Following Brexit and the end of the transition period, the EU and UK are negotiating a new trade relationship, focusing on creating a future trade agreement. In this position paper, the Chemical Industries Association (CIA) and Cefic highlight the “Rules of Origin” (RoO) for chapters 28 to 40 as a key issue. Cefic proposes flexible and straightforward RoO similar to existing agreements with Japan and Mercosur. Key suggestions include the Change of Tariff Sub-Heading (CTSH), a De Minimis Clause, and various origin-conferring processes like chemical reactions, purification, and biotechnological processes.
Key recommendations:
- Flexible RoO Application: Promote simple and adaptable Rules of Origin for chapters 28–40, akin to those with Japan and Mercosur agreements.
- Origin-Conferring Processes: Include chemical reactions, purification, particle size changes, and biotechnological processes as criteria for origin determination.
- Customs Cooperation: Advocate for a joint EU-UK working group to standardise and reinforce practices on Rules of Origin for enhanced cooperation.