, it is being placed in an inequitable position in relation to another Party or a non-Party, the consulting Parties shall seek a mutually beneficial solution within 60 days of the request for consultations. 6. The Parties concerned may by mutual agreement adjust annual Designated Consultation Levels (DCLs) as follows: (a) if an exporting Party whose goods are subject to a DCL wishes to export goods in any category in excess of the applicable DCL in any calendar year, that Party may present to the importing Party a formal written request for an increase in the DCL; and (b) the importing Party shall respond, in writing, within 30 days of the receipt of the request. If the response to a request is negative, consultations shall take place not later than 15 days after the receipt of the negative response or as soon as mutually convenient. The Parties concerned shall endeavor to reach a mutually satisfactory solution. An exchange of letters shall confirm any agreement reached on any new DCL. 7. The Parties may adjust annual Specific Limits (SLs) as follows: (a) an exporting Party wishing to adjust an SL in accordance with this paragraph shall provide notice to the importing Party of its intent to make such adjustment; (b) that exporting Party may increase any SL by not more than 6 percent (swing); and (c) in addition, exports from that Party may exceed by a maximum of 11 percent any SL by allocating to such limit for that calendar year an unused portion ("shortfall") of the corresponding limit for the previous calendar year ("carryover") or a portion of the corresponding limit for the succeeding calendar year ("carryforward") subject to the following conditions (i) carryover may be utilized as available up to 11 percent of the receiving calendar year's applicable limits, (ii) carryforward may be utilized up to 6 percent of the receiving calendar year's applicable limits and shall be charged against the succeeding calendar year's corresponding limits, (iii) the combination of carryover and carryforward shall not exceed 11 percent of the receiving calendar year's applicable limits in any calendar year, and (iv) carryover of shortfall shall be applied to any specific limit following notice given by the exporting Party and confirmation by the importing Party that sufficient shortfall exists. If the importing Party does not consider that sufficient shortfall exists, it will promptly provide data to support that view. If substantial statistical differences exist between the import and export data upon which shortfall for a given period is computed, the Parties shall work to resolve these differences promptly. Provisions Applicable Only to Trade between Mexico and the United States 8. During the transition period, non-originating textile and apparel goods of Mexico exported to the United States shall be subject to the restrictions and consultation levels specified in Schedule 3.1.2, in accordance with this Appendix and its Schedules. Such restrictions and consultation levels shall be progressively eliminated as follows: (a) restrictions or consultation levels on items contained in the categories of textile and apparel goods in staging category 1 in Schedule 3.1.1 shall be eliminated on January 1, 1994; (b) restrictions or consultation levels on items contained in the categories of textile and apparel goods in staging category 2 in Schedule 3.1.1 shall be eliminated on January 1, 2001; and (c) restrictions or consultation levels on items contained in the categories of textile and apparel goods in staging category 3 in Schedule 3.1.1 shall be eliminated on January 1, 2004. 9. In addition, on January 1, 1994, the United States shall eliminate restrictions or consultation levels on textile and apparel goods that are: (a) assembled in Mexico from fabrics wholly formed and cut in the United States; and (b) exported from and reimported into the United States under U.S. tariff item 9802.00.80.10, and, notwithstanding Section 5, shall not adopt or maintain prohibitions, restrictions, or consultation levels on textile and apparel goods of Mexico that satisfy the requirements of any successor provision to that U.S. tariff item. 10. Notwithstanding paragraph 8, no Party may apply the restrictions and consultation levels specified in Schedule 3.1.2 to the following textile and apparel goods, provided such goods have been certified by the competent authority of Mexico as one of the following: (a) hand-loomed fabrics of a cottage industry; (b) hand-made cottage industry goods made of such hand- loomed fabrics; or (c) traditional folklore handicraft goods that have been identified and agreed between the United States and Mexico for exemption from quantitative restrictions. 11. The Bilateral Textile Agreement Between the United States of America and the United Mexican States, signed at Mazatlan February 13, 1988, as amended and extended (the Bilateral Agreement), shall terminate upon the date of entry into force of this Agreement. 12. Except as otherwise provided in this Annex, the Parties shall eliminate the restrictions and consultation levels listed in Schedule 3.1.2 in accordance with the schedule provided in Schedule 3.1.1. At the request of either Party, the Parties shall consult to consider accelerating the elimination of restrictions or consultation levels on specific textile and apparel goods. An agreement between the Parties to accelerate the elimination of a restriction or consultation level shall be considered part of this Agreement, superseding Schedule 3.1.1. 13. During the first calendar year following the date of entry into force of this Agreement, Mexico may carry over any unused portion of the preceding year's limit specified in the Bilateral Agreement, or apply against the first year's limit specified in this Appendix any exports made during the preceding year in excess of the applicable limit under the Bilateral Agreement, in accordance with the flexibility provisions set forth in paragraph 7. 