• Subdivision B provides that goods are Hong Kong originating goods if they are wholly obtained or produced entirely in Hong Kong, China or in Hong Kong, China and Australia.
• Subdivision C provides that goods are Hong Kong originating goods if they are produced entirely in the Area of Hong Kong, China, or entirely in the Area of Hong Kong, China and the Area of Australia, from originating materials only.
• Subdivision D sets out when goods are Hong Kong originating goods because they are produced entirely in the Area of Hong Kong, China, or entirely in the Area of Hong Kong, China and the Area of Australia, from non‑originating materials only or from non‑originating materials and originating materials.
• Subdivision E sets out when goods are Hong Kong originating goods because they are accessories, spare parts, tools or instructional or other information materials imported with other goods.
• Subdivision F deals with how the consignment of goods affects whether the goods are Hong Kong originating goods.
• Subdivision G allows regulations to make provision for and in relation to determining whether goods are Hong Kong originating goods.
153ZPB Interpretation
Definitions
(1) In this Division:
Agreement means the Free Trade Agreement between Australia and Hong Kong, China, done at Sydney on 26 March 2019, as amended from time to time.
Note: The Agreement could in 2019 be viewed in the Australian Treaties Library on the AustLII website (http://www.austlii.edu.au).
aquaculture has the meaning given by Article 3.1 of Chapter 3 of the Agreement.
Area of Australia means Area within the meaning, so far as it relates to Australia, of Article 1.3 of Chapter 1 of the Agreement.
Area of Hong Kong, China means Area within the meaning, so far as it relates to Hong Kong, China, of Article 1.3 of Chapter 1 of the Agreement, as affected by the following letters related to the geographical application of the Agreement for Hong Kong, China:
(a) a letter to the Minister for Trade, Tourism, and Investment from the Secretary for Commerce and Economic Development, Hong Kong Special Administrative Region, The People’s Republic of China dated 26 March 2019;
(b) a letter to that Secretary from that Minister dated 26 March 2019.
Note: The letters could in 2019 be viewed on the website of the Department of Foreign Affairs and Trade.
Australian originating goods means goods that are Australian originating goods under a law of Hong Kong, China that implements the Agreement.
Convention means the International Convention on the Harmonized Commodity Description and Coding System done at Brussels on 14 June 1983, as in force from time to time.
Note: The Convention is in Australian Treaty Series 1988 No. 30 ([1988] ATS 30) and could in 2019 be viewed in the Australian Treaties Library on the AustLII website (http://www.austlii.edu.au).
customs value of goods has the meaning given by section 159.
Declaration of Origin means a declaration that is in force and that complies with the requirements of Article 3.16 of Chapter 3 of the Agreement.
enterprise has the meaning given by Article 1.3 of Chapter 1 of the Agreement.
Harmonized Commodity Description and Coding System means the Harmonized Commodity Description and Coding System that is established by or under the Convention.
Harmonized System means:
(a) the Harmonized Commodity Description and Coding System as in force on 1 January 2017; or
(b) if the table in Annex 3‑B of the Agreement is amended or replaced to refer to Chapters, headings and subheadings of a later version of the Harmonized Commodity Description and Coding System—the later version of the Harmonized Commodity Description and Coding System.
Hong Kong originating goods means goods that, under this Division, are Hong Kong originating goods.
indirect materials means:
(a) goods or energy used in the production, testing or inspection of goods, but not physically incorporated in the goods; or
(b) goods or energy used in the maintenance or operation of equipment or buildings associated with the production of goods;
including:
(c) fuel (within its ordinary meaning); and
(d) catalysts and solvents; and
(e) gloves, glasses, footwear, clothing, safety equipment and supplies; and
(f) tools, dies and moulds; and
(g) spare parts and materials; and
(h) lubricants, greases, compounding materials and other similar goods.
Interpretation Rules means the General Rules (as in force from time to time) for the Interpretation of the Harmonized System provided for by the Convention.
non‑originating materials means goods that are not originating materials.
non‑Party has the same meaning as it has in Chapter 3 of the Agreement.
originating materials means:
(a) Hong Kong originating goods that are used in the production of other goods; or
(b) Australian originating goods that are used in the production of other goods; or
(c) indirect materials.
person of Hong Kong, China means:
(a) a natural person of a Party within the meaning, so far as it relates to Hong Kong, China, of Article 1.3 of Chapter 1 of the Agreement; or
(b) an enterprise of Hong Kong, China.
production has the meaning given by Article 3.1 of Chapter 3 of the Agreement.
sea‑fishing has the same meaning as it has in Chapter 3 of the Agreement.
Value of goods
(2) The value of goods for the purposes of this Division is to be worked out in accordance with the regulations. The regulations may prescribe different valuation rules for different kinds of goods.
Tariff classifications
(3) In prescribing tariff classifications for the purposes of this Division, the regulations may refer to the Harmonized System.
