Provisional Translation

OTO No. 486 Classification MOF-86
Date of Acceptance July 14, 1992 Ministry/Agency Receiving Complaint Economic Planning Agency
Responsible Ministries Ministry of Finance Related Laws Temporary Tariff Measures Law
Complainant Malaysian organization Exporting Countries Malaysia
Subject Clarification of the preferential tariff system for imports of sawn lumber and timber products
Details of Measures Japan's Generalized System of Preferences aims to contribute to promoting the economic development of developing countries by boosting their export income. This system, begun on August 1, 1971, has been modified many times since then.
There is no preferential tariff system (escape clause system) on the volume of mining and industrial goods imported, but products having a substantial impact on domestic industries are classified into 146 categories subject to ceilings. Each ceiling is administered on a fiscal year basis (from April to March the following year), and once the value of imports under preferential tariffs exceeds the ceiling, the preferential tariff is no longer applied. Instead, the ordinary tariff (MFN tariff) applies. This ceiling system is necessary to protect domestic industry and cannot easily be abolished.
The complainant was advised that the yearly ceiling is made public and that import levels vis-`a-vis ceilings are listed each month in the official gazette.
Classification of Processing D Directions I-b
IV
Remarks

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