14. All exports of textiles and apparel goods from the territory of Mexico to the territory of the United States covered by restrictions or consultation levels under this Appendix shall be accompanied by an export visa issued by the competent authority of Mexico, pursuant to a bilateral visa arrangement, as amended. 15. At the written request of either Party, both Parties shall consult, within 30 days of receipt of the request, on any questions arising from the implementation of this Appendix. In addition, at the request of either Party, those Parties shall conduct a major review of this Section no later than five years from the date of entry into force of this Agreement. 16. For the purpose of applying restrictions or consultation levels, each Party shall classify a good as being: (a) of man-made fibers if the good is in chief weight of man-made fibers, unless (i) the good is knitted or crocheted apparel in which wool equals or exceeds 23 percent by weight of all fibers, in which case it shall be of wool, (ii) the good is apparel, not knitted or crocheted, in which wool equals or exceeds 36 percent by weight of all fibers, in which case it shall be of wool, or (iii) the good is a woven fabric in which wool equals or exceeds 36 percent by weight of all fibers, in which case it shall be of wool; (b) of cotton, if not covered by (a) and if the good is in chief weight of cotton, unless the good is a woven fabric in which wool equals or exceeds 36 percent by weight of all fibers, in which case it shall be of wool; (c) of wool, if not covered by (a) or (b), and the good is in chief weight of wool; and (d) of non-cotton vegetable fiber, if not covered by (a), (b), or (c), and the good is in chief weight of non- cotton vegetable fiber, unless (i) cotton with wool and/or man-made fibers in the aggregate equal or exceed 50 percent by weight of the component fibers thereof and the cotton component equals or exceeds the weight of each of the total wool and/or man-made fiber components, in which case it shall be of cotton, (ii) if not covered by (d)(i) and wool exceeds 17 percent by weight of all component fibers, in which case it shall be of wool, or (iii) if not covered by (d)(i) or (d)(ii) and man- made fibers in combination with cotton and/or wool in the aggregate equal or exceed 50 percent by weight of the component fibers thereof and the man-made fiber component exceeds the weight of the total wool and/or total cotton component, in which case it shall be of man-made fibers. Schedules To determine which HS provisions are contained in a U.S. category listed in the Schedules in this Appendix, the Parties shall refer to the Correlation: Textile and Apparel Categories with the Harmonized Tariff Schedule of the United States, 1992 (or successor document), United States Department of Commerce, International Trade Administration, Office of Textiles and Apparel, Trade and Data Division, Washington, D.C. The descriptions listed in these Schedules are provided for ease of reference only; for legal purposes, coverage of a category shall be determined according to the Correlation. Schedule 3.1.1 Schedule For the Elimination of Restrictions and Consultation Levels on Exports from Mexico to the United States a. Special Regime Goods Category Description Staging Category 335 SR C W&G Coats, Special Regime 1 336/636 SR C/MMF Dresses, Special Regime 1 338/339/638/639 SR C/MMF Knit Shirts, Spec. Reg. 1 340/640 SR C/MMF Woven Shirts, Spec. Reg. 1 341/641 SR MMF Blouses, Special Regime 1 342/642 SR C/MMF Skirts, Special Regime 1 347/348/647/648 SR C/MMF Trousers, Spec. Reg. 1 351/651 SR C/MMF Pyjamas, etc. Spec. Reg. 1 352/652 SR C/MMF Underwear, Spec. Regime 1 359-C/659-C SR C/MMF Coveralls, Spec. Regime 1 633 SR MMF Suit Coats, Special Regime 1 635 SR MMF Coats, Special Regime 1 ============================================================================= b. Non-originating Goods Category Description Staging Category Broadwoven Fabric Group C/MMF 1 218 C/MMF Fabrics/Yarns Diff. Col. 1 219 C/MMF Duck Fabric 2 220 C/MMF Fabric of Special Weave 1 225 C/MMF Denim Fabric 1 226 C/MMF Cheesecloth, Batistes 1 227 C/MMF Oxford Cloth 1 300/301/607-Y C Combed/Carded Yarn; etc. 1 313 C Sheeting Fabric 2 314 C Poplin and Broadcloth Fabric 2 315 C Printcloth Fabric 2 317 C Twill Fabric 2 326 C Sateen Fabric 1 334/634 C/MMF Men's and Boy's Coats 1 335 NR C Coats, Women's and Girl's 1 336/636 NR C/MMF Dresses 1 338/339/638/639 NR C/MMF Knit Shirts and Blouses 2 340/640 NR C/MMFWoven Shirts 2 341/641 NR C/MMF Woven Blouses 1 342/642 C/MMF Skirts 1 347/348/647/648 NR C/MMF Trousers and Pants 2 351/651 C/MMF Pyjamas and Nightwear 1 352/652 NR C/MMF Underwear 1 359-C/659-C NR C/MMF Coveralls 1 363 C Terry and pile towels 1 410 Woven Wool Fabric 3 433 W Men's/Boy's Suit-type Coats 3 435 Women's and Girl's Coats, Wool 1 443 Men's and Boys Suits, Wool 3 604-AAcrylic Spun Yarn 1 604-O/607-O Staple Fiber Yarn 1 611 Artificial Staple Fiber Woven Fab. 3 613 MMF Sheeting Fabric 1 614 MMF Poplin & Broadcloth Fab. 1 615 MMF Printcloth Fabric 1 617 MMF Twill & Sateen Fab. 1 625 MMF Poplin/Broad. Stap/Fil 1 626 MMF Printcloth Stap/Fil 1 627 MMF Sheeting Stap/Fil 1 628 MMF Twill/Sateen Stap/Fil 1 629 MMF Other Stap/Fil Fab. 1 633 NR MMF Suit-Type Coats, M&B 2 635 Women's and Girls MMF Coats 1 643 MMF Suits for Men and Boys 2 669-BPolypropylene Bags 1 670 MMF Luggage, Flat Goods Etc. 1 Schedule 3.1.2 Restrictions and Consultation Levels on Exports from Mexico to the United States Unit of Category Form Measure Year 1 Year 2 Year 3 219 DCL