21.
U.S.-Jordan Free Trade Area Agreement (JFTA)
The United States-Jordan Free Trade Area agreement went into effect on December 17, 2001, and provides for the elimination of tariffs on almost all qualifying goods within 10 years.
Eligible Items
JFTA benefits apply to tariff items listed in the Harmonized Tariff Schedule and identified by “JO” in the Special column.
Eligibility Requirements, General
An article imported into the customs territory of the United States is eligible for JFTA preference if:
• It was wholly obtained or produced entirely in Jordan with no foreign inputs; or • It is a “product of” Jordan, and the sum of (1) the cost of the materials produced in Jordan, plus (2) the direct costs of processing performed in Jordan is not less than 35 percent of the article’s appraised value at the time it enters the commerce of the United States. Materials produced in the United States that do not to exceed 15 percent of the article’s appraised value may be applied toward the 35 percent threshold; and
• The article is imported directly into the United States.
Eligibility Requirements, Textiles And Apparel
Textile and apparel articles, with exceptions, are subject to the same “substantial transformation plus 35 percent” value-content rule as non-textiles (see General Note 18(d)).
Qualified Industrial Zones
The JFTA does not affect merchandise entered from a Qualifying Industrial Zone (QIZ). Because duty reductions for some products will be staged, importers may chose to continue entering qualifying merchandise under the QIZ, rather than under the JFTA.
Certification
CBP does not require presentation of a certificate of origin. By making the preference claim, the importer is deemed to certify that the goods meet the requirements of the agreement.
Documentation
The importer shall be prepared to submit to CBP a declaration setting forth the pertinent information concerning the article’s production or manufacture and all supporting documentation upon which the declaration is based. This information must be retained in the importer’s files for five years. The importer’s failure to provide the declaration and/or sufficient evidentiary documentation will result in the claim’s denial.
Merchandise
Processing Fees
The JFTA provides no exemption from payment of the merchandise processing fee.
Sources Of Additional Information
Additional information is available on CBP’s Website at:
www.cbp.gov/xp/cgov/import/international_agreements/free_trade/usjfta.xml or www.cbp.gov/xp/cgov/import/textiles_and_quotas/.
Information can also be found on the U.S.
Trade Representative Website, www.ustr.gov/Trade_Agreements/Bilateral/Jordan/Section_Index.html
.
References
• Presidential Proclamation 7512, December 7, 2001,
• Public Law 107-43, September 28, 2001,
• Harmonized Tariff Schedule of the United States, General Note 18.