(4) Subsection 4(3A) does not apply for the purposes of this Division.
Incorporation of other instruments
(5) Despite subsection 14(2) of the Legislation Act 2003, regulations made for the purposes of this Division may make provision in relation to a matter by applying, adopting or incorporating, with or without modification, any matter contained in an instrument or other writing as in force or existing from time to time.
Subdivision B—Goods wholly obtained or produced entirely in Hong Kong, China or in Hong Kong, China and Australia
153ZPC Goods wholly obtained or produced entirely in Hong Kong, China or in Hong Kong, China and Australia
(1) Goods are Hong Kong originating goods if:
(a) they are wholly obtained or produced entirely in Hong Kong, China or in Hong Kong, China and Australia; and
(b) either:
(i) the importer of the goods has, at the time the goods are imported, a Declaration of Origin, or a copy of one, for the goods; or
(ii) Australia has waived the requirement for a Declaration of Origin for the goods.
(2) Goods are wholly obtained or produced entirely in Hong Kong, China or in Hong Kong, China and Australia if, and only if, the goods are:
(a) plants, or goods obtained from plants, that are grown, cultivated, harvested, picked or gathered in the Area of Hong Kong, China or in the Area of Hong Kong, China and the Area of Australia; or
(b) live animals born and raised in the Area of Hong Kong, China or in the Area of Hong Kong, China and the Area of Australia; or
(c) goods obtained from live animals in the Area of Hong Kong, China; or
(d) animals obtained by hunting, trapping, fishing, gathering or capturing in the Area of Hong Kong, China; or
(e) goods obtained from aquaculture conducted in the Area of Hong Kong, China; or
(f) minerals, or other naturally occurring substances, extracted or taken from the Area of Hong Kong, China; or
(g) goods of sea‑fishing, or other marine goods, taken from the high seas, by any vessel that is entitled to fly the flag of Hong Kong, China; or
(h) goods produced, from goods referred to in paragraph (g), on board a factory ship that is registered, listed or recorded with Hong Kong, China and is entitled to fly the flag of Hong Kong, China; or
(i) goods, other than fish, shellfish or other marine life, taken by Hong Kong, China, or a person of Hong Kong, China, from the seabed, or subsoil beneath the seabed, outside the Area of Hong Kong, China and the Area of Australia, and beyond territories over which non‑Parties exercise jurisdiction, but only if Hong Kong, China, or the person of Hong Kong, China, has the right to exploit that seabed or subsoil in accordance with international law; or
(j) waste or scrap that:
(i) has been derived from production or consumption in the Area of Hong Kong, China and that is fit only for the recovery of raw materials; or
(ii) has been derived from used goods that are collected in the Area of Hong Kong, China and that are fit only for the recovery of raw materials; or
(k) goods produced in the Area of Hong Kong, China, or in the Area of Hong Kong, China and the Area of Australia, exclusively from goods referred to in paragraphs (a) to (j) or from their derivatives.
Subdivision C—Goods produced in Hong Kong, China, or in Hong Kong, China and Australia, from originating materials
153ZPD Goods produced in Hong Kong, China, or in Hong Kong, China and Australia, from originating materials
Goods are Hong Kong originating goods if:
(a) they are produced entirely in the Area of Hong Kong, China, or entirely in the Area of Hong Kong, China and the Area of Australia, from originating materials only; and
(b) either:
(i) the importer of the goods has, at the time the goods are imported, a Declaration of Origin, or a copy of one, for the goods; or
(ii) Australia has waived the requirement for a Declaration of Origin for the goods.
Subdivision D—Goods produced in Hong Kong, China, or in Hong Kong, China and Australia, from non‑originating materials
153ZPE Goods produced in Hong Kong, China, or in Hong Kong, China and Australia, from non‑originating materials
(1) Goods are Hong Kong originating goods if:
(a) they are classified to a Chapter, heading or subheading of the Harmonized System that is covered by the table in Annex 3‑B of the Agreement; and
(b) they are produced entirely in the Area of Hong Kong, China, or entirely in the Area of Hong Kong, China and the Area of Australia, from non‑originating materials only or from non‑originating materials and originating materials; and
(c) the goods satisfy the requirements applicable to the goods in that Annex; and
(d) either:
(i) the importer of the goods has, at the time the goods are imported, a Declaration of Origin, or a copy of one, for the goods; or
(ii) Australia has waived the requirement for a Declaration of Origin for the goods.
(2) Without limiting paragraph (1)(c), a requirement may be specified in the table in Annex 3‑B of the Agreement by using an abbreviation that is given a meaning for the purposes of that Annex.
Change in tariff classification
(3) If a requirement that applies in relation to the goods is that all non‑originating materials used in the production of the goods must have undergone a particular change in tariff classification, the regulations may prescribe when a non‑originating material used in the production of the goods is taken to satisfy the change in tariff classification.
