31974R3108

No L 336/56 Official Journal of the European Communities 16 . 12 . 74

REGULATION ( EEC) No 3108/74 OF THE COMMISSION of 5 December 1974

derogating in respect of the countries of the Central American Common Market from Articles 1 , 6 and 13 of Commission Regulation (EEC) No 3106/74 of 5 December 1974 on the definition of the concept of originating products for purposes of the application of tariff preferences granted by the European Economic Community in respect of certain products from developing countries

THE COMMISSION OF THE EUROPEAN HAS ADOPTED THIS REGULATION : COMMUNITIES ,

Article 1 Having regard to the Treaty establishing the 1 . Notwithstanding the provisions of Article 1 of European Economic Community ; Commission Regulation (EEC) No 3106/74. of 5 December 1974, those produots which have acquired the character of originating products in Whereas for the application of the provisions Costa Rica, El Salvador, Guatemala, Honduras and concerning the tariff preferences granted 'by the Nicaragua ('hereinafter referred to as CACM Community for certain products originating in countries) <are to be equally considered as products developing countries, the rules of origin are defined originating in one or another of those countries, for the conditions under Which these products according to the provisions of the Article 1 referred acquire die character of originating products, the to above and which, after being exported from that mode of proof and the terms as no verificat on country, have undergone no working or processing thereof by Commission Regulation (EEC) No 3106/ in any of the other CACM countries or have not 74 (*) of 5 December 1974 ; undergone sufficient working or processing there to confer on them the character of products originating "Whereas the Central American Common Market has in any of those countries 'by virtue of the provisions established a very close economic cooperation of the Article 1 referred to above, provided that: between Costa Rica, El Salvador, Guatemala , Hon­ duras and Nicaragua (hereinafter referred to as ( a ) only produots originating in any of the CACM CACM countries ); whereas the provisions relative countries have been used in the course of the to the acquisition of the charaoter of originating working or processing; products laid down in Article 1 of Commission Regulation (EEC) No 3106/74 of 5 December 1974 ('b) when a percentage rule limits, in the Lists A and may, with the necessary adaptations, contribute to B referred to in Article 3 of the Regulation the facilitation of this cooperation and encourage the referred to above, the proportion in value of non­ use dn one CACM country of products originating originating products that can be incorporated in the other CACM countries ; whereas the said under certain circumstances, the added value has provisions should be amended accordingly and been acquired in each of the countries in special rules for the proof of the character of accordance with the percentage ru'le contained originating products and to methods of verification in the said lists without any possibility of cumula­ should 'be laid down ; whereas for this purpose it is tion from one country to another. necessary to centralize the requests 'for verification to a common .administrative body of the aforesaid common market; 2. For the purpose of implementing paragraph 1 (a), the fact that products other than those referred to therein are used in a proportion not exceeding in Whereas the measures provided for in this Regulation total value 5% of the value of the products obtained are in accordance with the Opinion of the Committee and imported into the Community does not affect on Origin, the determination of origin of the latter produots, provided that the products so used would not have caused them to lose the status of products originating in one of the CAGM countries from which they had been exported previously, had they been incorporated ( ) See page 1 of this Official Journal . there.

16 . 12.74 Official Journal of the European Communities No L 336/57

3 . In the cases referred to in paragraph 1 .( b) no graph, on the basis of the certificate of origin Form A non-originating product may be incorporated if it issued previously. undergoes only the working or processing' laid down in Article 3 (2) of Commission. Regulation (EEC) Article 4 No 3106/74 of 5 December 1974 .

4. Notwithstanding the provisions of paragraph 1 Notwithstanding the provisions of Article 6 of Commission Regulation (EEC) No 3106/74 of and provided that all the conditions laid down in that paragraph are nevertheless fulfilled, the products 5 December 1974, the products mentioned in Article 1 obtained shall not continue to be considered as shall on import to the Community benefit from the products originating in the ifirst CACM country of provisions on tariff preferences set out in 'that Article exportation unless the value of the .products worked upon submission of a certificate of origin Form A or processed in that country represents the 'highest issued by the Authority in the CACM country from percentage of the value of the products obtained. which the products are exported to the Community If this is not so, the latter products are considered on the basis of certificates of origin Form A issued as originating in the CACM country where the added previously. value acquired represents the highest percentage of their value. Article 5

The certificates referred to in Articles 3 and 4 must Article 2 indicate : '