SM 9,438,000 9,438,000 9,438,000 313 DCL SM 16,854,000 16,854,000 16,854,000 314 DCL SM 6,966,904 6,966,904 6,966,904 315 DCL SM 6,966,904 6,966,904 6,966,904 317 DCL SM 8,427,000 8,427,000 8,427,000 611 DCL SM 1,267,710 1,267,710 1,267,710 410 DCL SM 397,160 397,160 397,160 338/339/ 638/639 DCL DZ 650,000 650,000 650,000 340/640 SL DZ 120,439 128,822 137,788 347/348/ 647/648 DCL DZ 650,000 650,000 650,000 433 DCL DZ 11,000 11,000 11,000 443 SL NO 150,000 156,000 162,240 633 DCL DZ 10,000 10,000 10,000 643 DCL NO 155,556 155,556 155,556 Category Year 4 Year 5 Year 6 Year 7 219 9,438,000 9,438,000 9,438,000 9,438 ,000 313 16,854,000 16,854,000 16,854,000 16,854,000 314 6,966,904 6,966,904 6,966,904 6,966,904 315 6,966,904 6,966,904 6,966,904 6,966,904 317 8,427,000 8,427,000 8,427,000 8,427,000 611 1,267,710 1,267,710 1,267,710 1,267,710 410 397,160 397,160 397,160 397,160 338/339/ 638/639 650,000 650,000 650,000 650,000 340/640 147,378 160,200 174,137 189,287 347/348/ 647/648 650,000 650,000 650,000 650,000 433 11,000 11,000 11,000 11,000 443 168,730 175,479 182,498 189,798 633 10,000 10,000 10,000 10,000 643 155,556 155,556 155,556 155,556 Category Year 8 Year 9 Year10 611 1,267,710 1,267,710 1,267,710 410 397,160 397,160 397,160 433 11,000 11,000 11,000 443 197,390 205,286 213,496 Schedule 3.1.3 Conversion Factors 1. This Schedule applies to restrictions and consultation levels applied pursuant to Section 5 and paragraph 8 of Appendix 3.1, and to tariff preference levels (TPLs) applied pursuant to Section 6 and Appendix 6.0. 2. Unless otherwise provided in this Annex, or mutually agreed as between two Parties with respect to trade between those Parties, the rates of conversion into square meters equivalent listed below shall apply in implementing this Annex. 3. For goods covered by a textile category, the following conversion factors shall apply: Primary U.S. Conversion Description Unit of Category Factor Measure 200 6.60 YARN FOR RETAIL SALE, SEWING THREAD KG 201 6.50 SPECIALTY YARNS KG 218 1.00 FABRIC OF YARNS OF DIFFERENT COLORS SM 219 1.00 DUCK FABRIC SM 220 1.00 FABRIC OF SPECIAL WEAVE SM 222 6.00 KNIT FABRIC KG 223 14.00 NON-WOVEN FABRIC KG 224 1.00 PILE & TUFTED FABRIC SM 225 1.00 BLUE DENIM FABRIC SM 226 1.00 CHEESECLOTH, BATISTE, LAWN & VOILE SM 227 1.00 OXFORD CLOTH SM 229 13.60 SPECIAL PURPOSE FABRIC KG 237 19.20 PLAYSUITS, SUNSUITS, ETC DZ 239 6.30 BABIES' GARMENTS & CLOTHING ACCESS. KG 300 8.50 CARDED COTTON YARN KG 301 8.50 COMBED COTTON YARN KG 313 1.00 COTTON SHEETING FABRIC SM 314 1.00 COTTON POPLIN & BROADCLOTH FABRIC SM 315 1.00 COTTON PRINTCLOTH FABRIC SM 317 1.00 COTTON TWILL FABRIC SM 326 1.00 COTTON SATEEN FABRIC SM 330 1.40 COTTON HANDKERCHIEFS DZ 331 2.90 COTTON GLOVES AND MITTENS DPR 332 3.80 COTTON HOSIERY DPR 333 30.30 M&B SUIT-TYPE COATS, COTTON DZ 334 34.50 OTHER M&B COATS, COTTON DZ 335 34.50 W&G COTTON COATS DZ 336 37.90 COTTON DRESSES DZ 338 6.00 M&B COTTON KNIT SHIRTS DZ 339 6.00 W&G COTTON KNIT SHIRTS/BLOUSES DZ 340 20.10 M&B COTTON SHIRTS, NOT KNIT DZ 341 12.10 W&G COTTON SHIRTS/BLOUSES,NOT KNIT DZ 342 14.90 COTTON SKIRTS DZ ============================================================================= Primary U.S. Conversion Description Unit of Category Factor Measure 345 30.80 COTTON SWEATERS DZ 347 14.90 M&B COT. TROUSERS/BREECHES/SHORTS DZ 348 14.90 W&G COT. TROUSERS/BREECHES/SHORTS DZ 349 4.00 BRASSIERES, OTHER BODY SUPPORT GAR DZ 350 42.60 COTTON DRESSING GOWNS, ROBES ETC. DZ 351 43.50 COTTON NIGHTWEAR/PAJAMAS DZ 352 9.20 COTTON UNDERWEAR DZ 353 34.50 M&B COTTON DOWN-FILLED COATS DZ 354 34.50 W&G COTTON DOWN-FILLED COATS DZ 359 8.50 OTHER COTTON APPAREL KG 360 0.90 COTTON PILLOWCASES NO 361 5.20 COTTON SHEETS NO 362 5.80 OTHER COTTON BEDDING NO 363 0.40 COTTON TERRY & OTHER PILE TOWELS NO 369 8.50 OTHER COTTON MANUFACTURES KG 400 3.70 WOOL YARN KG 410 1.00 WOOL WOVEN FABRIC SM 414 2.80 OTHER WOOL FABRIC KG 431 1.80 WOOL GLOVES/MITTENS DPR 432 2.30 WOOL HOSIERY DPR 433 30.10 M&B WOOL SUIT-TYPE COATS DZ 434 45.10 OTHER M&B WOOL COATS DZ 435 45.10 W&G WOOL COATS DZ 436 41.10 WOOL DRESSES DZ 438 12.50 WOOL KNIT SHIRTS/BLOUSES DZ 439 6.30 BABIES' WOOL GARM/CLOTHING ACCESS. KG 440 20.10 WOOL SHIRTS/BLOUSES, NOT-KNIT DZ 442 15.00 WOOL SKIRTS DZ 443 3.76 M&B WOOL SUITS NO 444 3.76 W&G WOOL SUITS NO 445 12.40 M&B WOOL SWEATERS DZ 446 12.40 W&G WOOL SWEATERS DZ 447 15.00 M&B WOOL TROUSERS/BREECHES/SHORTS DZ 448 15.00 W&G WOOL TROUSERS/BREECHES/SHORTS DZ 459 3.70 OTHER WOOL APPAREL KG 464 2.40 WOOL BLANKETS KG 465 1.00 WOOL FLOOR COVERINGS SM 469 3.70 OTHER WOOL MANUFACTURES KG ============================================================================= Primary U.S. Conversion Description Unit of Category Factor Measure 600 6.50 TEXTURED FILAMENT YARN KG 603 6.30 YARN ò85% ARTIFICIAL STAPLE FIBER KG 604 7.60 YARN ò85% SYNTHETIC STAPLE FIBER KG 606 20.10 NON-TEXTURED FILAMENT YARN KG 607 6.50 OTHER STAPLE FIBER YARN KG 611 1.00 WOVEN FABRIC ò85% ARTIF STAPLE SM 613 1.00 MMF SHEETING FABRIC SM 614 1.00 MMF POPLIN & BROADCLOTH FABRIC SM 615 1.00 MMF PRINTCLOTH FABRIC SM 617 1.00 MMF TWILL AND SATEEN FABRIC SM 618 1.00 WOVEN ARTIFICIAL FILAMENT FABRIC SM 619 1.00 POLYESTER FILAMENT FABRIC SM 620 1.00 OTHER SYNTHETIC FILAMENT FABRIC SM 621 14.40 IMPRESSION FABRIC KG 622 1.00 GLASS FIBER FABRIC SM 624 1.00 WOVEN MMF FABRIC, 15 % TO 36 % WOOL SM 625 1.00 MMF STAP/FIL POPLN & BROADCLTH FAB SM 626 1.00 MMF STAP/FIL PRINTCLOTH FABRIC SM 627 1.00 MMF STAP/FIL SHEETING FABRIC SM 628 1.00 MMF STAPLE/FIL TWILL/SATEEN FABRIC SM 629 1.00 OTHER MMF STAP/FIL FABRIC SM 630 1.40 MMF HANDKERCHIEFS DZ 631 2.90 MMF GLOVES AND MITTENS DPR 632 3.80 MMF HOSIERY DPR 633 30.30 M&B MMF SUIT-TYPE COATS DZ 634 34.50 OTHER M&B MMF COATS DZ 635 34.50 W&G MMF COATS DZ 636 37.90 MMF