Legal framework and sources of rules of origin
What the exam tests
This domain tests the legal hierarchy behind an origin decision. You must separate binding law from guidance and identify the instrument that controls: the WTO Agreement on Rules of Origin for non-preferential harmonization, GATT Article XXIV and the Enabling Clause for FTAs and GSP, the HS Convention, the Revised Kyoto Convention Specific Annex K, national customs statutes, and each agreement's origin protocol and annexes. Preferential rules are treaty-specific; WTO origin disciplines do not create them.
Core sources and hierarchy
- Binding: customs law and implementing regulations; FTA text and protocol; product-specific rules; legal notes; tariff schedule.
- Interpretive: WCO guidelines, explanatory notes, advance rulings, settled audit practice. They assist but do not override treaty text.
- Classification: PSRs operate on HS headings and subheadings, so the HS edition and national correlation matter.
Worked example
An importer claims FTA preference for pumps classified in HS 8413.70. The broker cites a WCO guideline, but the FTA protocol's annex is the binding PSR. The claim turns on the protocol rule and its notes. If the protocol was amended after the invoice date, the transitional rule determines which version applies. The WTO ARO does not decide the preferential claim.
Traps
Using non-preferential harmonization concepts for a preferential claim; citing guidance as law; overlooking protocol amendments or HS editions; ignoring national implementation.