1 . For the application of the provisions of Article 1 , — in box 4 'For official use' the CACM country (in the provisions of Article 4 of Commission Regulation which the goods originate as well as one of the (EEC) No 3106/74 of 5 December 1974 are following phrases : applicable. ' CUMUL MCAC '

' CUMULATION CACM ' 2 . For the application of the provisions of Article 1 ( 1 ) (b ) and (4), 'added value' shall be understood as — in box 12 'Declaration by the exporter' that the meaning the difference between the ex-works price products fulfil the conditions of origin required of the goods obtained, less internal taxes refunded by the generalized system of preferences in order or refundable on exportation from the country to be exported to the 'European Economic concerned, and the customs value of all the products Community'. imported and worked or processed in that country.

Article 6 Article 3 1 . The provisions of Articles 1 to 5 above are only 1 . Where Article 1 is applied, the proof of character applicable in so far as the rules regulating the trade of originating products in the case of Article 1 of between each of the countries cited above, in the Commission Regulation ( EEC ) No 3106/74 of context of this Regulation, are identical to the 5 December 1974 of products obtained in the first provisions laid down in Commission Regulation CACM country and exported to another CACM (EEC ) No 3106/74 of 5 December 1974 as well as country is given .by a certificate of origin Form A, this Regulation. a specimen of which is given in the Annex to Commission Regulation (EEC) No 3106/74 of 2 . In addition, each CACM country undertakes with 5 December 1974. This certificate shall be issued by the Commission of the European Communities, the governmental authorities of the country of export through the Permanent Secretariat of the Central authorized for the issue of certificates . of origin in American Common' Market (hereinafter referred to as the context of Commission Regulation (EEC) SIECA), to respect, or to ensure respect for, the rules No 3106/74 of 5 December 1974 . concerning the making out and issuing of certificates of origin Form A as well as those relative to the 2. Where Article 1 is 'applied, the proof of character administrative , cooperation contained in Articles 7 of originating products — in .t)he sense of that Article and 8 'below. — of products that have been held or have only undergone in one of the CACM countries the Article 7 processing laid down in that Article and exported from that country to another CACM country is given by the certificate referred to in paragraph 1 and 1 . Retrospective verifications of the certificates Form issued under the conditions laid down in that para­ A mentioned in Article 3 shall be carried out at

No L 336/58 Official Journal of the European Communities 16 . 12.74

random , and Whenever the authorities envisaged in 2 . CACM countries shall communicate to the ithat Article in the CACM countries where the Commission the address of SIECA . The Commission products have remained before their re-export in the shall comunicate this information to the customs same state or are submitted to the working or authorities of the Member States . processing envisaged in Article 1 have reasonable doubt as to the authenticity of the information regarding the true origin of the goods in question . Article 9

2. For the purpose of applying the provisions of This Regulation does not apply to the products listed paragraph 1 , the customs authorities mentioned in in the Annexes A of Council Regulations (EEC) that paragraph shall send the certificate of origin No 3045 /74 ( J ) and (EEC) No 3046/74/(2) of 2 December 1974. Form A to SIECA indicating in each case the reasons of form or substance which justify an enquiry . They shall forward any information which may be Article 10 available and which tends to show that the particulars on the certificate or on the form are inaccurate . The Explanatory Note annexed to this Regulation forms an integral part of this Regulation ..

Article 8 Article 11 1 . Retrospective verification of the certificates Form A mentioned in Article 4 are to be carried out in This Regulation shall enter into force on 1 January the case envisaged in Article 13 of Commission 1975 . Regulation (EEC) No 3106/74 of 5 December 1974. However, by way of derogation from the provisions of paragraph 2 of this Article the appropriate customs authorities in the Community shall return the (') OJ No L 329 , 9 . 12 . 1974, p. 1 . certificate of origin Form A to SIECA . (") OJ No L 329 , 9 . 12 . 1974 , p. 9 .

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels, 5 December 1974.

For the Commission

The President

Francois-Xavier ORTOLI

ANNEX

Explanatory Note to Article 1

For the purpose of implementing Article 1 ( 1 ) ( b), the percentage rule must be observed by refer­ ring , for the added value acquired , to the provisions contained in Lists A and B referred to in Article 3 of Commission Regulation (EEC) No 3106/74 of 5 December 1974 . "Where the products obtained appear in List A , the percentage rule therefore constitutes a criterion additional to that of change of tariff heading for any non-originating product used .