4.1Value of goods that are non‑originating materials

4.1 Value of goods that are non‑originating materials

(1) For the purposes of subsection 153ZJB(3) of the Act, the value of non‑originating materials used in the production of goods is: (a) for non‑originating materials imported into the territory of Chile by the producer of the goods—the value of the materials worked out in accordance with the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994; or (b) for non‑originating materials acquired in the territory of Chile—the value of those materials worked out under paragraph (a) on the assumption that those materials had been imported into the territory of Chile. (2) For the purposes of paragraph (1)(a), in working out the value of particular non‑originating materials, the following are to be deducted: (a) the costs of freight, insurance, packing and all other costs incurred to transport the non‑originating materials within the territory of Chile to the location of the producer of the goods; (b) duties, taxes and customs brokerage fees on the non‑originating materials that: (i) have been paid in the territory of Chile; and (ii) have not been waived or refunded; and (iii) are not refundable or otherwise recoverable; including any credit against duties or taxes that have been paid or that are payable; (c) if the non‑originating materials were imported from the territory of Australia: (i) the costs of waste and spoilage resulting from the use of the non‑originating materials in the production of the goods in the territory of Chile; (ii) the costs of processing incurred in the territory of Australia in the production of the non‑originating materials; (iii) the costs of originating materials used in the production of the non‑originating materials in the territory of Australia. (3) For the purposes of paragraph (1)(b), in working out the value of particular non‑originating materials, the following are to be deducted: (a) the costs of freight, insurance, packing and all other costs incurred to transport the non‑originating materials within the territory of Chile to the location of the producer of the goods; (b) duties, taxes and customs brokerage fees on the non‑originating materials that: (i) have been paid in the territory of Chile; and (ii) have not been waived or refunded; and (iii) are not refundable or otherwise recoverable; including any credit against duties or taxes that have been paid or that are payable; (c) the costs of waste and spoilage resulting from the use of the non‑originating materials in the production of the goods in the territory of Chile; (d) the costs of processing incurred in either or both of the territory of Chile and the territory of Australia in the production of the non‑originating materials; (e) the costs of originating materials used in the production of the non‑originating materials in either or both of the territory of Chile and the territory of Australia.