{"id":"F2005L03783","name":"Tariff Concession Order 0512188","slug":"tariff-concession-order-0512188","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":39517,"registerId":"commonwealth-F2005L03783-current","compilationNumber":null,"startDate":"2026-04-01","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Tariff Concession Order 0512188","content":"| TARIFF CONCESSION ORDERUnder Section 269P of the Customs Act 1901, I, Susan Campbell, a delegate of the Chief Executive Officer declare that the goods specified in Column 1 of THE TABLE are goods to which the item in Part III of Schedule 4 to the Customs Tariff Act 1995 specified in Column 2 of THE TABLE applies. This Order shall have effect from 13.09.05 and continue in force until revoked under sections 269SC or 269SD of the Act, or the date, if any, specified in Column 2. |\n| ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |\n\nTHE TABLE\n\n| COLUMN 1Description of Goods including theCustoms Tariff Classification | COLUMN 2Schedule 4 Item NumberLast date of effect |\n| ----------------------------------------------------------------------- | ------------------------------------------------- |\n\n| 8504.40.90 | CONVERTERS, MOTOR DRIVE CONTROL, HOT STRIP MILL, having aprogrammable logic controller, comprising BOTH of the following:(a) power rating greater than 450 kW;(b) AC/DCOp. 13.09.05 - TC 0512188 | 50  |\n| ---------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | --- |\n\n| This is page 1 of 1 Page of the above Table...Susan Campbell.......................Dated 25 November 2005 Delegate of the Chief Executive Officer |\n| ------------------------------------------------------------------------------------------------------------------------------------------------- |","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":2,"scope_assessment":{"changed":false,"description":"This Order is narrowly framed to apply a tariff concession to a specific class of imported converters for hot strip mills. It does not broaden the legal framework or expand the range of goods covered beyond that single, technical description; it implements the routine administrative function of making a particular product eligible for an existing Schedule 4 concession. There is no indication in the text that the instrument has grown beyond its original, narrowly targeted purpose."},"complexity_factors":["Single-page, single-item order (one table row)","Clear technical eligibility criteria (PLC, power rating >450 kW, AC/DC) — a simple numerical threshold","Three statutory cross-references: s269P (making power), s269SC and s269SD (revocation)","Reference to external instrument: Part III of Schedule 4 to the Customs Tariff Act 1995 (requires checking that Act to know the exact duty outcome)","Potential for factual/technical classification disputes increases practical complexity despite the document’s brevity"],"plain_english_summary":"**What this Order does (mechanically)**\n\n- This is a Tariff Concession Order made under section 269P of the Customs Act 1901. It declares that a narrowly described class of imported goods is to be treated as goods to which the item numbered 50 in Part III of Schedule 4 to the Customs Tariff Act 1995 applies. (That Schedule item is the concession in the Customs Tariff; the Order does not itself state the duty rate.)\n\n- The Order takes effect from 13 September 2005 and remains in force until it is revoked under sections 269SC or 269SD of the Customs Act or until any date specified in Column 2 of the Table (none is specified here). The Order is signed by a delegate of the Chief Executive Officer of Customs (Susan Campbell) (s269P; s269SC/269SD referenced in the Order).\n\n- The specific goods covered (as shown in the Table) are: converters, motor drive control, for a hot strip mill, that have a programmable logic controller (PLC) and both of the following technical features: (a) power rating greater than 450 kW; and (b) AC/DC capability. The customs tariff classification shown is 8504.40.90.\n\n**Who this affects**\n\n- Importers of the specified converters: they can claim the Schedule 4 item 50 concession for qualifying shipments if they meet the description and classification requirements.\n- Buyers/end-users (for example, steel hot-strip mill operators) who import such equipment directly or indirectly through suppliers: they may face lower landed costs if importers claim the concession.\n- Any Australian manufacturers or suppliers of comparable equipment: they face a change in relative price competitiveness versus imported units that qualify for the concession.\n- The Australian Government: customs revenue is affected to the extent the concession reduces duties that would otherwise be payable.\n- Australian Border Force/Customs officers and import agents: they must assess whether imported goods meet the technical description and tariff classification before applying the concession.\n\n**Why it matters (stated purpose and practical effects)**\n\n- The Order’s stated mechanical effect is to make a very specific import eligible for the tariff concession item in Schedule 4 (Part III, item 50). The explanatory purpose implicit in such orders is typically to lower the customs duty cost on specialised imported capital equipment, often on the basis that the import is not supplied domestically or is needed for productive investment.