DRESSES DZ 638 15.00 M&B MMF KNIT SHIRTS DZ 639 12.50 W&G MMF KNIT SHIRTS & BLOUSES DZ 640 20.10 M&B NOT-KNIT MMF SHIRTS DZ 641 12.10 W&G NOT-KNIT MMF SHIRTS & BLOUSES DZ 642 14.90 MMF SKIRTS DZ 643 3.76 M&B MMF SUITS NO 644 3.76 W&G MMF SUITS NO 645 30.80 M&B MMF SWEATERS DZ 646 30.80 W&G MMF SWEATERS DZ 647 14.90 M&B MMF TROUSERS/BREECHES/SHORTS DZ 648 14.90 W&G MMF TROUSERS/BREECHES/SHORTS DZ 649 4.00 MMF BRAS & OTHER BODY SUPPORT GARM DZ 650 42.60 MMF ROBES, DRESSING GOWNS, ETC. DZ 651 43.50 MMF NIGHTWEAR & PAJAMAS DZ 652 13.40 MMF UNDERWEAR DZ 653 34.50 M&B MMF DOWN-FILLED COATS DZ 654 34.50 W&G MMF DOWN-FILLED COATS DZ 659 14.40 OTHER MMF APPAREL KG ============================================================================= Primary U.S. Conversion Description Unit of Category Factor Measure 665 1.00 MMF FLOOR COVERINGS SM 666 14.40 OTHER MMF FURNISHINGS KG 669 14.40 OTHER MMF MANUFACTURES KG 670 3.70 MMF FLAT GOODS, HANDBAGS, LUGGAGE KG 800 8.50 YARN, SILK BLENDS/VEG FIBER KG 810 1.00 WOVEN FAB, SLK BLENDS/VEG FIBER SM 831 2.90 GLOVES & MITTENS, SILK BLEND/ VEG DPR 832 3.80 HOSIERY, SILK BLENDS/VEG FIBER DPR 833 30.30 M&B SUIT-TYPE COATS, SILK BL/VEG DZ 834 34.50 OTHER M&B COATS, SILK BLEND/VEG DZ 835 34.50 W&G COATS, SILK BLEND/VEG FIBER DZ 836 37.90 DRESSES, SILK BLEND/VEG FIBER DZ 838 11.70 KNIT SHIRTS & BLOUSES, SLK BL/VEG DZ 839 6.30 BABIES' GARM & CLOTH ACC, SLK/VEG KG 840 16.70 NOT-KNIT SHIRTS & BLOUSES, SLK/VEG DZ 842 14.90 SKIRTS, SILK BLENDS/VEG FIBERS DZ 843 3.76 M&B SUITS, SILK BLENDS/VEG FIBER NO 844 3.76 W&G SUITS, SILK BLENDS/VEG FIBER NO 845 30.80 SWEATERS, NON-COTTON VEG FIBERS DZ 846 30.80 SWEATERS, SILK BLENDS DZ 847 14.90 TROUSERS/BREECHES/SHORTS, SILK/VEG DZ 850 42.60 ROBES, DRESSING GOWNS,ETC, SLK/VEG DZ 851 43.50 NIGHTWEAR & PJ'S, SILK BL/VEG FIB DZ 852 11.30 UNDERWEAR, SILK BLENDS/VEG FIBER DZ 858 6.60 NECKWEAR, SILK BLENDS/VEG FIBER KG 859 12.50 OTHER SILK/VEG FIBER APPAREL KG 863 0.40 TOWELS, SILK BLENDS/VEG FIBERS NO 870 3.70 LUGGAGE, SILK BLENDS/VEG FIBERS KG 871 3.70 HANDBAGS & FLATGOODS, SLK BL/VEG KG 899 11.10 OTHER SILK BLENDS/VEG MANUFACTURES KG ============================================================================= 4. For goods not covered by a textile category, the following conversion factors shall apply: US Harmonized System Primary Statistical Conversion Unit of Provision Factor Measure Description 5208.31.2000 1.00 SM WOVEN FABRIC, 85%> COTTON, <100G/M2 CERTIFIED HAND-LOOM FABRIC, DYED 5208.32.1000 1.00 SM WOVEN FABRIC, 85%> COTTON, 100-200G/M2 CERTIFIED HAND-LOOM FABRIC, DYED 5208.41.2000 1.00 SM WOVEN FABRIC, ò85% COTTON ó100G/M2 CERT HAND-LOOM, YARNS OF DIF COLORS 5208.42.1000 1.00 SM WOVEN FABRIC, ò85% COTTON 100-200G/M2 CERT HAND-LOOM, YARNS OF DIF COLORS 5208.51.2000 1.00 SM WOVEN FABRIC, 85%> COTTON ó100G/M2 PLAIN WEAVE, CERTIFIED HAND-LOOM, PRINTED 5208.52.1000 1.00 SM WOVEN FABRIC, ò85% COTTON 100-200G/M2 PLAIN WEAVE, CERT HAND- LOOM, PRINTED 5209.31.3000 1.00 SM WOVEN FABRIC, 85%> COTTON >200G/M2 PLAIN WEAVE, CERTIFIED HAND-LOOM, DYED 5209.41.3000 1.00 SM WOVEN FABRIC, 85%> COTTON >200G/M2, PLAIN WEAVE, YARNS OF DIFFERENT COLOR 5209.51.3000 1.00 SM WOVEN FABRIC, >85% COTTON >200G/M2, PLAIN WEAVE, CERT HAND-LOOM, PRINTED 5307.10.0000 8.50 KG YARN, JUTE OR OTHER TEXTILE BAST FIBER (EXCLUDING FLAX/HEMP/RAMIE), SINGLE 5307.20.0000 8.50 KG YARN, JUTE OR OTHER TEXTILE BAST FIBER (EX. FLAX/HEMP/RAMIE), MULTIPLE/CABLE 5308.10.0000 8.50 KG YARN, COIR 5308.30.0000 8.50 KG YARN, PAPER 5310.10.0020 1.00 SM WOVEN FAB, JUTE OR OTHER TEX BAST FIBER (EX FLX/HEMP/RAM), ó130CM WIDE, UNBL 5310.10.0040 1.00 SM WOVEN FAB, JUTE OR OTH TEX BAST FIB (EX FLX/HMP/RM) >130 TO ó250 CM WIDE, UNBL 5310.10.0060 1.00 SM WOVEN FAB JUTE OR OTH TEX BAST FIB (EX FLAX/HEMP/RAM), >250 CM WIDE, UNBL 5310.90.0000 1.00 SM WOVEN FABRIC, JUTE OR OTH TEX BAST FIBER (EXCLUDING FLAX/HEMP/RAMIE), NES 5311.00.6000 1.00 SM WOVEN FABRIC OF PAPER YARN 5402.10.3020 20.10 KG NYLON HIGH TENACITY YARN, <5 TURNS PER METER, NOT FOR RETAIL SALE 5402.20.3020 20.10 KG POLYESTER HIGH TENACITY YARN, <5 TURNS PER METER, NOT FOR RETAIL SALE 5402.41.0010 20.10 KG NYLON MULTIFIL YRN, PARTIALLY ORIENTED, UNTWST/TWST <5 TRNS/MET, NOT RTL SALE 5402.41.0020 20.10 KG NYLON MONO/MULTFIL YARN, UNTWST/TWST <5 TURNS/METER, NOT FOR RETAIL SALE, NES 5402.41.0030 20.10 KG NYLON MONO/MULTIFIL YARN, UNTWST/TWIST <5 TURNS/METER, NOT FOR RETAIL SALE 5402.42.0000 20.10 KG POLY YARN, PARTIALLY ORIENTED, UNTWST/ TWST ó 50 TRNS/METER, NOT RTL SALE 5402.43.0020 20.10 KG POLY YARN, MONOFIL, UNTWST/TWST ó5 TURNS/METER, NOT FOR RETAIL SALE 5402.49.0010 20.10 KG POLYETHYLENE/POLYPROPYLENE FIL YARN, UNTWST/TWST <5 TRNS/MET, NOT RTL SALE 5402.49.0050 20.10 KG SYNTHETIC FIL YARN, UNTWST/TWST <5 TURNS/METER, NOT FOR RETAIL SALE, NES 5403.10.3020 20.10 KG VISCOSE RAYON HIGH TENACITY FIL YARN, UNTW/TWST <5 TRNS/MET, NOT RTL SALE 5403.31.0020 20.10 KG VISCOSE RAYON FIL YARN, SINGLE, UNTWST/TWST <5 TURNS/METER, NOT RETAIL SALE 5403.33.0020 20.10 KG CELLULOSE ACETATE FIL YRN, SING, UNTWST/TWST <5 TURNS/MET, NOT RETAIL SALE 5403.39.0020 20.10 KG ARTIFICIAL FIL YARN, UNTWST/TWST <5 TURNS/MET, NOT RETAIL SALE, NES 5404.10.1000 20.10 KG SYNTHETIC MONOFIL RACKET STRINGS, ò67 DECITEX, CROSS-SECT. DIMEMSION >1MM 5404.10.2020 20.10 KG NYLON MONFILAMENT, ò67 DECITEX, CROSS-SECTIONAL DIMENSION >1MM, 5404.10.2040 20.10 KG POLYESTER MONFILAMENT, >67 DECITEX, CROSS-SECTIONAL DIMENSION >1MM 5404.10.2090 20.10 KG SYNTHETIC MONFILAMENT ò67 DECITEX, CROSS-SECTIONAL DIMENSION >1MM, NES 5404.90.0000 20.10 KG SYNTHETIC STRIP WIDTH ó5MM 5405.00.3000 20.10 KG ARTIFICIAL MONOFIL, ò67 DECITEX, CROSS- SECTIONAL DIMENSION ó 1MM 5405.00.6000 20.10 KG ARTIFICIAL STRIP AND THE LIKE, WIDTHó 5MM 5407.30.1000 1.00 SM WOVEN SYN FIL FABRIC WITH YARN