(4) If:
(a) a requirement that applies in relation to the goods is that all non‑originating materials used in the production of the goods must have undergone a particular change in tariff classification; and
(b) one or more of the non‑originating materials used in the production of the goods do not satisfy the change in tariff classification;
then the requirement is taken to be satisfied if the total value of the non‑originating materials covered by paragraph (b) does not exceed 10% of the customs value of the goods.
(5) If:
(a) a requirement that applies in relation to the goods is that all non‑originating materials used in the production of the goods must have undergone a particular change in tariff classification; and
(b) the goods are classified to any of Chapters 50 to 63 of the Harmonized System; and
(c) one or more of the non‑originating materials used in the production of the goods do not satisfy the change in tariff classification;
then the requirement is taken to be satisfied if the total weight of the non‑originating materials covered by paragraph (c) does not exceed 10% of the total weight of the goods.
Regional value content
(6) If a requirement that applies in relation to the goods is that the goods must have a regional value content of not less than a particular percentage worked out in a particular way:
(a) the regional value content of the goods is to be worked out in accordance with the Agreement; or
(b) if the regulations prescribe how to work out the regional value content of the goods—the regional value content of the goods is to be worked out in accordance with the regulations.
(7) If:
(a) a requirement that applies in relation to the goods is that the goods must have a regional value content of not less than a particular percentage worked out in a particular way; and
(b) the goods are imported into Australia with accessories, spare parts, tools or instructional or other information materials; and
(c) the accessories, spare parts, tools or instructional or other information materials are classified with, delivered with and not invoiced separately from the goods; and
(d) the types, quantities and value of the accessories, spare parts, tools or instructional or other information materials are customary for the goods; and
(e) the accessories, spare parts, tools or instructional or other information materials are non‑originating materials;
the regulations must provide for the value of the accessories, spare parts, tools or instructional or other information materials covered by paragraph (e) to be taken into account for the purposes of working out the regional value content of the goods.
Note: The value of the accessories, spare parts, tools or instructional or other information materials is to be worked out in accordance with the regulations: see subsection 153ZPB(2).
(8) For the purposes of subsection (7), disregard section 153ZPG in working out whether the accessories, spare parts, tools or instructional or other information materials are non‑originating materials.
153ZPF Packaging materials and containers
(1) If:
(a) goods are packaged for retail sale in packaging material or a container; and
(b) the packaging material or container is classified with the goods in accordance with Rule 5 of the Interpretation Rules;
then the packaging material or container is to be disregarded for the purposes of this Subdivision.
Regional value content
(2) However, if:
(a) a requirement that applies in relation to the goods is that the goods must have a regional value content of not less than a particular percentage worked out in a particular way; and
(b) the packaging material or container is a non‑originating material;
the regulations must provide for the value of the packaging material or container to be taken into account for the purposes of working out the regional value content of the goods.
Note: The value of the packaging material or container is to be worked out in accordance with the regulations: see subsection 153ZPB(2).
Subdivision E—Goods that are accessories, spare parts, tools or instructional or other information materials
153ZPG Goods that are accessories, spare parts, tools or instructional or other information materials
Goods are Hong Kong originating goods if:
(a) they are accessories, spare parts, tools or instructional or other information materials in relation to other goods; and
(b) the other goods are imported into Australia with the accessories, spare parts, tools or instructional or other information materials; and
(c) the other goods are Hong Kong originating goods; and
(d) the accessories, spare parts, tools or instructional or other information materials are classified with, delivered with and not invoiced separately from the other goods; and
(e) the types, quantities and value of the accessories, spare parts, tools or instructional or other information materials are customary for the other goods.
Subdivision F—Consignment
153ZPH Consignment
(1) Goods are not Hong Kong originating goods under this Division if:
(a) the goods are transported through the territory of one or more non‑Parties; and
(b) the goods undergo any operation in the territory of a non‑Party (other than unloading, reloading, separation from a bulk shipment, repacking, storing, labelling or marking for the purpose of satisfying the requirements of Australia or any other operation that is necessary to preserve the goods in good condition or to transport the goods to the Area of Australia).
(2) This section applies despite any other provision of this Division.
Subdivision G—Regulations
153ZPI Regulations
The regulations may make provision for and in relation to determining whether goods are Hong Kong originating goods under this Division.
• This Division defines RCEP originating goods (short for Regional Comprehensive Economic Partnership originating goods). Preferential rates of customs duty under the Customs Tariff Act 1995 apply to such goods that are imported into Australia.
• Subdivision B provides that goods are RCEP originating goods if they are wholly obtained or produced in a Party.
• Subdivision C provides that goods are RCEP originating goods if they are produced entirely in a Party from originating materials only.
• Subdivision D sets out when goods are RCEP originating goods because they are produced entirely in a Party from non‑originating materials only or from non‑originating materials and originating materials.
• Subdivision E deals with how the consignment of goods affects whether the goods are RCEP originating goods.