Glossary

Form of diagonal cumulation, which exists only under the generalised system of preferences (GSP) and operates between members of a regional group of beneficiary countries (e.g. ASEAN).

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Rules of origin

Requirement for a minimum percentage of a good to be produced in the producer’s local region, in order to qualify as originating. 

The system of certification of origin of goods that applies for the Generalised System of Preference (GSP) of the European Union since 1 January 2017. It is based on a principle of self-declaration of conformity by economic operators, who complete themselves so-called statements on origin.To be entitled to make out a statement on origin, economic operators will have to be registered in a database by the competent authorities of the country where they are operating their business. The economic operator will become a "registered exporter".

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REX System

Rules of origin are the criteria needed to determine the national source of a product. Their importance is derived from the fact that duties and restrictions in several cases depend upon the source of imports. Rules of origin differ widely from country to country and from trade agreement to trade agreement While the requirement of substantial transformation is universally recognised, some countries or trade agreements apply the criterion of change of tariff classification, others the ad valorem percentage criterion and yet others the criterion of manufacturing or processing operation.

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Rules of origin