AT ACUTE/RIGHT ANGLES, >60% PLASTIC 5501.10.0000 7.60 KG NYLON/OTHER POLYAMIDE FILAMENT TOW 5501.20.0000 7.60 KG POLYESTER FILAMENT TOW 5501.30.0000 7.60 KG ACRYLIC OR MODACRYLIC FILAMENT TOW 5501.90.0000 7.60 KG SYNTHETIC FILAMENT TOW, NES 5502.00.0000 6.30 KG ARTIFICIAL FILAMENT TOW 5503.10.0000 7.60 KG NYLON/OTHER POLAMIDE STAPLE FIBERS NOT CARDED/COMBED OR OTHERWISE PROCESSED 5503.20.0000 7.60 KG POLYESTER STAPLE FIBERS NOT CARDED/ COMBED, OR OTHERWISE PROCESSED 5503.30.0000 7.60 KG ACRYLIC/MODOACRYLIC STAPLE FIBERS, NOT CARDED/COMBED OR OTHERWISE PROCESSED 5503.40.0000 7.60 KG POLYPROPYLENE STAPLE FIBERS NOT CARDED/COMBED OR OTHERWISE PROCESSED 5503.90.0000 7.60 KG SYNTHETIC STAPLE FIBER NOT CARDED/ COMBED, OR OTHERWIDE PROCESSED, NES 5504.10.0000 6.30 KG VISCOSE RAYON STAPLE FIBERS NOT CARDED/COMBED OR OTHERWISE PROCESSED 5504.90.0000 6.30 KG ARTIFICIAL STAPLE FIBERS NOT CARDED/ COMBED OR OTHERWISE PROCESSED, NES 5505.10.0020 7.60 KG WASTE, NYLON AND OTHER POLYAMIDES 5505.10.0040 7.60 KG WASTE, POLYESTER 5505.10.0060 7.60 KG WASTE, MMF SYNTHETIC FIBERS, NES 5505.20.0000 6.30 KG WASTE, MMF ARTIFICIAL FIBERS 5506.10.0000 7.60 KG NYLON/OTHER POLYAMIDES FIBERS, CARDED/COMBED OR OTHERWISE PROCESSED 5506.20.0000 7.60 KG POLYESTER STAPLE FIBER, CARDED/COMBED, OR OTHERWISE PROCESSED 5506.30.0000 7.60 KG ACRYLIC/MODOACRYLIC STAPLE FIBER, CARDED/COMBED OR OTHERWISE PROCESSED 5506.90.0000 7.60 KG SYNTHTIC STAPEE FIBER CARDED/COMBED OR OTHERWISE PROCESSED, NES 5507.00.0000 6.30 KG ARTIFICIAL STAPLE FIBERS, CARDED/COMBED, OR OTHERWISE PROCESSED 5801.90.2010 1.00 SM WOVEN PILE FABRIC, >85% SILK OR SILK WASTE 5802.20.0010 1.00 SM TERRY TOWELING FABRIC, >85% SILK OR SILK WASTE 5802.30.0010 1.00 SM TUFTED TEXTILE FABRIC, >85% SILK OR SILK WASTE 5803.90.4010 1.00 SM GAUZE, >85% SILK OR SILK WASTE 5804.10.0010 11.10 KG TULLES & OTHER NETTING FABRIC, KNIT OR CROCHETED, >85% SILK OR SILK WASTE 5804.29.0010 11.10 KG LACE IN THE PIECE/STRIP/MOTIF, >85% SILK OR SILK WASTE 5804.30.0010 11.10 KG HAND-MADE LACE IN PIECE/STRIP/MOTIF, >85% SILK OR SILK WASTE 5805.00.1000 1.00 SM HAND-WOVEN TAPESTRIES FOR WALLHANGINGS, VALUED AT >$215\SM 5805.00.2000 1.00 SM HAND-WOVEN TAPESTRIES, NES, WOOL, CERTIFIED HAND-LOOMED 5805.00.4090 1.00 SM HAND-WOVEN TAPESTRIES, NES 5806.10.3010 11.10 KG NARROW WOVEN PILE & CHENILLE FABRIC, >85% SILK OR SILK WASTE 5806.39.3010 11.10 KG NARROW WOVEN FABRIC, NOT PILE, >85% SILK OR SILK WASTE 5806.40.0000 13.60 KG NARROW FABRIC, WARP WITHOUT WEFT WITH AN ADHESIVE (BOLDUCS) 5807.10.1090 11.10 KG WOVEN LABELS, TEXTILE MATERIALS, NOT EMBROIDERED, NOT COTTON OR MMF 5807.10.2010 8.50 KG WOVEN BADGES AND SIMILAR ARTICLES, COTTON, NOT EMBROIDERED 5807.10.2020 14.40 KG WOVEN BADGES/SIMILAR ARTICLES, MMF, NOT EMBROIDERED 5807.10.2090 11.10 KG WOVEN BADGES/SIMILAR ARTCLES, TEXTILE MATS, NOT EMBROIDERED, NOT COTTON/MMF 5807.90.1090 11.10 KG NOT-WOVEN LABELS OF TEXTILE MATERIALS, NOT EMBROIDERED, NOT COTTON/MMF 5807.90.2010 8.50 KG NOT-WOVEN BADGES/SIMILAR ARTICLES, COTTON, NOT EMBROIDERED 5807.90.2020 14.40 KG NOT-WOVEN BADGES/SIMILAR ARTICLES, MMF, NOT EMBROIDERED 5807.90.2090 11.10 KG NOT-WOVEN BADGES/SIMILAR ARTICLES, TEX MATS, NOT EMBROIDERED, NOT COTTON/MMF 5808.10.2090 11.10 KG BRAIDS IN PIECE FOR HEADWEAR, OTH TEX MATERIALS, NES, NOT KNT OR EMBROIDERED 5808.10.3090 11.10 KG BRAID IN PIECE, NES, NES 5808.90.0090 11.10 KG ORNAMENTAL TRIMMING IN PIECE, TEX MATS, NOT KNT OR EMBROIDERED, NOT COTTON/MMF 5810.92.0040 14.40 KG EMBROIDERED BADGES/EMBLEMS/MOTIFS WITH VISIBLE GROUND, MMF 5810.99.0090 11.10 KG EMBROIDERY PIECES/STRIPS/MOTIFS WITH VISIBLE GROUND, TEXTILE MATERIALS, NES 5811.00.4000 1.00 SM QUILTED PIECES, 1ò LAYER TEXTILE MATERIALS, TEXTILE MATERIALS, NES 6001.99.0010 1.00 SM KNIT OR CROCHETED PILE FABRIC ò85% SILK OR SILK WASTE 6002.99.0010 11.10 KG KNIT OR CROCHETED FABRIC, NES ò85% SILK OR SILK WASTE 6301.90.0020 11.10 NO BLANKET/TRAVELING RUGS, >85% SILK OR SILK WASTE 6302.29.0010 11.10 NO BED LINEN, PRINTED >85% SILK OR SILK WASTE 6302.39.0020 11.10 NO BED LINEN, NES, >85% SILK OR SILK WASTE 6302.99.1000 11.10 NO LINEN, NES, >85% SILK OR SILK WASTE 6303.99.0030 11.10 NO CURTAINS, INTERIOR BLINDS, NOT KNIT OR CROCHETED, >85% SILK OR SILK WASTE 6304.19.3030 11.10 NO BEDSPREADS, NOT KNIT OR CROCHETED, >85% SILK OR SILK WASTE 6304.91.0060 11.10 NO FURNISHING ARTICLES, NES, KNIT OR CROCHETED >85% SILK OR SILK WASTE 6304.99.1000 1.00 SM WALL HANGINGS, WOOL OR FINE ANIMAL HAIR, CERT HAND-LOOMED/FOLKLORE, NOT KNIT 6304.99.2500 11.10 KG WALL HANGINGS, JUTE, NOT KNIT 6304.99.4000 3.70 KG PILLOW COVERS, WOOL OR FINE ANIMAL HAIR, CERTIFIED HAND-LOOMED/FOLKLORE 6304.99.6030 11.10 KG OTHER FURNISHING ARTICLES, NOT KNIT, NES >85% SILK OR SILK WASTE 6305.10.0000 11.10 KG SACKS & BAGS, JUTE/BAST FIBERS 6306.21.0000 8.50 KG TENTS OF COTTON 6306.22.1000 14.40 NO BACKPACK TENTS, SYNTHETIC FIBERS 6306.22.9010 14.40 KG SCREEN HOUSES, SYNTHETIC FIBERS 6306.29.0000 14.40 KG TENTS, TEXTILE MATERIALS NES 6306.31.0000 14.40 KG SAILS, SYNTHETIC FIBERS 6306.39.0000 8.50 KG SAILS, TEXTILE MATERIALS NES 6306.41.0000 8.50 KG PNEUMATIC MATTRESSES, COTTON 6306.49.0000 14.40 KG PNEUMATIC MATTRESSES, TEXTILE MATERIALS NES 6306.91.0000 8.50 KG CAMPING GOODS NES, COTTON 6306.99.0000 14.40 KG CAMPING GOODS, TEXTILE MATERIALS NES 6307.10.2030 8.50 KG CLEANING CLOTHS NES 6307.20.0000 11.40 KG LIFEJACKETS AND LIFEBELTS 6307.90.6010 8.50 KG PERINEAL TOWELS, FABRIC WITH PAPER BASE 6307.90.6090 8.50 KG OTHER SURGICAL DRAPES, FABRIC WITH PAPER BASE 6307.90.7010 14.40 KG SURGICAL DRAPES, DISPOSAL & NONWOVEN MMF 6307.90.7020 8.50 KG SURGICAL DRAPES NES 6307.90.7500 8.50 NO TOYS FOR PETS, TEXTILE MATERIALS 6307.90.8500 8.50 KG WALL BANNERS, MANMADE FIBERS 6307.90.9425 14.50 NO NATIONAL FLAGS OF THE UNITED STATES 6307.90.9435 