The Harmonization Work Programme (HWP) - CBEC's Customs Manual 2023 - Customs

5. The Harmonization Work Programme (HWP) 5.1 Article 9:2 of this Agreement provided that the HWP be completed within three years of initiation. Its agreed deadline was July 1998. While substantial progress was made at that time in the implementation of the HWP, it could not be completed due to the complexity of issues. In July 1998, the General Council approved a decision, whereby, Members committed themselves to making their best endeavours to complete the Programme by a new target date, November 1999. However, due to various outstanding issues, this work is still under process. 5.2 The above work is ongoing at both the WTO Committee on Rules of Origin (CRO) in Geneva and in the WCO Technical Committee (TCRO) in Brussels. (a) Overall architectural design The CRO and the TCRO have established an overall architectural design within which the harmonization work programme is to be finalized. This encompasses: General rules, laid down in eight Articles provisionally entitled: i. Scope of Application; ii. the Harmonized System; iii. Definitions; iv. Determination of Origin; v. Residual Rules of Origin; vi. Minimal Operations or Processes; vii. Special Provisions; and viii. De Minimis; Three Appendices: Appendix 1: Wholly obtained goods; Appendix 2: Product rules - substantial transformation; and Appendix 3: Minimal operations or processes. (b) Disciplines during the transition period 5.3 During the transition period (i.e. until the entry into force of the new harmonized rules) Members are required to ensure that: (a) rules of origin, including the specifications related to the substantial transformation test, are clearly defined; (b) notwithstanding the measure or instrument of commercial policy to which they are linked, their rules or origin are not used as instruments to pursue trade objectives directly or indirectly; (c) rules of origin do not themselves create restrictive, distorting or disruptive effects on international trade and do not require the fulfilment of conditions not related to manufacturing or processing of the product in question; (d) rules of origin applied to trade are not more stringent than those applied to determine whether a good is domestic, and do not discriminate between Members (the GATT MFN principle). However, with respect to rules of origin applied for government procurement, Members are not to be obliged to assume additional obligations other than those already assumed under the GATT 1994 (the national treatment exception for government procurement contained in GATT Article III:8). (e) rules of origin are administered in a consistent, uniform, impartial and reasonable manner; (f) rules of origin are based on a positive standard. Negative standards are permissible either as part of a clarification of a positive standard or in individual cases where a positive determination of origin is not necessary; (g) rules of origin are published promptly; (h) upon request, assessments of origin are issued as soon as possible but no later than 150 days after such request, they are to be made publicly available; confidential information is not to be disclosed, except if required in the context of judicial proceedings. Assessments of origin remain valid for three years, provided the facts and conditions remain comparable, unless a decision contrary to such assessment is made in a review, referred to in (j). This advance information on origin is considered as a great innovation of the Agreement; (i) new rules of origin or modifications, thereof, do not apply retroactively; (j) any administrative action in relation to the determination of origin is reviewable promptly by judicial, arbitral or administrative tribunals or procedures independent of the authority issuing the determination; such findings can modify or even reverse the determination; (k) confidential information is not disclosed without the specific permission of the person providing such information, except to the extent that this may be required in the context of judicial proceedings.