Discover how the absorption rule (a Rule of Origin) in Free Trade Agreements can simplify origin determination for your products and streamline compliance.
What Questions We Will Answer in this Blog
What is the absorption rule and how does it apply to Free Trade Agreements (FTAs)?
How can the absorption rule benefit your organisation’s compliance with customs regulations?
What are practical examples of applying the absorption rule in real-world scenarios?
Introduction
In the intricate world of customs compliance and trade regulations, the absorption rule offers a valuable mechanism for determining the origin of goods under Free Trade Agreements (FTAs). As an experienced customs professional, I understand how complex these rules can be, and today, I will tell you about the absorption rule’s significance, how it can ease your compliance burdens, and offer practical examples to guide your practice.
“The absorption rule is a strategic tool in FTAs that simplifies origin determination by allowing the originating status of intermediate products to be retained, even when they contain non-originating materials.” Arne Mielken