Certificate of Origin in the United States

NAFTA: Certificate of Origin

This is a trilaterally agreed upon form used by Canada, Mexico, and the United States to certify that goods qualify for the preferential tariff treatment accorded by NAFTA. The Certificate of Origin must be completed by the exporter. A producer or manufacturer may also complete a certificate of origin in a NAFTA territory to be used as a basis for an Exporter’s Certificate of Origin. To make a claim for NAFTA preference, the importer must possess a certificate of origin at the time the claim is made.

NAFTA Certificate of Origin articles and documents:

Article 501: Certificate of Origin
Article 502 : Obligations Regarding Importations
Article 503 : Exceptions
Article 504 : Obligations Regarding Exportations
Article 505: Records
Chapter 6 – Certificate of Origin
19 CFR 181.11 – Certificate of Origin can be found in section 181.11
19 CFR 181.21-.23 – Import Requirements can be found in sections 181.21 – 181.23
Form 434 – North American Free Trade Agreement (NAFTA) Certificate of Origin
Form 434A – North American Free Trade Agreement (NAFTA) Certificate of Origin Continuation Sheet
NAFTA Certificate of Origin – Official Canadian form B232

Canada, Mexico and the United States established a uniform Certificate of Origin to certify that goods imported into their territories qualify for the preferential tariff treatment accorded by the NAFTA. Only importers who possess a valid Certificate of Origin may claim preferential tariff treatment for originating goods.

Language

A uniform Certificate of Origin is used in all three countries and is printed in English, French or Spanish. The Certificate shall be completed in the language of the country of export or the language of the importing country, at the exporter’s discretion. Importers shall submit a translation of the Certificate to their own customs administration when requested.

Scope

A Certificate of Origin may cover a single importation of goods or multiple importations of identical goods. Certificates that cover multiple shipments are called blanket certificates and may apply to goods imported within any twelve-month period specified on the Certificate. Although a Certificate of Origin may cover goods imported over not more than a twelve-month period, it remains valid for NAFTA preference claims made up to four years from the date upon which it was signed.

Completion of Certificate

The Certificate of Origin must be completed and signed by the exporter of the goods. Where the exporter is not the producer, the exporter may complete the Certificate on the basis of:

knowledge that the good originates;
reasonable reliance on the producer’s written representation that the good originates; or
a completed and signed Certificate of Origin for the good voluntarily provided to the exporter by the producer.

Importers’ Obligations

Importers claiming NAFTA preferential tariff treatment shall make a declaration, based on a valid Certificate of Origin in their possession, on the import documentation. Where no claim for preferential tariff treatment is made at the time of importation, importers may request preferential tariff treatment no later than one year after the date on which the good was imported, provided a Certificate of Origin for the goods is obtained.

Importers must provide the Certificate to the importing country’s customs administration upon request, and must submit a corrected declaration and pay the corresponding duties whenever there is reason to believe that the Certificate contained inaccurate information.

The customs administration of the importing country may deny preferential tariff treatment to the goods if the importer fails to comply with any of the customs procedures set out in Chapter Five of the NAFTA.

Importers must maintain records pertaining to the importation for five years or such longer period as may be specified by their country.

Exporters’ and Producers’ Obligations

Exporters or producers that prepare Certificates of Origin shall provide copies to their own customs administration upon request.

Exporters or producers that provide a Certificate of Origin must maintain records pertaining to the exportation for five years or such longer period as may be specified by their countries.

Exporters or producers that complete a Certificate of Origin shall notify all parties to whom the Certificate was given of any change that could affect its accuracy or validity.

CBP Direcive 3810-014A: The Certificate of Origin for the North American Free Trade Agreement (NAFTA); Procedural Updates, and New Acceptable Formats

Note: This directive (issued on July 26, 2005) updates policy guidelines for the NAFTA Certificate of Origin (Certificate) for importations of goods into the United States on which NAFTA preferential tariff treatment is claimed.