14.50 NO NATIONAL FLAGS OF NATIONS OTHER THAN THE UNITED STATES 6307.90.9490 14.50 KG OTHER MADE-UP ARTICLES NES 6309.00.0010 8.50 KG WORN CLOTHING & OTHER WORN ARTICLES 6309.00.0020 8.50 KG WORN CLOTHING & OTHER WORN ARTICLES, NES 6310.10.1000 3.70 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , SORTED, WOOL OR FINE ANIMAL HAIR 6310.10.2010 8.50 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , SORTED, COTTON 6310.10.2020 14.40 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , SORTED, MMF 6310.10.2030 11.10 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , SORTED, NOT COTTON/MMF 6310.90.1000 3.70 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , NOT SORTED, WOOL OR FINE ANIMAL HAIR 6310.90.2000 8.50 KG RAGS/SCRAP/TWINE/CORDAGE/ROPE/CABLES , NOT SORTED, NOT WOOL 6501.00.30 4.4 DZ HAT FORMS/BODIES, NOT BLOCKED, NO BRIMS, FUR, MENS' AND BOY'S 6501.00.60 4.4 DZ HAT FORMS/BODIES, NOT BLOCKED, NO BRIMS, FUR, WOMENS' AND GIRL'S 6502.00.20 18.7 DZ HAT SHAPES, ASSEMBLED FROM STRIPS, VEGETABLE FIBER, SEWED 6502.00.40 18.7 DZ HAT SHAPES, PLAITED OR ASSEMBLED FROM STRPS, VEG FIB, NOT-SEWED, NOT BL/COL 6502.00.60 18.7 DZ HAT SHAPES, PLAITED OR ASSEMBLED FROM STRIPS, VEG FIB, NOT-SEWED, BL/COLORED 6503.00.30 5.8 DZ FELT HATS AND OTHER HEADGEAR, MEN'S AND BOYS' 6503.00.60 5.8 DZ FELT HATS AND OTHER HEADGEAR, NES 6504.00.30 7.5 DZ HATS AND OTHER HEADGEAR, ASSEMBLED FROM STRIPS, VEGETABLE FIBER, SEWED 6504.00.60 7.5 DZ HATS AND OTHER HEADGEAR, ASSEMBLED FROM STRIPS 6601.10.00 17.9 DZ GARDEN OR SIMILAR UMBRELLAS 6601.91.00 17.8 DZ OTHER UMBRELLAS, TELESCOPIC SHAFT 6601.99.00 11.2 DZ OTHER UMBRELLAS, NES 8708.21.00 2.72 KG SAFETY SEAT BELTS 5. (a) The primary unit of measure for the following tariff items in category 666 shall be No and shall be converted into square meters equivalent by the factor of 5.5. 6301.10.0000 ELECTRIC BLANKETS 6301.40.0010 BLANKET (NOT ELECTRIC) & TRAVEL RUGS OF SYNTH FIBER, WOVEN 6301.40.0020 BLANKETS (NOT ELECTRIC) & TRAVEL RUGS OF SYNTH FIBER, NES 6301.90.0010 BLANKETS AND TRAVELING RUGS OF ARTIFICIAL FIBER 6302.10.0020 BED LINEN, KNITTED OR CROCHETED FABRIC, EXCLUDING COTTON 6302.22.1030 SHEETS WITH TRIM, NAPPED, PRINTED, MANMADE FIBER 6302.22.1040 SHEETS WITH TRIM, NOT NAPPED, PRINTED, MANMADE FIBER 6302.22.1050 BOLSTER CASES WITH TRIM, PRINTED, MANMADE FIBER 6302.22.1060 BED LINEN WITH TRIM, PRINTED, MANMADE FIBER, NES 6302.22.2020 SHEETS, NOT TRIMMED, PRINTED, MANMADE FIBER 6302.22.2030 BED LINEN, NOT TRIMMED, PRINTED, MANMADE FIBER, NES 6302.32.1030 SHEETS WITH TRIM, NAPPED, MANMADE FIBER 6302.32.1040 SHEETS WITH TRIM, NOT NAPPED, MANMADE FIBER 6302.32.1050 BOLSTER CASES WITH TRIM, MANMADE FIBER 6302.32.1060 BED LINEN WITH TRIM, MANMADE FIBER, NES 6302.32.2030 SHEETS, NOT TRIMMED, NAPPED, MANMADE FIBER 6302.32.2040 SHEETS NOT TRIMMED, NOT NAPPED, MANMADE FIBER 6302.32.2050 BOLSTER CASES, NOT TRIMMED, MANMADE FIBER 6302.32.2060 BED LINEN NES, MANMADE FIBER 6304.11.2000 BEDSPREADS, KNIT/CROCHETED, MANMADE FIBER 6304.19.1500 BEDSPREAD WITH TRIM, MANMADE FIBER, NES 6304.19.2000 BEDSPREAD, MANMADE FIBER, NES (b) The primary unit of measure for the following tariff items in category 666 shall be No and shall be converted into square meters equivalent by the factor of 0.9. 6302.22.1010 PILLOWCASES WITH TRIM, PRINTED, NAPPED, MANMADE FIBER 6302.22.1020 PILLOWCASES WITH TRIM, PRINTED, NOT NAPPED, MANMADE FIBER 6302.22.2010 PILLOWCASES, NOT TRIMMED, PRINTED, MANMADE FIBER 6302.32.1010 PILLOWCASES WITH TRIM, NAPPED, MANMADE FIBER 6302.32.1020 PILLOWCASES WITH TRIM, NOT NAPPED, MANMADE FIBER 6302.32.2010 PILLOWCASES, NOT TRIMMED, NAPPED, MANMADE FIBER 6302.32.2020 PILLOWCASES NOT TRIMMED, NOT NAPPED, MANMADE FIBER 6. The primary unit of measure for garment parts of subheading 6117.90 and 6217.90 of the HS shall be Kg and shall be converted into square meters equivalent by applying the following factors: Cotton apparel: 8.50 Wool apparel: 3.70 Man-made fiber apparel: 14.40 Other non-cotton vegetable fiber apparel: 12.50 7. The following abbreviations are used herein for primary units of measure: Kg means kilogram; SM means square meter; Dz means dozen; Dpr means dozen pair; and No means number. ============================================================================= APPENDIX 5.2 Bilateral Emergency Actions (Quantitative Restrictions) 1. Section 5 shall not supersede Article 407 of the Canada- United States Free Trade Agreement, which is hereby incorporated into and made a part of this Agreement solely for such purpose. ============================================================================= APPENDIX 6.0 A. Rules Applicable to Certain Carpets and Sweaters For purposes of trade between the United States and Mexico, a good of either Party of Chapter 57 or subheading 6110.30 shall be treated as if it were an originating good only if any of the following changes in tariff classification is satisfied within the territory of one or more of the Parties: (a) a change to subheading 5703.20 or 5703.30 or heading 57.04 from any heading outside Chapter 57 other than headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.11, or any headings of Chapter 54 or 55; a change to any other heading or subheading of Chapter 57 from any heading outside that chapter other than headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.11, any heading of Chapter 54, or 55.08 through 55.16; (b) a change to tariff item 6110.30.10.10, 6110.30.10.20, 6110.30.15.10, 6110.30.15.20, 6110.30.20.10, 6110.30.20.20, 6110.30.30.10, 6110.30.30.15, 6110.30.30.20 or 6110.30.30.25 or goods of those tariff items that are classified as parts of ensembles in tariff item 6103.23.00.30, 6103.23.00.70, 6104.23.00.22 or 6104.23.00.40 from any heading outside Chapter 61 other than headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, any heading of Chapter 54 or 55, 60.01 or 60.02; provided that goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties; a change to any other tariff item of subheading 6110.30 from any heading outside Chapter 61 other than headings 51.06 through 51.13, 52.04 through 52.12, 53.07 through 53.08, 53.10 through 53.11, any heading of Chapter 54, 55.08 through 55.16, 60.01 or 60.02; provided, that goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. ============================================================================= B. Preferential Tariff Treatment for Non-Originating Goods of Another Party Apparel and Made-up Goods 1. (a) Each Party shall apply the rate of duty applicable to originating goods as set out in Appendix 2.1, up to the annual quantities specified in Schedule 6.0.1, in square meters equivalent (SME), to apparel goods provided for in Chapters 61 and 62 of the HS that are both cut (or knit to shape) and sewn or otherwise assembled in the territory of a Party from fabric or yarn produced or obtained outside the free trade area, and that meet other applicable conditions for preferred tariff treatment under this Agreement. The SME shall be determined in accordance with the conversion factors set out in Schedule 3.1.3 of Appendix 3.1. (b) The annual tariff preference levels of imports from Canada into the United States shall be adjusted annually for five consecutive years commencing on January 1, 1995, by the following growth factors: (i) for cotton or man-made fiber apparel, 2 percent; (ii) for cotton or man-made fiber apparel made from fabrics woven or knit in a non-Party, 1 percent, and (iii) for wool apparel, 1 percent. 2. The United States shall apply the rate of duty applicable to originating goods as set out in Appendix 2.1, up to the annual quantity specified in Schedule 6.0.1, to textile or apparel goods provided for in Chapters 61, 62 and 63 of the HS that are sewn or otherwise assembled in Mexico as provided for in U.S. tariff item 9802.00.80.60 from fabric which is knit or woven outside the territory of the United States or Mexico, when exported to the United States. This provision shall terminate on the day that quantitative restrictions established pursuant to the Multifiber Arrangement or successor arrangement are terminated. Exceptions 3. (a) Apparel goods provided for in Chapters 61 and 62 of the HS, in which the fabric that imparts to the good its essential character is classified in one of the following U.S. tariff provisions, shall be ineligible for preferential tariff treatment provided for under the levels established in Schedule 6.0.1. for trade between the United States and Mexico: (i) blue denim: 5209.42, 5211.42, 5212.24.60.20, and 5514.32.00.10; and (ii) oxford cloth of average yarn number less than 135 metric number: 5208.19, 5208.29, 5208.39, 5208.49, 5208.59, 5210.19, 5210.29, 5210.39, 5210.49, 5210.59, 5512.11, 5512.19, 5513.13, 5513.23, 5513.33, and 5513.43. (b) Apparel goods provided for in subheadings 6107.11 and 6109.10 shall be ineligible for preferential tariff treatment provided for under the levels established in Schedule 6.0.1 between the United States and Mexico if they are composed chiefly of circular knit fabric of yarn number equal to or less than 100 metric number. (c) Apparel goods provided for in U.S. tariff items 6110.30.10.10, 6110.30.10.20, 6110.30.15.10, 6110.30.15.20, 6110.30.20.10, 6110.30.20.20, 6110.30.30.10, 6110.30.30.15, 6110.30.30.20, 6110.30.30.25 and items of those tariff items that are classified as parts of ensembles in tariff items 6103.23.00.30, 6103.23.00.70, 6104.23.00.22 and 6104.23.00.40 shall be ineligible for preferential tariff treatment provided for under the levels established in Schedule 6.0.1 between the United States and Mexico. Fabric and Made-up Goods 4. (a) Each Party shall apply the rate of duty applicable to originating goods as set out in Appendix 2.1, up to the annual quantities specified in Schedule 6.0.2, in square meters equivalent (SME), to cotton or man-made fiber fabric and cotton or man-made fiber made-up textile goods provided for in Chapters 52 through 55, 58, 60, and 63 of the HS that are woven or knit in a Party from yarn produced or obtained outside the free trade area, or knit in a Party from yarn spun in a Party from fiber produced or obtained outside the free trade area and that meet other applicable conditions for preferred tariff treatment under this Agreement. The SME shall be determined in accordance with the conversion factors setout in Schedule 3.1.3 of Appendix 3.1. (b) The annual tariff preference level and sub-levels on imports from Canada into the United States shall be adjusted by an annual growth factor of two percent for five consecutive years commencing on January 1, 1995. 5. For purposes of paragraph 4, the number of square meters equivalent that will be counted against the tariff preference levels applied to trade between Canada and the United States shall be: (a) for textile goods that do not originate because certain non-originating textile materials do not undergo the applicable change in tariff classification described in Annex 401.1 for that good, but where such materials are 50 percent or less by weight of the materials of that good, only 50 percent of the square meters equivalent for that good, determined in accordance with the conversion factors set out in Schedule 3.1.3 of Appendix 3.1; and (b) for textile goods that do not originate because certain non-originating textile materials do not undergo the applicable change in tariff classification described in Annex 401.1 for that good, but where such materials are more than 50 percent by weight of the materials of that good, 100 percent of the square meters equivalent for that good, determined in accordance with the conversion factors set out in Schedule 3.1.3 of Appendix 3.1. Spun Yarn 6. (a) Each Party shall apply the rate of duty applicable to originating goods as set out in Appendix 2.1, up to the annual quantities specified in Schedule 6.0.3, in kilograms (kg), to cotton or man-made fiber yarns provided for in headings 5205 through 5207 or 5509 through 5511 that are spun in a Party from fiber of headings 5201 through 5203 or 5501 through 5507, produced or obtained outside the free trade area and that meet other applicable conditions for preferred tariff treatment under this Agreement. (b) The annual tariff preference level on imports from Canada into the United States shall be adjusted by an annual growth factor of two percent for five consecutive years commencing on January 1, 1995. 