Question: Based on below information calculate for a final Good under 9007.91 Net Cost Transaction Value Value of Non- Originating Materials RVC under TV method -

Based on below information calculate for a final Good under 9007.91

  1. Net Cost
  2. Transaction Value
  3. Value of Non- Originating Materials
  4. RVC under TV method - Will it pass the 60% rule to qualify for CUSMA
  5. RVC under NC method - Will it pass the 50% rule to qualify for CUSMA
  6. Could the final good qualify only by using option 1 of Rule of Origin

9007.91 A change to subheading 9007.91 from any other heading; or

No required change in tariff classification to subheading 9007.91, provided there is a regional value content of not less than:

  • (a) 60 percent where the transaction value method is used; or
  • (b) 50 percent where the net cost method is used.

Origin

Value

Material 1 HS 7702.00

USA (No CUSMA

$45

Certificate provided)

Material 2 HS 7801.00

China

$36

Material 3 HS. 3907.10

India

$19

Material 4 HS.3903.00

Italy

$56

Overhead, labor

$10

Profit

$5

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