7Value of goods that are non‑originating materials

7 Value of goods that are non‑originating materials

(1) For the purposes of subsection 153ZNB(3) of the Act, the value of non‑originating materials used in the production of goods is: (a) for non‑originating materials imported into Japan—the value of the non‑originating 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 Japan—the first ascertainable price paid for the non‑originating materials in Japan. (2) For the purposes of paragraph (1)(a), in working out the value of particular non‑originating materials, the following must be included: (a) the costs of freight, packing and all other costs incurred in transporting the non‑originating materials to the importation port in Japan; (b) the cost of insurance related to that freight. (3) For the purposes of paragraph (1)(b), in working out the value of particular non‑originating materials, the following may be deducted: (a) the costs incurred in Japan of freight, packing and all other costs incurred in transporting the non‑originating materials from the warehouse of the supplier of the materials to the place where the producer is located; (b) the cost of insurance related to that freight.