7. Textile or apparel goods that enter a Party under paragraphs 1, 2, 4, and 6 shall not be considered to be originating goods. Review and Consultations 8. (a) Trade in the goods described in paragraphs 1, 2, 4, and 6 shall be monitored by the Parties with a view to adjusting annual tariff preference levels for imports into Canada from Mexico and the United States, imports into Mexico from Canada and the United States, and imports into the United States from Mexico at the request of a Party based on the ability to obtain supplies of particular fibers, yarns and fabrics, as appropriate, that can be used to produce originating goods. Any adjustment in the tariff preference level would require the mutual consent of the affected Parties. (b) The United States and Canada will decide, in consultations as provided for in paragraph 3 of Section 7, whether to continue to apply annual growth factors to the specified tariff preference levels following the five consecutive years. If a growth factor for a tariff preference level is not continued as a result of the consultations provided for in paragraph 3 of Section 7, the provisions of subparagraph (a) shall also apply to imports from Canada into the United States of goods covered by the tariff preference level. ============================================================================= Schedule 6.0.1 Preferential Tariff Treatment for Non-Originating Apparel and Made-Up Goods Imports into Canada: Cotton/Man-made fiber apparel Wool apparel From Mexico 6,000,000 SME 250,000 SME From United States 9,000,000 SME 919,740 SME Imports into Mexico: Cotton/Man-made fiber apparel Wool apparel From Canada 6,000,000 SME 250,000 SME From United States 12,000,000 SME 1,000,000 SME Imports into United States: Cotton/Man-made fiber apparel Wool apparel Goods imported under U.S. tariff item 9802.00.80.60 From Canada 80,000,000 SME 5,066,948 SME n/a From Mexico 45,000,000 SME 1,500,000 SME 25,000,000 SME ============================================================================= Schedule 6.0.2 Preferential Tariff Treatment for Non-Originating Fabric and Made-Up Goods Imports into Canada From Mexico 7,000,000 SME From United States 2,000,000 SME Imports into Mexico From Canada 7,000,000 SME From United States 2,000,000 SME Imports into United States From Canada 65,000,000 SME From Mexico 24,000,000 SME ============================================================================= Schedule 6.0.3 Preferential Tariff Treatment for Non-Originating Spun Yarn Imports into Canada From Mexico 1,000,000 kg From United States 1,000,000 kg Imports into Mexico From Canada 1,000,000 kg From United States 1,000,000 kg Imports into United States From Canada 10,700,000 kg From Mexico 1,000,000 kg ============================================================================= APPENDIX 10.1 Country-Specific Definitions Definitions Specific to Canada general import statistics means statistics issued by Statistics Canada or, where available, import permit data provided by the Export and Import Permits Bureau of the Department of External Affairs and International Trade, or their successors. Definitions Specific to Mexico general import statistics means the statistics of the "Sistema de Informacion Comercial" (Trade Information System) or its successor. Definitions Specific to the United States category means a grouping of textile or apparel goods defined in the Correlation: Textile and Apparel Categories with the Harmonized Tariff Schedule of the United States, 1992 (or successor publication), published by the United States Department of Commerce, International Trade Administration, Office of Textiles and Apparel, Trade and Data Division, Washington, D.C.; and general import statistics means statistics of the U.S. Bureau of the Census or its successor. Annex 401.1 GENERAL INTERPRETATIVE NOTE For purposes of interpreting the rules of origin set out in this Annex: a) the specific rule, or specific set of rules that apply to a particular heading, subheading, or tariff item is set out immediately adjacent to the heading, subheading, or tariff item; b) a rule applicable to a tariff item shall take precedence over a rule applicable to the heading or subheading which is parent to that tariff item; c) a requirement of a change in tariff classification shall apply only to non-originating materials; d) the expression: heading means the first four digits in the tariff classification number under the Harmonized System; subheading means the first six digits in the tariff classification number under the Harmonized System; tariff item means the first eight digits in the tariff classification number under the Harmonized System as implemented by each Party. SPECIFIC RULES OF ORIGIN *** End of this LibraryBlog Digital Book "North American Free Trade Agreement, 1992 Oct. 7 Tariff Phasing Descriptions" *** Copyright 2023 LibraryBlog. All rights reserved.