MODIFYING THE RATES OF DUTY ON CERTAIN IMPORTED ARTICLES AS PROVIDED UNDER THE TARIFF AND CUSTOMS CODE OF 1978, AS AMENDED, IN ORDER TO IMPLEMENT THE PREFERENTIAL TARIFF RATES O…
Agreement on the ASEAN Industrial Cooperation Scheme (AICO) signed in
Singapore on 27 April 1996;
WHEREAS, the Philippines is a participating country in the approved
AICO Arrangements of Matsushita Electric Philippines Corporation (MEPCO)
along with Indonesia, Malaysia, and Thailand; in the approved AICO
Arrangement of Toyota Motor Philippines Corporation along with
Indonesia, Malaysia and Thailand; and in the approved AICO Arrangement
of Mitsubishi Motors Philippines Corporation (MMPC) along with Thailand;
WHEREAS, under the MEPCO AICO Arrangement, the Philippines
(Matsushita Electric Philippines Corporation) will import from Indonesia
(PT National Gobel), Malaysia (Matsushita Electric Co., (M) Bhd.), and
Thailand (Matsushita Seiko (Thailand) Co., Ltd) electric fans and
certain parts/components for electric fans. In exchange Indonesia,
Malaysia, and Thailand will import from the Philippines electric fans
and complementary components/parts for the electric fans;
WHEREAS, under the Toyota AICO Arrangement, the Philippines (Toyota
Motor Philippines Corporation) will import from Indonesia (PT Toyota
Astra Motor), Malaysia (Assembly Services Sdn Bhd), and Thailand (Toyota
Motor Thailand Co. Ltd) certain original equipment manufacture (OEM)
automotive parts/components for Corolla passenger car (HS 8703.90 10).
In exchange Indonesia, Malaysia, and Thailand will import from the
Philippines electric fans and complementary components/parts for the
electric fans;
WHEREAS, under the MMPC AICO Arrangement, the Philippines
(Mitsubishi Motors Philippines Corporation and Asian Transmission
Corporation) will import from Thailand (MMC Sittipol Co., Ltd) certain
original equipment manufacture (OEM) automotive parts/components for MG
Lancer (HS 8703.90 10) and L200 (HS 8704.90 10). In exchange Thailand
will import from the Philippines complementary part/components for the
OEM of L200;
WHEREAS, AICO Certificate of Eligibility Nos: Matsushita/1999/1 and
amended Matsushita/1999/1 were issued on 20 September 1999 and on 17
March 2000, respectively, in favor of the participating companies in the
MEPCO AICO Arrangement; AICO Certificate of Eligibility Nos:
Toyota/2000/13, Toyota/2000/12 and Toyota/2000/16 were issued on 03 and
31 March 2000 and 20 April 2000, respectively, in favor of the
participating companies in the Toyota AICO Arrangement; and AICO
Certificate of Eligibility No: Mitsubishi/2000/1 was issued on 31 March
2000, in favor of the participating companies in the Mitsubishi AICO
Arrangement;
WHEREAS, in consonance with Articles 5 and 7 of the Basic Agreement
of the AICO Scheme, participating companies in the approved MEPCO,
Toyota, and MMPC AICO Arrangements shall qualify for 0-5% preferential
tariff rates to be extended by Indonesia, Malaysia, Thailand and the
Philippines for MEPCO and Toyota; and by Thailand and the Philippines
for MMPC as participating countries, effective within 45 days from the
date of issuance of the Certificate of Eligibility Nos:
Matsushita/1999/1, Toyota/2000/13, Toyota/2000/12 and Toyota/2000/16,
and Mitsubishi/2000/1 by the ASEAN Secretariat.
NOW, THEREFORE, I, JOSEPH EJERCITO ESTRADA, President of the
Philippines, pursuant to the powers vested in me under Section 402 of
the Tariff and Customs Code of 1978, as amended, do hereby order:
SECTION 1. The articles specifically listed in Annex “A”[*]
hereof, as classified under Section 104 of the Tariff and Customs Code
of 1978, as amended, shall be accorded the AICO rates of 3% and 5% as
specified in Column 4 thereof.SEC. 2. The AICO rates provided in Annex “A” shall be accorded
to the AICO entities in Indonesia (PT National Gobel), in Malaysia
(Matsushita Electric Co., (M) Bhd.), and in Thailand (Matsushita Seiko
(Thailand) Co. Ltd) effective 17 March 2000.SEC. 3. The articles specifically listed in Annex “B” hereof, as
classified under Section 104 of the Tariff and Customs Code of 1978, as
amended, shall be accorded the AICO rate of 5% on parts/components of
Corolla passenger car (HS 8703.90 10) as specified in Column 6 thereof.SEC. 4. The AICO rate provided in Annex “B” shall be accorded to
the AICO entity in Indonesia (PT Toyota Astra Motor) effective 20 April
2000, AICO entity in Malaysia (Assembly Services Sdn Bhd) effective 03
March 2000, AICO entity in Thailand (Toyota Motor Thailand Co. Ltd)
effective 31 March 2000.SEC. 5. The articles specifically listed in Annex “C” hereof, as
classified under Section 104 of the Tariff and Customs Code of 1978, as
amended, shall be accorded the AICO rates of 5% on parts/components of
MG Lancer passenger car (HS 8703.90 10) and 3% on parts/components of
L200 (HS 8704.90 10) as specified in Column 6 thereof.SEC. 6. The AICO rates provided in Annex “C” shall be accorded
to the AICO entity in Thailand (MMC Sittipol Co., Ltd.) effective 31
March 2000.SEC. 7. In the event that any subsequent changes are made in the
basic (MFN) Philippine rate of duty on any of the articles listed in
Annexes “A”, “B” and “C” to a rate lower than the AICO rate prescribed
in Column 4 of Annex “A” and Column 6 of Annexes “B” and “C” such
article shall automatically be accorded the corresponding reduced rate
of duty. Effective 1 January 2003, the final CEPT rate on the articles
shall apply.SEC. 8. Upon the effectivity of this Executive Order, the
articles specifically listed in the aforesaid Annexes “A”, “B” and “C”
which are entered or withdrawn from warehouses in the Philippines for
consumption shall pay the applicable AICO preferential tariff rates
specified under Sections 1, 3 and 5 hereof, subject to qualification
under the Rules of Origin for the CEPT, as evidenced by the Certificate
of Origin – Form “D”.SEC. 9. Any revision/s to the part numbers appearing in Column 4
of Annexes “B” and “C” shall be communicated immediately to the Bureau
of Customs by the Board of Investments within five (5) days after
receipt of the official copy of the revised parts from the ASEAN
Secretariat.SEC. 10. This Executive Order shall take effect immediately.
IN WITNESS WHEREOF, I have hereunto set my hand and caused the seal of the Republic of the Philippines to be affixed.
Adopted: 17 Nov. 2000
By the President:
(Sgd.) RONALDO B. ZAMORA
Executive Secretary
[*]All Annexes available at Office of the National Administrative Register, U.P. Law Complex, Diliman, Quezon City.