1. Karen Hilliker – December 2015 Free Trade Agreements

2. 2 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements  Benefit or Burden Definitions Analysis

3. 3 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements  Definitions/Agreement types Various ‑ Bilateral, Multilateral, Regional, Preferential ‑ Single Entry, Annual Blanket Certificate Rules differ across each agreement ‑ Rules of Origin –Additional Recordkeeping ‑ Tariff Shifts –Supporting Rationale ‑ Markings ‑ Are there any Direct Ship Requirements

4. 4 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements  Benefit ‑ How do you determine if it is a ‘benefit’ –HTS may already be at zero duty –Free from trade barriers –Increased competitiveness »Lower costs for imports »Increased market due to lower costs

5. 5 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements  Burden Weighing in ‑ How many resources are available to manage –Manual or Automated Processing »Investment Dollars People/Hardware/Software ‑ Efficiency in getting the supplier’s certificates »Time consuming »Recordkeeping »Integrity of information »Need to have the certificate in hand at time of release ‑ Periodic audits and Reviews

6. 6 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements  Additional thoughts Falsification of records and certificates ‑ Duty will be assessed on the incorrect entries –Interest will be added ‑ Future imports could be delayed for further review ‑ Penalties could include: –Criminal –Civil –Administrative

7. 7 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreement RESOURCES ‑ Free Trade Agreement Compliance http://trade.gov/fta/compliance.asp ‑ Side-by-Side Comparison of Free Trade Agreements and Selected Preferential Trade Legislation Programs-(Non-Textiles Provision) http://www.cbp.gov/sites/default/files/documents/Side-by-Side-7_7_15.pdf ‑ Free Trade Agreement Tariff Tool http://export.gov/FTA/ftatarifftool/index.asp

8. 8 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements – Tariff Tool

9. 9 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements – Tariff Tool

10. 10 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements - Details

11. 11 Confidential and Proprietary Information. Please do not copy, forward, redistribute, or publish. Avid ©2015. Free Trade Agreements QUESTIONS?

12. THANK YOU