Description

·         Due:                     Friday, October 11 by 11am (at my office)

·         Late Penalty:       Late projects will receive a grade of zero

·         Note:                     Completion of this project is mandatory to receive a grade for the entire course

Background

Many exporters prepare certificates of origin based on assumptions that their products qualify. Often these assumptions are based on misunderstandings or misinterpretations of the rules of origin. Exporters should carefully determine that their goods qualify before preparing the NAFTA Certificate of Origin.

Purpose

For students to demonstrate their understanding of the NAFTA origin determination and certificate preparation process

Project Explanation

There are three parts to this project. Ensure you have completed them all. Failure to complete all portions will result in the grade of zero being assigned to the full project.

Part I – TC Rule

-          Select a unique product with a TC rule

-          Provide a BOM for the product (*Note: It must have at least 8 components), complete with origins for each part

-          Following all steps, as performed in class, prove the product qualifies under the NAFTA Annex 401 rules (*Note: It must qualify)

-          Prepare a properly completed NAFTA Certificate of Origin for the qualifying product

Part II – TC+RVC Rule

-          Select a unique product with a TC+RVC rule

-          Provide a BOM for the product (*Note: It must have at least 8 components), complete with origins and dollar values for each part

-          Following all steps, as performed in class, determine if the product qualifies under the NAFTA Annex 401 rules

o   *Note: If the product rule is “TC or TC+RVC, you must show your attempt to qualify under the TC only portion and explain why it was not successful

o   *Note: Remember that if the TV method does not work, you  must attempt to qualify under the NC method

§  If the product qualifies, prepare a valid NAFTA Certificate

§  If the product does not qualify, explain why not. Also explain how the manufacturer could change their process to ensure their products could qualify for NAFTA.

Part III – NAFTA Certificate Verification List

-          Prepare a reference to be used for NAFTA Certificate verification and completion

-          Discuss the following, per field:

o   How each field should be completed,

o   Errors that would make the form invalid (i.e. red flags or inconsistences with other fields)

o   Special codes used per field and what they mean, and

o   Any additional information you may find useful.

-          *Helpful tip: Set this up as a coding booklet for NAFTA Certificates similar to the coloured booklets you have for other forms

Guidelines

-          Choose products that are somewhat challenging (This is important because you are trying to illustrate your understanding of applying Annex 401 rules of origin)

-          The products/scenarios should be realistic

-           Do not choose products presented in class, handouts, examples, or similar to other students’ projects.

o   A signup sheet is on my door; sign up quickly to reserve your products --- but be sure to check your Annex 401 first to ensure the product has the required type of rules!!

Your project must be bound (duo-tang or similar) and include the following:

-          A title page

-          A table of contents with corresponding page numbers

-          All pages numbered throughout, including forms

-          A reference page

Marking Rubric                                           Name: _____________________________

*This page MUST BE INCLUDED at the back of your booklet.