Policy

The Certificate is the fundamental document required to support a claim for
NAFTA benefits. The Certificate confers legal rights and obligations. Completion of a
Certificate is an affirmation that the signatory has made a careful inquiry into the terms
of the NAFTA, has determined that the goods covered by the Certificate originate as
defined by the NAFTA, and maintains the relevant records.
The Certificate must be signed by the exporter, or by the exporter’s authorized
agent having knowledge of the relevant facts. Producers who are not exporters may
choose to prepare a Certificate and provide it to the exporter, but there is no
requirement that they do so and in no case will this relieve exporters of their obligation
to prepare a Certificate.
A Certificate is required for each importation on which NAFTA preference is
claimed and covers only those goods specified on the Certificate. The Certificate need
not accompany each shipment, but must be presented to U.S. Customs and Border
Protection (CBP) upon request.
The Certificate must be in the possession of the importer at the time preferential
treatment is claimed. However, Port Directors may, in writing, waive this requirement in
accordance with 19 Code of Federal Regulations 181.22(d)(i) if otherwise satisfied that
the good qualifies for preferential treatment under the NAFTA.
CBP does not require a Certificate for noncommercial importations or commercial
importations with a total line item value of U.S. $2,500 or less. This applies to both
formal and informal entries. The $2,500 refers to the line item value, not the total value
of the shipment. For commercial shipments, however, the invoice accompanying the
importation shall include a statement certifying that the goods qualify as
originating goods, as prescribed in 19 CFR 181.22(d)(iii). CBP may require a Certificate
for these shipments if it is reasonably determined that a series of low-value importations
was used instead of a single importation to evade the Certificate requirement.
The NAFTA provides for a uniform Certificate in all three countries and is printed
in English, French, or Spanish, at the exporter’s or producer’s discretion. In the United
States, the Certificate is printed in English on CBP Form 434, or in other format as
approved by CBP as outlined in section 5.2 of this directive. CBP may request a
translation of the Certificate to substantiate a claim for NAFTA benefits.
Certificates are valid provided they are legible, completed, signed, and dated. A
Certificate should contain sufficient information so as to allow CBP to establish whether
the goods it covers are entitled to preferential tariff treatment. Original Certificates are
not required (i.e., photo copies, facsimiles, and Certificates scanned on a computer disc
are acceptable).
Certificates are valid for 4 years from the date on which they were signed. The
exporter is required to retain the Certificate for 5 years from the date of signature. The
importer is required to retain records relating to the importation of the good for a period
of 5 years.
A single Certificate may be used for a single shipment of goods that results in the
filing of one or more entries on the importation of the goods into the customs territory of
the United States, or for more than one shipment of goods that results in the filing of
one entry on the importation of the goods into the customs territory of the United States.
Single Certificates may be used for single importations. The single Certificate
should be related to the shipment by indicating the invoice number or other unique
reference. Blanket Certificates may be used for repetitive shipments of goods, and the
goods must be imported on or between the specified “FROM” and “TO” dates. This
period may not exceed 12 months.

Procedures

For information about Certificate of Origin procedures, click here.

AUTHORITIES/REFERENCES

19 CFR Parts 163, 181.0-23, 181.71-72, 181.76, 181.81-82; 19 U.S.C. 1508; 19 U.S.C. 1592; NAFTA Articles 501-514; GN12 of the Harmonized Tariff Schedule of the United States; Regulatory Standards for Implementation of the NAFTA.

Operations that do not Confer Origin

Note: This is one of the provisions Relating to Origin in relation to the NAFTA. A good that does not meet the Rules of Origin requirements may, in some cases, qualify as originating by using the Operations that do not Confer Origin additional option.

Article 412 provides that goods shall not be considered to originate if they are merely diluted with water or another substance that does not materially alter the characteristics of the goods. Thus, mere dilution–even if it results in a change in tariff classification–is not sufficient to confer origin. However, dilution coupled with another process may be sufficient to materially alter the characteristic of the goods and thereby confer origin.

Article 412 also indicates that goods will not be considered to originate if a preponderance of the evidence establishes that any production or pricing practice has been used to circumvent the intent of the Chapter 4 origin rules. The rules of origin are designed to ensure that the processing and costs incurred with respect to the products are commercially significant and appropriate to the goods, as defined by the tariff change rules and, when applicable, the value content rules.

Certificate of Origin (COO)

Required by some countries. A signed statement as to the origin of the export item.

Specific certificates of origin are sometimes required for countries involved in special tradebagreements, such as the North American Free Trade agreement (NAFTA), which was signed by Canada, Mexico, and the United States. For example, a NAFTA certificate of origin validates that a good originated in a NAFTA country and is eligible for the preferential duty rate.

Certificate of Origin Issuing Procedure

Note: for more information on Certificate of Origin Procedures, please click here.

Certificates of origin are usually validated by a semiofficial organization, such as a local chamber of commerce. A certificate may be required even if the commercial invoice contains the same information.

Some countries (i.e., numerous Middle Eastern countries) require that certificate of origin be notarized, certified by local chamber of commerce and legalized by the commercial section of the consulate of the destination country. For certain Middle Eastern countries,the National U.S.-Arab Chamber of Commerce may also provide such services.

For textile products, an importing country may require a certificate of origin issued by the manufacturer. The number of required copies and language may vary from country to country.

Find more information on Certificate of origin in relation to the Customs Trade Law in the legal Encyclopedias.

Generic Certificates

If a good does not qualify for a free trade agreement, a generic certificate of origin may be issued.

The exporter should verify whether a certificate of origin is required with the buyer and/or an experienced shipper/freight forwarder or the U.S. Commercial Service. Note: Some countries (i.e., several Middle Eastern countries) require that a generic certificates of origin be notarized, certified by a local chamber of commerce, and legalized by the commercial section of the consulate of the destination country. For certain Middle Eastern countries, the National U.S.–Arab Chamber of Commerce may also provide such services.

For textile products, an importing country may require a certificates of origin issued by the manufacturer. The number of required copies and the language it is written in may vary by country.

In addition, certificates of origin for goods that don’t qualify for FTAs can be obtained from a local chamber of commerce or at ecertify.com (a private vendor). Note that some chambers won’t issue certificates of origin or will only issue them to their members. Also keep in mind that certificates will only be issued for goods made in the U.S.

A buyer may also ask the exporter to certify the origin of a product.

Certificate of Origin