\n\n- Costs and who pays: the fiscal cost (lost customs duty revenue) is borne by the Commonwealth if importers claim the concession. The private benefit is concentrated to the importers and their customers who purchase these specified converters.\n\n- Incentives and buyer behaviour: by reducing the duty cost for qualifying imported units, the Order lowers the price of those imports relative to domestic alternatives. This creates an incentive for importers and purchasers to choose imported converters that meet the description rather than domestic products or imports that do not meet the technical description.\n\n- Compliance and administrative burden: importers must satisfy Customs that the goods exactly match the description (PLC present; >450 kW; AC/DC). That creates documentation and classification tasks for importers and verification work for Customs. Where technical specifications are close to the threshold (e.g. 450 kW), disputes or borderline classifications can arise, increasing administrative friction.\n\n- Trade-offs and opportunity costs: the concession supports lower capital cost for a narrow class of industrial equipment at the expense of tariff revenue. If a domestic industry produces comparable equipment, the concession changes competitive conditions for that industry. The Order is narrowly targeted, so benefits will be concentrated rather than widely distributed.\n\n- Implementation risk and revocation: the Order can be revoked under the Customs Act (s269SC or s269SD) if subsequent review or policy change requires it. That places the onus on importers to monitor the concession’s availability and maintain compliance records in case of audit or revocation.\n\n**How decisions are made under this instrument**\n\n- The Order was made by a delegate of the Chief Executive Officer of Customs, and revocation is likewise exercised under the named sections of the Customs Act. Customs officers and importers decide at the point of entry whether the specific product description and tariff classification are satisfied and therefore whether the concession applies."},"flash_summary_failed":{"failed":true,"reason":"Unauthenticated. Configure AI_GATEWAY_API_KEY or use a provider module. Learn more: https://ai-sdk.dev/unauthenticated-ai-gateway","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":2,"scope_assessment":{"changed":false,"description":"This is a standard administrative instrument creating a specific tariff concession. It has not expanded beyond its original purpose of granting duty relief for a narrowly defined category of industrial equipment."},"complexity_factors":["Very short document (1 page)","Only 1 defined term implicitly referenced (the Customs Tariff classification 8504.40.90)","Single operative provision with straightforward conditional criteria (two technical specifications)","No cross-references to other legislation beyond the enabling Act and Tariff Schedule","Simple tabular format with minimal conditional logic"],"plain_english_summary":"This is a **Tariff Concession Order** — a type of legal instrument that gives certain imported goods a reduced or zero customs duty rate.\n\n**What it does:**\nThis specific order (number 0512188) declares that a particular type of industrial equipment — **motor drive control converters for hot strip mills** — qualifies for a tariff concession under **Item 50 of Schedule 4** to the Customs Tariff Act 1995.\n\n**Who it affects:**\n- **Importers** bringing in large industrial motor control systems (specifically those used in hot strip steel mills)\n- **Manufacturers** of steel products who use this equipment\n\n**The specific goods covered:**\n- AC/DC converters for motor drive control\n- Used in hot strip mills (facilities that roll steel into thin sheets)\n- Must have a **programmable logic controller** (a type of industrial computer that automates machinery)\n- Must have a **power rating greater than 450 kW** (very large industrial scale)\n\n**Why it matters:**\nWithout this order, importers would pay standard customs duties on this equipment. With this concession, they pay reduced or no duty, making it cheaper to import this specific high-tech industrial equipment into Australia. This helps Australian steel manufacturers remain competitive by reducing their capital costs for major plant equipment.\n\n**How long it lasts:**\nThe order took effect on **13 September 2005** and remains in force indefinitely until either:\n- It is formally revoked by the government, or\n- A specific end date is set (none is currently specified)"}},"importantCases":[],"_links":{"self":"/api/acts/tariff-concession-order-0512188","history":"/api/acts/tariff-concession-order-0512188/history","analysis":"/api/acts/tariff-concession-order-0512188/analysis","conflicts":"/api/acts/tariff-concession-order-0512188/conflicts","importantCases":"/api/acts/tariff-concession-order-0512188/important-cases","documents":"/api/acts/tariff-concession-order-0512188/documents"}}